STAND. COM. REP. NO. 1017

Honolulu, Hawaii

RE: S.B. No. 1223

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1223 entitled:

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS TO ASSIST MAUIGROWN COFFEE, INC,"

begs leave to report as follows:

The purpose and intent of this measure is to support agriculture in the State by providing assistance to an agricultural enterprise.

More specifically, the measure authorizes the Department of Budget and Finance, with the Governor's approval, to issue special purpose revenue bonds in a total amount not exceeding $30,000,000 to assist MauiGrown Coffee, Inc. with the expanded operation of its coffee farm and mill in Puukolii, Maui.

Your Committee received written comments in support of this measure from the Department of Agriculture; MauiGrown Coffee, Inc.; Hawaii Coffee Association; Hawaii Farm Bureau; and one individual.

Your Committee received written comments on this measure from the Department of Budget and Finance.

Your Committee finds that this measure will reauthorize and renew a prior 2017 issuance of special purpose revenue bonds to assist MauiGrown Coffee, Inc., which lapsed on June 30, 2022, and that this measure's renewal of assistance for the Maui-based company to expand its operations will benefit the local coffee industry and enhance agricultural efforts in the State.

Your Committee has amended this measure by:

(1) Changing the maximum bond issuance amount from $30,000,000 to an unspecified amount;

(2) Changing the effective date to July 1, 2050, to facilitate further discussion on the measure; and

(3) Making technical nonsubstantive amendments for purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1223, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1223, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair