HB2025

SECTION 1. The legislature finds that nursery stock and associated materials can harbor and vector plant pests and diseases. Unregulated production, shipping, and distribution of nursery stock presents an unacceptable risk to the State's agricultural, forestry, and horticultural interests, and to the State's general environmental quality. Therefore, it is necessary to ensure that nurseries produce healthy plants and that nursery stock available for sale or shipped to other nurseries, brokers, and out-of-state customers meet the national nursery stock cleanliness standard.

Accordingly, the purpose of this Act is to create a nursery licensing program to reduce the spread of pests and invasive species due to movement of nursery stock.

SECTION 2. Chapter 150A, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"Part . Nursery licensing program

§150A-A Definitions. For the purposes of this part:

"Best management practices" means processes and actions based on the best available science that provide the most cost-effective and efficacious way to address an issue, such as preventing or reducing pest and pathogen problems.

"Effective control of other pests" means eliminating or reducing the other pest to the point of an acceptable economic and environmental risk.

"Nursery license" means a document issued pursuant to this part authorizing a person to engage in a nursery or nursery related business at a particular location under a specified business name.

"Other pest" means a pest that is not a pest of concern and that may be controlled so that the pest does not pose an unacceptable economic or environmental risk.

"Person" means a person or government entity.

"Pest of concern" means a pest:

(1) That:

(A) Is not known to occur in the State;

(B) Has a limited distribution within the State; and

(C) The department or other government entity attempts to contain, suppress, or reduce within the State, including any pest or noxious weed designated by the department; and

(2) Whose introduction causes or is likely to cause economic or environmental harm or harm to human health.

"Sale" or "sell" mean offering, exposing, or possessing for sale, exchange, barter, or trade.

"Standards of nursery cleanliness" means, with respect to a location where nursery stock is produced or sold:

(1) The implementation any method of treatment for any pest of concern required by the department;

(2) The isolation of any nursery stock or other material infested or infected with pests pending treatment or disposal;

(3) Any action reasonably necessary to ensure the location and all nursery stock produced or sold at the location are free from pests; and

(4) Any other standard required by the department.

§150A-B Nursery licenses; eligibility. (a) No person engaged in the sale of nursery stock may operate a nursery without a valid nursery license issued by the department pursuant to this part. A nursery license shall be required at each location where a person sells or grows nursery stock.

(b) A person shall be eligible for a nursery license for each location at which the person engages in the sale of nursery stock if the person:

(1) Demonstrates good faith in seeking to carry on the business of selling nursery stock;

(2) Does not stock or sell any plant species designated by the department as a noxious weed or restricted plant;

(3) Ensures the location the person is free from pests of concern;

(4) Maintains effective control of other pests at the location;

(5) Implements standards of nursery cleanliness at the location; and

(6) Implements any best management practices as required by the department for the location.

(c) Application for a nursery location license, including the payment of any fees, shall be made to the department in a manner as determined by the department.

(d) Each nursery license be valid for one year and may be renewed on an annual basis; provided that each person seeking a renewal of an existing nursery license shall submit an application for renewal and pay any fees as determined by the department.

(e) The department may publish a list of persons that hold a valid nursery license a webpage maintained by the department.

(f) This section shall not apply to persons who:

(1) Sell seeds and do not ship or sell any other nursery stock; and

(2) A person who holds a temporary nursery license or small seller license under section 150A-C.

§150A-C Temporary nursery license; small seller license; eligibility. (a) A person may obtain a temporary nursery license if the person:

(1) Is a non-profit, charitable, educational, or religious organization;

(2) Sells nursery stock for days or less within a calendar year;

(3) Makes $ or less in total annual sales of nursery stock;

(4) Uses the proceeds of the sale of nursery stock for charitable, educational, or religious purposes;

(5) Produces or obtains all nursery stock from a person with a valid nursery license;

(6) Utilizes best management practices for nursery stock and the sale of nursery stock by temporary nursery license holders as required by the department; and

(7) Pays any applicable fees as determined by the department.

