report to the governor - hawaii.gov · are described elsewhere in this report. in years past, the...

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page 1 Report to the Governor TABLE OF CONTENTS Office of the Chairperson 2 Administrative Services Office 6 Agricultural Development Division 7 Agricultural Loan Division 10 Agricultural Resource Management Division 12 Animal Industry Division 14 Aquaculture Development Program 19 Plant Industry Division 21 Quality Assurance Division 31 Agribusiness Development Corporation 33 List of Tables & Charts 35 Board of Agriculture - Photos 36 Organizational Chart 37 Other Tables and Charts 37-53 Editor/Desktop Publisher: Janelle Saneishi Printer: Hagadone Printing Company This annual report is also accessible via the department’s website at: www.hawaiiag.org/hdoa This annual report can also be made available in large print, taped or in Braille to meet special needs, if requested in advance by calling (808) 973-9560. With warmest Aloha, James J. Nakatani Chairperson, Board of Agriculture Fiscal year 2002 has been one of the most challenging years for agriculture in Hawaii. The effects of the terrorist attacks on the mainland reverberated around the country and hit the economy of our state in an unprecedented manner. Yet, despite the formidable wrench that was thrown in the state's economic recovery, it has been a year that has again provided testament to the strength and resilience of Hawaii's agricultural community. Despite global price declines, the terrorist attacks and the fourth consecutive year of drought conditions, diversified agriculture continued to post record farm level revenue of $357 million, helping maintain statewide agricultural revenues of $511 million. During this year, Hawaii consumers were hit with the hard reality of the state's dependence on imported food. Voices in our community called for the state to be more self- sustaining agriculturally. However, local farmers need the support of the local community. Thus, the department committed considerable effort and funds to support and promote the "Buy Hawaii," a concept initially developed by the Hawaii Chamber of Commerce. The department's television and point-of-purchase promotions aimed to encourage the public to support Hawaii agriculture by making a conscious selection of Hawaii-grown products. It is a concept that should continue in our everyday lives, not only when the state faces an economic crisis. Although it was a challenging year, there were many encouraging signs that agriculture is flourishing. Floriculture and nursery sales reached a record $88 million in 2001, more than six percent higher than the previous year. Orchid sales were up 10 percent to nearly $20 million. Vegetable and melon sales hit a record $48 million, up seven percent. Sale of herbs climbed 10 percent to a record $6 million. Revenues from Hawaii's seed industry rose to record high of almost $33 million for the 2001/2002 season, the 11th consecutive year of increase. Hawaii's aquaculture is leading the nation in cage cultured fish and algae production. In addition, we have for the first time pegged a value on ag- tourism in Hawaii which is estimated at about $26 million per year and has enhanced revenue for many local farms. Agriculture has always been an unpredictable, labor- intensive industry that must constantly adapt to a variable climate, figuratively and literally. During my years as Chairperson of the department and board, I have tried to steer a course to strengthen the state's agricultural base and to open new opportunities for Hawaii agriculture within our communities and abroad. As the torch is passed, I would like to thank those who have assisted this administration in our many endeavors and achievements. Cover: Photographs from the “Buy Hawaii” campaign. Clockwise from top left: Jodi Jewell, Island Flower Design (photo courtesy Mitchell Silver); Clyde Fukuyama and Melvin Matsuda, Kahuku Brand; Phyllis Shimabukuro Geiser, Mikilua Poultry Farm Inc.; Katsuo “Kats” Higa, Hawaii Kai farmer.

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Page 1: Report to the Governor - hawaii.gov · are described elsewhere in this report. In years past, the department has reported on the progress of Hawaii farmers in achieving estimated

page 1

Report to the Governor

TABLE OF CONTENTS

Office of the Chairperson 2Administrative Services Office 6Agricultural Development Division 7Agricultural Loan Division 10Agricultural Resource Management Division 12Animal Industry Division 14Aquaculture Development Program 19Plant Industry Division 21Quality Assurance Division 31Agribusiness Development Corporation 33List of Tables & Charts 35Board of Agriculture - Photos 36Organizational Chart 37Other Tables and Charts 37-53

Editor/Desktop Publisher: Janelle SaneishiPrinter: Hagadone Printing Company

This annual report is also accessible via thedepartment’s website at: www.hawaiiag.org/hdoa

This annual report can also be made available inlarge print, taped or in Braille to meet special needs,if requested in advance by calling (808) 973-9560.

With warmest Aloha,

James J. NakataniChairperson, Board of Agriculture

Fiscal year 2002 has been one of the most challenging yearsfor agriculture in Hawaii. The effects of the terrorist attackson the mainland reverberated around the country and hitthe economy of our state in an unprecedented manner. Yet,despite the formidable wrench that was thrown in the state'seconomic recovery, it has been a year that has againprovided testament to the strength and resilience of Hawaii'sagricultural community. Despite global price declines, theterrorist attacks and the fourth consecutive year of droughtconditions, diversified agriculture continued to post recordfarm level revenue of $357 million, helping maintainstatewide agricultural revenues of $511 million.

During this year, Hawaii consumers were hit with the hardreality of the state's dependence on imported food. Voicesin our community called for the state to be more self-sustaining agriculturally. However, local farmers need thesupport of the local community. Thus, the departmentcommitted considerable effort and funds to support andpromote the "Buy Hawaii," a concept initially developed bythe Hawaii Chamber of Commerce. The department'stelevision and point-of-purchase promotions aimed toencourage the public to support Hawaii agriculture by makinga conscious selection of Hawaii-grown products. It is aconcept that should continue in our everyday lives, not onlywhen the state faces an economic crisis.

Although it was a challenging year, there were manyencouraging signs that agriculture is flourishing. Floricultureand nursery sales reached a record $88 million in 2001,more than six percent higher than the previous year. Orchidsales were up 10 percent to nearly $20 million. Vegetableand melon sales hit a record $48 million, up seven percent.Sale of herbs climbed 10 percent to a record $6 million.Revenues from Hawaii's seed industry rose to record highof almost $33 million for the 2001/2002 season, the 11thconsecutive year of increase. Hawaii's aquaculture is leadingthe nation in cage cultured fish and algae production. Inaddition, we have for the first time pegged a value on ag-tourism in Hawaii which is estimated at about $26 millionper year and has enhanced revenue for many local farms.

Agriculture has always been an unpredictable, labor-intensive industry that must constantly adapt to a variableclimate, figuratively and literally. During my years asChairperson of the department and board, I have tried tosteer a course to strengthen the state's agricultural baseand to open new opportunities for Hawaii agriculture withinour communities and abroad. As the torch is passed, Iwould like to thank those who have assisted thisadministration in our many endeavors and achievements.

Cover: Photographs from the “Buy Hawaii” campaign.Clockwise from top left: Jodi Jewell, Island Flower Design(photo courtesy Mitchell Silver); Clyde Fukuyama and MelvinMatsuda, Kahuku Brand; Phyllis Shimabukuro Geiser,Mikilua Poultry Farm Inc.; Katsuo “Kats” Higa, Hawaii Kaifarmer.

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Office of the Chairperson

The mission of the Hawaii Department of Agriculture(HDOA) is to promote the conservation, developmentand utilization of agricultural resources in the state.More specifically, it is the department’s goal to developan industry in which prime agricultural lands are fullyutilized in profitable diversified crop and livestockproduction; opportunities for export competition andimport substitution are maximized; and agribusinessesinvolved in the production, processing, distribution andmarketing of agricultural commodities are competitivein a changing global market.

The mission of support in an expanding agriculturalsector is essential to the overall viability of the State’seconomy. Agriculture in Hawaii currently generates one-half billion dollars in farm-gate revenues annually andprovides thousands of jobs statewide. Recent findingsindicate that when the economic value of otheragriculture-related industries is considered, the totalvalue of agriculture jumps to nearly $3 billion a yearand provides approximately 42,000 jobs statewide. Inaddition, Hawaii agriculture contributes to a desiredphysical environment for both residents and visitorsand promotes economic as well as social well-being inrural districts across the state.

The following is a list of highlights of the department’s effortsin FY 2002:

v The department sponsored, co-sponsored orparticipated in several tradeshows on the mainland,including:

The Natural Products Expo West Tradeshow inAnaheim;

The National Restaurant Association Tradeshow inChicago;

The Tropical Plant Industry Exhibition in Florida;The Ninth Island Expo in Las Vegas; andThe American Institute of Floral Designers’

Symposium in San Diego;

v Sponsored a trade mission to Japan to promote and developnew marketing avenues for Hawaii’s coffee industry.

v In conjunction with the Hawaii Chamber of Commerce,developed the “Buy Hawaii” marketing campaign, includingmedia ads and point-of-purchase advertising to promoteHawaii agricultural products and related services.

v Provided financial support, organizational and manpowersupport to the Hawaii Farm Bureau Federation’s Hawaii StateFarm Fair.

v Approved a total of 38 agriculture and aquaculture loans addingup to almost $11 million.

v Activated emergency loan programs to provide Hawaiiranchers relief from losses incurred due to the prolongeddrought.

v Completed several irrigation projects including:Hakalaoa Falls Restoration Tunneling projectReplacement of Flume #30 of the Lower Hamakua DitchConstruction of the new Honokaia Reservoir (Big Island)Upcountry Maui Irrigation Project - Phase IWaikolu Valley Pump Improvements

v Cared for and confined 4,681 dogs and cats in rabiesquarantine. An additional 349 animals were alsoprocessed as pets transiting to other destinations.

v Maintained the state’s disease-free status for livestockdiseases such as Bovine Tuberculosis, BovineBrucellosis, Bovine Anaplasmosis, Swine Brucellosis& Pseudorabies.

v Secured federal grants to assist in the evaluation ofopen ocean aquaculture.

v Conducted research on chemical toxicants to controlcoqui frog infestations. Applied for and receivedemergency authorization from the EnvironmentalProtection Agency to use caffeine to control coqui frog.

v Conducted aerial spraying of biological control pathogento control miconia infestations in inaccessible areas onMaui. Miconia is an invasive plant that can take overforested areas, crowding out native plants.

v Successfully completed Phase I of “Project Eradication”in North Kona, which was an intensive campaign toremove all banana plants within a 10-square-mile areato eradiate the banana bunchy top virus that threatenedthe Big Island’s banana industry. Residents wereallowed to replant banana plants.

v Bulldozed more than 650 acres of abandoned papayafields in an effort to help control the Papaya RingspotVirus in Kapoho on the Big Island.

v Began construction of the new facilities for the PlantQuarantine Branch and the Quality Assurance Branchnear Sand Island, Oahu. The branches moved into thenew quarters in August 2002.

v A new training facility was completed for the HawaiiDetector Dog Program located at the Animal QuarantineStation in Halawa Valley.

v Conducted 685 visits to businesses that are subject toprice verification inspections to ensure correct pricingby retail scanning equipment. Compliance rateincreased to 93 percent versus 87 percent the year prior.

v Completed replacement of three old wooden siphonsin the Waiahole Water System, drastically reducingwater losses in the system.

The Department of Agriculture is basically a regulatoryagency administering a wide range of programsincluding plant quarantine, pesticides, control of plantdiseases and pests, livestock disease control, animal(rabies) quarantine, inspection and grading ofcommodities, monitoring the production andprocessing of milk, and measurement standards. Inaddition to the department’s regulatory functions, it alsoprovides support to the agricultural industry byproviding agricultural statistics, import and exportstatistics and analysis, as well as marketing andpromotional programs to showcase Hawaii-grownproducts throughout the world.

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Office of the Chairperson

Planning & Development

The department actively seeks to protect existing farmingareas and promote increased access to and productive useof the thousands of acres of prime agricultural lands andinfrastructure vacated by sugar plantations throughout thestate. The department, as principal advocate for agricultureamong state agencies, offers consultative input into landuse zoning, environmental program implementation, andbroader planning and economic development issues thataffect agricultural resources and the growth of agriculturalbusinesses. Each division’s development-focused activitiesare described elsewhere in this report.

In years past, the department has reported on the progressof Hawaii farmers in achieving estimated farm-gate valuesof selected crops as described in “Hawaii’s Agriculture: 2000and Beyond.” In the year 2000, the total actual diversifiedcrop value fell short of the estimated value of $104.6 millionby only 0.3 percent. An improved version of this effort willbe released for general review early in the next fiscal yearupon completion of an internal review. It will contain a moreclearly defined role for the department, other agencies andagricultural industries and bring focus for their activities,programs, and investments. In the years to come, most ofthe 14 selected crops will invariably experience ups anddowns; however, there will be continued real growth. It isthe collective responsibility and in the best interests of thepublic and private sectors to maintain or increase this growth.While modest in comparison to the visitor industry’s $11billion in economic activity, the economic activity generatedby diversified agriculture is solid, steadily increasing, andwill be bolstered by the continued strength of the pineappleindustry and the resurgence in sugar production.

The following is a listing of activities for fiscal year (FY)2001-2002 that supported the protection of agriculturalresources, increased the use of former sugarcane lands andinfrastructure, and expanded diversified agriculturedevelopment in general:

v Submitted comments and recommendations onproposals for inclusion in the just-approved 2002 FarmSecurity and Rural Investment Act (2002 Farm Bill).The sugar loan program was renewed and containsamendments favorable to Hawaii’s sugar industry. Asignificant proposal not incorporated into the Act was alinkage of on-farm conservation practices to theenhancement of broad environmental protection goalsand creation of a state block grant program to allowstates the flexibility to target federal resources to specificenvironmental and conservation needs. The intent herewas to offer a partial offset of the onerous economicburden to be placed on Hawaii’s many small farmersand agriculture-related activities who need to be incompliance with unfunded or underfunded federalenvironmental laws.

v Submitted extensive testimony before county councilsand departments, State Land Use Commission, andcommunity organizations on agriculture-related issuesincluding: the City and County of Honolulu’s proposedagricultural property tax, initiative to preserve primeagricultural lands, redefinition of the agriculture zoningordinance, and the ongoing conflict between urban andagriculture in Kamilonui Valley; Maui County’sproliferation of bed and breakfast/vacation rentals;facilitating discussions between farmers and landownerson “good neighbor” and land tenure issues; andamendments to county agricultural zoning andcommunity plan ordinances.

v Represented the department’s and agriculture’s interestsbefore the following committees and organizations:National Association of State Departments ofAgriculture, Western Governors’ Association, WaterQuality Standards Technical Advisory Group, U.S.Department of Agriculture State Technical Committee,Community-Based Economic Development AdvisoryCouncil, and Hawaii Forestry and Communities InitiativeWorking Group and Executive Board.

v Commented on more than 70 land use applications,legislative bills, and environmental rule-making thathave significant impact on agricultural resourcesthroughout the state such as establishment of CriticalHabitats for threatened/endangered species, waterquality standards for streams, non-point source pollutionprogram rules, and identifying and protecting importantagricultural lands. Preliminary work was begun onHouse Concurrent Resolution 94, HD 1, SD 1 (2002Legislature) that creates an Agricultural DevelopmentTask Force responsible for improving the viability ofagriculture in Hawaii, expand agricultural opportunities,and increase the role of agriculture in the diversificationof Hawaii’s economy.

v Responded to more than 100 telephone, walk-in, andwritten requests from citizens, government agencies,legislators, consultants, non-profits, and out-of-stateorganizations for information and limited analysis ofissues pertaining to agricultural resources, developmentopportunities, urban farming, low-land flooding,planning for emergency food collection and distributionduring emergencies, farm labor, alternative crops, landleases, etc.

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Office of the Chairperson

Agribusiness Development & Research

The mission of this program is to ensure the vitality of agricultureand the industry’s contribution to a diversified and expanding stateeconomy. The program is designed to respond to emergencieswithout having to wait for supplemental legislative funds, whichhelps to contain losses and mitigate adverse effects. Consistentand ongoing investments for agricultural research, and marketingand promotional activities are critical for the continued growth ofHawaii’s agriculture.

