Bill Text: HI HB2090 | 2014 | Regular Session | Introduced

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Bill Title: Truth-in-Advertising; License; Locally Produced

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced - Dead) 2014-01-28 - Re-referred to EDB/AGR, CPC, referral sheet 8 [HB2090 Detail]

Download: Hawaii-2014-HB2090-Introduced.html

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HOUSE OF REPRESENTATIVES	H.B. NO.	2090
TWENTY-SEVENTH LEGISLATURE, 2014
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to truth-in-advertising.

 

 

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

 

     SECTION 1.  Farmers' markets play an important role in Hawaii's communities by establishing and maintaining connections between consumers and local farms.  Moreover, the consumption of locally-produced agricultural products, when practicable, contributes significantly towards the goal set forth by the Hawaii 2050 Sustainability Plan to "increase production and consumption of local foods and products, particularly agriculture."

     However, there have been instances where outdoor markets purporting to be farmers' markets primarily sell nonagricultural goods.  The proliferation of nonagricultural merchants at farmers' markets falsely advertises to the public the nature of the market and makes it difficult for those individuals who may be seeking to change their lifestyles by supporting local farms.

     The purpose of this Act is to protect consumers by ensuring truth-in-advertising associated with the "farmers' market" title, in order to advance the State toward long-term agricultural goals in sustainability.

     SECTION 2.  Section 145-1, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

     ""Farmers' market operator" means any person or entity who owns, operates, or organizes an outdoor market and represents that the outdoor market is a farmers' market."

     SECTION 3.  Section 145-2, Hawaii Revised Statutes, is amended to read as follows:

     "§145-2  Licenses.  (a)  No person shall act as a commission merchant, dealer, broker, agent, processor, [or] retail merchant, or farmers' market operator without having obtained a license as prescribed by rules of the department.

     In addition to the general requirements applicable to all classes of applications as prescribed by rule, the following requirements shall apply to each class of application noted:

     (1)  Commission merchants and brokers:  Each application shall include a schedule of commissions and charges for services, and the designated commissions and charges shall not be changed or varied for the license period except by written contract between the parties.  In addition, each application shall be accompanied by the surety bond required by section 145-4.

     (2)  Agents:  Each application shall include the name and address of each commission merchant, dealer, or broker represented or sought to be represented by the agent, the written indorsement or nomination of the commission merchant, dealer, or broker, and such additional information as the department may consider proper or necessary.  The department shall thereupon issue to the applicant a license entitling the applicant to conduct the business described in the application at the place named in the application for a year from the date thereof, or until the same is revoked for cause; provided that the license of an agent shall expire upon the date of expiration of the license of the principal for whom the agent acts.  The department may also issue to each agent a card or cards which shall bear the signature of the agent, separate cards being required for each principal.  Any agent shall show the card or cards upon the request of any interested person.  Any agent who displays a void or expired license card shall be punished as provided in section 145-12.

     (3)  Farmers' market operator:  Each application shall certify that greater than fifty per cent of the vendors in the farmers' market primarily sell food, farm produce, or flowers prepared, grown, or produced in Hawaii.  Any farmers' market operator who fails to ensure that greater than fifty per cent of the vendors in the farmers' market primarily sell food, farm produce, or flowers prepared, grown, or produced in Hawaii shall be subject to administrative penalties pursuant to section 145-10.

     (b)  Fraud or misrepresentation in making any application shall ipso facto work a revocation of any license granted thereunder.  All indicia of the possession of a license shall be at all times the property of the State and each licensee shall be entitled to the possession thereof only for the duration of the license.

     For filing the application for license, each applicant shall pay a fee as prescribed by the department.

     Should any commission merchant, dealer, broker, agent, processor, [or] retail merchant, or farmers' market operator refuse, fail, or neglect to apply for the renewal of a preexisting license within thirty days after the expiration thereof, a penalty of forty per cent shall apply to and be added to the original fee as prescribed by the department, and shall be paid by the applicant before the renewal license may be issued.

     (c)  Any person who has applied for and obtained a license within the classification of commission merchant, in the manner and upon payment of the fee set forth, may apply for and secure a license in the other classifications without payment of further fee, and upon further complying with those provisions of this part regulating the licensing of the other particular classification involved.  All licenses held by any licensee under this section shall automatically expire on the expiration date for the particular license for which the license fee was paid."

     SECTION 4.  Section 145-9, Hawaii Revised Statutes, is amended to read as follows:

     "§145-9  Complaints and investigations.  The department of agriculture may receive verified complaints from any producer against any commission merchant, dealer, broker, agent, processor, [or] retail merchant, or farmers' market operator or any person assuming or attempting to act as such and upon receipt of the verified complaint may make any and all necessary investigations relative to the complaint.  In conducting any investigation, the department or its authorized agent may examine any ledgers, books, accounts, memoranda, and other documents, farm produce, scales, measures, and any other articles and things used in connection with the business of the person of whom the complaint has been made."

     SECTION 5.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     SECTION 6.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 7.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________

 

 

Report Title:

Truth-in-Advertising; License; Locally Produced

 

Description:

Requires operators to procure a market operator's license to ensure that greater than 50% of vendors in farmers' markets sell food, farm produce, or flowers prepared, grown, or produced in Hawaii.

 

 

 

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