Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Tourism and Intergovernmental Affairs, to which was referred H.B. No. 17, H.D. 2, entitled:

begs leave to report as follows:

The purposes of this measure are to require time share developers, prior to offering apartments for sale to the public for the first time, to register with the real estate commission, and to exempt time share plans registered under the time share law and required to provide disclosure to consumers under that law, from duplicative condo disclosure requirements.

Testimony in support of this measure was received from the Department of Commerce and Consumer Affairs, American Resort Development Association, The Bay Club, Hilton Grand Vacations Club, and Pahio Resorts, Inc., and Land Use Research Foundation of Hawaii.

Your Committee finds that, in general, this measure streamlines and clarifies condominium and time share laws by eliminating duplicative requirements. Your Committee further finds that, with regards to the requirement for registration with the real estate commission, the agencies involved have requested additional time to administratively address any concerns arising from the change.

Your Committee has amended this measure to further clarify the applicability of the exemptions, to change the effective date of the Act to January 1, 2002, and to make a technical, nonsubstantive amendment.

As affirmed by the record of votes of the members of your Committee on Tourism and Intergovernmental Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 17, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 17, H.D. 2, S.D. 1, and be referred to the Committee on Commerce, Consumer Protection and Housing.