The following are projects that the Hawaii Board of Agricultureapproved for funding in FY 2002:

v Anthurium Germplasm Maintenance ($20,000)Anthuriums can be clonally propagated by tissue culturemeans. This allows cultivars and species to be maintained inan aseptic environment for extended duration. This is thefirst year of a three-year project that will establish and maintainanthurium germplasm in-vitro. A collection of anthuriumvarieties will help the industry to meet the changing preferencesof the marketplace and access varieties as productionproblems may arise.

v Biological Control of Melastomes and Fayatree($50,000)Melastomes (miconia and tibouchina) and fayatree areconsidered to be major pests of rangeland and forestwatersheds. With the limited physical space problem inHawaii’s quarantine laboratories, the number of plant speciesthat have to be challenged by the potential agent has increaseddramatically over the years due to the requirements under theEndangered Species Act. Species need to be several yearsold to be reproductive or that the experiments can only beconducted at specific times of the year such as when thebuds are beginning to grow. Given this situation, this projectis being conducted in the country of origin. This is the finalyear of a five-year project that will identify biological controlagents for melastomes and fayatree.

v Post-harvest Quality of New Low Acid PineappleVarieties ($25,861) FY2001The purpose of this project is to develop the basic data on theoccurrence and extent of fruit diseases and basic informationon post-harvest handling that can severely affect the marketingof low acid pineapple varieties. This is the second year of atwo-year project.

v Coffee Growth in Meloidogyne konaensis InfestedSoil in Response to Root and Stem Pruning ($9,000)Pruning the taproot or the distal root mass is a commonpractice when transplanting from the nursery to the fieldand even though some growers give testimony thatpruning the taproot or even more severe root pruning isbeneficial, the natural habit of the root is altered. Thisproject will evaluate the impact of pruning the taprootof coffee seedlings in Kona coffee root-knot infestedsoil and determine the optimum shoot pruning practicesof root-knot nematode infected plants.

v Search and Evaluation of New Insecticides forMealybug Control and Ant Control ($21,320) FY2001Since the approved insecticides are under review by theEnvironmental Protection Agency, evaluation and registrationof new insecticides are important to optimize control ofmealybugs and ants in pineapple cultivation. This is the secondyear of a two-year project that will continue to evaluate andcollect efficacy data on insecticides for mealybug control andant baits for ant control.

v Collection of Coffee Germplasm from InternationalAccession for Assessing Resistance to Kona Coffee Root-Knot Nematode for Potential Use as Rootstocks in Hawaii($16,000)Exploring exotic coffees for resistance to root-knot nematodeis important because resistance is the most feasible approachto managing this nematode. This is the second year of a two-year project that will evaluate coffee germplasm for resistanceto the Kona coffee root-knot nematode and will determine ifresistance to the Kona coffee root-knot nematode will beeffective against the root-knot nematode recovered from Mauiand the lesion nematode recovered from Molokai and Oahu.

v Updating Macadamia Nutrients Recommendations:Implementing Crop Logging and Correcting theApparent Root Inefficiency ($30,000) FY2001This is the final year of a three-year project that willcontinue to update the current nutrient managementsystem and develop a management practice to correctthe frequent low nutrient levels of foliar phosphorus whilesoil phosphorus is excessively high. This project willalso identify additional tissue for sampling.

v Demonstration of Advanced Technologies forCommercial-scale Intensive Hatchery Production ofMarine Finfish for Aquaculture ($50,000)Since Hawaii is experiencing rapid growth of its marinefinfish aquaculture industry, one of the majorcomponents is the supply of high-quality seedstock fromcommercial hatcheries of which live feeds representsthe most complex component to production. Toimprove the outlook for marine fish hatchery productionin Hawaii, both the live feeds and larval rearingcomponents need to become more automated, stable,productive, and cost-effective. This project willdemonstrate modern methods of live feeds productionfor marine fish larviculture and provide information onlabor and cost savings using modern feed productionand larviculture methods.

v Breeding and Selection of Hawaii Coffee with CuppingQuality, Disease Resistance and High Yield ($37,300)Currently, all coffee cultivars used in Hawaii are importedfrom other countries and the best solution to produceunique Hawaii coffees are to breed new varieties. Theobjectives of this project are to develop high-yieldingunique Hawaii coffee cultivars with excellent bean andcupping quality that is adapted to specific growingconditions in Hawaii.

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Office of the Chairperson

v Development and Evaluation of Strategies to ManageClosteroviruses, Mealybugs and Mealybug Wilt ofPineapple ($70,000)Recently, studies have shown that there are at least twopineapple mealybug wilt associated closteroviruses(PMWaVs) infecting pineapple. Both of these viruses aretransmitted by mealybugs. The goals of this three year projectare to develop and field evaluate environmentally safestrategies for the management of PMWaVs, mealybugs andmealybug wilt of pineapple, and to evaluate the roles ofPMWaVs in precocious flowers, fruit yield, and plant quality.

v Rambutan Flowering, Fruit Set and Production inHawaii ($30,000) FY2001Rambutan, native to Malaysian and Indonesia, grows in anenvironment that is characterized by high rainfall, high humidity,low evaporation rates and an average minimum temperaturesabove 68º F. Since Hawaii’s environment is significantlydifferent from the traditional growing areas, rambutanproduction in some areas in Hawaii can be erratic. This is thesecond year of a three-year project that will continue todetermine the factors responsible for the development ofdeformed or aborted fruits and to evaluate different cultivarsand its relationship to fruit set and fruit development.

v Development of a Monitoring Plan and IdentificationMaterials for the Aster Leafhopper on At-risk Crops($24,955)The aster leafhopper appeared for the first time in the state ofHawaii on Oahu in 2001 on watercress farms. The leafhoppervectors a complex of phytoplasms collectively referred to asaster yellows. The aster leafhopper and the aster yellowscomplex affect a broad range of horticultural, agronomic, andornamental crops, many of which are important to Hawaii’sdiversified agriculture. The purpose of this project is to developand implement an aster leafhopper monitoring program.

v Evaluation of Systemic Acquired Resistance forNematode Control in Pineapple ($20,700)Systemic Acquired Resistance (SAR) inducers havebeen commercialized from a natural defense pathwayfound in plants and is currently being used againstfungal and bacterial diseases in apple crops. SARinducers have also reduced egg production of plant-parasitic nematodes. This project will evaluate SARinducers for nematode control in pineapple.Greenhouse experiments will be conducted to evaluatethe effect of chemical inducers on nematodereproduction and plant growth.

v Genetic Resistance to Burrowing Nematode inAnthurium ($40,000)Improvements of anthurium varieties through breedingare proven to enhance the competitiveness of domesticflowers. Such improvements can utilize geneticengineering to place genes for nematode resistance intoflowers of commercial value. This is the first year of a

three-year project that will employ genes for proteaseinhibitors as a means to control nematode growth andtheir rate of production.

v Mass Rearing Natural Enemies of Gray PineappleMealybug for Augmentative Releases ($8,800)This project was designed to refine the mass rearingprotocols for the encrytid parasitoid Euryrhopaluspropinquus to control the gray pineapple mealybug. Itwill complement efforts to develop an augmentationprogram for the management of the pink pineapplemealybug (PPM), Dysmicoccus brevipes, in pineappleplantings where ants are present.

v New Materials for Amending Soils for PineappleProduction ($12,260)There is insufficient knowledge of the interrelationshipsamong soil pH and soil aluminum and manganesesolubility as well as soil calcium availability in soils inwhich pineapple is grown. This project will evaluatethe effects of calcium sulfate, agricultural lime (calciumcarbonate), and basaltic dust on soil pH, plant calciumsupply, iron uptake and plant calcium nutrition. Theproject will also determine the effect of calcium sourceand amount on fruit quality, particularly translucency,acidity and sugar content of pineapple.

v Phosphorus Fertilizer Calibrations on VegetableFarms ($18,000)Previous research indicates that vegetable growersthroughout the state normally over fertilize in fields thatalready have levels of phosphorus. This project willdevelop recommendations for phosphorus applicationrates (pounds per acre) to maximize yields, based onsoil analysis and evaluate the benefits of using starterphosphorus applications during the winter months orat high elevations.

v Pineapple Nematode Management ($23,472)The profitability of pineapple production in Hawaii still requiresnematode control and therefore an acceptable alternative mustbe found, developed and commercialized. This project willevaluate environmentally sensitive products for their potentialto control nematodes in pineapple. DiTerraâ has demonstratedpotential to control nematodes and its use will be further refinedfor ultimate use in commercial practice. This project will alsodevelop biological and cultural nematode control methods asalternatives to nematicides.

v The Effect of Slow Release Fertilizers andMicronutrients on the Growth and DiseaseDevelopment of Taro ($20,000)Frequently heavy and continuous rainfall has made watermanagement a challenge for taro growers since excess waterwashes away fertilizers following application of nitrogen. Thisproject will test the effects of slow-release nitrogen fertilizersand zinc concentrations on taro yield and disease incidence.

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ADMINISTRATIVE SERVICES OFFICE

Elaine Abe Administrator

Administrative Services Office

The goals of the Administrative Services Office are tostreamline and improve its operations, while providingadministrators and program managers with guidance,training and management “tools” to enhance theirdecision-making capabilities in administering theirprograms.

The following is a list of projects that have beencompleted:

v Participated in several teams established to identifydifferent functional areas that will be used to designand implement a plan for modernizing the civil servicesystem pursuant to Act 253, SLH 2000 (PublicEmployment Reform Act).

v Developed Department’s Workplace Violence Policy andreceived concurrence on the policy from the HawaiiGovernment Employees’ Association.

v Developed Internal Complaint Procedures for theDepartment.

v Conducted Frontline Leadership Training forSupervisors in other State departments.

v Coordinated two investigative procedures workshopsfor supervisors presented by DHRD Labor Relationsstaff.

v Reviewed and processed classification actions forupdated position descriptions in the AdministrativeServices Office.

v Created electronic version of frequently used forms suchas the G-1, Transfer of Property, Detail Inventory, andTelecom Requests, for department personnel use.

v Identified departments’ fixed assets and its value andrecorded on department’s property inventory as part ofthe new financial reporting standards mandated by theGovernmental Accounting Standards Board StatementNo. 34.

v Networked department’s local area network to theState’s Next Generation Network (NGN) through a fiberconnection.

v Installed DSL connectivity to Kauai, Lanikaula andAquaculture Development Program Offices.

v Developed on-line application to record and track trainingcourses taken by departmental employees.

v Developed and implemented an on-line system for referencingjournal vouchers.

v Enhanced the on-line motor vehicle inventory system toinclude program charges for gas, oil and repairs.

v Completed repairs to the necropsy laboratory roof andconstructed a training facility for the Department’s PlantQuarantine detector dog teams.

v Established a 10-year replacement schedule for thedepartment’s motor vehicles.

v Updated the department’s telephone directory.

v Developed procedures for inventorying property and itsimprovements funded by capital improvement program fundsor other funds.

Major projects still in progress are:

v Implementing the new EMCP Performance Evaluationand Variable Pay Program for Department’s excludedmanagers.

v Implementing the Department’s Workplace ViolencePolicy.

v Developing a Standard Operating Procedure Manuelfor the Department.

v Moving termination of DSL lines from department’s T-1 to ICSD’s DS3.

v Installing the SANS at the new Kapalama facilities forPlant Quarantine Branch and Quality AssuranceDivision Offices.

v Working with consultants to design and implement on-line system for Maui Risk Assessment.

v Upgrading the Hawaii Agricultural Gateway web server’shardware and software.

v Continuing to network all Oahu and neighbor islandoffices to State’s NGN.

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Agricultural Development Division

AGRICULTURALDEVELOPMENT

DIVISION

v Continuing various capital improvement projects tocorrect safety concerns and other deficiencies atDepartment facilities including asbestos abatement, roofrepairs and air conditioning improvements at theKanahoahoa Building, demolition of a caretakerscottage, improvements needed to upgrade existing firesystems, improvements needed to make reasonableaccommodations for individuals with disabilities, andelectrical improvements for King St. complex.

v Continuing work on bringing the Department’s vehiclefleet into compliance with the U.S. Department of EnergyAlternative Fuel Vehicle (AFV) program.

v Continuing work on updating and implementing theDepartment’s on-line telephone directory.

Other future projects include conducting survey to determinecustomer satisfaction with personnel related matters,implementing new Form HRD-1 which will replace threecurrent forms, establishing an on-line printing and supplyrequest system, and implementing in-house printingcapabilities for summary warrant vouchers.

Not pictured:Samuel Camp, Acting Administrator(July 2001-December 2001)

The Agricultural Development Division assists in themarket research, planning, development, and expansionof Hawaii’s agricultural industries through marketresearch and promotional events, as well asdisseminating a collection of production and marketinginformation.

MARKET DEVELOPMENT BRANCHCalvin Lee, Manager

The mission of the Market Development Branch is to assistin the development of the agricultural industry, consisting ofcommodity groups and food processors, through theexpansion of new and existing markets.

Major activities during FY 2002 were:

Trade Shows and Trade Missions

v Partnered with Japan Airlines on a trade mission toSapporo, Japan to develop new markets for value addedHawaii products.

v Through a Western United States Agricultural TradeAssociation (WUSATA) grant, sponsored and workedjointly with the Chairperson’s office with a trade missionto Japan to develop new markets and distribution forHawaii-grown coffee.

v Co-sponsored a Hawaii exhibit at the Natural ProductsExpo West Tradeshow in Anaheim, California to developnew markets for Hawaii natural products.

v Co-sponsored a Hawaii exhibit at the NationalRestaurant Association Tradeshow in Chicago todevelop new markets for Hawaii products.

v Sponsored a Hawaii exhibit at the Tropical Plant IndustryExhibition (TPIE) Tradeshow in Florida to developmarkets for Hawaii’s nursery plants.

Matthew K. Loke, Ph.D.,Acting Administrator(December 2001-June 2002)

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Agricultural Development Division

v Sponsored the Ninth Island Expo in Las Vegas todevelop markets for Hawaii’s products in Las Vegas.

v Sponsored a demonstration and promotion of Hawaii’slei flowers and lei making at the American Institute ofFloral Designers’ Symposium in San Diego.

v Sponsored and worked jointly with the Chairperson’soffice to host a mini trade show in Honolulu to introduceCostco buyers to Hawaii producers.

Promotional Materials

v Together with the Chamber of Commerce of Hawaii,distributed “Buy Hawaii” point-of-purchase materials topromote the sales of local produce and manufacturedproducts in Hawaii retail outlets.

Matching Funds Promotional Contracts

v Pineapple Growers Association of Hawaii $120,000matching funds promotional program, targeting the localand tourist markets has been implemented. A highlightof the program was the Second Annual PineappleFestival was held at McCoy Pavilion in Ala Moana Parkin the Fall of 2002 and the development of the firstPineapple Growers Association of Hawaii website.

v Hawaii Macadamia Nut Association $150,000 matchingfunds promotional program helped to develop a 100percent Grown in Hawaii Brand Macadamia Nut, which hasbeen implemented for the second year. The continuingpromotion builds on the base established during the first yearand is expanding to the Mainland market.

v Hawaii Coffee Association $98,000 matching fundspromotional program to promote the sale andawareness of all of Hawaii’s coffees to trade buyers andconsumers on the Mainland and in Hawaii. Activitiesinclude an expanded participation in the Specialty CoffeeAssociation of American Trade Show, coordinating andimplementing the Hawaii Coffee Association Conferenceand Trade Show, consumer advertising, and updatingof a Hawaiian Coffee Website.

v Hawaii Farm Bureau Federation $50,000 contract topromote the Hawaii State Farm Fair.

Local Market Promotions and Activities

v Participated in agricultural trade and consumer fairs andexhibits such as the Lodging, Hospitality, and FoodserviceExpo on Oahu; the Made In Hawaii Festival on Oahu;and the Big Island Farm Fair on the Island of Hawaii.

v Directory of Hawaii Agricultural and Food Producers –Facilitated the registration of local companies in thedepartment’s database (directory) that gives companiesthe ability to access the global market.

v Assisted in organizing the Department of Agriculture’sparticipation in the Hawaii State Farm Fair including:

v Developed “A Conceptual Agenda and Target Themes Forthe Agricultural Exhibit Area at The 2002 State Farm Fair”.

