Pursuant to and by virtue of the authority set forth in Sec 23-3.4, Kauaʻi County Code, and Chapter 91, HRS, the Director of the Office of Economic Development of the County of Kauaʻi adopts the following rules and regulations for the Sunshine Markets.
General Provisions
Purpose. The Sunshine Markets are permitted to operate at sites provided by the County so that produce grown on Kauaʻi, value-added products, locally produced honey, and live farm-raised fish grown and produced by Kauaʻi farmers can be made available to the public at reduced prices.
Definitions. When used in these Rules, the following words or phrases shall have the meaning given below unless it shall be apparent from the context that a different meaning is intended:
"Farm produce" means vegetables, fruits, flowers, nuts and other agricultural products grown on Kauaʻi.
"Locally Produced Honey" means honey that has been collected from beehives on Kauaʻi.
"Recyclable Paper Bag" means a bag that meets all of the following requirements:(1) contains no old growth fiber; and (2) is one hundred percent (100%) recyclable overall and contains a minimum of forty percent (40%) post-consumer recycled content.
"Reusable Bag" means a bag with handles that is specifically designed and manufactured for multiple reuse and is made of cloth or other machine washable fabric and/or is made of durable material.
"Value-Added Products" means products made of fifty percent (50%) raw agricultural commodities/ingredients grown on the vendor's premises or certified as a "Kauaʻi Grown" product.The value of labor, intellectual property, packaging, or other factors or components used in the final Value-Added Product shall not be included in the aforementioned 50% requirement.
"Director" means the Director of the Office of Economic Development.
"Market Coordinator" means the volunteer vendor designated by the Director or designated staff member.
"Market Monitor" means the person who administers the Sunshine Market Monitor program through Garden Island RC&D with approved County funds.
"Suspension" means suspension from all Sunshine Markets the vendor participates in.
"Cancellation" means permanent cancellation of the vendor's permit to sell in the Sunshine Markets.
"Produce/Products" means Farm produce, Locally Produced Honey, Value-Added Products and/or live farm-raised fish grown by Kauaʻi farmers.
"County" means County of Kauaʻi.
Rules
1) Application Requirements.
1.1. All potential vendors shall obtain, complete, and submit an application for a revocable permit issued by the Office of Economic Development. Upon approval of the application by the Director, the vendor shall be issued a display permit to sell. The permit to sell shall be displayed at all times during the market.The permit is good only for the markets approved and indicated on the permit. Failure to display the permit shall result in a two week suspension. Subsequent violation shall result in cancellation of the vendor's permit
1.2. All vendors shall provide a list of the Produce/Products they intend to sell to the Office of Economic Development at the time of application and every year thereafter. Vendors shall not sell items not on their list.Any additions to the list shall be submitted to Office of Economic Development for approval before the additional items are offered for sale. Failure to provide the list, or sale of items not on the list, shall result in a two week suspension.Subsequent violation shall result in cancellation of the vendor's permit.
1.3. A vendor shall grow at least 50% of the Produce/Product that are sold in their booth, before selling Produce/Product purchased from other vendors. A list of Farm Produce that is grown by another farmer must be submitted with the vendor's application and all items listed will be inspected and confirmed by the Director and/or other designated staff members.
1.4. The Director and/or other designated staff members shall have the authority to inspect all farms and production facilities to confirm agricultural and Value-Added Products listed on the vendor's permit application.
1.5. All vendors shall comply with the provisions of the National Organic Program Final Rule as published 12/21/00 and effective April 21, 2001, Statute 205.101, if they knowingly sell or label a non-conforming product as "organic".
1.6. The vendor is an independent contractor and not the agent, employee, partner or joint venturer of the County. The vendor shall indemnify, hold harmless and defend the County from any and all claims that may be brought against the County on account of any injuries or damages sustained by any person and/or property, due to the negligent acts or omissions by the vendor or his or her employees or representatives during, before or after the Sunshine Market or as a result of having this permit.The vendor shall sign an indemnification agreement developed by the County Attorney holding the County harmless and releasing it from all liability prior to selling any Produce/Product in the Sunshine Markets.
2) Market Requirements.
2.1. The vendor shall obtain and maintain in force automobile liability insurance covering any vehicle used to transport and sell Produce/Products at the Sunshine Market. This insurance shall include no fault and bodily injury coverage of not less than $300,000 per occurrence and property damage coverage of not less than $30,000 per occurrence. Evidence of this insurance coverage shall be furnished to authorized persons upon request, and failure to have this insurance and a valid no-fault insurance card shall be sufficient grounds for cancellation of the vendor's permit.
2.2. Stalls or locations may be reassigned or replaced by the Market Coordinators or Market Monitor for chronic late arrival or lack of regular weekly participation. All stalls or locations are at the pleasure of the Director and no vendor shall have a vested interest in any location or stall.
2.3. Vendors shall be in their assigned stalls no later than 15 minutes before the scheduled start of the market. The market time start time shall be the customary and published time. Vendors shall remain in their stalls until 15 minutes after the published end time of the market and shall vacate the market premises no later than 30 minutes after the published end time of the market. During inclement weather and poor patronage, the Market Coordinator or Market Monitor may end the market early when it is safe to do so. Failure to abide by this rule shall result in a two week suspension. Subsequent violation shall result in cancellation of the vendor's permit.
2.4. The vendor shall display all required permits at vendor's Sunshine Market booth.
2.5. Prices shall be posted for every category of Produce/Product sold without exception in a manner so that the average customer will know the price of an item without having to ask. Failure to abide by this rule shall result in a four week suspension. Subsequent violation shall result in cancellation of the vendor's permit.
