STAND. COM. REP. NO.  507

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 275

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 275 entitled:

"A BILL FOR AN ACT RELATING TO THE UNIFORM ATHLETE AGENTS ACT,"

begs leave to report as follows:

     The purpose of this measure is to protect student-athletes and educational institutions from potentially unscrupulous practices of athlete agents.

More specifically, this bill is based on the Uniform Athlete Agents Act which proposes to regulate the dealings of athlete agents with students regarding agency contracts.  Among other things, the Uniform Athlete Agents Act:

     (1)  Requires athlete agents to register with the Department of Commerce and Consumer Affairs;

     (2)  Specifies conditions under which athlete agents may be denied a certificate of registration, or have their certificates suspended or revoked;

     (3)  Specifies the elements of an agency contract;

     (4)  Requires athlete agents to notify the student's educational institution that the student has entered into an agency contract; and

     (5)  Specifies prohibited conduct and classifies such conduct as a misdemeanor.

     Your Committee received testimony in support of this measure from the University of Hawaii, the Department of Education, and the Commission to Promote Uniform Legislation.  Testimony in opposition to the measure was received from the Department of Commerce and Consumer Affairs.

     Your Committee finds that the measure is based on a uniform law that has been enacted in at least thirty-six jurisdictions.  This measure is necessary to protect both the student athletes and their academic institutions from the potential loss of intercollegiate eligibility as a result of entering into an athlete-agent contract.

     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 H.B. No. 275 and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

ROBERT N. HERKES, Chair