·v Developed a registration package that responds to the needsof exhibitors, providing the information for equipment andutilities allocation and establishing a communication systembetween the Market Development Branch, exhibitors, andvarious parties involved in the fair.

v Recruited agricultural companies and relatedorganizations to showcase, promote, and sell theirproducts and/or services.

v Developed and implemented exhibits that educated thefairgoers.

v Organized cooking demonstrations by chefs thatfeatured local vegetables and seafood. The audiencewas invited to sample the dishes.

v Participated in the 10th Anniversary Gala Celebrationof the Hawaii Regional Cuisine at the Royal HawaiianShopping Center and the Sheraton Waikiki Hotel. Theevent also included a farmers’ market and escorted farmtours for travel writers.

v Assisted in coordinating the agricultural participationin the “Buy Hawaii” campaign that was designed tostimulate business after the September 11 th event.

v Tabulated, analyzed, and evaluated Hawaii FoodManufacturers Association’s exhibitors’ survey data collectedat trade shows such as the Made in Hawaii Festival and theLodging, Hospitality, and Food Service Expo.

v Updated the Calendar of Events of trade shows, fairs,and festivals that benefit agricultural and food producersand Ag-tourism companies.

v Consummated the purchase of the “Made in Hawaiiwith Aloha” and the “Grown in Hawaii with Aloha”trademark logos.

Mainland and International Market Promotions andActivities

v Participated in developing, coordinating, andimplementing the third Governor’s Exporter of the Yearprogram.

v Coordinated and administered the WUSATA MarketAccess Program of the USDA, Foreign AgriculturalService (FAS) that consists of 1) a generic programthat included a trade mission to Japan to establishmarkets for Hawaiian grown coffee and a trade missionto Japan to develop value added markets for Hawaiiancut flowers, 2) a branded program that assisted fiveHawaiian companies in developing specific exportmarkets for their products, and 3) an export readinessprogram that provides one-on-one export consultationadvice by an expert to Hawaiian companies.

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Agricultural Development Division

HAWAII AGRICULTURAL STATISTICS SERVICE BRANCHDonald Martin, State Agricultural Statistician

The Hawaii Agricultural Statistics Service (HASS) Branchis a cooperative effort between the Hawaii Department ofAgriculture and the National Agricultural Statistics Service,U.S. Department of Agriculture. This partnership, spanningnearly four decades, allows the efficient use of state andfederal resources, while at the same time, providing acomprehensive array of agricultural intelligence and reducingrespondent burden.

Major activities of HASS included data collection, analysis,and timely publication of agricultural statistics for the State.The result of these efforts was a measure of total farmincome of $510 million during FY 2001. Most of HASS datacollection efforts were in the diversified agriculture sectorthat was valued at $354 million in FY 2001.

Activities during FY 2001 included the following:

v Conducted first ever survey and published results ofAg-tourism.

v Conducted special farmer computer use survey.

v Conducted special acreage variety survey for papayaindustry.

v Made 15,500 individual contacts via personal interviews,telephone, and mail questionnaires.

v Published 130 reports.

v Distributed more than 43,000 releases to farmers, otherindividuals, businesses, universities, and governmentsworldwide.

v Answered more than 1,200 individual requests forinformation by mail, telephone, and office handouts.

Statistical reports are available on the HDOA website at:www.hawaiiag.org/hdoa/

HASS also publishes annually the Statistics on HawaiiAgriculture.

MARKET ANALYSIS AND NEWS BRANCHMatthew K. Loke, Ph.D., Manager

The Market Analysis and News Branch (MANB) is responsible forenhancing the effectiveness and efficiency of agriculture byconducting economic, market and business feasibility research,evaluating the efficiency and effectiveness of market developmentprograms, collecting data on agricultural commodity shipments,supply and wholesale prices and disseminating information throughvarious media. Through these functions, MANB assists the state’sagricultural industry in its development and expansion efforts andprovides sound input for program planning and policy making withinand outside the department.

MANB is tasked with two primary, yet distinct functions. The firstinvolves research on all market aspects of agricultural products.Toward this end, MANB conducts some ten research or programevaluation studies annually. The second function is carrying outthe market news program, jointly with the Market News Branch ofthe Agricultural Marketing Service, United States Department ofAgriculture. This program provides up-to-date information oncurrent market conditions – wholesale market prices throughoutthe state, movement of fresh fruits and vegetables, and supplyand demand information on different products.

Activities and accomplishments for FY 2002 includedthe following:

v Assisted the Hawaii Farm Bureau Federation (HFBF)to obtain a $600,000 federal grant to help Hawaiifarmers reduce their excess inventories and to subsidizetheir transportation costs in the aftermath of theSeptember 11th events. A sum of $100,000 was dedicatedto support the “Buy Hawaii” marketing program, initiated bythe Hawaii Chamber of Commerce.

v Jointly published, with the University of Hawaii’s Collegeof Tropical Agriculture and Human Resources(CTAHR), an article entitled “Agriculture’s Contributionto Hawaii’s Economy – An Update.” This article lookedat various economic measures of agriculture’scontribution to the state economy, such as sales, valuedadded, employment and personal income.

v Jointly developed with CTAHR, a query database, web-site application that provides price trend over time for25 select fresh fruits and vegetables grown in Hawaii.

v Updated a study on the market share for fresh fruits andvegetables in Hawaii and conducted a comprehensive surveystudy on farmers’ markets on Oahu.

v Continued to collaborate with the National AgriculturalStatistics Service (NASS) and the National Associationof States Department of Agriculture (NASDA) inenhancing the data collection efforts of the MANB.

v Continued to collect, compile, publish and disseminateweekly reports on a timely basis with limited personnel.The reports include:

♦ Honolulu Wholesale Prices of Fresh Fruits andVegetables;

♦ Neighbor Island Wholesale Prices of Fresh Fruitsand Vegetables;

♦ Weekly Honolulu Arrivals of Fresh Fruits andVegetables;

♦ Honolulu Barge Arrivals; and♦ Honolulu Wholesale Egg Market.

v Conducted a survey study entitled “Hawaii FloralProducts Test Market Project, 2002,” to explore themarket potential for Hawaii’s floral and value-addedproducts to Japan.

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Agricultural Loan Division

AGRICULTURAL LOAN DIVISION

Doreen K. ShishidoAdministrator

The Agricultural Loan Division remains committed tothe growth, development, and well being of theagricultural and aquacultural industries in Hawaii.Financial assistance to these industries continues tobe the primary focus of the division. As diversifiedagricultural activities continue to grow throughout thestate, this service has become increasingly moreimportant.

The Agricultural Loan Division continues to position itselftoward the facilitation of the promotion, development, andmaturity of Hawaii’s agricultural and aquacultural industries.For the past year, $10.9 million in loans were approvedthrough the program with financial assistance provided to awide variety industries throughout the state. Of this, $5.89million was approved for the Agricultural Loan program underChapter 155 Hawaii Revised Statutes (HRS), $500,000 wasapproved for the Aquaculture Loan Program under Chapter219 HRS, and $4.525 million was approved under a specialloan program for Kauai under Acts 78 and 266 to stimulateeconomic activities on the island. As the loan ceiling for theAgricultural Loan Program is $4.5 million per year thebalance of the $5.89 million that was approved above theceiling will need to be disbursed and funded during the nextfiscal year. As the loan ceiling for the Aquaculture LoanProgram is $500,000 per year, the entire allocation was usedduring the period. For Acts 78 and 266, $5 million was setaside from the Agricultural Loan Division’s revolving loanfunds to carry out the Acts.

The funding provided under the division’s loan programsserves a range of purposes including the expansion ofoperations, development of infrastructure to improveoperations, purchasing of equipment to increase efficiency,and to help in the recovery from natural disasters. Thisassistance helped to sustain and further develop theseindustries, which continues to provide jobs and income toresidents, reduces dependence on imports, and providesgreen and open space appreciated by residents and visitors alike.

While diversified agriculture continues to expand, agricultureis often seen as a relatively risky industry. In addition to the

normal business risks such as economic conditions,competition, and governmental regulations, agriculture facesadded risks that include natural disasters like drought, floods,and high winds, as well as diseases and pests. Often timesthese added risks preclude loans from conventionalcommercial sources. The Agricultural Loan Division bridgesthis financing gap when conventional lending sources areunable to provide funding independently. To this end, thedivision cooperates with conventional lenders to minimizetheir risks through insured and participation loans. Thedivision also provides direct funding to borrowers that havebeen denied loans from conventional sources and meet theprogram’s eligibility criteria.

During the past fiscal year, the division provided financialassistance to a broad range of operations throughout thestate in a variety of ways. Examples include loans forexpansion such as to an Oahu dairy to purchase heifers toincrease the milk cow herd and a loan to a Keaau orchidoperation on the Big Island to purchase additional farm landand to develop shade houses. The program enabled a smallOahu vegetable farmer to relocate from Manoa to Haleiwaand helped a new farmer on the island of Hawaii in Naalehupurchase equipment to farm coffee more efficiently. Withinthe fiscal year, the program approved the first loans to foodmanufacturers. Act 51 was passed in the 2000 legislativesession to allow the program to provide funding to foodmanufacturers that utilize Hawaii-grown agriculturalproducts. The intent was to assist farmers by not onlyexpanding usage and demand for local products throughfood manufacturers but also allow farmers to use otherwiseunsalable products. One loan was made in participationwith a commercial lender to a candy manufacturer thatutilizes Hawaii-grown macadamia nuts and another was toan operation that processes taro burgers.

In participation with a private lender, the divisionprovided a food manufacturer loan to Hawaiian Candies& Nuts, Ltd. to purchase equipment and to expand intonew markets.

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Agricultural Loan Division

In FY02 the program also provided loans to aquacultureoperations including a prawn farm in Kahuku on Oahu anda shrimp broodstock hatchery operation and a seahorseproducer in Kona at the Natural Energy Laboratory of HawaiiAuthority site at Keahole. In addition to the Agricultural LoanDivision’s regular loan programs, Acts 78 and 266 were also ineffect during the fiscal year, which were passed in the 2001Legislative session. The intent of the acts was to establish a specialKauai economic development loan program to stimulate economicactivity on the island through aquaculture and agriculture.

During the 2001 Legislative session, the Legislature alsorequested that the Agricultural Loan Division emphasizeoutreach to small farmers outside the farming mainstream.These farmers are to a large extent immigrant farmers andothers that typically are not members of formal agriculturaland commodity organizations. As part of the effort, the divisionundertook activities designed to reach some of these farmers.Among ways in which the division sought to reach thesefarmers was to network with micro-lenders that focus onthis segment of businesses such as the Pacific Gateway Center(formerly known as Immigrant Center), seek input from theprogram’s existing borrowers both immigrant and non-immigrant,and visit areas of concentration of producers. The division expectsto continue these outreach efforts to make this segment of thefarming community more familiar with the loan program.

The program also continues as a “safety net” duringemergency situations. During the prior fiscal year, theemergency loan program was activated for two situations.On July 17, 2000 the emergency loan program was activatedto provide relief from drought for Hawaii’s cattle industry.On November 6, 2000 the emergency loan program wasagain activated to provide relief from torrential rains andflooding on the Big Island and Maui. During that fiscal yearsix emergency loans were approved to assist borrowers intheir recovery efforts. These emergency loan programs werestill active in the early part of the FY 2002. In this fiscalperiod, another three emergency loans were approved: twoto help beef cattle ranchers on Maui recover from the droughtand another loan to help a farmer on the island of Hawaiirecover from heavy rains and flooding. In addition, in May2002 heavy rains and flooding caused damage to somefarmers located on Oahu. Although the damage was notsufficiently widespread to justify activation of the emergencyloan program, the division approved two loans under theregular loan program to farmers in Waiahole, Oahu torecover from the damage.

In providing the financial services as described, theAgricultural Loan Division is a self-sustaining entity as itoperates from its own revolving fund and does not requireannual fund appropriations. As a revolving fund, principalamounts collected from loan payments are used to replenishthe revolving fund, while interest payments pay for all of thedivision’s administrative and operating costs. Theadministration of the program is a balancing act as thedivision is self-sufficient requiring reasonable expectation

of repayment while also existing to assist those that areunable to obtain financing from conventional sources.

Major highlights of FY 2002 were the following:

v Approved 38 loans for $10.9 million during FY02. Ofthis 29 loans for $5.89 million was approved under theAgricultural Loan Program, 5 loans for $500,000 wasapproved under the Aquaculture Loan Program, and 4loans for $4.525 million was approved under Acts 78and 266 for the special Kauai economic developmentloan program.

v The division’s portfolio as of June 30, 2002 was valuedat $19.9 million with 221 loans booked. Of this, $11.3million was attributed to the county of Hawaii, $4.1million to the county of Oahu, $2.6 million to the countyof Kauai, and $1.9 million to the county of Maui.

v FY2002 collections yielded $5.016 million. Of thecollected amount, $1.075 million was in interest and$3.940 million was in principal.

v The division continues to upgrade its informationtechnology capabilities. During this fiscal year,documentation for loans and administrative tasks wereconverted from older software as the software was notfully compatible with the current operating platform.Approximately 60 forms and documents have been converted.

v During this fiscal year, the Legislature transferred $4.8million from the division’s revolving loan funds to theState’s general funds to help balance the budget deficit.

Working with the Pacific Gateway Center, the divisionwas able to assist Randy Sourivong with a working capitalloan for his vegetable farm in Kahuku

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Agricultural Resource Management Division

AGRICULTURAL RESOURCE

MANAGEMENTDIVISION

Brian Kau, P.E.Administrator/Chief Engineer

The Agricultural Resource Management Division worksto ensure that the state has adequate and reliablesources of agricultural water, farmland, infrastructurefor farming and agricultural-related processing facilities.The division provides administrative oversight overstate agricultural park lots, processing facilities andseveral irrigation systems statewide.

By maintaining and operating abandoned plantationirrigation systems, the division supports andencourages the development and expansion ofdiversified agriculture on former mono-crop plantationlands.

Activities for FY 2002 included the following:

v The September 11, 2001 World Trade Center tragedyimpact was felt by many of our agricultural park tenants.Act 15 of the 2002 Third Special Session authorizedthe waiver of leases for parties that suffered significantlosses due to the attack. The division, through the board ofagriculture, was able to grant six months of lease rental relieffor fifteen farmers, totaling approximately $14,000.

v Due to reconstruction and repairs to the Lower HamakuaDitch Watershed Project, the Lower Hamakua Ditch wasunable to supply irrigation water for an extended periodof time. At the request of the Hamakua/North HiloAgricultural Cooperative, the Board of Agriculture, actingunder the authority of Section 4-153-3(b)(8), HawaiiAdministrative Rules, approved a waiver of HamakuaAgricultural Park lease rental payments for a six monthperiod beginning April 1, 2001.

v The emergency action plan for the 60 million gallonWaimanalo reservoir was approved in December 2001.The plan describes the roles and responsibilities of thedepartment and other agencies in the event of anemergency. It has been reviewed and distributed tovarious county and state agencies, including theHonolulu fire and police departments.

v The irrigation system administrative rules for the KekahaAgricultural Park Irrigation System were repealed. Dueto the tenant makeup of the Kekaha Agricultural Park,the irrigation system was not being utilized. Concernsregarding the liability of the unused system wereaddressed by repealing the rules and issuing a revocablepermit to operate and maintain the system to PioneerHI-Bred International.

v The division has applied for a Department of Interior,Bureau of Reclamation grant to begin the AgriculturalWater and Use Development Plan. This grant isauthorized by Public Law 106-566. The grant will beused to begin the plan. The funds will be used to hireconsultants who will review selected irrigation systemsthat are critical for diversified agriculture.

v The year 2002 was a year of change for the division’spersonnel. Several retirements, including theAdministrator and Chief Engineer (Paul T. Matsuo), anda reorganization took place. We welcomed new facesfor the Waimea Irrigation System, an administrativeaccount clerk, and the Maui and Hawaii County districtproperty manager. Key position vacancies include theMolokai Irrigation System manager and the division’scivil engineer.

v The division opened communication with Molokai Ranch(as new owners of the Kaluakoi Resort) to assist withtheir efforts to revitalize the resort. Arrangements forwater storage and repayment were completed. Theranch now has an integral role with the Molokai IrrigationSystem.

v The agricultural park program continued to monitor andreplace lessees who did not meet the program’sobjective and continued to re-award leases to qualifiedapplicants. Staff continued to counsel and work withlessees who were experiencing difficulty meeting theirlease terms and conditions at older agricultural parksin Pahoa, Keahole, Panaewa Waimanalo, and Waianae.Farmers with new or recently granted leases at Kahuku,Hamakua, Molokai, Kalaeloa, and Kekaha started theirfarming operations.

