April 9, 2026, 10:01 a.m.
Hawaii State Capitol
Conference Room 016 and Videoconference
To: Senate Committee on Judiciary
Sen. Karl Rhoads, Chair
Sen. Mike Gabbard, Vice Chair
From: Grassroot Institute of Hawaii
Ted Kefalas, Director of Strategic Campaigns
RE: TESTIMONY IN SUPPORT OF HB1737 HD3 SD1 — RELATING TO FARM EMPLOYEE HOUSING
Aloha Chair, Vice Chair and other Committee Members,
The Grassroot Institute of Hawaii supports — and offers amendments to — HB1737 HD3 SD1, which would add a definition of the term “farm employee housing” to state law.
Under the bill, farm employee housing would be defined as “one or more residential dwelling units accessory to the farm operation that may be attached or detached from the primary farm dwelling.” The bill would also limit such housing to 800 square feet of habitable space per unit and limit the unit’s occupancy to “agricultural employees and their immediate family members who are actively engaged in the farm operation.”
Grassroot pointed out in its January 2026 policy brief “How to facilitate more housing for Hawaii farm and ranch workers” that a lack of affordable housing has consistently been cited as a barrier to expanding agricultural production in Hawaii. The report also made clear that there is no statewide standard for how and where farm employee housing can be built.
Regarding the proposed amendment, Grassroot believes that this measure should give farmers, ranchers and the counties greater predictability regarding the approval process for farm employee housing. Research indicates that requiring public hearings can complicate approvals and slow down reviews for applicants.[1]
Thus, Grassroot recommends adding the following underlined language to the bill:
provided further that no fee owner of the farm dwelling shall submit any portion thereof to a condominium property regime to separate the ownership of the farm employee housing units from the farm dwelling pursuant to chapter 514B; provided further that agricultural tourism or related activities under paragraph (14) may occur on the same parcel as a farm dwelling when those activities are secondary and incidental to a bona fide agricultural operation, do not occur within farm employee housing units, and comply with county ordinances adopted pursuant to section 205-5; provided further that the county planning director shall have the authority to approve plans for farm employee housing without a public hearing;
Allowing more housing on farms and ranches, especially for temporary and seasonal workers, would be a win for farm and ranch owners, a win for their employees and a win for everyone who enjoys local food.
Consider the following information:
>> Hawaii imports 85-90% of its food supply.[2]
>> A 2020 U.S. Department of Agriculture survey found that 41% of the state’s farmers and ranchers cited a lack of labor as a barrier to expanding their operations.[3]
>> More than 9,500 people in Hawaii were employed as “hired farm labor” in 2023.[4]
>> More than half of those people worked on farms and ranches on Hawaii Island alone,[5] but only one-quarter of Hawaii Island farmers reported hiring labor.
Approving this bill with the suggested amendment could help farmers and ranchers attract and retain workers, because living on the land could minimize commute times and transportation expenses.
Thank you for the opportunity to testify.
Ted Kefalas
Director of Strategic Campaigns
Grassroot Institute of Hawaii
1050 Bishop St. #508 | Honolulu, HI 96813 | 808-864-1776 | info@grassrootinstitute.org
[1] Michael Manville, Paavo Monkkonen and Nolan Gray et al., “Does Discretion Delay Development?” Journal of the American Planning Association, Vol. 89, Issue 23, 2023.
[2] Hannah Leto, Jordan Mitkowski and Katie Hogan et al., “Agricultural Labor on Hawaiʻi Island,” Swette Center for Sustainable Food Systems at Arizona State University, May 2025, p. 1.
[3] “Labor Shortage as a Barrier to Agricultural Expansion 2020,” Hawaii Department of Agriculture in cooperation with the U.S. Department of Agriculture, April 2022.
[4] “Hawaii PYs 2024-2027,” Hawaii Department of Labor and Industrial Relations, p. 70.
[5] Hannah Leto, Jordan Mitkowski and Katie Hogan et al., “Agricultural Labor on Hawaiʻi Island,” Swette Center for Sustainable Food Systems at Arizona State University, May 2025, pp. 4-5.
