REPORT TITLE:
Contractors; Unlicensed


DESCRIPTION:
Includes in addition to fines, the tools, implements,
armamentriums, documents, materials and other property in case of
forfeiture for violation of licensed contractor work.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1933
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
________________________________________________________________
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                   A  BILL  FOR  AN  ACT

RELATING TO UNLICENSED CONTRACTORS.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Findings and purpose.  The prevalence of
 
 2 unlicensed contractors in this State is a public safety hazard.
 
 3 Licensure assures the public that the contractor so licensed has
 
 4 passed a written competency test, has the specified experience,
 
 5 has a history of honesty and fair dealing, has valid workers'
 
 6 compensation coverage for the contractor's employees, has
 
 7 personal injury and property damage insurance, and participates
 
 8 in the contractors recovery fund.  These provisions protect the
 
 9 integrity of the profession and provide assurances to the public
 
10 that their homes and businesses will be built safely and
 
11 competently.  Unlicensed contractors often bilk the public by
 
12 promising more than they can perform competently, and then
 
13 failing to complete the job or doing so inadequately.
 
14      The purpose of this Act is to subject property that was used
 
15 in unlicensed activities to administrative forfeiture
 
16 proceedings.
 
17      SECTION 2.  Section 444-23, Hawaii Revised Statutes, is
 
18 amended by amending subsection (c) to read as follows:
 
19      "(c)  Except as provided in subsections (a), (b), (d), and
 

 
Page 2                                                     1933
                                     H.B. NO.           
                                                        
                                                        

 
 1 (e), any person who violates or fails to comply with this chapter
 
 2 shall be fined not less than $100 or more than $5,000 for each
 
 3 violation; provided that any person who violates section 444-9
 
 4 shall be fined:
 
 5      (1)  $500 or forty per cent of the total contract price,
 
 6           whichever is greater, for the first offense;
 
 7      (2)  $1,000 or forty per cent of the total contract price,
 
 8           whichever is greater, for the second offense; [and]
 
 9      (3)  $5,000 or forty per cent of the total contract price,
 
10           whichever is greater, for any subsequent offense[.];
 
11           and
 
12      (4)  All tools, implements, armamentriums, documents,
 
13           materials, or any other property used by any person who
 
14           violates section 444-9 may be the subject of a notice
 
15           of forfeiture and shall be turned over to the
 
16           department for disposition as it deems appropriate;
 
17           (A)  Any person issued a notice of forfeiture may
 
18                submit a written request to the director for a
 
19                hearing within twenty days of receipt of the
 
20                notice;
 
21           (B)  If the person receiving the notice of forfeiture
 
22                timely notifies the director of the request for a
 

 
 
 
Page 3                                                     1933
                                     H.B. NO.           
                                                        
                                                        

 
 1                hearing, the director shall afford an opportunity
 
 2                for a hearing under chapter 91.  The hearing shall
 
 3                be conducted by the director or the director may
 
 4                designate a hearings officer to hold the hearing.
 
 5                The director or designated hearings officer shall
 
 6                have the power to issue subpoenas, administer
 
 7                oaths, hear testimony, find facts, make
 
 8                conclusions of law, and issue a final order of
 
 9                forfeiture;
 
10           (C)  If the person whose property has been seized does
 
11                not submit a written request to the director for a
 
12                hearing within twenty days from service of the
 
13                notice of forfeiture, the notice of forfeiture
 
14                shall be deemed a final order of the director;
 
15           (D)  If any party is aggrieved by the decision of the
 
16                director or the designated hearings officer, the
 
17                party may appeal in the manner provided in chapter
 
18                91 to the circuit court;
 
19           (E)  Upon issuance of final order or entry of judgment
 
20                finding that section 444-9 has been violated, the
 
21                director or circuit court judge may enter an order
 
22                of forfeiture.  All proceeds generated from any
 

 
 
 
Page 4                                                     1933
                                     H.B. NO.           
                                                        
                                                        

 
 1                forfeiture action pursuant to this section shall
 
 2                be deposited in the special fund established under
 
 3                section 26-9(o)."
 
 4      SECTION 3.  Statutory material to be repealed is bracketed.
 
 5 New statutory material is underscored.
 
 6      SECTION 4.  This Act shall take effect upon its approval.
 
 7 
 
 8                              INTRODUCED BY:______________________