Capital Improvement Projects for FY 2002:

v The 2002 legislative session was a successful year.Approximately $11 million was appropriated for variousprojects, agricultural parks, and irrigation systemsstatewide. The funding is anticipated to complete and/or continue many of the projects listed below.

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Agricultural Resource Management Division

Big Island of HawaiiProjects completed this year:v Hakalaoa Falls Restoration Tunneling Projectv Design and Replacement of Flume #30 (Lower

Hamakua Ditch)v Construction of the new Honokaia Reservoirv Repair of the Kau Irrigation System

Ongoing projects:v Paauilo Reservoir Lining-constructionv Paauilo Pipeline Replacement-constructionv Phase I Flume Replacement-construction (Lower

Hamakua Ditch)v Phase II Flume Replacement-design (Lower

Hamakua Ditch)v Honomalino Watershed (South Kona)-planning

MauiProjects completed this year:v Upcountry Phase I

Ongoing projects:v Upcountry Phase II (main line extension-design)v Upcountry Phase III (main line extension, Kimo

Road lateral, and Pulehuiki/Kamehamehaiki lateral)

MolokaiProjects completed this year:v Well #22v Waikolu Valley Pump Improvements

Ongoing projects:v ADA improvements to Molokai Irrigation System

office.

KauaiOngoing projects:v East Kauai Irrigation Systemv Design/Build Project for Portable Power Generators

Construction of the new Honokaia Reservoir on the Big Island.

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Animal Industry Division

ANIMAL INDUSTRY DIVISION

James Foppoli, Ph.D., D.V.M.Administrator

The mission of the Animal Industry Division is to protectHawaii’s livestock and poultry industries and the publichealth through the control and prevention of pests anddiseases. The division conducts the followingprograms: animal disease surveillance andepidemiology, administration of voluntary livestock andpoultry disease certification programs, laboratorydiagnosis, dog and cat quarantine to prevent rabiesintroduction, animal and bird importation inspection,and livestock brand registration. The primary focus ofthe division is shifting to implementing new diseasesurveillance and control programs in support of thelivestock industry. The development of expertise toinsure rapid and appropriate response to incursions ofhighly contagious diseases, such as foot and mouthdisease or newly emerging diseases, is a divisionpriority. Hawaii’s statuses for diseases under the State-Federal Disease Control Program are:

In addition, Hawaii is recognized as free of anaplasmosisand bluetongue virus, facilitating the export of cattlefrom Hawaii to Canada.

The Livestock Disease Control Branch is continuingactivities relating to voluntary disease control programssuch as Scrapie in sheep and goats and Johne’s diseasein dairy cattle, and initiating surveillance for bovinespongiform encephalopathy (BSE) a disease that cancause human disease and that devastated the cattleindustry in England and several other Europeancountries.

Brucellosis Free, cattle and swinePseudorabies Free, Stage V

Bovine Tuberculosis, Accredited Free

The division’s plan for responding to a highly contagiousanimal disease is progressing however additionaldetails associated with implementation of the plan stillneed to be finalized. A Homeland Security Fund Grantin the amount of $68,000 was obtained by the divisionfor emergency preparedness activities. A substantialportion of these funds will be used to construct astatewide computer mapping system for livestock andpoultry with associated informational databases.

ANIMAL QUARANTINE BRANCHIsaac M. Maeda, D.V.M., Program Manager

In May 2002, Hawaii’s rabies quarantine received nationalmedia attention when the castaway dog “Hokget” wasrescued from the South Pacific off of the derelict ship Insinkoand brought to Hawaii. Inspectors from the department metthe tugboat American Quest at Honolulu Harbor andtransported Hokget to the Animal Quarantine Station inHalawa to be examined and routinely processed. Hokgetwas eventually quarantined at the Kauai Humane Society.The Kauai Humane Society is a privately owned facility whichwas approved as a satellite quarantine station in February2002. Publicity surrounding Hokget demonstrated theuniqueness of Hawaii as one of the few rabies-free areas inthe world.

This was the sixth fiscal year for the 30-day quarantineprogram. The administration of the 30-day programcontinues without significant difficulty. In contrast to the120-day program, the 30-day program relies heavily oncomputerized databases to monitor and verify informationrelevant to 30-day quarantine qualification. The departmentalso maintains a website dedicated to Hawaii’s rabiesquarantine program. The department’s interactive websitecontains all of the information and forms relating toquarantine and the importation of cats and dogs. Pet ownerscan access pre-arrival rabies test results, 30-day quarantine-eligible dates, as well as download relevant forms andinformation at this HDOA website.

During FY02, the portion of quarantined dogs and catsundergoing 30-day quarantine was 74.4 percent similar toFY99 thru FY01. Thirty-day quarantine qualification foractive duty military personnel decreased slightly from a peakof 83.5 percent during FY01 to 79.5 percent in FY02. Theaverage daily population was 758 animals with a range of508 to 846 animals occupying the quarantine station at anygiven time during FY02. Similar to FY01, cats represented36.4 percent of incoming animals. Active duty military petscomprised 33.8 percent of quarantined dogs and cats,representing a four percent decrease from prior years.

As shown in the accompanying figure, the total number ofanimals completing quarantine increased slightly compared

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Animal Industry Division

to FY01. In addition to 4,681 animals completing quarantine,349 dogs and cats spent varying lengths of time at thequarantine station while transiting to other destinations.

In response to the Rabies Import Analysis 2002, a proposalwas submitted to the Board of Agriculture to incorporate afive-day confinement period option along with the existing30-day and 120-day programs. This option would beavailable to cats and dogs meeting specific pre-arrivalvaccination, blood testing and waiting period requirements.

In FY00, the Twentieth Legislature passed Act 278, SLH2000 that provided a $500,000 general fund appropriation

Hokget, the dog rescued from an abandoned tanker, receives an initial examination at the Animal QuarantineStation dispensary by staff veterinarian Dr. Raquel Wong (right) with assistance from veterinary technicianDebbie Cambra (left).

for the purpose of a quarantine fee reduction. Mostquarantine users were eligible to receive a fee reimbursementof either $120 or $220. To date, 85 percent of the fundsappropriated for reimbursement of quarantine fees have beenexpended. Efforts have been ongoing to individually contactremaining users who have not applied.

In addition to rabies exclusion, the quarantine programcontinues to monitor dogs carefully for ticks exotic to Hawaii.No exotic ticks of medical importance were discovered duringFY02. Rhipicephalus sanguineus, the brown dog tick, iscurrently the only tick established in Hawaii associated withdogs.

Animal Quarantine Program

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Animal Industry Division

LIVESTOCK DISEASE CONTROL BRANCHJason D. Moniz, D.V.M., Manager

The Livestock Disease Control Branch prevents,investigates, conducts surveillance, controls and eradicatesanimal diseases that have serious economic impact on thelocal and national livestock and poultry industries, some ofwhich impact public health. The branch inspects animalsentering the state and insures compliance with division rulesand laws pertaining to the control and eradication of animaldiseases.

v Bovine TuberculosisBovine Tuberculosis free status maintainedBovine tuberculosis a chronic, debilitating disease ofcattle, bison, goats, cervids and other animals that canalso cause a serious disease in man, is caused by thebacteria Mycobacterium bovis.

The state is classified by USDA as bovine tuberculosisfree. The last infected herd found on the eastern end ofMolokai in 1997 (Ualapue), was completelydepopulated. After detection of a single infected cowat slaughter, no additional infected cattle were found inthis herd or the ensuing investigation, which resulted inthe testing of 5,000 head of cattle on Molokai and Maui.No cattle affected with bovine tuberculosis have beendetected since.

A State-USDA-hunter assisted survey of wildlife, whichbegan in 1998, continues on Molokai to monitor theoccurrence of bovine tuberculosis in axis deer, feralswine, feral goats and mongoose. Two feral swineinfected with bovine tuberculosis were found (Ualapueand Kaluaaha) in 1999 and another infected feral swinewas discovered near these areas (Mapulehu) inDecember 2001. Since 1998 and as of the end of fiscalyear 2002, 373 feral swine were submitted for testingby hunters. No other wildlife has been found infectedwith bovine tuberculosis during this survey. Historically,feral swine, axis deer and mongoose have been foundinfected with bovine tuberculosis in areas where infectedcattle herds were found. The wildlife survey, with focuson sampling the Ualapue and adjacent lands, continues.The plan is to continue the survey for surveillancepurposes, while causing a focal reduction of feral swinearound the Ualapue area. Hunters are paid USDA-Veterinary Services stipends of $50 per samplesubmitted for gross examination and laboratory culture,histopathology and PCR testing.

In addition to the wildlife surveillance, all cattle east ofKamalo, Molokai are required to have an annualnegative bovine tuberculosis test or be tested negativewithin 30 days prior to movement out of the area. Allherds are in compliance with these movement and testrequirements.

A quarantine of feral swine disallowing their movementeast of Kamalo is also in place to prevent the potentialspread of bovine tuberculosis infected feral swine fromthe area.

In addition to surveillance activities on Molokai duringthe fiscal year, 6,078 head of cattle statewide were testednegative for surveillance or export purposes.

v Bovine BrucellosisBovine Brucellosis class free status maintainedBovine brucellosis is an infectious disease of cattle,bison and elk, caused by the bacteria Brucella abortus.Brucellosis can also infect man.

During the fiscal year, 10,632 cattle were tested whichresulted in two (2) suspects being found.Epidemiological investigations found no evidence ofherds infected with bovine brucellosis. Supplementaltesting, epidemiological investigations and herd testsfound no evidence of Brucella abortus infections. Hawaiihas been officially classified free of brucellosis since1983. Infrequent suspects and reactors have beenfound to be caused by Brucella suis, which rarely affectscattle, or Yersinia enterocolitica infections. Brucella suis,which causes brucellosis infections in swine, has beenfound to occasionally affect cattle causing a self-limiting,subclinical infection. The cattle testing positiveoriginated in areas where they have contact with feralswine known to be infected with Brucella suis. Due tothe self-limiting nature of Brucella suis in cattle noquarantines or other control actions were deemednecessary to address these findings. Self-limitinggastrointestinal infections with Yersinia enterocoliticahas also been determined to cause false positiveresponses to the Brucella abortus surveillanceserological tests.

v Bovine AnaplasmosisHawaii remains free of AnaplasmosisAnaplasmosis is an infectious disease of cattle causedby the rickettsia, Anaplasmosis marginale, which ischaracterized by anemia, jaundice, loss of appetite,weight loss, fever and mortality rates up to 50 percent.Anaplasmosis is not infectious to man.

During the fiscal year, 5,753 cattle were tested foranaplasmosis. No suspects or reactors were found.

Hawaii’s ability to maintain its cattle herds free ofanaplasmosis has resulted in Canada regionalizingHawaii and recognizing Hawaii cattle as free ofanaplasmosis. This free status allows for the shipmentof feeder cattle from Hawaii to Canada without the needfor pre-entry testing.

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Animal Industry Division

v Swine Brucellosis & PseudorabiesHawaii maintains free statuses for SwineBrucellosis and PseudorabiesBrucellosis in swine is caused by the bacteria Brucellasuis. Infected swine experience reproductive failuresincluding abortion and infertility. Brucella suis can causeserious infections in man.

Hawaii retained its disease-free status for swinebrucellosis despite finding a single infected farm inHolualoa in the North Kona district on the island ofHawaii. A sow found to be a reactor at slaughter wastraced back to its farm of origin. A complete herd testfound 60 percent of the swine in the herd to be reactors.The herd was depopulated on January 16, 2002 withindemnity, cleaned, disinfected, secured from contactwith feral swine and repopulated 30 days after all herdplan requirements were met. An epidemiologicalinvestigation traced no additional farms to the infectedherd and although there was no direct evidence ofcontact with feral swine, feral swine were presumed tobe the source of infection.

Feral swine in the Kona, Hamakua (Hawaii), Kahakuloa(Maui), Ft. Shafter westward through Waimea (Oahu)are known to be infected with swine brucellosis.

In addition to the testing of all sows and boars morethan six months of age at slaughter annually, 25 percentof the herds in the State are randomly selected andtested to determine their status. In addition, all swinemore than six months of age, at slaughter, are testedfor surveillance purposes. During FY 2002, 1,224domestic swine and 52 feral swine were tested forsurveillance purposes.

Pseudorabies, a viral infection of swine, causesrespiratory disease and reproductive failure.Pseudorabies can cause an acute fatal disease to otherspecies but does not affect man. Surveillance testingof 1,177 swine during fiscal year 2002 found no infecteddomestic swine. An additional 50 feral swine weretested with four (4) from the island of Oahu testingpositive. Feral swine on the island of Hawaii, Maui andOahu are known to be infected with pseudorabies.Infected feral swine populations serve as a constantthreat for reinfection of domestic swine populations.

A quarantine remains in effect that disallows theintroduction of feral swine into domestic herds and alsodisallows the inter-island movement of feral swine.Historically, all domestic herds found infected withpseudorabies or swine brucellosis in the State have beentraced to exposure with infected feral swine.

v Porcine Reproductive and Respiratory Syndrome(PRRS) SurveyA serological survey for PRRS conducted in FY 2001found significant infection rates for PRRS on Oahu, Mauiand West Hawaii. A few farms infected on Molokai andEast Hawaii and no farms infected on Kauai. As a resultof these findings, Quarantine Order No. 92 was put inplace to protect the swine industry on Kauai frominfection with PRRS. Swine for movement to Kauaimust be test negative, isolated, and retested negativeprior to entering swine herds there.

Foreign Animal Disease Outbreaks

v Foot and Mouth DiseaseDuring the spring of 2001 the U.S. was threatened bymultiple Foot and Mouth Disease (FMD) outbreaks,most notably in England and several countries in SouthAmerica. This threat continued through FY 2002.USDA, and the State Departments of Agriculture, topreclude the introduction of FMD, put increasedpreventive and surveillance measures in place. InHawaii, increased detection efforts occurred at all portsof entry, Swine Health Protection Act activities wereheightened resulting in increased identification andinspection of swine operations feeding garbage.Measures were taken to insure that all foreign garbagearriving in the state was properly sterilized and disposedof. As a result of the threat from this highly contagiousforeign animal disease Hawaii received four additionalUSDA positions assigned to the detection andprevention of foreign animal diseases. In addition, astate veterinary medical officer received certification andtraining at the USDA Plum Island Foreign AnimalDisease Laboratory as a Foreign Animal DiseaseDiagnostician (FADD). Hawaii currently has one Stateand three USDA veterinarians trained as FADDs.

v Transmissible Spongiform EncephlopathiesScrapieScrapie is a transmissible, insidious degenerativedisease affecting the central nervous system of sheepand goats.

Hawaii has adopted and is recognized as beingconsistent with the USDA, Voluntary ScrapieCertification Program Standards. A State ScrapieCertification Board to oversee the program has beenformed and began the process of certifying goat andsheep flocks within the voluntary program. Scrapiehas never been diagnosed in any goat or sheep flocksin Hawaii. Interstate movement requirements were putin place that requires that all female sheep movinginterstate or to shows are identified back to their flockof origin with the use of official government approvedear tags.

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Animal Industry Division

v Bovine Spongiform Ecephalopathy (BSE)FDA regulations prohibiting the feeding of ruminatecontaining feed to ruminates is in place in Hawaii andthroughout the Nation. No cases of BSE have everbeen found in the U.S. Surveillance for BSE is in placenationwide. Hawaii submitted seven samples for BSEsurveillance during FY 2002.

v West Nile Virus (WNV)During FY2002 new outbreaks of WNV occurred in theU.S. spreading westward as far as the RockyMountains. Steps to create a working group of pertinentscientific personnel from HDOA, state Department ofHealth, state Department of Land and NaturalResources, U.S. Fish & Wildlife Service, U.S.Geological Survey and the University of Hawaii wereput in place to evaluate the risks associated with thepotential introduction of this disease and to proposepossible preventive and mitigative measures.

