STAND. COM. REP. NO. 2385

Honolulu, Hawaii

RE: S.B. No. 3248

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Hawaiian Affairs, to which was referred S.B. No. 3248 entitled:

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

begs leave to report as follows:

The purpose and intent 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, Iron Bottom Spirits, Hawaiian Ola Brewing Corporation, and eleven individuals.

Your Committee received testimony in opposition to this measure from Kahuna Spirits Ltd and three individuals.

Your Committee finds that the traditional Hawaiian distilled spirit, ʻōkolehao, is suffering the repercussions of its name being misused causing the loss of customer confidence and the diminishing of its cultural integrity and economic potential. Your Committee also finds that the ʻōkolehao distilled spirit would benefit from protections against deceptive or misleading labels. This measure will help restore ʻōkolehao as a part of the State's cultural and agricultural landscape along with creating an authentic visitor experience that contributes to the State's growing economic brand as a destination rooted in culture, place, and local production.

Your Committee has amended this measure by:

(1) Inserting an effective date of September 9, 2129, to encourage further discussion; and

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

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

Respectfully submitted on behalf of the members of the Committee on Hawaiian Affairs,

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HERBERT M. RICHARDS, III, Chair