[§205-46]  Incentives for important
agricultural lands.  (a)  To achieve the long-term agricultural viability
and use of important agricultural lands, the State and each county shall ensure
that their:



(1)  Agricultural development, land use, water use, regulatory,
tax, and land protection policies; and



(2)  Permitting and approval procedures,



enable
and promote the economic sustainability of agriculture.



Agricultural operations occurring on important
agricultural lands shall be eligible for incentives and protections provided by
the State and counties pursuant to this section to promote the viability of
agricultural enterprise on important agricultural lands and to assure the
availability of important agricultural lands for long-term agricultural use.



(b)  State and county incentive programs shall
provide preference to important agricultural lands and agricultural businesses
on important agricultural lands.  The State and each county shall cooperate in
program development to prevent duplication of and to streamline and consolidate
access to programs and services for agricultural businesses located on
important agricultural lands.



(c)  Incentive and protection programs shall be
designed to provide a mutually supporting framework of programs and measures that
enhance agricultural viability on important agricultural lands, including but
not limited to:



(1)  Grant assistance;



(2)  Real property tax systems that support the needs
of agriculture, including property tax assessments based on agricultural use
valuation;



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



(4)  Tax incentives to offset operational costs,
promote agricultural business viability, and promote the long-term protection of
important agricultural lands;



(5)  Agricultural business planning, marketing, and
implementation grants;



(6)  Tax incentives and programs for equity
investments and financing for agricultural operations, including agricultural
irrigation systems;



(7)  Other programs and mechanisms that promote
investment in agricultural businesses or agricultural land protection, such as
the purchase of development rights;



(8)  State funding mechanisms to fund business
viability and land protection programs;



(9)  Water regulations and policies that provide
farmers of important agricultural lands access to adequate and cost-effective
sources of water;



(10)  Other measures that would ensure that state
capital investments, projects, programs, and rules are consistent with this
part; and



(11)  Agricultural education and training for new
farmers; upgrading the skills of existing farmers and other agriculture-related
employees through the use of mentoring, business incubators, and public or
private scholarships; and increasing the returns of farming by adding value to
food processing and other tools and methods.



(d)  State and county agencies shall review the
protection and incentive measures enacted for important agricultural lands and
agricultural viability pursuant to this chapter at least every five years to:



(1)  Determine their effectiveness in sustaining
agriculture in Hawaii, assuring agricultural diversification, and increasing
agricultural self-sufficiency;



(2)  Determine whether the effectiveness of tax
credits or incentive programs will be enhanced by creating revolving funds or
increasing rates based upon the tax revenues generated by enhanced investment
and agricultural activities on important agricultural lands; and



(3)  Modify measures and programs as needed.



(e)  This section shall apply only to those
lands designated as important agricultural lands pursuant to sections 205-45
and 205-49. [L 2005, c 183, pt of §2]