Importation/Exportation of Livestock, Poultry and OtherAnimals

There were no embargos put in place during FY 2002.

Inspected and approved for entry into the State:v 21,303 head of livestockv 287,639 poultry and other birdsv 5,025 cases hatching eggsv 6,813 dogs and catsv 14,453 other animals

Conducted a total of eight compliance investigationsresulting in two citations being issued. Issued 181 writtenwarnings and refused entry on 15 shipments.

VETERINARY LABORATORY BRANCHVacant, Program Manager

The Veterinary Laboratory participates in diagnostic anddisease surveillance activities supporting the LivestockDisease Control (LDC) Branch. Routine serologic testingfor livestock diseases of economic and/or human healthsignificance such as bovine and swine brucellosis,anaplasmosis, bluetongue virus, pseudorabies virus, porcinereproductive and respiratory syndrome virus, and Johne’sdiseases are important ongoing local and national programs.Demonstration of disease free statuses facilitates the exportof livestock to national and international markets andcontributes to improving the general health and well-beingof Hawaii’s livestock herds and poultry flocks.

During FY 2002, the laboratory replaced the Card test forswine pseudorabies with an ELISA test that provides a moreefficient method of diagnosis. The laboratory reinitiatedtesting blood samples from dairy cattle for Johne’s disease,a chronic debilitating bacterial disease, also using an ELISAtechnique. The aim of the testing program was to supportthe partnership between the LDC Branch, USDA, and dairyindustry aimed at participating in the National Johne’sDisease Voluntary Herd Certification program.

The Laboratory was recertified to perform several diagnosticprocedures through training offered at the National VeterinaryService Laboratories (NVSL/USDA), Ames, Iowa.Recertification was for Equine infectious anemia (agar gelimmunodiffusion test) and pseudorabies (ELISA test).

The Veterinary Laboratory continues supporting the localcattle industry by performing required export tests. DuringFY 2002, approximately 4,000 blood tests were performedon live cattle being exported to Canada.

Pathological cases from livestock and poultry have remainedrelatively constant but diagnostic procedures on pets suchas dogs, cats and birds have decreased as the laboratory isno longer accepting routine samples from these animals.Routine examination of samples for intestinal parasites fromquarantined dogs and cats has been steady for the past twoyears, averaging about 350 tests a month. The number ofblood samples processed for post-arrival rabies serologyincreased from 3,901 to 3,936 as the number of quarantineentries increased from FY 01 to FY 02. Brain samples frommongoose submitted to the Department of Health for rabiestesting increased as a result of increased submissions fromthe neighbor islands.

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Aquaculture Development Program

AQUACULTUREDEVELOPMENT PROGRAM

John CorbinManager

The Aquaculture Development Program (ADP) providesessential support services to encourage further growthand diversification of the aquaculture industry. ADP isa planning, development, and problem-solvingorganization whose goals are to assist in the start-upof production, service businesses, and contribute totheir success. Specific activities include plan and policyformulation, new business development, permitfacilitation, marketing assistance, disease diagnosisand prevention assistance, and co-funding of statewidetechnical extension.

The mission of ADP is to: prepare and implement stateaquaculture plans and policies for the expansion ofaquatic farming, and research and technology transferbusiness; coordinate statewide development activities; anddirectly assist both public and private sector interests inachieving their aquaculture-related goals, so as to create jobsand diversify the economies of all islands.

Major activities for FY 2002 were:

v Continued the implementation of the amended Chapter190D, HRS, Ocean and Submerged Lands Leasing lawby facilitating the approval of the second aquaculturelease by the Department of Land and Natural Resourcesto Black Pearls, Inc. Wrote article for Sea TechnologyMagazine on Hawaii’s ocean leasing experience.

v Served on the Advisory Committee to a study managedby the University of Delaware, Center for Marine Policythat produced a report for Congress entitled,Development of a Policy Framework for Offshore MarineAquaculture in the 3-200 Mile U.S. Ocean Zone.Appointed to a multi-disciplinary team to produce afollow-up report to develop operational guidelines foraquaculture leasing in the Exclusive Economic Zone(EEZ).

v Secured federal grant to continue to evaluate openocean aquaculture sites using GIS and regulatoryprocesses in collaboration with the UH Sea GrantCollege Program and the Office of Planning, Departmentof Business, Economic Development and Tourism.

v Participated in the governing boards and advisorycommittees of: the Pacific Marine Aquaculture Center,Pacific Aquaculture and Coastal Resources Center atUH Hilo, Center for Tropical and SubtropicalAquaculture, National Association of State AquacultureCoordinators, Natural Energy Laboratory of HawaiiAuthority, Marine and Coastal Zone ManagementAdvisory Group, Commodity Advisory Group forAgriculture, University of Hawaii Sea Grant CollegeProgram, and Hawaii Aquaculture Association.

v Assisted with permits for species importation and sitingfor farmers on Oahu, Kauai, Maui and Hawaii, inparticular facilitated the decision by a secondmultinational company to locate the second large-scaleshrimp breeding center in Hawaii.

v Co-chaired the Marine Ornamentals 2001 Conference,November 2001 in Orlando, Florida attended by 156delegates from 22 countries. Contributed a chapter toa book on the marine ornamentals industry based onconference presentations. Negotiated the return of theconference to Hawaii, for Marine Ornamentals 2003 andco-chairing the Organizing Committee.

v Promoted the consumption of aquaculture products byparticipating in the State Farm Fair, Made in HawaiiExposition, Sam Choy’s Poke Contest, the Hotel andRestaurant Expo, and the Taste of Aquaculture Festival.Also worked with television, radio and print media topromote the industry.

Big Island Abalone Corp. (BIAC) President MichaelBuchal holds up a handful of Japanese ezo abalonedestined for Japan and US markets.  BIAC, the largestabalone farm outside of China, is one of fifteenaquaculture companies located at the Natural EnergyLaboratory of Hawaii Authority (NELHA) at Keahole Point,Kona on the Big Island (see photo on page 20)

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Aquaculture Development Program

v Carried out for aquatic animal health management over100 field trips and analyzed 300 case submissions, andprovided animal health consultation services toproducers and research organization, statewide,including conducting workshops on disease diagnosisand prevention.

v Received a continuation grant from the USDA forresearch in disease management for the Hawaiiaquaculture industry.

v Co-funded statewide technical extension services to theaquaculture industry, in cooperation with the UH SeaGrant Extension Service leveraging over $200,000 inmatching funds through the project.

v Provided technical reviews of research proposals to theUH Sea Grant College Program, U.S. Department ofCommerce, U.S. Department of Agriculture, and thePacific Tropical Ornamental Fish Program (PTOFP).Also assisted in organizing the proposal solicitation andreview process for the second year of the PTOFPprogram which distributed over $300,000 in grants.

v Served on the Board of Directors and providedassistance to the Hawaii Aquaculture Association (HAA)in the areas of meeting and conference developmentand execution, grant writing and promotion through theannual Taste of Hawaii Aquaculture reception.

The Natural Energy Laboratory of Hawaii Authority (NELHA) pumps nutrient rich seawater to the surface from adepth of more than 2,000 feet. With Kona's year-round sunshine, the process has proven a successful combinationfor NELHA’s 15 aquaculture companies involved in the production of algae, fish and shellfish.

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Plant Industry Division

PLANT INDUSTRYDIVISION

Lyle Wong, Ph.D. Administrator

The Plant Industry Division consists of three branches,the Pesticides Branch, Plant Pest Control Branch andthe Plant Quarantine Branch. Together, the brancheswork to protect Hawaii’s agricultural industries bypreventing the entry and establishment of detrimentalinsects, weeds and other pests and by assuring the safeand efficient use of pesticides in Hawaii. The divisionalso works with growers, exporters, and othergovernment agencies to resolve quarantine restrictionsin order to allow export of Hawaii’s fresh fruits,vegetables, flowers and foliage products to marketsworldwide.

PESTICIDES BRANCHRobert A. Boesch, Manager

The Pesticide Program regulates the distribution and use ofpesticides through a program of licensing, testing thecompetency of restricted-use pesticide applicators, andeducating and monitoring pesticides distributors andapplicators. This is to ensure the efficient, effective andsafe use of pesticides to minimize adverse effects on theenvironment.

Three of the major activities of the program in FY 2002were as follows:

v Emergency Authorization to Use Caffeine to ControlCoqui Frogs Received from EPA

The program received emergency authorization fromthe Environmental Protection Agency (EPA) to usecaffeine to control Caribbean tree frogs. A permitprogram was set up to evaluate sites to be treated.Before treatment was authorized sites were inspectedto assure:♦ minimal risk of exposure to sensitive persons

(pregnant women, individuals with heart conditions,children with attention deficit and hyperactivitydisorder and infants);

♦ no entry to the site for 24 hours after treatment;♦ monitoring for nontarget species; and♦ the applicant is certified by the department.

Caffeine was to be provided through the normal restricted-use pesticide distribution channels. No use of caffeine tocontrol frogs was accomplished due to the costs (estimatedto be over $1,000 per acre), and the conditions placed onits use.

v Ground Water Review Procedure Being Reassessed

Pesticides user concerns about the ground waterprotection program resulted in a reevaluation of howthe program is being implemented. The Hawaii Departmentof Agriculture has been using a risk assessmentprocedure to assess potential of pesticides to leach to drinkingwater that includes the following steps:

♦ Label and data review for the following risk factors:Ø Review of the pesticide use pattern for

applications to the soil (soil fumigants appliedto control nematodes, herbicides applied to thesoil to prevent weed seeds from germinating,and ground treatments for termites);

Ø EPA approved label advisories or restrictionsbased on potential to contaminate groundwater:

Ø Pesticide persistence (half-life) and mobility(solubility, affinity for organic carbon) and usinga geographic information system with modelusing soil and chemical properties to mapleaching potential in areas of potential use;

Ø Magnitude and extent of potential use.♦ If the label and the data suggest that the pesticide

may leach, an additional step is taken to providedata summaries provided by the manufacturer, thelabel on potential use practices and otherinformation to the University of Hawaii for anrecommendation on potential regulatory actions.

♦ Consult with user groups on potential benefits ofthe new chemicals.

This procedure has developed since 1987, when theHawaii Pesticides Law was changed to require theDepartment of Agriculture to determine if unreasonableadverse effects exist when the use of a pesticide willresult in the detection of residues in drinking water.

Model development and fieldwork over the past decadehas provided much information on pesticide fate in theenvironment. Some newer pesticides have not beenlicensed in the State due to potential to leach to drinkingwater sources.

Since many of these newer pesticides are consideredsafer to people, the Department of Agriculture hasawarded a contract to the Water Resources Research

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Plant Industry Division

Center to determine the environmental fate of some ofthe newer pesticides and to make recommendations onthe current decision making process used by thepesticides program.

v Enforcement Initiative for Fumigation Commenced

Fumigation of structures with toxic gases presents agreat risk to the health and safety of building occupantsand neighbors if not done correctly. Part of theauthorized use of fumigants is to allow the building toaerate for at least six hours following removal of thetarpaulins. After six hours, the fumigator is required totest the atmosphere inside the building to make certainthat levels are below toxic levels. For many reasons,buildings may not have been tested before they arereoccupied.

To enforce the above procedure, fumigation inspectionswere increased in FY 2002 to assure that once atarpaulin is removed, the buildings are locked and posteduntil the fumigator tests the air and confirms that thestructure is safe to enter.

This increase emphasis in fumigation safety resulted inconsiderably more administrative penalties beingcollected in FY 2002 than prior years.

PLANT PEST CONTROL BRANCH (PPC)Larry M. Nakahara, Manager

The primary function of the Plant Pest Control Branch is toreduce population densities of plant pests that causesignificant damage to agriculture and the environment tomanageable levels. This is achieved through statewideprograms to eradicate or control plant pests, which includedestructive insects, mites, snails and slugs, noxious weeds,plant diseases, and any other organisms harmful to plants,by utilizing chemical, mechanical, biological, and integratedcontrol measures. It also certifies the genetic purity of seedsgrown in the State. The Branch consists of the BiologicalControl and the Chemical/Mechanical Control Sections.

Some of the activities of the Branch during FY 2002 includedthe following:

New Pest Detection and Identification

v Identified 181 samples of insects and other organisms fromwhich 27 specimens were processed and added to theBranch’s Zoological Reference Collection. The collection nowcontains approximately 165,850 specimens.

v Recorded 10 new immigrant organisms in Hawaii duringFY 2002. Of these, eight are pest insects, one is abeneficial insect, and one is a plant disease organism.

The following are considered to be of significance toagriculture in the State:

v Nettle caterpillar, Darna pallivitta Moore (Lepidoptera:Limacodidae). Specimens of the nettle caterpillar werefirst collected from rhapis palm at Panaewa on theisland of Hawaii in September 2001. This speciesoccurs in Southeast Asia. In Hawaii, it was initiallyfound on various palms, and subsequently on ti,dracaena, and mondo grass. The caterpillars are ahealth concern because they have stinging spines thatcan cause a burning and itching sensation to the skinof those who touch or rub against them. Anunsuccessful eradication was attempted against thispest by the HDOA, UH-CTAHR, and the grower.

v Watercress leafhopper, Macrosteles sp. nr. severiniHamilton (Homoptera: Cicadellidae). Specimens of thisleafhopper were found on Oahu at watercress farms inWaiawa near Pearl City in October 2001. Theleafhopper has been implicated as the vector of theaster yellows phytoplasma that causes watercressplants to become chlorotic and stunted with theproliferation of many side shoots. Affected plantseventually deteriorate and decompose. Watercressgrown in an aquatic environment has been the onlycrop host affected so far. Both the watercressleafhopper and the aster yellows phytoplasma are newto the State.

v Daylily rust, Puccinia hemerocallidis Thuem. Daylilyfoliage infected with this rust fungus was first found inEast Hawaii at a daylily nursery in Kurtistown in early-February 2002 and later in the month on Oahu at aTantalus residence. This rust is native to Asia and isbelieved to have been introduced into the United Stateson daylily planting material from Central America. Adistinctive sign of the rust is the appearance of thepowdery yellow to orange spores on the leaf surfaces.Heavy infections result in the shriveling up and deathof daylily leaves.

v Giant whitefly, Aleurodicus dugesii Cockerell(Homoptera: Aleyrodidae). Infestations of this whiteflywere first observed on red hibiscus in the HonoluluInternational Airport-Mapunapuna area of Oahu in May2002. It is called the giant whitefly because the adultstage of this species is larger than most other whiteflyspecies. Giant whitefly nymphs damage plant foliageby using their needle-like mouthparts to suck out plantsap and their excretion of copious amounts of honeydewresults in a great deal of sooty mold on the foliage.The nymphs also produce an abundance of long, white,waxy filamentous material that covers the lowersurfaces of leaves. Presently, hibiscus is the only knownhost of the giant whitefly in Hawaii.

