Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committees on Commerce, Consumer Protection and Housing and Science, Arts, and Technology, to which was referred S.B. No. 2382 entitled:

beg leave to report as follows:

The purpose of this measure is to discourage the sale and facilitate the recovery of stolen property by requiring pawnbrokers and secondhand dealers to post photographs of and information regarding their merchandise on a website developed and maintained under the auspices of the county police departments. This measure also appropriates funds to the counties to develop and implement a website for the above purpose.

Testimony in support of the measure was received from Simple Technology, Inc. and an individual. The Honolulu Police Department and the Hawaii Pawnbrokers Association testified in opposition to the measure.

Supporters of this measure testified that requiring pawnshops and secondhand stores to post on a website photographs of and information regarding items received would discourage the use of these establishments to sell stolen property and would facilitate the identification of stolen items by the public. Opponents of the measure raised concerns relating to personal and financial privacy, the burden imposed on small business owners, and the inadequacy of the proposed appropriation.

Several states have adopted similar programs which are currently under review by the Honolulu Police Department. While your Committees acknowledge the concerns raised by law enforcement and industry members regarding the website requirement, your Committees find that the proposed procedures may help to prevent or reduce property crime.

In order to encourage further examination and discussion of the above issues, your Committees have amended this measure by inserting therein a delayed effective date of July 1, 2030. Your Committees also made technical amendments for purposes of style and to correctly reflect the language in the Hawaii Revised Statutes.

Finally, your Committees respectfully request that the Committee on Ways and Means, in its deliberations on this measure, explore sources of funding, in addition to general revenues, to fund the development and implementation of the proposed website.

As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection and Housing and Science, Arts, and Technology that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2382, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2382, S.D. 1, and be referred to the Committee on Ways and Means.