SB 827: RELATING TO MEAT PROCESSING.

A BILL FOR AN ACT

RELATING TO MEAT PROCESSING.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that there is a need for increased meat processing capacity in the State, as smaller ranchers and hunters compete for limited capacity, resulting in the loss of potential use of wild game meat.

     The legislature further finds that axis deer, an invasive species that poses a continuing threat to Hawaii's environment, and other wild game could provide significant quantities of meat as a protein source and enhance the State's food security.  However, there is a gap between the hunters and these non-profit services because the meat needs to be processed prior to distribution.  Other states have developed processes for this purpose, including licensing fees and funding managed by wildlife agencies or non-profits.

     The purpose of this Act is to require and appropriate funds for the department of business, economic development, and tourism to develop and implement a grant program to expand the meat processing capacity in the State, including funding for meat inspector positions.

     SECTION 2.  (a)  The department of business, economic development, and tourism shall develop and implement a grant program to expand the meat processing capacity in the State.  The grant program may include financial assistance to establish new meat processing facilities with a donation component or expand existing facilities to include a donation component to enable hunters to donate meat from axis deer and other wild game to these facilities.

     (b)  The department of business, economic development, and tourism may collaborate with the department of agriculture, division of forestry and wildlife of the department of land and natural resources, and food safety branch of the department of health in developing the grant program.

     (c)  The program shall provide grants to qualified applicants with the following terms and conditions:

     (1)  No grants shall be given unless money has been spent by the applicant toward expanding the meat processing capacity in the State;

     (2)  The total amount of a grant to any one applicant shall not exceed $          ; and

     (3)  No grant shall be given for costs that were incurred more than five years before the time the application for the grant is received by the department of business, economic development, and tourism.

     (d)  The grant applications shall be reviewed and approved by an administrative staff member of the department of business, economic development, and tourism.  Applications for grants shall contain the information as shall be required by rules adopted by the department.  At minimum, the applicant shall:

     (1)  Be licensed or accredited, in accordance with federal, state, or county statutes, rules, or ordinances, to conduct the activities or provide the services for which a grant is awarded;

     (2)  Provide a detailed plan outlining the scope, objectives, and projected impact of the project or projects and a clear breakdown of how grant funds will be utilized;

     (3)  Agree to use state funds exclusively for the purposes of this program;

     (4)  Indicate capability to properly use the grant for the purpose of the grant program for either;

          (A)  The development and establishment of a new meat processing facility; or

          (B)  The capacity for growth for an existing meat processing facility;

     (5)  Comply with all applicable federal and state law 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;

     (6)  Agree not to use state funds for purposes of entertainment or perquisites;

     (7)  Comply with other requirements the department may prescribe;

     (8)  Comply with all applicable federal, state, and county statutes, rules, and ordinances;

     (9)  Agree to indemnify and save harmless the State of Hawaii and its officers, agents, and employees from and against any and all claims arising out of or resulting from activities carried out or projects undertaken with funds provided hereunder and procure sufficient insurance to provide this indemnification if requested to do so by the department; and

    (10)  Agree to make available to the department all records the applicant may have relating to the grant, to allow state agencies to monitor the applicant's compliance with this subsection.

     (e)  Hunters who donate meat from axis deer and other wild game to meat processing facilities shall be granted access to any facility receiving funds pursuant to the grant program established pursuant to this section.

     SECTION 3.  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 establishment of:

     (1)  A grant program to expand the meat processing capacity in the State; and

     (2)  Two full-time equivalent (2.0 FTE) meat inspector positions.

     The sums appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.

     SECTION 4.  This Act shall take effect on July 1, 2050.

Report Title:

DBEDT; Meat Processing Capacity; Grant Program; Expansion; Food Distribution Services; Positions; Appropriations

Description:

Requires the Department of Business, Economic Development, and Tourism to develop and implement a grant program to expand the meat processing capacity in the State.  Establishes requirements for grant applicants.  Allows hunters access to qualifying meat processing facilities.  Establishes positions.  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 meat processing.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that there is a need for increased meat processing capacity in the State, as smaller ranchers and hunters compete for limited capacity, resulting in the loss of potential use of wild game meat.