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Plant Industry Division

Projects of the Branch’s Biological Control Section includedthe following during FY 2002:

v Yellow Sugarcane Aphid [Sipha flava (Forbes)].Yellow sugarcane aphid (YSA) population densitiescontinued to upsurge and recede in response to heavyrain and periods of drought common to range lands inHawaii. Propagation of the Pakistan biotype of the YSAparasitoid Lysiphlebus ambiguus (Haliday) continuedin the Hilo insectary with a total of 88,800 adults beingproduced. Production was excellent during the first fourmonths of FY 2002, peaking at 16,100 adults in October2001. However, inclement weather from November2001 through March 2002 severely affected thepropagation of sorghum host plants and the rearing ofYSA production stock. Contamination of sorghumplants by other aphids and other pests further hamperedproduction. Parasitoid production during that periodaveraged 2,490 adults per month, bottoming out at 600adults in February. Fortunately, a dramaticimprovement in April that coincided with fair weatherresulted in the production of 9,950 adults. Productionwas maintained near that level for the remainder of theyear. During FY 2002, 14 releases, consisting of a totalof 31,650 adults, were made on the island of Hawaii inkikuyu pastures at Kahuku Ranch, Waikii Ranch,Waimea (Hawaiian Homes), Kukuihaele Farms(Hamakua), and at Huluhulu (Saddle Road) and theUH-CTAHR Komohana Extension Service plot in Hilo.Six shipments, totaling 16,350 adults, were sent to Mauiand released in pastures at Kula and Ulupalakua Ranch.One other shipment to Maui, consisting of 2,400 adults,was released in a sugarcane field. Six shipments,totaling 26,300 adults, were made to Kauai and releasedin sugarcane fields at Kaumakani. L. ambiguus wasintroduced from Pakistan in 1997 and 1998 as apotential biocontrol agent to suppress YSA infestationsin grass pastures and sugarcane fields in Hawaii.Attempts to introduce this parasitoid, previouslyidentified as Adialytus ambiguus (Haliday), fromWestern Europe (mainly France) in 1990 wereunsuccessful despite some earlier signs ofestablishment in pastures on the island of Hawaii.Recovery of this YSA biocontrol agent in pastures atKohala during FY 2001 confirmed establishment inWest Hawaii. In December 2001, mummified YSA werefound on Maui at 4,000 feet elevation at an upcountryresidence in Kula. This site is in a residential area at4,000 feet elevation and is down slope from theHaleakala Ranch pastures. Adult specimens rearedfrom the YSA mummies were L. ambiguus. SimilarYSA mummies were subsequently collected on kikuyugrass near the Kula electrical substation in late-December. The detection on Maui, in addition to allprevious recoveries of this parasitoid in West Hawaii,increases prospects for eventual control of the YSA inpastures and sugarcane fields in Hawaii.

v Citrus blackfly [Aleurocanthus woglumi Ashby]. Thecitrus blackfly (CBF) is no longer a problem on Oahuas a result of the establishment of the CBF parasitoidEncarsia perplexa Huang and Polaszek, formerly E.opulenta (Silvestri). This aphelinid wasp, a well-knownCBF biocontrol agent, is believed to have arrived inHawaii in association with the CBF and also throughbiocontrol introduction via HDOA exploration inGuatemala. In addition, the exploration also resultedin the introduction of Amitus hesperidum Silvestri,another well-known CBF parasitoid. This platygasteridwasp complements the biocontrol activity of E. perplexavery well because it is most effective when the CBFpopulation is at high densities. As CBF infestations aresuppressed, E. perplexa becomes dominant andmaintains the CBF population at densities that are solow that no other control measures are necessary.

On Kauai, follow-up visits were made in late August2001 to two residences where E. perplexa was releasedpreviously. The CBF was under excellent control andonly traces of it were observed at those sites in Poipuand Hanapepe. At the Kilauea citrus orchard where theCBF was a major pest for some time, surveys confirmedthat it was no longer a problem. CBF populations werestill at moderate levels on citrus trees at a residence inPrinceville, but E. perplexa was well-established andincreasing in numbers. Because the CBF populationdensity on Kauai decreased so rapidly during the latterpart of FY 2002, this island, like Oahu previously, couldno longer serve as a source of CBF parasitoids for otherislands.

During an insect survey on Maui in late-July 2001, CBF-infested citrus leaves were collected at residences inKihei and Wailea. The samples later yielded the CBFparasitoid E. perplexa. The only releases of thisbiocontrol agent in the Kihei area were made at aresidence in the summer of 2000 when a total of 2,250adults were released. It is very likely that E. perplexaspread from this release site. In West Maui, CBFsurveys conducted at Napili and Kahana indicated thatthis parasitoid was not established. Heavy CBFinfestations were found on various citrus trees in thoseareas. To facilitate establishment at these localities,field-collected E. perplexa were released. In mid-November, a release of 200 adults was made on variouscitrus trees at a residence in Napili, followed by a releaseof 1,000 adults in December 2001. The citrus plantingcovered several acres at an elevation of 600 feet. Theestablishment of E. perplexa in East Maui was veryfortuitous because it served as a parasitoid reservoirfor subsequent releases in West Maui, Molokai, andWest Hawaii.

In early-December, a shipment of 5,400 E. perplexaadults obtained from collections of CBF-infested citrus

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Plant Industry Division

leaves collected on Maui was sent to a Kona citrusorchard. After several substantial releases of theparasitoid, the citrus grower located above Kailua-Konareported that the CBF infestation in his orchard wasfinally under control. The lime trees in the orchard,several of which had died during the infestations, werethe most severely affected. Other citrus varieties werewell on their way to recovery. In early April, 200 E.perplexa adults from Maui were released in an orchardof about 30 citrus trees in a nursery at Naalehu in Ka’u.This was the first report of a CBF infestation in thissouthern-most district of the island. In June, anotherparasitoid shipment from Maui, consisting of 700 E.perplexa adults, was released in a mango orchard atNapoopoo in South Kona.

v Citrus Leafminer [Phyllocnistis citrella Stainton]. Thecitrus leafminer (CLM), which showed great potentialto devastate citrus in Hawaii when it was first found onOahu at Waimanalo in June 2000, is steadily becominga pest of little significance as a result of the fortuitousintroduction of its primary natural enemy, Ageniaspiscitricola Logvinovskaya. It is believed that this encyrtidwasp arrived in Hawaii in association with CLMinfestations on potted citrus plants. Presently on Oahu,CLM damage is so rare that it has become very difficultto collect the parasitoid for shipment to neighbor islandswhere it is still needed to suppress CLM infestations.

In February 2002, a Florida Department of Agricultureand Consumer Services (FDACS) insect systematistconfirmed the identifications of specimens of two citrusleafminer parasitoids, Ageniaspis citricolaLogvinovskaya and Zagrammosoma multilineatum(Ashmead), that were sent by the HDOA Insect

Taxonomist. At the same time, another FDACSspecialist confirmed the identification of the citrusleafminer (CLM), Phyllocnistis citrella Stainton(Lepidoptera: Gracillariidae). The CLM was first foundin the United States in Florida in 1993. A. citricola(Hymenoptera: Encyrtidae) was imported into Floridain 1994 from Australia, which introduced it from Asia.By 1994, the CLM had spread to Texas, and then toCalifornia in 2000. Z. multilineatum (Hymenoptera:Eulophidae), a species indigenous to Texas, attacksCLM larvae and pupae and is the most abundantparasitoid attacking CLM in that state. In Hawaii, itwas first found on Kauai at Princeville and AliamanuEstates in July 2001 when adults emerged from CLM-infested citrus leaves held in the lab.

In mid-July, A. citricola was detected on Kauai at theKilauea citrus orchard where releases were made inApril 2001. It was also found at two Princevilleresidences where none had ever been released. At siteswhere severe damage was observed on the older leavesof citrus trees, the new growth was only lightly infested.One sample of 40 leaves yielded a total of 61 pupalcells, of which 45 (73%) contained A. citricola parasitoidpupae, nine (15%) were empty, six (10%) containedeulophid parasitoid pupae, and only one (2%) containeda CLM pupa. It was very apparent that A. citricola wasthe dominant parasitoid and that the large number ofempty mines indicated predation of CLM larvae. Atanother site, a sampling of 60 leaves yielded a total of152 pupal cells, of which 67 (44%) contained CLMpupae, 65 (43%) contained A. citricola parasitoid pupae,19 (12%) were empty, and one (<1%) contained aeulophid parasitoid pupa. A. citricola was also foundat a Haena residence. The parasitoid became

Mature larva of a nettlecaterpillar feeding on a palmleaf. Note prominent stingingspines on body.

Nettle caterpillars were initiallyfound on rhapis palms at aPanaewa nursery in September2001.

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Plant Industry Division

established at this site on its own. The presence of A.citricola was confirmed at the UH AgriculturalExperiment Station at Wailua, where the parasitoid waspreviously reported in June 2001. There was minimaldamage to new growth on citrus. No releases of theparasitoid had ever been made at this locality.

In December 2001, the UH-CTAHR County ExtensionSpecialist on Molokai discovered CLM infestations oncitrus for a new island record. Identification wasconfirmed through photographs of distinctive CLMdamage. The following month, a grower reported heavyinfestations on 80 citrus trees in his orchard atPapohaku. He identified the pest and damage throughinformation he found on the HDOA website. Sampleswere submitted to the HDOA Maui Entomologist in theKahului Insectary. No parasitoids were detected in thesample of CLM-infested citrus leaves. A shipment of250 A. citricola pupae, collected on Maui at Haiku, wassent to Molokai for release in the orchard at Papohaku.

v Nettle Caterpillar [Darna pallivitta Moore]. Propagationof the nettle caterpillar was initiated in the HDOA InsectQuarantine Facility in Honolulu in mid-March to conductstudies in preparation for a biocontrol project on thispotentially serious pest of ornamental foliage plants.Based on rearing experience in the Hilo Insectary, hostplants selected for nettle caterpillar propagation includedChrysalidocarpus lutescens (Bory) Wendl. (golden-fruited palm, commercially known as “areca”), andCocos nucifera L. (coconut). Hilo personnel whosupplied the rearing stock reported that the larvae arevoracious feeders of both young and old leaves ofcoconut seedlings and that this species had an overalldevelopment period of almost four months.

While the nettle caterpillar remained under excellentcontrol in the Panaewa nursery where an eradicationhad been attempted, it had nevertheless dispersed intothe surrounding neighborhood. New host plants onwhich larvae were observed to be feeding includedNeomarica gracilis (walking iris), Neolina recurvata(ponytail), Tillandsia cyanea (a bromeliad), andDracaena compacta. Larvae were also present on someunidentified weeds. Two larvae, one on Dracaenafragrans ‘Massangeana’ and the other on green ti, werecollected in an anthurium nursery adjacent to the originalinfestation site. In the lab, it was noted that maturelarvae were able to finish out their life cycle on fishtailpalm (Caryota sp.) and that second generation earlyinstar larvae were feeding on the same plant. Otherhosts on which larvae have been confirmed areDracaena deremensis ‘Lisa’ and red ti. D. pallivitta eggswere placed in the field at Panaewa near the originalinfestation site in an attempt to document parasitism.Seven egg masses were placed on Rhapis palms overa two-week period but none of the eggs showed signsof parasitism and most of them hatched normally.

v Koster’s Curse [Clidemia hirta (L.) D. Don]. Routinecollections of clidemia berries, infested by the clidemiafruit-feeding caterpillar, Mompha trithalama Meyrick,were initiated in East Hawaii in August 2001 aftersurveys confirmed that this clidemia biocontrol agentwas very well established and dispersing. Collectionswere made from clidemia infestations near theUniversity of Hawaii Geothermal Well at Pohoiki inPuna, where releases of this species had been made inlate-February and throughout March 1999, and wherethe initial recovery had been made in April 2000.Another excellent collection site was along StainbackHighway in the Waiakea Forest Reserve TimberManagement Area, where the first five releases weremade in early-February 1999 and where all subsequentreleases of this species was made during April and May1999. The first recovery at this site was made in early-April 2001. Hilo Insectary personnel had maintainedthe informal clidemia berry collection surveys andredistribution of the emerging moths throughout FY2001. With the confirmed establishment of this clidemiabiocontrol agent and increased personnel supportprovided by the Emergency Environmental WorkforceCrew beginning in January 2002, efforts to collect anddistribute this species to clidemia infestations in newlocalities on the island of Hawaii and on neighbor islandswere greatly increased. Beginning in October 2001 witha low of seven adults and ending in May 2002 with ahigh of 1,002 adults, a total of 3,654 M. trithalama adultswere released on three islands. On Hawaii, five releasesin the Waiakea Forest Reserve and Opihihale (SouthKona) totaled 1,618 adults. Two releases on Maui atHana amounted to 1,322 adults. On Kauai, two releasesat Wailua totaled 714 adults.

During a survey for M. trithalama release sites on Maui,several clidemia biocontrol agents were found to be wellestablished on clidemia in various areas along the HanaHighway in East Maui. Clidemia leaves infected by theclidemia pathogen, Colletotrichum gloeosporioides f.sp. clidemiae, were collected to provide inoculum foruse in controlling clidemia in East Molokai. The clidemiathrips, Liothrips urichi Karny, and the buprestid beetle,Lius poseidon Napp, were also very noticeable on theclidemia plants at those Hana Highway localities. Allthree biocontrol agents appeared to be thriving despitethe prolonged period of drought that was followed bytorrential rainfall. The first release of M. trithalama onMaui was made amid a clidemia infestation at MileMarker 7 along the Hana Highway on March 25, 2002.The three adults released were the first to emerge from infestedclidemia berries that had been shipped from Hilo.

The establishment, proliferation, and dispersal of M.trithalama represent a major success for the ClidemiaBiocontrol Project. This clidemia fruit-feeding mothspecies and Carposina bullata Meyrick, a clidemiaflower-feeding moth species were two of the most

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promising clidemia natural enemies that were introducedbecause they attack the reproductive parts of the plant.In addition to the part of the plant on which they normallyfeed, C. bullata also attacks the berries and M.trithalama may also attack the flowers. This shouldgreatly reduce the reproductive potential of clidemia.In May 2002, another significant development occurredwhen C. bullata was recovered from clidemia berriescollected in March from infestations along StainbackHighway in the lower section of the Waiakea ForestReserve Timber Management Area. Specimens of themoth submitted to the Branch’s Insect Taxonomist wereconfirmed as C. bullata, which was purposely introducedfrom Tobago, West Indies, along with M. trithalama forbiocontrol of clidemia. Prospects for the establishmentof C. bullata appeared extremely poor because of highmortality and very low release numbers, so the recentdiscovery is highly encouraging.

v Gorse [Ulex europaeus L.]. While participating in agorse insect survey at Humuula on the slopes of MaunaKea on February 25, 2002, the Hilo Insectary Techniciandetected dark, reddish fuzz on a green spine of a gorseplant. The gorse sprig was collected and sent to thePlant Pathology Quarantine Facility in Honolulu wherethe HDOA Plant Pathologist confirmed the fungus asUromyces pisi f. sp. europaei. The rust pustuleexamined was a new infection locus and rusturediniospores were actively being produced. Thecollection site was in the same area where some infectedgorse plants were transplanted from pots on February29, 2000. This was the first and only release of thegorse rust in Hawaii. The collection confirms theestablishment of the disease, but no additional rustpustules were found during a follow-up survey.According to the Plant Pathologist, all the disease needsnow is a continued, conducive climate to reproduce andinfect further. Cool and moist weather is ideal for therust fungus.

v Ivy Gourd [Coccinia grandis (L.) Voigt]. Insectarypropagation of the three ivy gourd biocontrol agentscontinued satisfactorily on Oahu during the early partof FY 2002. However in December 2001, OahuInsectary personnel reported that it was becomingincreasingly difficult to maintain the high level ofproduction previously experienced. Excellent controlof ivy gourd in most localities on Oahu by the ivy gourdvine borer, Melittia oedipus Oberthur, and the ivy gourdleafmining weevil, Acythopeus cocciniae O’Brien, alongwith dry weather conditions had reduced the availabilityof suitable ivy gourd plant material in the field for hostplant propagation. Also, cooler seasonal temperaturesbeginning in mid-October had slowed the rate of growthof the plants and insects. Rearing of M. oedipus hadbeen reactivated in November 2000 to provide Guamwith propagating stock for colonization in quarantine toconduct host specificity studies. This enabled releases

of this species on the neighbor islands where attemptsat eradication had not been successful.

Insectary production of the ivy gourd leafmining weevilwas terminated in April 2002 to devote more resourcesto the propagation of the ivy gourd gall weevil, A.burkhartorum O’Brien. Despite several releases thatwere concentrated in Waimanalo and Kapolei, and thedetection of some galls on ivy gourd vines, establishmentof this species has not been confirmed. The leafminingweevil is so well established and widespread on ivy gourdinfestations on Oahu that it can be readily collected fordistribution if needed. It is also well established in Kailua-Kona on the island of Hawaii. In comparison to A.cocciniae, A. burkhartorum is larger in size, has a muchlonger life cycle, and its immature stages seem to bemore vulnerable to predation by ants and birds. Labproduction has been retarded by low fecundity. Attemptsare being made to stabilize production and graduallyincrease numbers for release to improve chances forestablishment. Liberation of A. burkhartorum consistedof seven releases, totaling 170 adults, made at Kapoleiand Makiki Heights from December 2001 to May 2002.

