STAND. COM. REP. NO. 1810-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 3248

S.D. 2

H.D. 2

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 3248, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO LABELING REQUIREMENTS,"

begs leave to report as follows:

The purpose of this measure is to establish labeling requirements for ʻōkolehao products.

Your Committee received testimony in support of this measure from the Department of Agriculture and Biosecurity; one member of the Hawaiʻi County Council; Hawaiʻi Island Chamber of Commerce; Hawaiʻi Farm Bureau; Ola Brew; and three individuals. Your Committee received testimony in opposition to this measure from Kahuna Okolehao and three individuals. Your Committee received comments on this measure from Kamehameha Schools.

Your Committee finds that ʻōkolehao is a culturally significant Hawaiian distilled spirit made with Hawaii-grown kī, whose reputation and authenticity have been diluted due to the absence of clear production and labeling standards. The lack of protections has resulted in misleading branding, reduced consumer confidence, and lost economic opportunities for local farmers, producers, and cultural practitioners. Your Committee believes that establishing uniform labeling requirements and defining ʻōkolehao in statute will preserve its cultural integrity while supporting local agriculture and creating a stronger, place-based industry identity.

Your Committee has amended this measure by:

(1) Specifying that of the kī used in the production of ʻōkolehao, at least:

(A) Beginning on the effective date of this measure, fifty-one percent;

(B) Beginning January 1, 2030, seventy-five percent; and

(C) Beginning January 1, 2035, one hundred percent,

is grown in the State; and

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

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3248, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3248, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

SCOT Z. MATAYOSHI, Chair