Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection and Housing, to which was referred S.B. No. 345, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to require any person who sells more than three motor vehicles in a calendar year to be licensed by the Motor Vehicle Industry Licensing Board (Board).

Testimony in support of this measure was submitted by the Motor Vehicle Industry Licensing Board, Hawaii Insurers Council, and two officers of the Hawaii Independent Auto Dealers Association.

Your Committee finds that licensure of motor vehicle dealers promotes accountability within the industry and ensures that a motor vehicle being sold is legitimately registered and titled. This is especially important in Hawaii which has one of the highest auto theft rates in the nation. Your Committee further finds that this measure will provide parity and legitimacy to licensed motor vehicle dealers whose sales prices include the costs of licensing and deter private individuals who seek to sell motor vehicles at prices far less than those offered by licensed dealers.

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 S.B. No. 345, S.D. 1, and recommends that it pass Third Reading.