During FY 2002, a total of 36 releases, amounting to9,872 adults, of A. cocciniae were made on ivy gourdinfestations at various sites on Oahu. Release localitiesincluded Hawaii Kai, Niu Valley, Aina Haina, Kahala,Kaimuki, Palolo, Nuuanu, Halawa, Pearl Ridge, Waiau,Pearl City, Kapolei, Kahe Point, Makaha, Makua,Mokuleia, Waialua, Poamoho, Haleiwa, Kahuku, Hauula,Kahaluu, Kaneohe, Kalaheo, Kailua, Maunawili,Olomana, and Waimanalo. This weevil is now wellestablished at every release site throughout Oahu andis dispersing to adjacent localities where no releaseswere made. The “shot holes” made by the adults andlarval mines were very conspicuous on ivy gourd leaves.

Periodic shipments of two ivy gourd biocontrol agentswere sent to the neighbor islands for release during FY2002. Five shipments, totaling 1,232 A. cocciniae adults,were sent to the Hilo Insectary or the Branch’s office inKona in September 2001 and in April to June 2002.Releases were made in West Hawaii at Kailua-Kona,Napoopoo, and Keei. One shipment each in March,May, and June 2002, totaling 1,097 A. cocciniae adults,was sent to the Kahului Insectary. Releases were madein West Maui at Kapalua, Lahaina, and Kihei. Oneshipment of 52 M. oedipus adults was sent to Kauaiand released at Anahola in July 2001. One shipment of47 M. oedipus adults was sent to West Hawaii andreleased in Kailua-Kona in September 2001. Threeshipments, totaling 96 M. oedipus adults, were sent tothe Kahului Insectary and released at Kapalua in WestMaui in March 2002.

On March 22, 2002, a box containing three ivy gourdbiocontrol agents were turned over to University of Guam

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researchers for transport to their quarantine facilityin Mangilao, Guam. The contents of the box included200 A. cocciniae adults in two plastic vials, 12 A.burkhartorum adults in a vial, and 47 larvae and 38pupae of the ivy gourd vine borer, M. oedipus,wrapped in paper towels in plastic bags. The ivy gourdnatural enemies will be colonized, studied, and testedon a native cucurbit in quarantine to determinesuitability for future release to suppress ivy gourdinfestations on Saipan and Guam.

vv Miconia [Miconia calvescens DC]. Surveys of thethree sites at Leilani Estates in Puna where the releaseof the miconia pathogen, Colletotrichumgloeosporioides f. sp. miconiae (CGM), had beenmade on miconia infestations revealed that the funguswas well established. Lesions were readily found onthe leaves of most of the treated plants. The siteswere originally treated in May 2001. The release areaappeared to be ideal for the CGM because of the thicktree canopy and shrub growth and the high humidityin the understory.

Two aerial sprayings of the miconia pathogen weremade on Maui in October 2001. HDOA PlantPathology personnel from Oahu made two trips toKahului on October 2 and 30 to prepare the inoculumfor helicopter spraying of the miconia pathogen. Foreach spraying, 1,200 V8 juice agar culture plates wereprepared and inoculated with the CGM in the PlantPathology Quarantine Facility in Honolulu. A finalspore spray solution of 25 gallons was prepared inthe HDOA Kahului Insectary with assistance fromMaui personnel. November 2001 was a record-breaking month for preparing and pouring V8 agarmedia into a total of 2,800 petri plates and inoculatingthem with the miconia pathogen in the PPQF. Severalvolunteers assisted by pouring solution or inoculatingplates. These plates provided inoculum for twohelicopter spray flights during the month. The HDOA-

HDLNR Maui Miconia Project was concluded with a surveytrip to Hana on December 12, 2001, to assess the diseaselevel at the inoculated sites. This project had been initiatedin November 2000 during a rainstorm and subsequentflood when the CGM was sprayed for the first time inHana. The project ended in the same way with anotherwind and rain storm. The disease was observed at allnine sites at which the CGM fungus was released. Themiconia plants at the helicopter release sites appeared tobe heavily infected and with more defoliation than sitesthat were sprayed from the ground. The objective of thisproject was to establish the CGM fungus in the miconiainfestation at Hana. This goal was achieved. Theprospects for the biological control success of this funguswill depend on rain, driven by high winds, and time.

Two more aerial spraying of miconia were conducted onMaui in April 2002. On each occasion, 1,200 culture platesinoculated with the miconia fungus were transported fromthe PPQF in Honolulu. With assistance from the Mauistaff and volunteers from the Maui Invasive SpeciesCommittee, the plates were scraped and rinsed to preparethe inoculum. MISC paid for the helicopter time and DLNRpaid for the supplies. Fifteen culture plates of the miconiabiocontrol fungus were shipped to the USDA ForestService in Hilo for work on determining the effects of thefungus on miconia plants in the greenhouse and in the field.

During a visit to the fungal release sites at Onomea andLeilani Estates in mid-June 2002, the CGM appeared tobe alive and well. The miconia plants adjacent to theparking lot at the Hawaii Tropical Botanical Garden atOnomea seemed to be “thinning out” in comparison tothe flush of miconia foliage that was observed when thefungus was first released. Presently, leaf spots areobserved on young seedlings in the understory. TheHDOA Plant Pathologist believes that these plants willeither die or will have difficulty in developing into thrivingplants. Diseased plant material was collected and broughtto Honolulu for isolation and culturing.

Left: Flocculence produced by giant whitefly nymphsinfesting hibiscus leaves.

Right:Remains ofgiant whiteflynymphs withexit holes ofparasiticwasps.

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v Fireweed [Senecio madagascariensis Poiret]. A rustdisease from England was introduced into the PPQFfor testing as a potential fireweed biocontrol agent. Itwas collected from Senecio lautus in England by a UH-Manoa Professor of Botany Emeritus in mid-July 2001.In the PPQF, the urediniospores were collected andsuspended in sterile, distilled water. The resultinginoculum was sprayed onto potted fireweed. The rustdisease was not transmitted because rust pustules failedto develop. A fungal rust pathogen occurring on S.lautus has been identified as Puccinia lagenophorae,the same rust that was collected in Australia and SouthAfrica by the HDOA Exploratory Entomologist. Perhapsthe urediniospores were not viable, or the rust is adifferent race or form, not pathogenic to fireweed. Effortsto introduce this rust will continue.

v Maile Pilau [Paederia foetida L.]. Five shipments ofphytophagous insects were received during June 2002from Japan for colonization and host specificity testingto determine their suitability for use as biocontrol agentsto suppress infestations of maile pilau (known asskunkvine in Florida), in Hawaii and Florida. This projectis a collaborative effort between the HDOA Plant PestControl Branch and the Invasive Plant ResearchLaboratory (IPRL), USDA-ARS, Ft. Lauderdale, Florida.The first three shipments contained chrysomelid beetles(Trachyaphthona sordida, Trachyaphthona sp.,Aphthona sp.) that were collected from P. foetidainfestations on the island of Kyushu in the Prefecturesof Fukuoka, Kagoshima, and Nagasaki. The other twoshipments contained a lace bug, Dulcinius sp., that wascollected at different sites at Osaka Airport on the islandof Honshu by the IPRL Research Leader and anassociate researcher. The final collections were hand-carried to Hawaii. During a brief layover in Honolulu, avisit was made to the HDOA facilities for orientationand coordination of project activities. The final shipmentalso contained various insects associated with P. foetidathat were collected from several localities in Japan.These insects were held in quarantine, reared to adultsand killed, then mailed to the IPRL in Florida for additionto the reference collection.

Projects of the Branch’s Chemical/Mechanical ControlSection included the following during the FY 2002:

v Monitored Kona for latent banana bunchy top virus(BBTV) during Phase II of Project Eradication, anintensive campaign to remove all banana plants withina 10-square-mile area in North Kona. Phase I of theeradication ended in mid-December 2001. In mid-March2001, Kona residents were allowed to replant indicatorbanana plants within the eradication zone. No BBTVwas detected during this fiscal year.

v Provided assistance to commercial banana growers onKauai for early BBTV detection in Kilauea and Lawai/

Poipu areas as part of the department’s Long RangeManagement Control Program. Island-wide surveysmonitored BBTV spread since it was first detected inOctober 1997 at Kilauea Town. The eradication effortended in July 1998, but BBTV resurfaced in commercialfarms and residential lots in Kapahi in April 2000. Asecond eradication effort was deemed not feasible sinceall Musa species would have had to be removed fromover half of Kauai. BBTV was confirmed in Hanalei,Kalihiwai, Kilauea Town, Lawai and Poipu.

v Assisted commercial banana growers on Oahu in earlydetection of BBTV and instructions on managing thevirus by treating the insect vector and diseased plants.

v Assisted papaya growers on Hawaii by tagging treeswith papaya ringspot virus (PRV) in commercial fieldplantings in an estimated 2,300 acres. The number oftagged trees increased by nearly 300% over that fromthe previous fiscal year; 40,216 infected papaya plantswere tagged for destruction from over 210 farm lots inthe Puna and Hamakua Districts on Hawaii. PapayaProject funds were transferred to the UH-CTAHR duringFY 2001. Abandoned fields covering over 659 acreswere bull-dozed by a private contractor in Kapoho,Kalapana, Keeau and Olaa.

v Cooperated with DLNR, RCUH, Operation Miconia, andInvasive Species Committees on Hawaii, Maui andOahu involved with controlling miconia (Miconiacalvescens.

v Conducted research on chemical toxicants to controlcoqui frog infestations found on Hawaii, Maui, Oahuand Kauai. A Section 18 Experimental Use Permit wasgranted by the EPA for the use of caffeine against frogsuntil September 27, 2002. Hydrated lime and naturalpyrethrins were investigated as alternative controlmethods. Hydrated lime could not be registered as apesticide and is available as a soil amendment only.Results using hydrated lime as a slurry were favorablein a one acre test plot conducted on May 30, 2002 onHawaiian Home Lands property at Puainkao, Hawaii.Staff also collaborated with the Coqui Frog WorkingGroup formed by UH-CTAHR in Hilo, and with variousInvasive Species Committees in hand-collecting frogsto slow down their spread in new areas on Hawaii, Oahu,Maui, and Kauai.

v Chemically and mechanically controlled designatednoxious weeds, such as thorny kiawe (Prosopisjuliflora)on Oahu and Kauai; fountaingrass (Pennisetumsetaceum) on Maui, Lanai, and Oahu; and fireweed(Senecio madagascariensis) on Kauai, where veryfavorable control has been obtained at the Half-WayBridge site near Puhi.

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v Conducted noxious weed and coqui frog surveys andcontrol work with Emergency Environmental Workforceemployees on Hawaii, Maui, Kauai and Oahu fromDecember 2001-March 2002. The workforce plan wasestablished by the Research Corporation-University ofHawaii through special legislative funds to temporarilyemploy jobless individuals affected by the 911 disaster.The workforce was instrumental in conductingproductive work in removal of thorny kiawe, miconia,and coqui frogs from the environment.

v Worked with the Oahu Invasive Species Committee(OISC), formerly known as the Fountaingrass WorkingGroup, composed of U.S. Army, Federal, State,University of Hawaii and various other non-profitagencies whose goals are to detect and control invasivealien species that are deleterious to Hawaii’s agricultureand natural resources.

v Chemically treated over 5,671 fountaingrass plants onOahu and mechanically removed 150 fountaingrassplants at Kanepuu, Lanai and Kahakuloa, Maui withassistance from EEW and OISC workforce.

v Surveyed agricultural and vegetable seed vendors toensure the quality and proper labeling of seeds sold toconsumers. Twenty-five germination tests wereperformed on vegetable and agricultural seed lots toensure that the minimum germination standards weremet.

v Examined 76 foreign seed lots for noxious weed seedsunder a cooperative agreement with USDA-APHIS-PPQ. One seed lot was rejected because of corn importregulations that prohibits the entry of foreign millet seedsin U.S. seed imports.

v Continued to service the needs of the expanding Hawaiiseed corn industry that had increased its plantings onformer sugarcane lands on Kauai and Oahu, and onfallow pineapple lands on Maui. A total of 459 newapplications were processed during the fiscal year. Withcarry-over from FY 2001, 501 Foundation/Hybrid classcertifications were issued to seed producers. Certifiedcorn shipments weighed 3.46 million pounds.

PLANT QUARANTINE BRANCHNeil Reimer, Manager

The branch administers Hawaii’s plant and non-domesticanimal quarantine program by preventing the introductionof harmful pests and diseases into the State and byfacilitating plant exports. This is done through:

(1) permit reviews;(2) air and sea ports-of-entry inspections;(3) interisland inspections;(4) investigating and enforcing State quarantine laws

and regulations;(5) educating travelers and the public; and(6) inspecting and certifying plants for export.

FY 2002 Highlights

v Construction began on a new main office complex forthe Plant Quarantine Branch on Oahu in the Kapalamaarea near Sand Island. The new facility will include morequarantine rooms for plant importers to hold confiscatedanimals, improved mist extraction equipment and adedicated room for nematode extraction andidentification, autoclave and freezer for commoditydestruction, a loading dock to facilitate inspection ofcontainers, and other improvements over the currentsite which will be the new location for the University ofHawaii Medical School complex. Plant Quarantinerelocated to its new quarters in August of 2002.

v Plant Quarantine personnel conducted 54 talks on thestate’s pest prevention program and tours of the PlantQuarantine Station with a total of 3,478 individuals inattendance. The audiences consisted of preschool,elementary, middle, high school, and university levelstudents, as well as senior citizen groups.

v During the first three weekends in August, an “AlienSpecies” display was maintained at the Hawaii StateFarm Fair. The exhibit attracted a constant flow offairgoers who were able to view various live animals,including Coqui frogs, iguana, gold dust day gecko,brown anole, Cuban knight anole, green and blackpoison dart frog, leopard gecko, hybrid skink, ballpython, boa constrictor, and Madagascar hissingcockroach.

HDOA personnel tackle a patch of thorny kiawe, aninvasive weed with sharp thorns that may reach up tofour inches long and can pierce automobile tires.

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v The Hawaii Detector Dog Program (HDDP) witnessedthe growth of the program with the addition of a newtraining facility equipped with a working conveyor beltsystem. The facility is fully operational and is locatedon the grounds of the Halawa Animal QuarantineStation. The relocation of the training area greatlyfacilitates the training procedure with the totalelimination of time lost in the transport of the animals.

v To further facilitate operations, the HDDP relocated itsstaff to the Halawa Animal Quarantine Station tocentralize operations. Previously, staff members werereporting to several different locations, which sometimeshindered communications and training.

v The program has acquired an active dog that is currentlyin training for the detection of the brown tree snake.The active dog will provide a more thorough search ofincoming cargo. The dog was obtained through adonation from the general public.

v Effective November 30, 2001, the microorganism importrequirements in Subchapter 3, Chapter 4-71, HawaiiAdministrative Rules (HAR), was repealed to establishthe new microorganism import requirements in chapter4-71A, HAR, entitled, “Microorganism Import Rules”.Chapter 4-71A, HAR, implements a new framework forfacilitating import of microorganisms without comprisingplant, animal or public health and the environment ofHawaii.

v While moderate-risk and high-risk microorganismspecies require a permit to enter the state, changeswere made so that low-risk species may be allowedentry into state without permits. All microorganismspecies still require at a minimum, a request for import,approval for the import in advance of shipment, andcompliance with the notification, labeling, and inspectionrequirements specified by rules.

v Low-risk microorganism species contained in productsused for bioremediation or bioaugmentation includingproducts that are biopesticides require registration withthe Plant Quarantine Branch. A microbial productcontaining a moderate or high-risk microorganismrequires a permit to enter the state. Registration isvalid for two years and allows the product to be importedinto Hawaii by any user. A permit is valid for one yearand are restricted to an approved end user.

v Certain high-risk human pathogens with oversight fromthe Centers for Disease Control and Prevention mayenter Hawaii without permits, provided that the importermeet the requirements specified by rules.

v Effective May 23, 2002, the requirements for issuingan emergency permit pursuant to Chapter 150A, HawaiiRevised Statutes, were broadened to include emergencypreparedness. The Board of Agriculture, withoutAdvisory Committee review and after obtaining advicefrom qualified persons, may issue an emergency permitto a state or federal agency or the University of Hawaiito prepare for an emergency.

v A 15-inch ball python was abandoned in one of theprogram’s Amnesty Bins at the Honolulu InternationalAirport by an arriving passenger.

v A total of 337 containers of Christmas trees wereshipped to Hawaii from Oregon and Washington.Washington and Oregon Departments of Agriculturewitnessed the shaking and cleaning of 100 percent ofthe trees in 78 percent of the containers. The other 22percent of the containers were spot checked by the twomainland agriculture departments. Six containers from Oregonwere found by HDOA inspectors to be infested withyellowjackets. Three of these containers were fumigated andthe other three were brought to the Plant Inspection Office fortreatment, which consisted of the cleaning of each tree in thecontainer.

