RELATING TO OWNERSHIP OF AGRICULTURAL LAND.
What changed between versions
Changed the prohibition from all corporations to specifically 'prohibited entities' defined as corporations, trusts, non-resident entities, or investment funds.
Added new definitions for 'prohibited entity,' 'exempt entity,' 'resident,' and 'farming' to clarify who is restricted and who is allowed.
Created specific exemptions for entities where a majority of owners are active Hawaii residents engaged in farming, with a limit of fifteen shareholders.
Mandated annual reporting for exempt entities to the Department of Agriculture to verify continued compliance.
Established a five-year transition period for prohibited entities to divest land or restructure operations to qualify for exemptions.
Added specific penalties including fines of at least $50,000 per year of non-compliance and mandatory divestiture of land.