Bill Text: HI HB2657 | 2016 | Regular Session | Amended
Bill Title: Food Safety; Cost Reimbursement Program; Maui County Revolving Loan Program; Appropriation ($)
Spectrum: Strong Partisan Bill (Democrat 10-1)
Status: (Passed) 2016-06-22 - Act 103, 06/21/2016 (Gov. Msg. No. 1204). [HB2657 Detail]
Download: Hawaii-2016-HB2657-Amended.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
2657 |
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TWENTY-EIGHTH LEGISLATURE, 2016 |
H.D. 2 |
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STATE OF HAWAII |
S.D. 1 |
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A BILL FOR AN ACT
RELATING TO AGRICULTURE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Act 387, Session Laws of Hawaii 1988, is amended as follows:
1. By amending section 1 to read:
"SECTION 1. The legislature finds that
the economy of the island of Molokai [is] remains at a critical
juncture. [The residents have long relied on the pineapple industry as the major
provider of jobs; however, since] Since the closure of Dole
Company's operations in 1976 and the reduction of Del Monte's operations in
1983, hundreds of Molokai residents have been jobless and the island's
unemployment rate [at over fourteen per cent] is more than twice the
rate of any other island and the highest in the State. The legislature
further finds that the revival of Molokai's economy is contingent on the
development and growth of small businesses, especially in diversified
agriculture, and that it is the public interest to provide financial support to
facilitate such development and growth on Molokai. Further, the legislature
finds that the costs that farmers and ranchers must incur to comply with
federal and state requirements, including the food safety requirements of the United
States Food and Drug Administration (FDA) Food Safety Modernization Act, are
prohibitive to some farmers and ranchers and will likely result in farm and
ranch closures on Molokai. These farmers and ranchers require assistance with
meeting these compliance costs to prevent such closures and the detrimental
effect they will have on the diversified agricultural industry on Molokai.
The purpose of this Act is to establish a [revolving loan] cost
reimbursement program to stimulate business development and growth in
diversified agriculture on the Island of Molokai[.] and provide cost
reimbursement to farmers and ranchers on Molokai to cover the costs, including
audit costs and other expenses, of complying with the FDA Food Safety
Modernization Act and state food safety laws."
2. By amending section 3 to read:
"SECTION 3. (a) The county of Maui shall
establish a temporary [revolving loan] cost reimbursement program
to provide [financing opportunities] for small business ventures that
are in diversified agriculture [on Molokai.] and cost
reimbursement to farmers and ranchers on Molokai to help them meet the costs,
including audit costs and other expenses, of compliance with the requirements
of the FDA Food Safety Modernization Act and state food safety laws. To
carry out the [loan] cost reimbursement program, the county shall
establish a [revolving] fund from which moneys shall be [loaned] expended
to provide cost reimbursements in accordance with this Act [and into which
all payments, interest, and fees collected by the county on such loans shall be
deposited].
(b) The program shall provide [loans] cost
reimbursement to qualified applicants with the following terms and
conditions:
(1) No [loan] cost reimbursement shall
be granted unless [financial assistance is not otherwise available to the
applicant;] money has been spent by the applicant toward complying with
the FDA Food Safety Modernization Act or state food safety laws;
(2) The total amount of [a loan or loans]
cost reimbursement to any one applicant [at any one time] shall
not exceed [$150,000;] $5,000; and
(3) [The maximum term of a loan] No cost
reimbursement shall [not exceed twenty years;] be allowed for
costs that were incurred more than five years prior to the time the application
for cost reimbursement is received by the county of Maui.
[(4) Each loan shall bear interest
conforming to the department of agriculture's "Agricultural Loans"
rate, policies, and practices; and
(5) The commencement date for the repayment
of the first installment on the principal and interest of each loan may be
deferred by the mayor of the county of Maui for a period not to exceed two
years.]
(c) The program shall be administered by the
county of Maui. The county of Maui, in consultation with the department of
agriculture, shall adopt rules to carry out the program's purpose. [The
loan applications shall be reviewed initially by the credit review committee of
the Molokai task force. The committee shall make recommendations regarding the
suitability of the proposed business concepts. The county of Maui shall make
the final decision to approve or disapprove the application.] The cost
reimbursement applications shall be reviewed and approved by an administrative
staff member within the county of Maui."
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 2016-2017 for the Maui office of economic development to review and approve cost reimbursement applications made pursuant to Act 387, Session Laws of Hawaii 1988, as amended by this Act.
The sum appropriated shall be expended by the county of Maui for the purposes of this Act.
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2016.
Report Title:
Food Safety Loans; Maui County Revolving Loan Program; Appropriation
Description:
Amends the Molokai diversified agricultural revolving loan program established by Act 387, SLH 1988, to provide cost reimbursements to Molokai farmers and ranchers to reimburse costs of mandated food safety compliance audits and other related costs. Appropriates funds to the Maui Office of Economic Development to review and approve applications for the loan program. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