Land Vertebrate SpecialistLisa Nakayama handles aCalifornia king snake forlocal media. The snakewas found in Kahuku.

In the clear case is a ballpython that was turned inunder the department’sAmnesty Program whichprovides immunity fromprosecution for those whovoluntarily turn in illegalanimals.

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Quality Assurance Division

The Quality Assurance Division serves both theconsumer and producer of agricultural and otherproducts by providing services and enforcing laws andrules designed to improve the market quality ofagricultural commodities, promote fair trade and honestbusiness practices, and maintain stability in the dairyindustry.

COMMODITIES BRANCHWalter Mitsui, Manager

The Commodities Branch provides certification services forvarious agricultural commodities on a fee-for-service basis,to ensure fair trade and quality assurance of agriculturalcommodities. Most of these certification services areconducted under federal-state agreements in which theBranch provides federal certification, which may nototherwise be available to local clients. Major productscertified include fresh fruits and vegetables, eggs, processedproducts, seafood, coffee, and meat. The establishment ofstate grade standards for fruits and vegetables, nuts, coffee,flowers and foliage, processed foods, and shell eggs, fallswithin the jurisdiction of the Branch. In addition the Branchadministers laws and rules pertaining to fresh fruits andvegetables and egg labeling, minimum export quality,advertising of agricultural commodities, licensing of dealersin agricultural products, prevention of agricultural theft, andsampling and testing of animal feed for label guarantee andadulteration. The branch also conducts food safety auditsfor a fee, upon request.

The Milk Control Section regulates the dairy industry in theHonolulu and Hawaii milk sheds by licensing all producersand distributors of milk, establishing milk production quotas,setting minimum class 1 price paid to dairy producers, andconducting retail milk surveys and inspections. This specialfunded section consists of two employees and is entirelyself-funded through license fees assessed to milk producersand processors. The branch provides clerical and marketingspecialist support to this section and is reimbursed throughthe special fund.

The Chemical Analysis Section provides chemical analysisservices to both the Commodities and Pesticides Branches.

Animal feed samples are analyzed for adulteration from agri-chemicals and mycotoxins. Environmental samples areanalyzed for contamination from agri-chemical and othersubstances and pesticides are tested for ingredients.Listed below are brief overviews of developments that haveimpacted the branch’s activities (See page 52 for a detailedtable of activities):

v Planned and prepared to move to a new building inlower Kalihi at Auiki Street, along with the MeasurementStandards Branch and Division Administration.

v Filled four Agricultural Commodities MarketingSpecialist position vacancies on Oahu (2 positions),Maui and Kauai. Activity levels were reduced asemphasis was placed on training the new marketingspecialists. Lost Clerk Typist and Oahu DistrictSupervisor positions due to budget restrictions.

v Inspected and certified 845,000 cases of cannedpineapple from Maui Pineapple Company, whichcontinues to receive large federal government contractsand assessed a total of $167,655 in fees.

v Established a fee-for-service papaya transgenic testingprogram at the request of the Papaya AdministrativeCommittee and three exporters. Papayas are tested toassure that only non-transgenic papayas are exportedto Japan.

v Observed the closing of Kaanapali Coffee Company,Waialua Coffee Company, Wayne’s Dairy, and MeadowGold Dairy Farm in Waimanalo.

v Distributed informational flyers on agricultural theft, andcooperated with police in investigating agricultural theftcases.

QUALITYASSURANCE

DIVISION

Samuel CampAdministrator

Commodities Inspectors Keith Otsuka (left) and AlbertLouie (right) demonstrate how eggs are graded at theHawaii State Farm Fair

v Continued to assist the Market Analysis and NewsBranch by “loaning” an experienced person totemporarily fill a vacancy.

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Quality Assurance Division

v The Standards and Trade Practices EnforcementSection has the responsibility of assuring the consumerthat transactions involving measuring instruments,labeling, content of packaged commodities, and pricingare accurate and fair to all parties.

Listed below are brief overviews of developments that haveimpacted the branch’s activities (See page 53 for a detailedtable of activities.)

v The State Metrologist received formal training andcertification from the National Institute of Standards andTechnology (NIST).

v The metrology laboratory received re-certification of theStates enforcement standards and was awardedtemporary certification by NIST.

v The metrology laboratory inspected and calibrated 522enforcement mass standards, 75 test standards, and436 field standards for service agencies conductingbusiness in the State of Hawaii.

v The metrology laboratory inspected and calibrated onevolumetric test standard and 10 volumetric fieldstandards for service agencies conducting business inthe State of Hawaii.

v The Branch worked with the Hawaii Coffee Associationto introduce legislation that amended Hawaii RevisedStatute §486-120.6 which helps to promote truth inlabeling and advertising of Hawaii-grown coffee.

v The branch supported the passing of legislation whichbecame Act 18 that helps to promote the accurateadvertisement of products made of Acacia Koa. TheHawaiian Forest Industry introduced this legislation.

v Received and investigated four odometer complaints;down from nine investigations last year.

v Visited 685 establishments to identifying businesses thatare subject to the price verification inspection. As aresult of this effort, 149 establishments were added tothe list.

v The compliance rate for stores inspected for priceverification was 93 percent, an increase over last year’scompliance rate of 87 percent.

v Hired a clerk typist for the Oahu office and completedthe interview process for a Measurement StandardsInspector I for the Captain Cook office.

v Prepared the program for a move into a new facilitylocated near Sand Island.

v Attended papaya and coffee industry meetings andconferences. Staff made a presentation on proposednew standards for grades of coffee at the annual HawaiiCoffee Association Conference, and conducted agrading class for a University of Hawaii vegetable cropsclass.

v Attended mainland training sessions and conferences,which included: The Processed Products BranchNational Supervisor’s Conference sponsored by USDA/AMS; A Laboratory Food Safety Counter-TerrorismWorkshop sponsored by the FDA; A PesticidesWorkshop sponsored by the EPA, the National EggRegulatory Officials Conference, and the InternationalAssociation of Milk Control Agencies annual conference.The costs to attend these conferences were mostly paidby federal agencies and the milk special fund, at minimalor no cost to the state.

v Kept close watch on federal organic regulations. Thefederal government stated that whenever a stategovernment creates any additional organicrequirements, that State shall be responsible for theentire organic program, including all costs ofadministering the program. The branch therefore isreluctant to develop any state organic rules orregulations, as may be desired by the local organictrade.

v Branch fee assessments and penalties collected totaledmore than $424,000; about the same as the previousyear.

MEASUREMENT STANDARDS BRANCHWilliam Pierpont, Manager

v The Measurement Standards Branch works to protectconsumers, businesses, and manufacturers from unfairpractices, which are based on a measurement processor subject to a standard of quality. The goal is tominimize losses and inaccuracies due to incorrect orfraudulent measuring equipment, processes, orsubstandard products.

v The Standards and Technical Services Section assuresthat state measurement standards conform to nationalstandards. It performs metrological calibration of theenforcement standards used by the branch and thestandards used by registered service agencies inrepairing commercial devices.

v Hired two part-time Agricultural Commodity Aides inKona and one in Kauai during the coffee “season”, toassure a rapid coffee certification turn-around time.

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AGRIBUSINESSDEVELOPMENTCORPORATION

Alfredo LeeExecutive Director

Agribusiness Development Corporation

The Agribusiness Development Corporation (ADC) wasestablished pursuant to Act 164, SLH 1994 to coordinatethe development of Hawaii’s agricultural industry andto facilitate its transition from a dual-crop (sugar andpineapple) industry to a diversified, multi-crop andanimal industry. More specifically, it is responsible fordevising means by which arable sugar and pineapplelands and their production infrastructure can be usedagain by a diversified agricultural industry and forproviding marketing assistance that can lead to thedevelopment of local, national, and internationalmarkets for Hawaii-grown products.

Mission Statement: The Agribusiness DevelopmentCorporation (ADC) is a vehicle and process to makethe optimal use of agricultural assets for the economic,environmental, and social benefit of the people ofHawaii. It is a risk-taking advocate for agriculture.

Major activities in FY 2002:

KekahaApproximately 28,000 acres of Kekaha agricultural landbecame available for diversified agriculture when Amfac/JMB (Kekaha Sugar Company) ceased its sugar operationsin November 2000. The ADC has been charged to keep theland productive in agriculture and prevent flooding of thearea since a good portion of the Mana plain, including thePacific Missile Range Facility (PMRF), is at or below sea level.

Working together with the farmers, the ADC providesoperation and maintenance services to irrigation systems,drainage systems, pump stations, and electrical systems.Also funds from the 2001 Department of DefenseAppropriations Act were awarded in forms of contracts tothe ADC for the repair and maintenance of infrastructuresidentified as critical to the PMRF base operation. Repairand maintenance work included bringing the Kawaiele andNohili pump stations up to OSHA safety standards, repairingthe fire-damaged Mauka hydroelectric plant, and awardingdesign and construction contracts for drainage pump

replacements. In addition the ADC also dredgedapproximately 10 miles of drainage canals to alleviate thethreat of flooding. The ADC anticipates the awarding ofadditional contracts from the Navy for infrastructureimprovement in the fall of 2002.

In early 2002, two major rainstorms on Kauai threatenedflooding in the Mana plain. ADC subcontractors followedemergency procedures and opened up several specialdrainage outlets, which allowed the accumulated storm waterto flow into the ocean. As a result of these actions, no majorflooding issues were noted during this period.

The ADC is in the process of securing a master lease of theKekaha agricultural lands from the Department of Land andNatural Resources (DLNR) with intention to sublease landparcels to farmers. The ADC continues to work closely withthe farmers on operational issues of the infrastructure andlong-term land/water lease issues in anticipation that theADC would acquire the master lease from the DLNR in thenear future.

East KauaiThe 2001 Hawaii State Legislature appropriated the ADCfunds through Act 208 to help with the initial costs associatedwith transitioning plantation agriculture to diversifiedagriculture on the island of Kauai. Of the $300,000appropriated, a $100,000 grant was awarded to the EastKauai Water Users’ Cooperative (Cooperative) for theoperation and maintenance of the East Kauai IrrigationSystem (System) with the long-term objective for the systemto become self-sufficient.

Waiahole Water SystemThe task of replacing three old, wooden siphons on theleeward side of the system was completed in November of2001. Early water transmission figures indicate thatreplacement of the three siphons has reduced the averagesystem loss by approximately three million gallons per day(mgd) as compared to figures recorded two years ago.

In December of 2001, the Commission on Water ResourceManagement (CWRM) through a Decision and Order forthe Waiahole Ditch combined contested case hearing onremand assigned to ADC a Water Use Permit, which allowsfor 2.0 mgd of system losses. In addition, CWRM orderedthe ADC:

1) to assess how water from the Waiahole WaterSystem tunnel could be diverted into WaikaneStream and to develop a plan to accomplish thediversion, and

2) to construct the diversion mechanism. Theassessment and plan shall be delivered to theCWRM within 90 days of the decision. Thediversion of water from the tunnel system into

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Agribusiness Development Corporation

Waikane Stream shall be completed within 180days after the plan is delivered to CWRM. Due tothe complexity of easement and permit issues, theADC was given an extension until June 2002 tocomplete the diversion plan. The diversion projectis expected to be completed in the fall of 2002.

Hamakua Agricultural SubdivisionThe ADC continues to work on the development of anagricultural subdivision project at the Hamakua coast onthe Big Island. A 118-acre parcel of former sugar land onKamehameha School property was identified as a potentialsite. The ADC initiated lease negotiation with KamehamehaSchools/Bishop Estate on the parcel.

Molokai Irrigation SystemSenate Resolution No. 34 and Senate Concurrent ResolutionNo. 43 of the Twenty-First Legislature of the State of Hawaiidirected the ADC to conduct an assessment of the MolokaiIrrigation System and to recommend long-term solutions tochronic water shortages. The Hawaii Agriculture ResearchCenter was contracted to conduct the study and a reportwas submitted to the legislature in December 2001.

Marketing of Maui Produce and ProductsThe Hawaii State Legislature, 2002 Session, passed a billfor an act relating to agricultural marketing to assist Mauifarmers with marketing their products and produce. The ADCplans on seeking input from the Maui farmers, the Countyof Maui, and the University of Hawaii to come up with acomprehensive marketing plan with broad support.

Other activities:Together with several private parties, the ADC continues toexplore the feasibility of setting up a consolidation, packing,and distribution facility for agriculture products on Oahu.

The ADC also held informal meetings with several groupsrepresenting the University of Hawaii, Hawaii AgricultureResearch Center, Oahu Work-Links, and other privateentities to identify training needs for agricultural workers andto seek funding for potential programs.

The ADC explored the feasibility of constructing hydroelectricplants on irrigation systems managed by the ADC on Oahuand on Kauai. Initial assessment showed potential at severallocations. However more in-depth studies need to beconducted to include concerns on cost of construction, returnon investment, environmental impact and continuedavailability of water on these systems.

In May 2002 at the Hawaii Bioenergy Conference on Kauai,the ADC Chairperson Robert Sutherland, representing theJ.T. Waterhouse Trust, presented a success story of usingphotovoltaic panels to replace diesel generators on a ranch.In attendance was also the ADC Executive Director, AlfredoLee. The two-day conference was well attended by policymakers, business people, farmers, educators, and students.In June 2002, the ADC participated in the “Think Out of theField” tour, with Board Member Diane Ley and ExecutiveDirector Alfredo Lee joining 26 other farmers, educators,journalists, and business people for a tour of large and smallfarms in the Napa Valley, Modesto, Fresno, and SalinasValley, California area. Produce centers, farmers markets,grocery stores, and processing facilities were also visited.Focus of the trip was on food safety procedures andalternative marketing channels. There was tremendousamount of information being exchanged between Hawaii andCalifornia farmers. The trip also allowed Hawaii agricultureparticipants to network and share information amongstthemselves.

The Nohili pumping station atThe Nohili pumping station atthe Pacific Missile Rangethe Pacific Missile RangeFacility (PMRF) on KauaiFacility (PMRF) on Kauaikeeps the Mana plain waterkeeps the Mana plain watertable low. During major raintable low. During major rainstorms, the station helpsstorms, the station helpsprevent flooding at the PMRFprevent flooding at the PMRFand in the nearby town ofand in the nearby town ofKekaha.Kekaha.

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List of Tables and Charts

Hawaii Board of Agriculture 36Organizational Chart 37

Financial StatementsGeneral Fund (Operating Funds) 38Special Funds 39Trust Funds 40CIP Fund 40Revolving Fund 41Bond Fund 42

Agricultural Loan Division 44Charts

Agricultural Resource Management DivisionLease Dispositions 45Waimanalo Irrigation System 46Kahuku Agricultural Park Irrigation System 46Kekaha Irrigation System 46Molokai Irrigation System 46Waimea Irrigation System 47

Animal Industry DivisionAnimal Importations and Inspections 48Non-compliance: Pre & Post-Shipment Requirements 48Disease Surveillance Testing 48Specimen Examinations 48

Plant Industry DivisionPesticides Branch Activities 49Noxious Weed Control Activities 49Seed Regulatory Activities 49Pest Plant Control Activities 50Beneficial Insect Releases 50Import Activities 50Brown Tree Snake Activities 50Export Activities 51Revenues 51Citations and Summons 51Educational Activities 51

Quality Assurance DivisionCommodities Branch Activities 52Measurement Standards Branch Activities 53

List of Tables and Charts