S.B. 495 Summary

• Adds volunteer exemptions to Chapter 421 (agricultural cooperatives) by applying Section 421C-33 provisions to associations formed under Chapter 421.

• Allows cooperatives to operate as agents selling member and nonmember patron products on a nonprofit basis, paying resale prices minus uniform handling expenses that are specified in contracts, ascertainable, or determined by directors.

• Expands the definition of "person" in cooperative law to include sacred species and natural ecosystems, which may participate through guardians acting in their best interest.

• Adds land leasing to member cooperatives as an enumerated cooperative activity purpose under Section 421-2.

• Modifies referendum provisions to allow member approval of board-approved policies by two-thirds affirmative vote at regular or special meetings, not just by director demand.

• Clarifies that membership stock, certificates, patronage equity, preferred stock, and notes issued to cooperative members are exempt securities under Hawaii law.