(b) A person is eligible for a small seller nursery license if the person:

(1) Makes $ or less in total annual sales of nursery stock;

(2) Produces or obtains all nursery stock from a person with a valid nursery license;

(3) Utilizes best management practices for nursery stock and the sale of nursery stock by small seller nursery license holders as required by the department; and

(4) Pays any applicable fees as determined by the department.

(c) Each person applying for a temporary nursery license or small seller nursery license shall submit an application in a manner as determined by the department.

§150A-D Inspection; quarantine. (a) Upon receipt of an application for a nursery license, temporary nursery license, or small seller nursery license, the department shall inspect the location, the nursery stock at the location, and any other area used by the applicant to produce or store nursery stock to determine that the location is:

(1) Free from pests of concern;

(2) Has effective control of all other pests;

(3) Has implement applicable standards of nursery cleanliness; and

(4) Has implemented any best management practices as required by the department.

The department may conduct additional inspections of any location issued a nursery license, temporary nursery license, or small seller nursery license with or without notice and at such time and in such manner as the department determines appropriate.

(b) The department shall not issue a license to any person who refuses to permit an inspection of a location at which the person engages in the sale of nursery stock.

(c) It shall be unlawful for any person to deny access or offer resistance to an inspector or other agent of the department conducting an inspection under this section or to hinder any inspection conducted under this section by misrepresenting or concealing facts or conditions.

(d) If the department determines pursuant to an inspection authorized under this section or by any other means that a pest of concern is present in nursery stock or at a location where nursery stock is present, that other pests are not under effective control at a location, or that the holder of a nursery license, temporary nursery license, or a small seller nursery license is otherwise not in compliance with the requirements of this part, the department:

(1) Shall place a stop sale or quarantine order for the affected nursery stock or location and, if appropriate, a destruction order for affected nursery stock;

(2) Shall notify the person applying for or holding the nursery license, temporary nursery license, or a small seller nursery license for the affected nursery stock or location of the existence of the pest of concern, other pest, or other compliance issue and advise the person on acceptable mitigation methods; and

(3) May require the affected nursery stock or affected material be mitigated by whatever means necessary, including destruction, confiscation, treatment, return shipment, or quarantine, at the expense of the nursery or person without any form of compensation.

(e) During the period when an order under subsection (d) is in effect for nursery stock or a location, it shall be unlawful for any person to sell, ship, transport, give away, or otherwise move, alter, or tamper with affected nursery stock or material at the location, other than for activities to mitigate the pest of concern or other pests.

§150A-E Nursery license; denial; revocation. The department may refuse to issue or renew a nursery license, a temporary nursery license, or a small seller nursery license or may suspend or revoke a nursery license, temporary nursery license, or a small seller nursery license for a location if the department determines that the licensee or the applicant has done any of the following:

(1) Has wilfully refused to comply with any laws and regulations regarding nursery stock or any pest which might be carried by nursery stock;

(2) Has intentionally committed fraud or deception in the procurement of the nursery license;

(3) Has committed fraud or misrepresentation in the handling or sale of nursery stock;

(4) Has failed to ensure the nursery stock or location is free from pests of concern;

(5) Has failed to maintain effective control of all other pests at the location or with respect to the nursery stock;

(6) Has failed to maintain the nursery stock or location in accordance with any best management practices required by the department;

(7) Has failed to maintain nursery stock produced or sold by the licensee or applicant in accordance with the standards of nursery cleanliness; or

(8) Has failed to comply with any lawful order which is issued by the department.

§150A-F Fees. (a) The department shall assess the following criteria in regard to an application fee for a nursery license, temporary nursery license, or small seller nursery license:

(1) The quantity and dollar value of the applicant's nursery stock sales;

(2) The acreage used by the applicant to produce, store, or sell nursery stock; and

(3) Any other criteria the department deems appropriate.

(b) No portion of any fee paid pursuant to this part shall be refunded to a person if the department revokes or denies an application or an application for renewal for a license issued under this part.

