Title 48Territories and Insular PossessionsRelease 119-73

§203 SETTLEMENT OF FEDERAL CLAIMS.

Title 48 › Chapter CHAPTER 3— - HAWAII › § 203

Last updated Apr 6, 2026|Official source

Summary

The Secretary must figure the value of federal lands in Hawaii that were first set aside as available under the Hawaiian Homes Commission Act on July 9, 1921, but later came under federal control. The Secretary must also value the lost use of those lands. Those values should be set no later than 1 year after Nov. 2, 1995, unless the Secretary and the Chairman agree to more time. The Secretary must use a valuation method the Chairman accepts and that is in the beneficiaries’ best interest. If they disagree, the lands will be appraised under standards both agree to. The Chairman can give evidence, see a draft appraisal, comment on it, and dispute it. The Secretary and the Chairman may use bargaining, mediation, or other dispute resolution if needed. The Secretary may give or exchange federal lands in Hawaii to the Department of Hawaiian Home Lands as compensation for lands kept by the federal government or for lost use. Exchanged land must be at least equal in value to what is kept or owed, with value set on the exchange date or another date the Secretary and Chairman agree to. Lands in the National Park or Wildlife Refuge systems, lands the federal government must give to the State under the Hawaii Admission Act, and lands that produce income may not be conveyed. Lands given must be treated as available under the Hawaiian Homes Commission Act, and the Chairman may sell some and use proceeds under section 207(a). The Secretary and Chairman must consult and report to beneficiaries. The United States will defend and protect the Department of Hawaiian Home Lands, its employees, and beneficiaries against claims tied to ownership before conveyance. When Defense or GSA screens excess property in Hawaii, they must notify the Chairman; the Chairman then has 90 days to pick property for appraisal and 30 days after appraisal to request conveyance, which must be done without payment. Any such conveyed property reduces the Secretary’s owed value by its appraised amount.

