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 S.B. No. 180 entitled:

begs leave to report as follows:

The purpose of this measure is to provide the Department of Commerce and Consumer Affairs with the flexibility to determine appropriate disclosures for time share plan promotional materials through rulemaking.

Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs, American Resort Development Association of Hawaii, Hilton Grand Vacations Club, Marriott International, Inc., The Bay Club Ownership Resort, Inc., and Pahio Resorts, Inc.

Your Committee finds that the disclosure specifications under current law may not be appropriate for all types of printed materials and the flexibility proposed in this measure will allow the department to develop more appropriate requirements.

Your Committee has also heard the department's recommendations that the proposed language retain a description of the printed style of the disclosure in paragraph (7), and include a specific reference to time share activity in paragraph (14) of section 514E-11.1, Hawaii Revised Statutes. Your Committee has amended this measure accordingly.

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 S.B. No. 180, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 180, S.D. 1, and be referred to the Committee on Commerce, Consumer Protection and Housing.