(c) All fees collected pursuant to this part shall be paid to the department and deposited in the pest inspection, quarantine, and eradication fund established under section 150A-4.5.

§150A-G Civil penalties. (a) Any person who violates any provision of this part or any rule adopted by the department pursuant to this part shall be fined not more $ for each separate offense. Each date of violation shall constitute a separate offense. Any action taken to impose or collect the penalty provided for in this subsection shall be considered a civil action.

(b) All fines collected under this section shall be paid to the department and deposited into the pest inspection, quarantine, and eradication fund under section 150A-4.5.

§150A-H Rulemaking. The department shall adopt rules in accordance with chapter 91 to implement this part."

SECTION 3. Section 150A-2, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

""Nursery stock" means any plant for planting, propagation, or ornamentation, including all plants, trees, shrubs, vines, perennials, grafts, cuttings, and buds that may be sold for propagation, whether cultivated or wild, and all viable parts of these plants."

SECTION 4. Section 150A-23, Hawaii Revised Statutes, is amended to read as follows:

"§150A-23 Nursery stock certificate. The department may issue and authorize the use of nursery stock certificates by any shipper complying with its regulation for nursery inspection. Shipments accompanied by these certificates may move to other localities within the county or to other counties without inspection at destination. Nursery stock certificates may be issued for interstate shipments. Fees may be charged for nursery certification and shall be deposited into the pest inspection, quarantine, and eradication fund. Nursery stock certificates shall not be altered or misused. No nursery stock certificate shall be issued to a person who does not have a nursery license and is required to obtain a nursery license under part of this chapter.

The department may revoke or suspend the right to use any nursery stock certificate which is issued to any person who fails to comply with requirements for use of the certificate."

SECTION 5. Section 150A-53, Hawaii Revised Statutes, is amended to read as follows:

"§150A-53 General actions to achieve objectives. (a) To achieve the objectives of the biosecurity program, the department shall plan for and, within available legislative appropriations or through funding from other sources, implement the following:

(1) Work with government agencies and agricultural commodity exporters of other states and countries to establish pre-entry inspection programs under which inbound cargo into the State is inspected at the ports of departure or other points outside the State;

(2) Establish, operate, or participate in operating port-of-entry facilities where multiple government agencies may inspect, quarantine, fumigate, disinfect, destroy, or exclude as appropriate, articles that may harbor pests or exclude articles that are prohibited or restricted without a permit, with the goals of:

(A) Performing inspections in an efficient, effective, and expeditious manner for the government agencies involved and for cargo owners, carriers, and importers; and

(B) Providing for the proper and safe storage and handling of cargo, especially agricultural and food commodities, awaiting inspection;

(3) Develop, implement, and coordinate post-entry measures to eradicate, control, reduce, and suppress pests and, as appropriate, eradicate or seize and dispose of prohibited or restricted organisms without a permit that have entered the State;

(4) Collaborate with relevant government agencies, agricultural commodity importers, and other persons to examine and develop joint integrated systems to better implement the biosecurity program;

(5) Improve cargo inspection capabilities and methods, including enhancement of the content and submission requirements for cargo manifests and agricultural commodity ownership and movement certificates;

(6) Promote the production of agricultural commodities in the State to reduce cargo shipments of imported commodities into the State; and

(7) Provide public education on the negative effects of pests and prohibited or restricted organisms without a permit, to the environment and economy of the State.

(b) The department shall establish parameters and construction requirements for biosecurity facilities that provide for and ensure the safety of agricultural and food commodities consumed by Hawaii residents, including cold storage facilities established by private-public partnerships to preserve the quality and ensure the safety of the commodities arriving at the State's airports and harbors.

(c) The nursery licensing program established pursuant to part of this chapter shall be considered a part of the biosecurity program and may be carried out using the authority of, and funds available to, the biosecurity program."

SECTION 6. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 2024.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	2025
THIRTY-SECOND LEGISLATURE, 2024
STATE OF HAWAII