This Chapter provides for procedures for the acquisition of land for public purposes by the State of Kosrae and transfer of title in public land.As for acquisition of land, the State shall conduct friendly negotiations with the owner of the land, and only after failure to acquire the land in such manner, may initiate court action aimed at expropriation. The Chapter sets out the criteria for acquisition of land for public use. As for transfer of title of public land, this may be done by the Governor upon approval of the Legislature.

This Chapter concerns the designation by the Governor of Kosrae of homestead areas and the establishment of such areas and specifies requisites for eligibility and conditions for the entry upon and occupancy of public land in homesteading areas. Lands suitable agricultural or grazing purposes or for the establishment of community sites, and which are not required for government use or reserved for other purposes by any other provision of law, may be designated by the Governor for homesteading purposes.

This Chapter authorizes the district administrator of each administrative district to execute leases and other use agreements of public land of a duration of not more than 25 years to Trust Territory citizens or corporations or other business associations wholly owned by citizens of the Trust Territory. Such leases or other use agreements shall be on forms approved by the Attorney General and shall be granted in accordance with the policies established by Law or by Regulations issued by the Land and Claims Administrator and approved by the High Commissioner.