Hawaii-2018-SB781-Amended

SECTION 1. The legislature finds that there are historic and recent threats to the future of agriculture in the State, including the loss of sugar and pineapple plantations and dairy farms, rising energy and feed costs, the volatility of commodity markets, mainland and global competition, and climate change. There are also many signs of expansion and opportunity, especially for diversified and specialty niche farms including organic farm operations.

The purpose of this Act is to establish the agricultural 2030 investment program and a farm to plate program in the State.

SECTION 2. Chapter 141, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"Part . Agricultural 2030 Investment Program

§141-A Agricultural 2030 investment program; establishment. The department of agriculture, in consultation with the department of business, economic development, and tourism and members of the agricultural industry, shall establish the agricultural 2030 investment program to increase agricultural economic development through strategic planning and the creation of programs such as a state farm to plate program; provided that continuation of the agricultural 2030 investment program shall be discretionary unless at least $100,000 per fiscal year is available for the program.

§141-B Program goals. The goals of the agricultural 2030 investment program are to:

(1) Increase economic development in Hawaii's food and farm sector;

(2) Create jobs in the food and farm economy;

(3) Improve access to healthy local foods; and

(4) Improve biosecurity.

§141-C Strategic plan. By December 1, 2018, the program shall create a strategic plan for agricultural economic development, including biosecurity, which may be periodically reviewed and updated based on evolving information. The strategic plan shall include the following:

(1) An inventory of Hawaii's agricultural system infrastructure as determined by existing data, studies, and analysis about the components of Hawaii's agricultural economy, including:

(A) Types of value-added goods produced in Hawaii, number of producers of each product category, amount of each type of good produced, and financial viability of each value-added-producing sector;

(B) Types of agricultural value-added processors in Hawaii, how much agricultural goods produced in Hawaii are purchased by Hawaii processors, and financial viability of the value-added processors in Hawaii;

(D) Current infrastructure being used by agricultural producers, including but not limited to irrigation systems, processing and storage facilities, delivery infrastructure, road systems, and power;

(E) Sources of losses and mitigation measures required to reduce losses, and increases in production made possible due to mitigation actions;

(F) Extent of existing agricultural lands that could be expanded and the resources available to expand Hawaii's agricultural production;

(G) Potential for new farmers and agricultural value-added producers to enter the agricultural economy, methods for new farmers to be part of succession planning, acquire land and other farm infrastructure, and availability and barriers to farm and processing labor;

(H) Potential for new local products and barriers to farms and processors entering new markets; and

(I) Other barriers reducing agricultural viability and suggested mitigation measures;

(2) A plan for the farm to plate program established pursuant to section 141‑ and a description of grant funding to support farm to plate program marketing;

(3) Methods and the funding necessary to strengthen the links among producers, processors, and markets, including:

(A) Collaboration with the state procurement office to increase procurement of local agricultural products by state institutions;

(B) Collaboration with the private business sector to increase procurement of local agricultural products by businesses;

(C) Informing financial institutions of the information collected under paragraph (1) and encouraging the facilitation of agricultural lending; and

(D) Collaboration with the University of Hawaii to resolve challenges facing farmers and ranchers; and

(4) Recommendations regarding measurable goals that shall be tracked over the life of the program; methods for ongoing collection of data necessary to track those goals; plans for updating the program as needed; and appropriate methods to track the ongoing economic contribution of the agricultural sector to the Hawaii economy.

§141-D Strengthening collaboration. The department of agriculture shall implement its plans to strengthen the links among producers, processors, and markets pursuant to the methods identified in section 141-C(3).

§141-E Methods. To accomplish the goals of the agricultural 2030 investment program, the department of agriculture may:

(1) Create an advisory panel with representatives from the agricultural and business communities;

(2) Hire or assign staff, or enter into contracts with the University of Hawaii for various tasks such as the collection of data;

(3) Seek and accept funds from private and public entities; and

(4) Utilize technical assistance, loans, grants, or other means to advance the goals of the program.

§141-F Farm to plate program; establishment. (a) There is established a farm to plate program to ensure access to local and healthy food in the State.

(b) The department of agriculture shall initiate the program and seek grant funding to support farm to plate direct marketing, including marketing of farmers' markets, community supported agriculture operations, and regional community food hubs."

SECTION 3. The department of agriculture shall submit an annual report to the legislature no later than twenty days prior to the convening of each regular session. The strategic plan described under section 141-C shall be included in the department's report to the legislature submitted prior to the convening of the regular session of 2018.

SECTION 4. 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 2017-2018 to establish and implement the agricultural 2030 investment program and the farm to plate program.

The sum appropriated shall be expended by the department of agriculture for the purposes of this Act.

SECTION 5. In codifying the new sections added by section 2 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

SECTION 6. This Act shall take effect on July 1, 2017.

THE SENATE	S.B. NO.	781
TWENTY-NINTH LEGISLATURE, 2017		S.D. 1
STATE OF HAWAII