STAND. COM. REP. NO. 1996-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 2805

S.D. 2

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Finance, to which was referred S.B. No. 2805, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose of this measure is to establish a nonrefundable income tax credit to incentivize capital investments in infrastructure, feasibility studies, regulatory processing, and legal and accounting services to support and expand long-term agricultural production.

Your Committee received testimony in support of this measure from the Department of Agriculture and Biosecurity; Agribusiness Development Corporation; Chamber of Commerce Hawaii; Maui Chamber of Commerce; Hawaiʻi Farm Bureau; Hawaiʻi Forest Association; Agriculture Stewardship Hawaiʻi; Hawaiʻi Farmers Union; Hawaiʻi Food+ Policy; and two individuals. Your Committee received comments on this measure from the Department of Taxation and Tax Foundation of Hawaii.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2805, S.D. 2, H.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

CHRIS TODD, Chair