REPORT TITLE:
State Leases; Farmers


DESCRIPTION:
Allows lessee farmers on state land to extend their leases after
payment of premium of two years rent.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1998
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO STATE LEASES.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Chapter 171, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to be appropriately designated and to
 
 3 read as follows:
 
 4      "171-     Agricultural leases.  (a)  Section 171-36(a)(1)
 
 5 and any other lease restriction to the contrary notwithstanding,
 
 6 the department may extend a lease made for agricultural purposes
 
 7 to a lessee in good standing; provided that the lessee pays a
 
 8 premium equal to two years lease rent as a condition of the
 
 9 extension; and provided further that the department may accept,
 
10 in lieu of cash payment or a part thereof, the value of
 
11 improvements made (as determined by the department by rule) to
 
12 the leased property within ten years of the extension.
 
13      (b)  The department may adopt rules, pursuant to chapter 91,
 
14 including rules relating to appraisals, lease terms and
 
15 durations, cost recovery, and other issues necessary to
 
16 effectuate this section."
 
17      SECTION 2.  Within six months from the effective date of
 
18 this Act, the department of land and natural resources shall
 
19 notify all agricultural lessees of the terms, conditions, and
 

 
Page 2                                                     1998
                                     H.B. NO.           
                                                        
                                                        

 
 1 restrictions under this Act.
 
 2      SECTION 3.  New statutory material is underscored.
 
 3      SECTION 4.  This Act shall take effect upon its approval.
 
 4 
 
 5                           INTRODUCED BY:  _______________________