Whether you’re involved in the excitement of starting a new business or busy with the day-to-day demands of running your existing operations, it’s easy to ignore the need for licenses and permits. While obtaining the appropriate licenses and permits and ensuring that you are operating in accordance with zoning laws and regulations may seem like a grueling task, failing to do so is one of the most common mistakes business owners make and it could expose you to unnecessary business risk. This lesson provides high level information on Hawaiʻi’s zoning laws and on some of the common licenses and permits you need to be aware of. In addition, it will direct you to places where you can find additional information and to resources that can help you meet these legal requirements.
Who is this for and why is this important?
Everyone starting or running a business should take the time to ensure they have the proper licenses and permits to operate their business and that their property is appropriately zoned for the type of business they are in. These regulations are enforced and monitored by state and local (city and county) governments. Verifying this information early can help you avoid fines, penalties, or interruptions in business that could occur as you try to clear-up issues that may arise later. Additionally, some licenses and certifications can give you a marketing advantage by distinguishing your goods or services from your competitors’.
Zoning laws
All land in Hawaiʻi is classified into one of four categories: Conservation, Agricultural, Rural, or Urban. These designations were initially established by the State Land Use Commission (LUC). Changes to the designations can be made by ordinance of the County Council for areas of 15 acres or less; otherwise, the LUC must approve changes. Only the LUC can take land out of the conservation district. Typically, amendments to land designations are initiated by landowner applications and reviewed on a case-by-case basis.
Zoning is the primary means for controlling land use. All areas on the island, except for federal lands like the national parks, and some areas in the conservation district, are zoned. The Zoning Code lists the permitted uses within each zone, and also the required setbacks, height limits, parking areas for commercial developments, and other controls.
Zoning changes are reviewed by the Planning Commission, but must be finally approved by the County Council through ordinance.
It is important that you verify that your property is in the appropriate zone for your particular type of business and that any structures, parking areas, etc. are allowed under the zoning code, as violations to zoning laws can be severe and costly. The City and County of Honolulu’s Department of Planning and Permitting offers advice on how to verify that a specific kind of structure, activity or use of land is allowed on the website:
http://www.honoluludpp.org/PermitInfo/
http://honoluludpp.org/downloadpdf/zoning/lupdfaqs.pdf
Actions that require permits/licenses
Operating a business usually requires that you register in the state that you plan to do business in and with the Federal government (this is discussed in more detail in the Business Structure and Registration lesson of this Guidebook). Once you have started your business, you may find that additional permits or licenses might be needed. A typical example is a building permit, which is required to erect, construct, alter, remove or demolish any building or structure. You are even required to obtain a sign permit if you want to install, construct, alter, relocate, or reconstruct any sign or a temporary permit if you want to set-up a tent or similar structure for commercial purposes.
In addition to the situations described above, there may be several licenses needed to obtain to operate an agricultural business. What follows are typical examples of some of the common licenses/certifications you will be expected to obtain as an agricultural grower/producer:
- Pesticide Applicator Certification – You must be certified to use certain types of pesticides on your farm. The Hawaiʻi Department of Agriculture (HDOA), Pesticides Branch regulates the manufacture, sale, and use of pesticides in the State of Hawaiʻi. There are two types of certified applicators: Private Applicators and Commercial Applicators. Private Applicators are those who are involved in agricultural production (farming) on land operated by themselves or their employer. Commercial Applicators make up the rest.
- Dealer’s License – This is required when selling or handling Hawaiʻi grown agricultural products obtained or purchased directly from a farmer or producer.
- Special Management Area Permit – This is required if you are doing any soil disturbing work such as: grading (more than 3’ elevation change, or 50 cubic yards), stockpiling (more than 100 cubic yards), grubbing (removing any vegetation on 15,000 square feet or greater), and trenching if the planned work is in a Special Management Area (this is mostly work near the coastal areas and is tied to Coastal Zone Management program requirements).
There may also be certain licenses or certifications related to your business that are not required but you may want to obtain to distinguish yourself from your competition. An example is the food safety certification, which is discussed in greater detail in the Food Safety Certification lesson of this Guidebook or the HDOA Seal of Quality (SOQ), which was launched to distinguish Hawaiʻi grown or made products.
Considerations and processes to obtain permits/licenses
State and county agencies increasingly have turned to the Internet to provide many of their services online. If Internet access is not readily available to you, addresses and phone numbers of the appropriate agencies have been included at the end of this document.
- The City and County of Honolulu Department of Planning and Permitting has developed an online Honolulu Internet Permit System site to assist in the building permit application process: http://dppweb.honolulu.gov/dppweb/
- Pesticide Applicator Certification –To become certified, you must pass a written examination(s). Certifications are good for five years from date of issue. To arrange for testing, contact the HDOA’s Pesticides Branch. Application forms can be obtained online at http://hawaii.gov/hdoa/pi/pest . For study material for the examination and for information on preparatory classes, contact the University of Hawai‘i, Cooperative Extension Service at (808) 956-6007.
- The State of Hawaiʻi Department of Agriculture Commodities Branch is designed to assist in the development of agricultural industries through quality assurance of agricultural commodities and licensing of dealers in agricultural products. Application forms for many of the certifications/licenses discussed above (e.g., Dealer’s License, Food Safety Certification information) and additional information on issues that have not discussed here (e.g., seed certification and grading standards), can be found online on their website (http://hawaii.gov/hdoa/qad/comm).
- HDOA Seal of Quality Program – To meet program standards, all fresh agricultural products must be produced entirely in Hawaiʻi and meet the highest quality standard. Value-added processed agricultural and food products, for which the primary agricultural product has been produced entirely in Hawaiʻi, must also meet the 51% wholesale value-added requirement and be in compliance with all state laws. Applications and regulations can be found online at: http://hawaii.gov/hdoa/add/soq/SOQPgrmHist
Next steps and resources
- State of Hawaiʻi Department of Agriculture forms can be located at: http://www.hawaiiag.org/hdoa/forms.htm
- City and County of Honolulu Department of Planning and Permitting: http://www.honoluludpp.org/
Frank F. Fasi Municipal Building
Department of Planning and Permitting
650 So. King St
Honolulu, HI 96813
Ph: (808) 768-8127 (Customer Service)
Fax: (808) 527-6743
E-mail: info@honoluludpp.org
Honolulu Internet Permit System: http://dppweb.honolulu.gov/dppweb/
Honolulu Land Information System: http://honoluludpp.org/gis/
Building Permit Informational Brochure: http://honoluludpp.org/downloadpdf/CONSTRUCTION/bpinfo.pdf
- HDOA Seal of Quality Program: http://hawaii.gov/hdoa/add/soq
Hawaiʻi Department of Agriculture
Agricultural Development Division
Market Development Branch
1428 South King Street
Honolulu, HI, 96814-2512
Ph: (808) 973-9595
Fax: (808) 973-9590
http://hawaii.gov/hdoa/add/md
E-mail: hdoa.md@hawaii.gov
- The State of Hawaiʻi Dept. of Agriculture Commodities Branch: http://hawaii.gov/hdoa/qad/comm
Commodities Branch
Hawaiʻi Department of Agriculture
Quality Assurance Division
1851 Auiki Street
Honolulu, HI 96819-3100
Ph: (808) 832-0700
Fax: (808) 832-0683
http://hawaii.gov/hdoa/qad
- State of Hawaiʻi Land Use Commission: http://luc.state.hi.us/
- Online access to Land Use Maps: http://luc.state.hi.us/luc_maps.htm