Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection, and Housing, to which was referred S.B. No. 1777 entitled:

begs leave to report as follows:

The purpose of this measure is to appropriate funds to inform the public of their rights as consumers under the real estate laws, including information regarding complaints and access to the proper authorities.

Testimony in support of this measure was submitted by the ILWU Local 142 and the Hawaii Association of Realtors. Comments on the measure were also submitted by the Real Estate Commission.

Your Committee finds that unfortunately, much of the public is uninformed of the relevant laws or the process relating to even the simplest of real estate transactions. This lack of knowledge can have a devastating affect on homeowners, resulting in the loss of their homes due to foreclosure. Your Committee believes that increased educational efforts will help to ensure that our residents are properly equipped with the requisite knowledge of their rights, including whom to turn to should they have questions or complaints regarding the real estate laws.

Your Committee has amended this measure by making a technical, nonsubstantive amendment to accurately reflect the name of the regulated industries complaints office.

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. 1777, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1777, S.D. 1, and be referred to the Committee on Ways and Means.