Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection and Housing, to which was referred H.B. No. 586, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to authorize the conversion of the professional and vocational licenses of business entities being converted into or merged to form new entities.

The Department of Commerce and Consumer Affairs testified in support of this measure with amendments.

Act 280, Session Laws of Hawaii 1999, established requirements for the conversion of business entities, but failed to address the issue of a converted business entity's professional or vocational license. This measure cures this oversight by authorizing the conversion of the professional and vocational licenses of business entities that have converted into or merged to form new entities, upon compliance with application and fee requirements and continuing compliance with licensing requirements.

Your Committee has amended this measure by replacing its contents with the language of a similar measure, S.B. No. 1062, S.D. 1. As amended, this measure:

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection and Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 586, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 586, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.