Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Consumer Protection and Commerce, to which was referred S.B. No. 173, S.D. 2, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to exclude outside public contacts (OPCs), persons employed by or under contract to licensed real estate brokers or registered acquisition agents from the definition of "acquisition agent" in time share law. The measure also clarifies that sales agents and acquisition agents are responsible for actions of their OPCs.

Testimony in support of this measure was received from the Department of Commerce and Consumer Affairs (DCCA), American Resort Development Association of Hawaii, Hilton Grand Vacations Club, Pahio Resorts, Interval International, and a concerned individual.

Your Committee finds that this measure will significantly reduce the amount of paperwork for both industry members and DCCA by allowing direct regulation of OPCs by real estate brokers.

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 S.B. No. 173, S.D. 2, H.D. 1, and recommends that it pass Third Reading.