Honolulu, Hawaii

                , 2021


RE:   H.B. No. 531

      H.D. 1





Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii




     Your Committee on Government Reform, to which was referred H.B. No. 531 entitled:




begs leave to report as follows:


     The purpose of this measure is to:


     (1)  Require a state contract for the purchase of produce to include an option by a purchasing agency for the contractor supplying the produce to lease state agricultural land; and


     (2)  Establish a process for the College of Tropical Agriculture and Human Resources of the University of Hawaii to identify appropriate land that may be leased to the contractor to grow the produce.


     Your Committee received testimony in opposition to this measure from the Department of Agriculture and College of Tropical Agriculture and Human Resources of the University of Hawaii at Manoa.  Your Committee received comments on this measure from the State Procurement Office and Hawaii Farm Bureau.


     Your Committee finds that this measure will assist entities in finding appropriate farmland and will increase the production and use of locally grown agricultural produce.


     Your Committee has amended this measure by:


     (1)  Deleting its substantive contents relating to the leasing of state agricultural lands;


     (2)  Requiring the Procurement Policy Board to adopt rules for criteria that will provide preference to small businesses for the use of state agricultural lands to promote the growth and development of small businesses;


     (3)  Changing its effective date to July 1, 2112, to encourage further discussion; and


     (4)  Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.


     Your Committee requests your Committee on Agriculture, should it deliberate on this measure, to look at issues related to the language of this measure, as introduced, regarding the leasing of state agricultural land under the jurisdiction of the Department of Agriculture, including the potential for a contractor to lease a larger amount of state land than is necessary for the contractor to accomplish its production goals.


     As affirmed by the record of votes of the members of your Committee on Government Reform that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 531, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 531, H.D. 1, and be referred to your Committee on Agriculture.



Respectfully submitted on behalf of the members of the Committee on Government Reform,