Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Economic Development & Business Concerns, to which was referred H.B. No. 1166 entitled:

begs leave to report as follows:

The purpose of this bill is to grant contractors additional time to file a mechanic's lien if they have previously given the owner a conditional lien release but have not subsequently received full payment.

The General Contractors Association of Hawaii testified in support of the bill. The Hawaii Bankers Association testified in opposition to the bill.

Your Committee finds that this bill extends further lien rights to contractors to ensure that they are compensated for work they provide, and allows contractors to benefit from the statutory remedy provided under chapter 507, Hawaii Revised Statutes.

As affirmed by the record of votes of the members of your Committee on Economic Development & Business Concerns that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1166 and recommends that it pass Second Reading and be referred to the Committee on Consumer Protection & Commerce.