Hawaii-2024-HR140-Introduced

WHEREAS, Act 113, Session Laws of Hawaii 2012 (Act 113), expanded the list of authorized activities in agricultural districts to include agricultural-based commercial operations, which allows for the display and sale of agricultural products grown in the State, value-added products that were produced using agricultural products grown in the State, food using products grown in the State or value-added products produced using agricultural products grown in the State, and logo items related to the producer's agricultural operations; and

WHEREAS, the intent of Act 113 was to enable bona fide agricultural producers to remain profitable and continue to farm in the State by allowing producers to have additional income streams; and

WHEREAS, pursuant to section 205-2(d)(15), Hawaii Revised Statutes, agricultural-based commercial operations include roadside stands, limited retail activities in an enclosed structure owned and operated by an agricultural producer, certain retail food establishments, farmers' markets, and food hubs; and

WHEREAS, there is currently no requirement that an agricultural-based commercial operation display or sell a product produced on the subject property, only that they display or sell products grown somewhere in the State; and

WHEREAS, this lack of nexus between the product sold by the agricultural-based commercial operation and the subject land allows for the abuse of the intent of Act 113, and may impede enforcement of state laws regulating agricultural-based commercial operations; and

WHEREAS, as an example of this type of abuse of existing laws, a conditional use permit, which is now involved in a contested case, was granted to a landowner of fallow agricultural land to open three businesses, one to sell coffee and tea, one to sell sandwiches and pizza, and one to sell distilled products; and

WHEREAS, as an additional example of this type of abuse of existing laws, a conditional use permit, which is now involved in a contested case, to operate a zipline business was granted to a landowner in exchange for locating a few dozen sheep on a small portion of a large agricultural parcel; and

WHEREAS, at the February 7, 2024, hearing by the House Standing Committee on Agriculture on House Bill No. 2737, the Department of Agriculture acknowledged that there is potential for abuse of the intent of the laws regulating agricultural-based commercial operations; and

WHEREAS, representatives from the Department of Agriculture and relevant stakeholders have expressed an openness to participate in a review of the effectiveness and deficiencies of the laws regulating agricultural-based commercial operations; now, therefore,

BE IT RESOLVED by the House of Representatives of the Thirty-second Legislature of the State of Hawaii, Regular Session of 2024, that the Department of Agriculture is requested to convene a working group to review the effectiveness of the relevant State laws governing agricultural-based commercial operations; and

BE IT FURTHER RESOLVED that in convening the working group, the Department of Agriculture is requested to invite relevant stakeholders and agencies to participate in the working group, including but not limited to:

(1) County planning and agricultural departments;

(2) The Land Use Commission;

(3) The Hawaii Farm Bureau;

(4) Hawaii Farmers United;

(5) Producers who operate agricultural-based commercial operations; and

(6) Representatives from relevant community advocates and organizations; and

BE IT FURTHER RESOLVED that the Department of Agriculture is requested to submit a report of the working group's findings and recommendations, including any proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2025; and

BE IT FURTHER RESOLVED that certified copies of this Resolution be transmitted to the Governor; Chairperson of the Board of Agriculture; Mayors of the Counties of Maui, Kauai, and Hawaii; Mayor of the City and County of Honolulu; and Chairpersons of the Hawaii County Council, Honolulu City Council, Kauai County Council, and Maui County Council.

	OFFERED BY:	_____________________________

Report Title:

Agricultural-Based Commercial Operations; Department of Agriculture; Working Group; Review

HOUSE OF REPRESENTATIVES	H.R. NO.	140
THIRTY-SECOND LEGISLATURE, 2024
STATE OF HAWAII