CONFERENCE COMMITTEE REP. NO. 179
Honolulu, Hawaii
, 2005
RE: S.B. No. 1132
S.D. 2
H.D. 1
C.D. 1
Honorable Robert Bunda
President of the Senate
Twenty-Third State Legislature
Regular Session of 2005
State of Hawaii
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-Third State Legislature
Regular Session of 2005
State of Hawaii
Sir:
Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1132, S.D. 2, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO CONDOMINIUMS,"
having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.
The purpose of this measure is to complete the recodification of the condominium property regimes law begun under Act 164, Session Laws of Hawaii 2004 (Act 164), by establishing provisions relating to:
(1) The creation, alteration, and termination of condominiums;
(2) The registration and administration of condominiums; and
(3) The protection of condominium purchasers.
Additionally, this measure:
(1) Amends section -149 of the new chapter established in the Hawaii Revised Statutes (HRS) by Act 164 to allow condominium associations to purchase investment products from out-of-state financial institutions and to purchase certificates of deposit through a securities broker; and
(2) Does not repeal the current condominium property regimes law, chapter 514A, (HRS).
Your Committee on Conference has amended this measure:
(1) To clarify that the requirement to file an annual update of a developer's public report extends to a developer's successor or assign;
(2) To clarify that a developer and real estate broker shall keep records of all sales transactions and proceeds in accordance with the requirements of the real estate brokers and salespersons law, chapter 467, Hawaii Revised Statutes, HRS, and the related administrative rules;
(3) By amending section -149(c) and (d), HRS, in Act 164 to reflect the language of section 514A-97(c), HRS;
(4) By repealing chapter 514A, HRS;
(5) By adding a standard savings clause provision;
(6) To clarify the parameters of the savings clause provision relating to condominium developers and purchasers by providing that this measure shall not affect the parties' rights and obligations under a sales contract for a condominium unit in a project registered under chapter 514A, HRS, prior to the effective date of the new condominium law;
(7) By deleting the appropriation from the condominium education trust fund;
(8) By establishing an effective date of July 1, 2005, except for:
(a) The provision that amends the effective dates of Act 164, Session Laws of Hawaii 2004, which shall take effect on June 30, 2005; and
(b) The savings and elections provisions, the provision repealing chapter 514A, HRS, and the provision that mandates the application of the existing administrative fees rule, pending the adoption of rules under the new condominium law, all of which shall take effect on July 1, 2006; and
(9) By making technical amendments to correct statutory and other internal references and for the purposes of clarity, consistency, and style.
Finally, with respect to the amendment to section -149, HRS, as set forth in Act 164, it is the intent of this measure to allow condominium associations greater options and flexibility in investing their members' funds, and to not limit these investments to the purchase of products offered only in the State or only by in-state institutions.
As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1132, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1132, S.D. 2, H.D. 1, C.D. 1.
Respectfully submitted on behalf of the managers:
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ON THE PART OF THE HOUSE |
ON THE PART OF THE SENATE |
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____________________________ KENNETH HIRAKI, Co-Chair |
____________________________ RON MENOR, Chair |
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____________________________ DWIGHT TAKAMINE, Co-Chair |
____________________________ BRIAN T. TANIGUCHI, Co-Chair |
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