Senate reviews Department of Public Lands FY2026 plan as DPL seeks flexibility, grants and new leases

The Senate Fiscal Affairs Committee on Sept. 3 heard the Department of Public Lands’ (DPL) FY2026 budget submission and a detailed overview of the agency’s priorities, grants and revenue outlook.

DPL Secretary Sixto Igi Somer opened with a statement of strategy, saying, "The Department of Public Lands begins fiscal year 2026 with a clear mandate and sharpened focus." He told senators the department’s FY26 plan centers on five objectives: strengthen compliance and stewardship; expand homestead development; optimize land use and economic development; reinforce fiscal and administrative capacity; and deepen public trust through cultural stewardship and more accessible engagement.

The department asked the legislature to approve $4.8 million in DPL-restricted revenue for FY2026. Secretary Somer and DPL finance staff described that figure as conservative and asked the committee for an administrative provision allowing the department to request authority to spend additional revenues if collection exceeds the $4.8 million reservation.

Senators and DPL staff discussed recent collections and projections in detail. DPL reported that the approved FY2025 budget was $5,560,000 and year-to-date collections through July 31 were $5,340,000. DPL said it expects to collect additional revenue in August and September and estimated a cash balance of roughly $7 million in DPL accounts at the time of the hearing. Secretary Somer estimated that, if the FY2026 reservation remains $4.8 million, about $783,808 could be remitted to the MPOT account after obligations and reserves.

DPL identified several near-term revenue opportunities that are not in the $4.8 million baseline. The department said finalizing new or renegotiated leases for Kanoa Resort, a Rota resort and Managaha could generate approximately $1.6 million in annual revenue if all proceed. DPL said there are about 65 long-term leased properties included in the FY2026 revenue projection and…