SB 127: RELATING TO AGRICULTURAL GRANTS.

A BILL FOR AN ACT

RELATING TO AGRICULTURAL GRANTS.

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-    Conventional farming grant program.  (a)  There is established within the department of agriculture the conventional farming grant program.

     (b)  Subject to available funds, the conventional farming grant program shall provide grants to small and midsized farms that predominately practice conventional farming.

     (c)  Each grant application shall be evaluated by the board of agriculture and shall be approved if the application satisfies the following requirements:

     (1)  The applicant shall be an owner of a small farm or midsized farm;

     (2)  If the applicant is an entity other than an individual, the applicant shall:

          (A)  Be licensed to conduct business in the State; and

          (B)  Adopt bylaws or policies that describe the manner in which business is conducted, prohibit nepotism, and provide for the management of potential conflicts of interest;

     (3)  The applicant shall comply with all applicable federal and state laws prohibiting discrimination against any person on the basis of race, color, national origin, religion, creed, sex, age, sexual orientation, disability, or any other characteristic protected under applicable federal or state law;

     (4)  Grant moneys shall not be used for purposes of entertainment or perquisites;

     (5)  All activities and improvements undertaken with grant funds shall comply with applicable federal, state, and county laws, including statutes, ordinances, applicable building codes, and rules;

     (6)  The applicant shall agree to make available to the department of agriculture any records relating to the grant and allow state agencies to verify the applicant's compliance with the purpose of this section; and

     (7)  The applicant shall comply with other requirements or conditions as the department of agriculture or board of agriculture may prescribe.

     (d)  For the purposes of this section:

     "Conventional farming" means growing crops from seeds that have been genetically altered using any traditional breeding method, excluding biotechnology, and that are not certified as organic.

     "Gross cash farm income" means the sum of the farm's crop and livestock sales, government payments, and other farm-related income, including fee payments from contractors.

     "Midsize farm" means a farm having an annual gross cash farm income of $350,000 to $999,999; provided that, upon approval by the board of agriculture, the department of agriculture may apply a higher annual gross cash farm income amount consistent with the term "midsize farm" or "midsize family farm" as defined by the United States Department of Agriculture's Economic Research Service in a farm typology publication or related update.

     "Small farm" means a farm having an annual gross cash farm income of less than $350,000; provided that, upon approval by the board of agriculture, the department of agriculture may apply a higher annual gross cash farm income amount consistent with the term "small farm" or "small family farm" as defined by the United States Department of Agriculture's Economic Research Service in a farm typology publication or related update."

     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 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for the conventional farming grant program.

     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, 2050.

Report Title:

DOA; Conventional Farming; Grants; Appropriations

Description:

Establishes the Conventional Farming Grant Program to be administered by the Department of Agriculture to provide grants to small and midsized farmers who practice conventional farming.  Appropriates funds.  Effective 7/1/2050.  (SD1)

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

A BILL FOR AN ACT

relating to agricultural grants.

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-     Conventional farming grant program.  (a)  There is established within the department of agriculture the conventional farming grant program.

     (b)  Subject to available funds, the conventional farming grant program shall provide grants to small and midsized farms that predominately practice conventional farming.

     (c)  Each grant application shall be evaluated by the board of agriculture and shall be approved if it satisfies the following requirements:

     (1)  The applicant shall be an owner of a small farm or midsized farm;

     (2)  If the applicant is an entity other than an individual, the applicant shall:

          (A)  Be licensed to conduct business in the State; and

          (B)  Has adopted bylaws or policies that describe the manner in which business is conducted, prohibit nepotism, and provide for the management of potential conflicts of interest;

     (3)  The applicant shall comply with all applicable federal and state laws prohibiting discrimination against any person on the basis of race, color, national origin, religion, creed, sex, age, sexual orientation, disability, or any other characteristic protected under applicable federal or state law;

     (4)  Grant moneys shall not be used for purposes of entertainment or perquisites;

     (5)  All activities and improvements undertaken with grant funds shall comply with applicable federal, state, and county laws, including statutes, ordinances, applicable building codes, and rules;

     (6)  The applicant shall agree to make available to the department of agriculture any records relating to the grant and allow state agencies to verify the applicant's compliance with the purpose of this section; and

     (7)  The applicant shall comply with other requirements or conditions as the department of agriculture or board of agriculture may prescribe.

     (d)  For the purposes of this section:

     "Conventional farming" means growing crops from seeds that have been genetically altered using any traditional breeding method, excluding biotechnology, and that are not certified as organic.

     "Gross cash farm income" means sum of the farm's crop and livestock sales, government payments, and other farm-related income, including fee payments from contractors.

     "Midsize farm" means a farm having an annual gross cash farm income of $350,000 to $999,999; provided that, upon approval by the board of agriculture, the department of agriculture may apply a higher annual gross cash farm income amount consistent with the term "midsize farm" or "midsize family farm" as defined by the United States Department of Agriculture, Economic Research Service, in a farm typology publication or related update.

     "Small farm" means a farm having an annual gross cash farm income of less than $350,000; provided that, upon approval by the board of agriculture, the department of agriculture may apply a higher annual gross cash farm income amount consistent with the term "small farm" or "small family farm" as defined by the United States Department of Agriculture, Economic Research Service, in a farm typology publication or related update."

     SECTION 2.  There is appropriated out of the general revenues of the State of Hawaii the sum of $5,000,000 or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for the conventional farming grant program.

     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, 2025.

Report Title:

HDOA; Conventional Farming; Grants; Appropriation

Description:

Establishes the conventional farming grant program to provide grants to small and midsized farmers who practice conventional farming.  Appropriates moneys.

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

STAND. COM. REP. NO. 43

Honolulu, Hawaii

RE:    S.B. No. 127

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Agriculture and Environment, to which was referred S.B. No. 127 entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURAL GRANTS,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Establish the Conventional Farming Grant Program to provide grants to small- and mid-sized farmers who practice conventional farming; and

     (2)  Appropriate funds for the Program.

     Your Committee received testimony in support of this measure from the Department of Agriculture, Hawaiʻi Farm Bureau, Hawaiʻi Farmers Union United, Democratic Party of Hawaiʻi, and two individuals.

     Your Committee finds that the majority of farm enterprises in the State are small operations and that many local farms are facing significant financial challenges arising from the high cost of labor, land, water, planting materials, fertilizers, feed, equipment, construction, energy, and transportation.  According to testimony received by your Committee, conventional farming remains one of the most efficient ways to produce large quantities of food to meet the needs of Hawaii's communities.  Conventional farming practices allow farmers to optimize yields, manage resources effectively, and contribute to a stable and diverse food supply.  The grant program established by this measure would provide critical support to local farmers and further the State's broader goal of increasing local food production.

     Your Committee has amended this measure by:

     (1)  Changing the appropriation to an unspecified amount;

     (2)  Inserting an effective date of July 1, 2050, to encourage further discussion; and

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

     Your Committee notes that this measure, as amended, contains an unspecified appropriation amount.  Should your Committee on Ways and Means choose to deliberate on this measure, your Committee respectfully requests that it consider inserting an appropriation amount of $5,000,000 for the Conventional Farming Grant Program.

     As affirmed by the record of votes of the members of your Committee on Agriculture and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 127, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 127, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Agriculture and Environment,