STAND. COM. REP. NO.  2132

Honolulu, Hawaii

                , 2007

RE:   S.C.R. No. 75

      S.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Legislative Management, to which was referred S.C.R. No. 75, S.D. 1, entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING THE AUDITOR TO PERFORM A SUNRISE ANALYSIS OF THE REGULATION OF DESTINATION CLUBS AND THOSE WHO MARKET THEM,"

begs leave to report as follows:

     The purpose of this concurrent resolution is to request the Auditor to perform a sunrise analysis of the regulation of destination clubs and those that market them.

     Your Committee received testimonies in support of this concurrent resolution from the Department of Commerce and Consumer Affairs, (DCCA) and the Destination Club Association, (DCA).

     Destination clubs have become a growing part of the travel and tourism industry of Hawaii.  DCCA convened a working group that included representatives of DCA and timeshare industries, to discuss the creation of a regulatory framework for destination clubs.  Further, during the 2007 Regular Session, S.B. No. 697 proposed to regulate destination clubs and those who market them.

This measure requests the Auditor to conduct a sunrise review in compliance with section 26H-6, Hawaii Revised Statutes, to determine whether regulation of destination clubs and those who market them is necessary,

     As affirmed by the record of votes of the members of your Committee on Legislative Management that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 75, S.D. 1, and recommends its adoption.

Respectfully submitted on behalf of the members of the Committee on Legislative Management,

____________________________

JAMES KUNANE TOKIOKA

Acting Chair and Vice Chair