§163D-31 to 33 - .

[PART
III.]  IMPORTANT AGRICULTURAL LANDS

Note

  Acquisition of important agricultural lands owned by the
Galbraith Estate; department of land and natural resources powers, etc.  L
2008, c 234, §§8 to 10.

Cross References

  Acquisition of important agricultural lands, see §§163D-31 to
33.

  Acquisition of resource value lands, see chapter 173A.

  Legacy land conservation commission, see §§173A-2.4 to 2.6.

Law Journals and Reviews

  Avoiding the Next Hokuli‘a:  The Debate over Hawai‘i's
Agricultural Subdivisions.  27 UH L. Rev. 441.

[§205-41]  Declaration of policy.  It is
declared that the people of Hawaii have a substantial interest in the health
and sustainability of agriculture as an industry in the State.  There is a
compelling state interest in conserving the State's agricultural land resource
base and assuring the long-term availability of agricultural lands for
agricultural use to achieve the purposes of:

(1)  Conserving and protecting agricultural lands;

(2)  Promoting diversified agriculture;

(3)  Increasing agricultural self-sufficiency; and

(4)  Assuring the availability of agriculturally
suitable lands,

pursuant to article XI, section 3, of the Hawaii state constitution. [L 2005, c 183, pt of §2]

Note

  L 2005, c 183, §§9 and 10 provide:

  "SECTION 9.  (a)  It is the intent of this Act [enacting
sections 205-41 to 52 and amending sections 205-3.1, 4, 6, and 17, Hawaii
Revised Statutes]:

  (1) That
agricultural incentive programs to promote agricultural viability, sustained
growth of the agricultural industry, and the long-term use and protection of
important agricultural lands for agricultural use shall be developed
concurrently with the process of identifying important agricultural lands as
required under section 2 of this Act [sections 205-41 to 52]; and

  (2) That the
designation of important agricultural lands and adoption of maps by the land
use commission pursuant to section 2 of this Act [sections 205-41 to 52] shall
take effect only upon the enactment of legislation establishing incentives and
protections for important agricultural lands contemplated by section [205-46]
and shall be satisfied by:

(A) Providing
a declaration of satisfaction within the Act that establishes incentives for
important agricultural lands; or

(B) Having
the legislature adopt a concurrent resolution declaring the satisfaction of
implementing incentives for important agricultural lands by identifying the
specific measures or Acts that establish incentives for important agricultural
lands.

  (b)  Pursuant to section [205-46], Hawaii Revised Statutes,
the department of agriculture, with the assistance of the department of
taxation, shall contract appropriate meeting facilitation and cost-benefit
analysis services to develop and recommend a package of proposals for
agricultural incentives and other measures that promote agricultural viability,
sustained growth of the agricultural industry, and the long-term use and
protection of important agricultural lands.

  The department of agriculture, in consultation with the
department of taxation, shall use consultants to promote a facilitated meeting
process and deliberation and seek the assistance and input from the Hawaii Farm
Bureau Federation, landowners, affected state and county agencies, other
stakeholders, and persons with relevant expertise that are necessary to develop
and implement a comprehensive and integrated framework of incentives and
programs that will promote agricultural viability, sustained growth of the
agricultural industry, and the long-term use and protection of important
agricultural lands for agricultural use in Hawaii, including tax policy,
agricultural business development and financing, marketing, and agricultural
land use techniques.  The meeting facilitators shall ensure that stakeholder
discussions are inclusive and use a consistent voting procedure.

  The department of agriculture shall report stakeholder
findings and recommendations, including proposed legislation and a recommended
minimum criteria for determining when the "enactment of legislation
establishing incentives and protection" has occurred for the purposes of
this Act, to the legislature no later than twenty days before the convening of
the regular session of 2007.  The report shall include an analysis of the
impacts and benefits of its recommendations, a record of the stakeholder
group's process and deliberations, and shall provide the supporting rationale
for the incentives being proposed.

  (c)  Incentives and other programs to promote agricultural
viability, sustained growth of the agricultural industry, and the long-term use
and protection of important agricultural lands for agricultural use in Hawaii by farmers and landowners to be considered by the department of agriculture shall
include but not be limited to the following:

  (1) Assistance
in identifying federal, state, and private grant and loan resources for
agricultural business planning and operations, assistance with grant and loan
application processes, and the processing of grants and loans;

  (2) Real
property tax systems that support the needs of agriculture, including property
tax assessment of land and improvements used or held only for use in
agriculture based on agricultural use value rather than fair market value;

  (3) Reduced
infrastructure requirements and facilitated building permit processes for the
construction of dedicated agricultural structures;

  (4) Tax
incentives that include but are not limited to:

(A) Tax
credits for the sale or donation of agricultural easements on important
agricultural lands; and

(B) General
excise tax exemption for retail sales of farm produce;

  (5) Incentives
that promote investment in agricultural businesses or value-added agricultural
development, and other agricultural financing mechanisms;

  (6) Incentives
and programs that promote long-term or permanent agricultural land protection,
and the establishment of a dedicated funding source for these programs;

  (7) Establishment
of a permanent state revolving fund, escalating tax credits based on the tax
revenues generated by increased investment or agricultural activities conducted
on important agricultural lands, and dedicated funding sources to provide
moneys for incentives and other programs;

  (8) Establishment
of a means to analyze the conformity of state-funded projects with the intent
and purposes of part I of this Act [sections 205-41 to 52], and a mechanism for
mitigation measures when projects are not in conformance;

  (9) Institution
of a requirement for the preparation of an agricultural impact statement that
would include mitigation measures for adverse impacts for proposed state or
county rulemaking that may affect agricultural activities, operations, and
agricultural businesses on important agricultural lands; and

 (10) Other
programs to carry out the intent of part I of this Act [sections 205-41 to 52].

  SECTION 10.  Within one year of the adoption of maps of
important agricultural lands by the land use commission for the lands within
the jurisdiction of each county, all state agencies shall report to the
department of agriculture on the impact of projects and programs on the
designated important agricultural lands and sustained agricultural use of these
lands.  State agencies shall develop implementation programs, as needed, to
ensure that their programs are supportive of agriculture and consistent with
the intent and purposes of this Act."