Farmers’ Cooperative Association of Guam, Inc

Notwithstanding any other provision of law, the Farmers’ Cooperative Association of Guam, Inc. (Association) is authorized to execute all legal instruments, documents and contracts necessary for the construction and operations of the Farmers’ Market facility, pursuant to P.L. 30-228, on Lot No. 10155-1 (6.9947± acres), in the municipality of Dededo, and must comply with the following:

(a)The association, for the sum of One Dollar ($1.00) per annum for twenty-five

(25)years with an option for automatic renewal for another twenty-five

(25)years, shall have the beneficial use of the property for its development. The Association may subject the property and its improvements to a leasehold mortgage, subject to approval by I Liheslaturan Guåhan.

(b)The use of the property shall be limited to those activities consistent with the mission and purpose of the Association, as detailed in its governing documents, and for the activities authorized herein.

(c)The right to develop the property for the construction of the Farmers’ Market by the Association contained in this Act shall not be conveyed by the Association to any other entity, nor may the entire facility project be sublet to a single entity, without I Liheslaturan Guåhan’s approval. CH. 68 USE AND DEVELOPMENT OF GOVERNMENT AND OTHER LAND Portions of the Farmers’ Market facility may be leased out by the Association to individual vendors, businesses, and other entities, consistent with applicable laws, rules and regulations for the commercial lease of government facilities, and pursuant with the goals and activities of the Association.

(d)Any change in the tax status of the Association shall require notification to I Liheslaturan Guåhan and an immediate renegotiation of payments required in this Act for the use of the property. If such change shall be to a for-profit status, the rate shall be no less than ten percent (10%) of the actual market value of the property.

(e)The Association may grant the Mayor of Dededo, through a memorandum of agreement, access to and use of the premises for the activities authorized in § 68901(b) of Article 9, Chapter 68 of Title 21, Guam Code Annotated, with the exception that the approval by the Department of Land Management shall no longer be required for the issuance of the permits pursuant to § 68901(b).

(f)The Association shall be required after the initial seven

(7)years of the term, to remit two percent (2%) of the Association’s gross income from the operations of the Farmers’ Market facility for the previous year to the account of the Ancestral Land Bank and increased one percent (1%) every five

(5)years thereafter for the remaining term to a maximum of five percent (5%).

(g)The Association shall not sell, mortgage, sublease, assign, encumber, hypothecate, or otherwise transfer its interest in the property without the prior consent of I Liheslaturan Guåhan. Should the Farmers’ Market facility fail to begin construction within three

(3)years of the enactment of this Act, or the amounts required by Subsections

(a)and

(f)of this Section fail to be remitted, the assignment of the property to the Association is hereby revoked, and the Department of Land Management shall file the needed documents with the Recorder’s Office noticing the revocation, and shall include provisions needed to ensure the property is free and clear from any encumbrances to the title.

(h)The Association and its activities shall be subject to an annual audit by the Office of Public Accountability.