Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 2018, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to allow tenants of state agricultural lands, within five years of lease expiration, to petition the Department of Land and Natural Resources (DLNR) to place an advertisement for auction to determine whether there are other persons interested in bidding for a lease on the property. If the existing lessee is outbid by another person, the existing lessee shall be compensated for the residual value of any improvements made by the new tenant. If no one is interested in bidding for the lease, DLNR shall negotiate a new lease with the existing tenant not to exceed the term of the previous lease.

The Hawaii Farm Bureau Federation testified in support of this measure. DLNR commented on this measure.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2018, H.D. 1, and recommends that it pass Third Reading.