HI HB565

Allows the Department of Land and Natural Resources and other state agencies to enter into lease agreements with qualified community development entities engaged in projects under the federal New Markets Tax Credit Program.

Lease rental rates must be no more than 10 percent below the prevalent market rate for lands of similar fair market value.

Requires lessees to be qualified community development entities and projects must be valued at no less than $20,000,000 with an awarded allocation under the New Markets Tax Credit Program.

Mandates that at least 80 percent of the workforce performing construction work shall be comprised of Hawaii residents.

Effective July 1, 2011, with a sunset date of December 31, 2012; lease agreements entered into before January 1, 2013, shall continue at the agreed rate.