This bill amends existing laws regarding the leasing of state land for agricultural purposes in Alaska. It introduces a new section, AS 38.05.084, which allows the commissioner to lease state land not classified as agricultural for agricultural purposes, provided that the lease agreements include land use restrictions consistent with agricultural objectives. The application process for leasing such land is detailed, requiring applicants to submit specific information about the land and proposed use. The bill also establishes criteria for awarding leases based on the merit of agricultural proposals rather than monetary considerations, and it allows for a 10-year lease term with options for five-year renewals, contingent on the lessee's compliance with lease terms.

Additionally, the bill amends existing sections to include the new agricultural leasing provisions and updates the lessee preference rules to incorporate leases under the new section. It specifies that the director will establish a fee schedule for agricultural leases, which may be set below fair market rates, and outlines penalties for violations of the new provisions. The bill is set to take effect on January 1, 2027.

Statutes affected:
HB0296A, AM HB 296, introduced 02/06/2026: 38.05.070, 38.05.075, 38.05.083, 38.05.084, 38.05.810, 38.05.035, 38.05.073, 38.05.081, 38.05.082, 38.05.087, 38.05.102, 38.05.565, 38.05.600, 38.05.860, 38.04.045, 38.05.840, 38.05.020, 38.05.945, 40.25.110, 40.25.220