STAND. COM. REP. NO. 259-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2466
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Consumer Protection and Commerce, to which
was referred H.B. No. 2466 entitled: 

     "A BILL FOR AN ACT RELATING TO ESCROW DEPOSITORIES,"

begs leave to report as follows:

     The purpose of this measure is to amend the escrow
depository law to:

     (1)  Authorize the Commissioner of Financial Institutions
          (Commissioner) to protect the confidentiality of
          certain commercial, financial, personal, and other
          information in escrow depository company applications
          and records, heretofore protected only by agency rule;

     (2)  Replace agency rules for the voluntary termination of
          escrow depository operations, with revised,
          standardized procedures consistent with those
          applicable to other financial institutions regulated by
          the Division of Financial Institutions (Division);

     (3)  Give the Commissioner authority to:

          (A)  Waive fees for good cause; and

          (B)  Set fees by rule, for:

               (i)   The establishment or relocation of an escrow
                     depository branch;

 
 
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               (ii)  The voluntary termination of escrow
                     depository operations; and

               (iii) The search, review, or segregation of
                     Division records in response to a request.

     Your Committee received testimony in support of this measure
from the Department of Commerce and Consumer Affairs.

     Your Committee has amended this bill by making technical,
nonsubstantive amendments for purposes of clarity, consistency,
and style.

     As affirmed by the record of votes of the members of your
Committee on Consumer Protection and Commerce that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 2466, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B. No.
2466, H.D. 1, and be referred to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Consumer
                                   Protection and Commerce,



                                   ______________________________
                                   RON MENOR, Chair