Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 1349, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to make condominium association records available to apartment owners for a longer period of time by requiring association financial records, ledgers, insurance policies, and other records to be retained for the current year and the prior four years.

Hawaii Independent Condominium and Cooperative Owners and a private citizen supported this bill. The Community Associations Institute Hawaii opposed this measure.

Your Committee finds that the law presently requires associations to maintain records for the current and prior year. Your Committee heard concerns that retaining these records has associated costs and burdens, and notes that some associations already keep their financial records for three years for tax purposes.

Your Committee has amended this bill by:

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1349, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1349, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.