Full Legal Text

Title 48, §203

Territories and Insular Possessions — Source: USLM XML via OLRC

“(a)“(1)The Secretary shall determine the value of the following:
“(A)Lands under the control of the Federal Government that—
“(i)were initially designated as available lands under section 203 of the Hawaiian Homes Commission Act [former 48 U.S.C. 697] (as in effect on the date of enactment of such Act [July 9, 1921]); and
“(ii)were nevertheless transferred to or otherwise acquired by the Federal Government.
“(B)The lost use of lands described in subparagraph (A).
“(2)(A)Except as provided in subparagraph (B), the determinations of value made under this subsection shall be made not later than 1 year after the date of enactment of this Act [Nov. 2, 1995]. In carrying out this subsection, the Secretary shall use a method of determining value that—
“(i)is acceptable to the Chairman; and
“(ii)is in the best interest of the beneficiaries.
“(B)The Secretary and the Chairman may mutually agree to extend the deadline for making determinations under this subparagraph beyond the date specified in subparagraph (A).
“(3)The Secretary and the Chairman may mutually agree, with respect to the determinations of value described in subparagraphs (A) and (B) of paragraph (1), to provide—
“(A)for making any portion of the determinations of value pursuant to subparagraphs (A) and (B) of paragraph (1); and
“(B)for making the remainder of the determinations with respect to which the Secretary and the Chairman do not exercise the option described in subparagraph (A), pursuant to an appraisal conducted under paragraph (4).
“(4)(A)Except as provided in subparagraph (C), if the Secretary and the Chairman do not agree on the determinations of value made by the Secretary under subparagraphs (A) and (B) of paragraph (1), or, pursuant to paragraph (3), mutually agree to determine the value of certain lands pursuant to this subparagraph, such values shall be determined by an appraisal. An appraisal conducted under this subparagraph shall be conducted in accordance with appraisal standards that are mutually agreeable to the Secretary and the Chairman.
“(B)If an appraisal is conducted pursuant to this subparagraph, during the appraisal process—
“(i)the Chairman shall have the opportunity to present evidence of value to the Secretary;
“(ii)the Secretary shall provide the Chairman a preliminary copy of the appraisal;
“(iii)the Chairman shall have a reasonable and sufficient opportunity to comment on the preliminary copy of the appraisal; and
“(iv)the Secretary shall give consideration to the comments and evidence of value submitted by the Chairman under this subparagraph.
“(C)The Chairman shall have the right to dispute the determinations of values made by an appraisal conducted under this subparagraph. If the Chairman disputes the appraisal, the Secretary and the Chairman may mutually agree to employ a process of bargaining, mediation, or other means of dispute resolution to make the determinations of values described in subparagraphs (A) and (B) of paragraph (1).
“(b)“(1)Subject to paragraphs (2) and (5), the Secretary may convey Federal lands described in paragraph (5) to the Department of Hawaiian Home Lands in exchange for the continued retention by the Federal Government of lands described in subsection (a)(1)(A).
“(2)(A)The value of any lands conveyed to the Department of Hawaiian Home Lands by the Federal Government in accordance with an exchange made under paragraph (1) may not be less than the value of the lands retained by the Federal Government pursuant to such exchange.
“(B)For the purposes of this subsection, the value of any lands exchanged pursuant to paragraph (1) shall be determined as of the date the exchange is carried out, or any other date determined by the Secretary, with the concurrence of the Chairman.
“(3)Subject to paragraphs (4) and (5), the Secretary may convey Federal lands described in paragraph (5) to the Department of Hawaiian Home Lands as compensation for the lost use of lands determined under subsection (a)(1)(B).
“(4)(A)the value of any lands conveyed to the Department of Hawaiian Home Lands by the Federal Government as compensation under paragraph (3) may not be less than the value of the lost use of lands determined under subsection (a)(1)(B).
“(B)For the purposes of this subparagraph, the value of any lands conveyed pursuant to paragraph (3) shall be determined as of the date that the conveyance occurs, or any other date determined by the Secretary, with the concurrence of the Chairman.
“(5)(A)Subject to subparagraphs (B) and (C), Federal lands located in Hawaii that are under the control of an agency (other than lands within the National Park System or the National Wildlife Refuge System) may be conveyed to the Department of Hawaiian Home Lands under paragraphs (1) and (3). To assist the Secretary in carrying out this Act [title], the head of an agency may transfer to the Department of the Interior, without reimbursement, jurisdiction and control over any lands and any structures that the Secretary determines to be suitable for conveyance to the Department of Hawaiian Home Lands pursuant to an exchange conducted under this section.
“(B)No Federal lands that the Federal Government is required to convey to the State of Hawaii under section 5 of the Hawaii State Admission Act [section 5 of Pub. L. 86–3, set out above] may be conveyed under paragraph (1) or (3).
“(C)No Federal lands that generate income (or would be expected to generate income) for the Federal Government may be conveyed pursuant to an exchange made under this paragraph to the Department of Hawaiian Home Lands.
“(c)“(1)Subject to paragraphs (2) and (3), the Secretary shall require that lands conveyed to the Department of Hawaiian Home Lands under this Act [title] shall have the status of available lands under the Hawaiian Homes Commission Act.
“(2)Notwithstanding any other provision of law, lands conveyed to the Department of Hawaiian Home Lands under this paragraph may subsequently be exchanged pursuant to section 204(3) of the Hawaiian Home Commission Act [former 48 U.S.C. 698(3)].
“(3)Notwithstanding any other provision of law, the Chairman may, at the time that lands are conveyed to the Department of Hawaiian Home Lands as compensation for lost use under this Act [title], designate lands to be sold. The Chairman is authorized to sell such land under terms and conditions that are in the best interest of the beneficiaries. The proceeds of such a sale may only be used for the purposes described in section 207(a) of the Hawaiian Homes Commission Act [former 48 U.S.C. 701(a)].
“(d)In carrying out their respective responsibilities under this section, the Secretary and the Chairman shall—
“(1)consult with the beneficiaries and organizations representing the beneficiaries; and
“(2)report to such organizations on a regular basis concerning the progress made to meet the requirements of this section.
“(e)Notwithstanding any other provision of law, the United States shall defend and hold harmless the Department of Hawaiian Home Lands, the employees of the Department, and the beneficiaries with respect to any claim arising from the ownership of any land or structure that is conveyed to the Department pursuant to an exchange made under this section prior to the conveyance to the Department of such land or structure.
“(f)“(1)Notwithstanding any other provision of law, the Secretary of Defense and the Administrator of General Services shall, at the same time as notice is provided to Federal agencies that excess real property is being screened pursuant to applicable Federal laws (including regulations) for possible transfer to such agencies, notify the Chairman of any such screening of real property that is located within the State of Hawaii.
“(2)Notwithstanding any other provision of law, not later than 90 days after receiving a notice under paragraph (1), the Chairman may select for appraisal real property, or at the election of the Chairman, portions of real property, that is the subject of a screening.
“(3)Notwithstanding any other provision of law, with respect to any real property located in the State of Hawaii that, as of the date of enactment of this Act [Nov. 2, 1995], is being screened pursuant to applicable Federal laws for possible transfer (as described in paragraph (1)) or has been screened for such purpose, but has not been transferred or declared to be surplus real property, the Chairman may select all, or any portion of, such real property to be appraised pursuant to paragraph (4).
“(4)Notwithstanding any other provision of law, the Secretary of Defense or the Administrator of General Services shall appriase [sic] the real property or portions of real property selected by the Chairman using the Uniform Standards for Federal Land Acquisition developed by the Interagency Land Acquisition Conference, or such other standard as the Chairman agrees to.
“(5)Notwithstanding any other provision of law, not later than 30 days after the date of completion of such appraisal, the Chairman may request the conveyance to the Department of Hawaiian Home Lands of—
“(A)the appraised property; or
“(B)a portion of the appraised property, to the Department of Hawaiian Home Lands.
“(6)Notwithstanding any other provision of law, upon receipt of a request from the Chairman, the Secretary of Defense or the Administrator of the General Services Administration shall convey, without reimbursement, the real property that is the subject of the request to the Department of Hawaiian Home Lands as compensation for lands identified under subsection (a)(1)(A) or lost use identified under subsection (a)(1)(B).
“(7)Notwithstanding any other provision of law, any real property conveyed pursuant to paragraph (6) shall not be subject to recoupment based upon the sale or lease of the land by the Chairman.
“(8)Notwithstanding any other provision of law, the Secretary shall reduce the value identified under subparagraph (A) or (B) of subsection (a)(1), as determined pursuant to such subsection, by an amount equal to the appraised value of any excess lands conveyed pursuant to paragraph (6).
“(9)No Federal lands that generate income (or would be expected to generate income) for the Federal Government may be conveyed pursuant to this subsection to the Department of Hawaiian Home Lands.

Reference

Citations & Metadata

Citation

48 U.S.C. § 203

Title 48Territories and Insular Possessions

Last Updated

Apr 6, 2026

Release point: 119-73