THE SENATE	S.B. NO.	792
THIRTY-SECOND LEGISLATURE, 2023		S.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO AGRICULTURE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 141, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

"§141-   Local agriculture transportation cost reimbursement incentive program. (a) There is established a local agriculture transportation cost reimbursement incentive program to be administered by the department of agriculture to reimburse eligible agricultural producers for a portion of the producer's costs to transport agricultural commodities; provided that the department of agriculture shall only reimburse transportation costs associated with air cargo, parcel, or water cargo carrier services.

(b) To be eligible to receive reimbursement payments pursuant to this section, an agricultural producer shall:

(1) Be a farmer or rancher in the State;

(2) Produce agricultural commodities for consumption within the State; and

(3) Payments shall be disbursed to reimburse up to:

(A) One hundred per cent of total transportation costs for farms with gross income of less than $250,000 per year;

(B) Twenty five per cent of total transportation costs for farms with gross income of $250,000 to $1,000,000 per year; and

(C) Ten per cent of total transportation costs for farms with gross income of more than $1,000,000 per year.

(c) Reimbursement payments disbursed pursuant to this section shall be in an amount not to exceed $5,000 per year.

(d) For purposes of this section, "agricultural commodity" has the same meaning as in section 145-21."

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $        or so much thereof as may be necessary for fiscal year 2023-2024 and the same sum or so much thereof as may be necessary for fiscal year 2024-2025 for the department of agriculture to fund and administer the local agriculture transportation cost reimbursement incentive program established pursuant to this Act.

The sums appropriated shall be expended by the department of agriculture for the purposes of this Act.

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2023.

Report Title:

Department of Agriculture; Transportation Costs; Reimbursements; Incentives; Appropriation

Description:

Establishes a local agriculture transportation cost reimbursement incentive program to be administered by the Department of Agriculture to reimburse eligible producers for a portion of the producer's costs to transport agricultural commodities. Makes an appropriation. (SD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.