S.B. 739 Summary

• Authorizes the Governor, subject to Board of Land and Natural Resources approval, to negotiate land exchanges of state lands for private agricultural lands to address Hawaii's agricultural self-sufficiency and housing crises.

• Allows exchange of state lands suitable for housing development (within one-half mile of rail stations in Honolulu) for private lands suitable for long-term diversified agricultural production.

• Exempts private housing development on exchanged lands from state and county procurement requirements, impact fees, and other exactions, with expedited reclassification and rezoning within 30 days.

• Requires state lands transferred to private parties to include restrictive covenants or reversionary interests ensuring use for affordable housing, workforce housing, or other housing inventory.

• Directs Governor to report to the legislature by 20 days prior to the 2026 regular session on land exchange feasibility, suitable parcels, and any necessary appropriations or legislation.