HI SB2826

Amends Section 216 of the Hawaiian Homes Commission Act, 1920 to require the Department of Hawaiian Home Lands (DHHL) to develop and implement a loan servicing manual subject to commission approval.

Loan servicing manual must adopt loan mitigation policies and procedures including financial counseling, loan loss mitigation analysis, loan modification, and other options to help lessees and borrowers avoid default and foreclosure.

Manual shall incorporate all applicable federal rules and regulations, including those protecting active military service members, and DHHL must document all loan loss mitigation activities with borrowers.

Makes loan acceleration subject to the policies and procedures provided in the loan servicing manual when the department declares a borrower's principal and interest immediately due.

Takes effect July 1, 2050, subject to consent of the United States.