HI SR13

Requests the Office of the Auditor to conduct a performance audit of the Department of Hawaiian Home Lands' "paper lease" or "undivided lease" system, where beneficiaries hold lease rights before individual lots are subdivided and assigned.

The Department of Hawaiian Home Lands administers approximately 200,000 acres of trust land under the Hawaiian Homes Commission Act, 1920, for native Hawaiian beneficiaries.

The audit would evaluate effectiveness of transitioning beneficiaries to lot-specific leases, average duration in undivided lease status, administrative efficiency, internal controls, record integrity, and compliance with fiduciary obligations.

Concerns prompting the audit include extended periods beneficiaries wait without assignment to specific lots, recordkeeping consistency, and transparency of beneficiary rights during the undivided lease period.

The Auditor is requested to submit findings and recommendations to the Legislature no later than 20 days before the Regular Session of 2027.