Bill > SB1460

This bill updates public land lease procedures for the Board of Land and Natural Resources by requiring that lease extensions be drafted using the most current approved lease form, which will incorporate the board's most recent leasing practices and policies. The bill applies to various types of leases, including agricultural, commercial, industrial, and resort leases, and ensures that if there are any conflicts between existing lease terms and updated terms, the updated terms will control. The legislation originated from an audit report and a subsequent investigative committee review that identified issues with how public land leases were being managed. The bill allows the board to modify lease restrictions, extend lease terms, and update lease conditions when granting extensions, with provisions to ensure that the extensions are based on substantial improvements, fair market value, and the economic life of the improvements. Importantly, the bill applies to leases issued through public auction or direct negotiation and clarifies that previous legal precedents do not prevent updating lease terms during extensions. The bill does not affect leases or lease extensions that were fully executed before its effective date.

Agriculture and Natural Resources, Budget and Finance

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=1460&year=2026