     The legislature further finds that axis deer, an invasive species that poses a continuing threat to Hawaii's environment, and other wild game could provide significant quantities of meat as a protein source and enhance the State's food security.  However, there is a gap between the hunters and these non-profit services because the meat needs to be processed prior to distribution.  Other states have developed processes for this purpose, including licensing fees and funding managed by wildlife agencies or non-profits.

     The purpose of this Act is to require and appropriate funds for the department of business, economic development, and tourism to develop and implement a grant program to expand the meat processing capacity in the State.

     SECTION 2.  (a)  The department of business, economic development, and tourism shall develop and implement a grant program to expand the meat processing capacity in the State.  The grant program may include financial assistance to establish new meat processing facilities with a donation component or expand existing facilities to include a donation component to enable hunters to donate meat from axis deer and other wild game to these facilities.

     (b)  The department of business, economic development, and tourism may collaborate with the department of agriculture, department of land and natural resources' division of forestry and wildlife, and department of health's food safety branch in developing the grant program.

     (c)  The program shall provide grants to qualified applicants with the following terms and conditions:

     (1)  No grants shall be given unless money has been spent by the applicant toward expanding the meat processing capacity in the State;

     (2)  The total amount of a grant to any one applicant shall not exceed $          ; and

     (3)  No grant shall be given for costs that were incurred more than five years prior to the time the application for the grant is received by the department of business, economic development, and tourism.

     (d)  The department of business, economic development, and tourism shall adopt rules pursuant to chapter 91, Hawaii Revised Statutes, to carry out the purposes of the grant program.  The grant applications shall be reviewed and approved by an administrative staff member of the department of business, economic development, and tourism.

     SECTION 3.  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 grant program to expand the meat processing capacity in the State pursuant to this Act.

     The sums appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.

     SECTION 4.  This Act shall take effect on July 1, 2025.

Report Title:

Meat Processing Capacity; Grant Program; Expansion; Food Distribution Services; Appropriation

Description:

Requires the Department of Business, Economic Development, and Tourism to develop and implement a grant program to expand the meat processing capacity in the State.  Appropriates funds.

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. 389

Honolulu, Hawaii

RE:    S.B. No. 827

       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 Economic Development and Tourism, to which was referred S.B. No. 827 entitled:

"A BILL FOR AN ACT RELATING TO MEAT PROCESSING,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Require the Department of Business, Economic Development, and Tourism to develop and implement a grant program to expand the meat processing capacity in the State; and

     (2)  Appropriate funds.

     Your Committee received testimony in support of this measure from the Hawaiʻi Farm Bureau, Hawaii Food Industry Association, Maui Chamber of Commerce, Pūlama Lānaʻi, and Hawaiʻi Farmers Union United.

     Your Committee received comments on this measure from the Department of Business, Economic Development, and Tourism and Department of the Attorney General.

     Your Committee finds that the State has an obligation to conserve, protect, and develop responsible self-sufficiency in Hawaii through the promotion of local agricultural and food production development.  Due to its delicate and isolated ecosystems, Hawaii faces challenges with invasive species and biosecurity, particularly regarding axis deer who continually damage the State's natural habitats and resources.  To more effectively address invasive species that pose significant threats to Hawaii's environment, your Committee believes that biosecurity efforts can be furthered by encouraging hunters to assist in axis deer regulation.  By expanding the State's meat processing capacity and allowing hunters to donate meat from axis deer and other wild game to meat processing facilities, this measure will help manage invasive species while providing a valuable protein source to its residents. 

     Your Committee notes the concerned raised by the Department of the Attorney General regarding the lack of standards for grants of public money, as required by the Hawaii State Constitution.  Therefore, there is a need to amend this measure to address this concern.

Accordingly, your Committee has amended this measure by:

     (1)  Inserting language establishing standards an applicant for grants under this measure must comply with;

     (2)  Inserting language allowing hunters who donate meat to meat processing plants under the grant program to have access to the processing plants;

     (3)  Inserting language establishing two full-time equivalent (2.0 FTE) Meat Inspector positions;

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

     (5)  Amending section 1 to reflect its amended purpose; and

     (6)  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 to be subsequently requested by the Agribusiness Development Corporations, including costs for meat inspector positions.

     As affirmed by the record of votes of the members of your Committee on Economic Development and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 827, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 827, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Economic Development and Tourism,