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Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Research and Development DATE STAFF CONTACT: Glenn Sako, Agriculture Specialist PHONE 5/15/2015 961-8811 A. REQUEST: To allow the Department of Research and Development to accept a $450,000 grant from the State Department of Agriculture. Waive: Finance Committee due to the limited timeframe. County needs to enter into a grant agreement with the State Department of Agriculture, who is required to encumber their funds prior to June 30, 2015. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The State of Hawaii Department of Agriculture (HDOA) is looking to partner with the County of Hawaii to carry out the Pesticide Subsidy Program as outlined by Act 105, Session Laws of Hawaii 2014. HDOA will be allocating $450,000 for the implementation of this program, which will continue until July 1, 2019 or until funding in the contract is exhausted. The coffee berry borer (CBB) is an insidious pest that is threatening the viability of Hawai`i's coffee industry. Research has shown that subsidizing the cost of pesticides is an effective and necessary incentive to encourage farmers to adopt recommended pest management strategies. This program will provide assistance to coffee growers by offsetting the cost of purchasing pesticides containing Beauveria bassiana, a naturally occurring fungus known to cause mortality in CBB. As CBB is most prevalent on Hawaii Island, a collaborative partnership with the County would enable the easiest access to the program for our coffee farmers most in need. HDOA will administer the program, including the collection and verification of pesticide receipts and the calculation and distribution of the subsidy. The County will provide outreach to affected coffee farmers and work with HDOA to track the effectiveness of the program. SIGNED: �� DATE: �� " j's Department Head