Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Commerce, Consumer Protection and Housing and Judiciary, to which was referred H.B. No. 599, H.D. 1, entitled:

beg leave to report as follows:

The purpose of this measure is to conform Hawaii's nonprofit corporations law to the most recent version of the Model Nonprofit Corporations Act.

The Commissioner of Securities testified in support of this measure. The University Health Alliance requested an amendment to the measure.

This measure adopts model language consistent with the most recent version of the Model Nonprofit Corporations Act. By adopting model Act provisions uniform with the laws of the majority of the states, this measure facilitates the formation and operation of nonprofit corporations in this State.

Your Committees have amended this measure by replacing its language with the contents of S.B. No. 1075, S.D. 1, a measure that is substantively similar, but technically different from the measure as received. Additionally, your Committees have amended this measure by:

As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection and Housing and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 599, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 599, H.D. 1, S.D. 1, and be placed on the calendar for Third Reading.