Finance committee advances bills to ease transition to new agricultural assessment programs

The Hawaii County Finance Committee on Aug. 21 advanced two bills that revise the county’s agricultural property use assessments, giving farmers more time and refining program definitions after public concern about notice and impacts on generational lands.

Bill 188 moves several deadlines tied to the new short‑term and long‑term agricultural dedication programs by one year so owners currently in the non‑dedicated program have extra time to choose among the new program options and prepare applications. Member Kimball, who introduced the amendments, said the change is intended to "extend everything out a year" to reduce confusion after community members received notification and feared sudden tax impacts.

Bill 189 updates definitions for community food sustainability and diversified agriculture and allows property in certain agriculture dedication programs to qualify for the homeowner tax classification if the property is the owner’s primary residence. It also removes a prior limit on consecutive renewals for the three‑year short‑term dedication program to preserve flexibility for smaller or transitional operators.

Public testimony at the start of the hearing highlighted the bills' local consequences. Brenda Carrera, a lifelong resident, urged extension and broader exemptions for generational lands, saying the proposal left some families "blindsided" and urging the council to consider cultural and family land ties. Pamela Punihaole, who said her family spans five generations practicing "kuleana ʻāina," urged the committee to pass measures that help families remain on ancestral land.

Committee members dug into technical points: how the $2,000 income threshold interacts with accepted agricultural practices as an alternate pathway to eligibility; how pasture uses are included or excluded from the community food sustainability definition; and options for greater outreach, including roadshows and FAQs from the Real Property Tax division. Director staff referred residents to the Real Property Tax office for individual assessments and highlighted online templates and farm plan forms.

After discussion, the committee voted to forward both bills to the full County Council with favorable recommendations; the clerk recorded 9 members in favor for each bill. Members asked staff to continue public outreach and to return with any needed clarifying language before final council consideration.

Next steps: Bills 188 and 189 will be on the council docket for further consideration; staff will continue community outreach and may bring technical clarifications to address questions about eligibility, income thresholds and program definitions.