2.6. Vendors shall not sell until the Market Coordinator, Market Monitor, or a representative of the Director has given the signal for the market to begin. Produce/Products for sale shall be covered and unavailable to the customers until this signal is given. There shall be no "pre-selling" or "reserving". This is to eliminate pre-market sales, including sales to other vendors, and to ensure that customers arriving at the proper market time have the same opportunity to purchase scarce Produce/Products as those who arrive early. Any sales activity on County property before this signal is a violation of the Sec 23.3.1 of the Kauaʻi County Code 1987, as amended. Failure to abide by this rule shall result in a four week suspension. Subsequent violation shall result in cancellation of the vendor's permit.
2.7. Only Farm Produce grown on Kauaʻi, Value-Added Products, locally produced honey, and live farm-raised fish grown by Kauaʻi farmers shall be sold at the Kauaʻi Sunshine Markets. Vendors selling carrots, tomatoes, cucumbers shall bring to market a sample of said vegetables with tops or stems attached for comparison with any offered for sale without tops or stems. For mangos. lychee, rambutan, longan and related orchard crops where the Kauaʻi season has not begun or has ended, the vendor shall furnish an example of fruit on a branch for comparison. Pineapple peduncles shall exhibit signs of recent harvest. Violationof this rule is grounds for immediate cancellation of a vendor's permit.
2.8. Prohibited products at the Sunshine Markets include but are not limited to the following: meat, meat products, fish (except for live farm-raised fish grown by Kauaʻi farmers), shellfish, fish and shellfish products including smoked meat and fish.
2.9. Sales reports shall be handed in to the Market Coordinator or Market Monitor at the conclusion of each market. Failure to make a report shall be cause for a two week suspension and further failure shall result in cancellation of the permit. Vendors are responsible for complying with any and all state and federal regulations related to the taxation, receipting, recording and reporting of their transactions and the payment of taxes owed. Failure to report and pay taxes on sales is a violation of state law.
2.10 Each vendor is required to confine his or her vehicle, table, tent, containers, Produce/Products within the marked parking stall and a maximum 8 feet further from the end of the parking stall lines by width of the marked parking stall.
2.11. The Sunshine Markets are to be kept clean and safe. The vendor shall execute all operations in a safe and sanitary manner. Food safety, safe vehicle operation, and safe uncluttered market areas are required. No boxes or other items shall be placed on the ground in front of the vendor's table or placed in any manner that a member of the public might trip on those boxes or items. All trash, boxes, debris and produce generated by the vendor's operations shall be completely removed from county property and properly disposed of elsewhere by the vendor. Failure to comply with Market Coordinator's safety and sanitation instructions shall result in a four week suspension.Subsequent violation shall result in cancellation of the vendor's permit.
2.12. Vendors shall comply with the County of Kauaʻi's Re-usable, recyclable paper bag ordinance.
3) Rules for Value-Added Products. Value-added vendors shall:
3.1 Become a qualified member of the "Kauaʻi Made" program and retain that status as long as the vendor sells Value-Added Product(s) at the Sunshine Markets. Every product offered for sale must be an approved "Kauaʻi Made" product.
3.2 Submit to the Office of Economic Development copies of permits establishing that any Value-Added Product requiring a kitchen will be produced in a certified facility as specified by State and Federal laws. Said product(s) shall be labeled as required by State and Federal laws.
3.3 Comply with any and all requirements of the State Department of Health for retail sales without any obligation on the part of the County to assist such vendor or adapt the markets as a result of the sale of processed products.
3.4 Provide the County a certificate of insurance establishing that the vendor is carrying product liability insurance in the amount of one million dollars ($1,000,000) naming the County as an additional insured to the policy. Vendors shall submit notice of renewal to the County on each anniversary of said product liability insurance policy or whenever a new product is added to the policy or upon vending of a new product in the market.
(A) The certificate of insurance shall be completed by a duly authorized representative of the insurer certifying that the liability coverage(s) is written on an occurrence form and that the coverage(s) will not be cancelled, non-renewed, or materially changed by endorsement or through issuance of other policies of insurance without thirty (30) days advance written notice to the County. All coverage required by the vendor will be primary over any insurance or self-insurance program carried by the County.
(B) Vendor shall furnish the County with original certificates and endorsements effecting required coverage(s).All certificates and endorsements are to be received and approved by the County before a Value-Added Product or locally produced honey is sold.The County reserves the right to require complete certified copies of all required insurance policies, including endorsements affecting the coverage required at any time.
(C) Failure to secure and maintain the required insurance shall be considered a major breach of the privilege of selling at the Sunshine Market.Should the County be forced to expend funds that would have been covered under the specified insurance, the vendor shall agree to reimburse the County for such funds.
4) Enforcement.
4.1. Violations of the rules shall result in suspension from the market, and repeated or flagrant violations shall result in cancellation of the offender's permit. Determination to cancel a permit shall be made by the Director or a designated representative at the recommendation of the Market Coordinators or OED staff member.The Market Coordinators and Market Monitor operate under the authority of the Director and may suspend Vendors for up to two weeks for infractions of the rules.
4.2. Appeals of cancellations or suspensions shall be made in writing to the Office of Economic Development and shall detail the reasons for why the penalty should not be exacted. These reasons shall have to do with the findings in fact and not interpretation of the rules which shall be the sole responsibility of the Director or a designated representative.
4.3. Vendors may petition for a change of rules by means of a petition signed by thirty vendors holding Sunshine Market permits. The petition shall refer to the rule to be amended and shall have the specific language of the proposed change detailing the advantage to County and to the vendor of adopting the amendment. The Director may initiate a change of the rules through a process of public hearing, if such a change is deemed to be in the public interest.
OFFICE OF ECONOMIC DEVELOPMENT
4444 Rice Street, Ste 200; Līhuʻe, HI 96766
Phone 241-4946, Fax 241-6399
December 30, 2011