STAND. COM. REP. NO.  710-12

Honolulu, Hawaii

                , 2012

RE:   H.B. No. 1706

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1706 entitled:

"A BILL FOR AN ACT RELATING TO CONDOMINIUMS,"

begs leave to report as follows:

The purpose of this measure is to protect owners and tenants of residential condominiums in Hawaii by requiring that an owner of a residential unit who:

     (1)  Resides out-of-state or on a different island from that on which the unit is located; and

     (2)  Rents or leases the unit to a tenant,

annually provide the managing agent or resident manager with the name, address, and telephone number of the rental agent located in Hawaii who is responsible for the management of the unit.

South Kohala Management Corp. and several concerned individuals supported this bill.  The Hawaii Association of Realtors submitted comments.

     Your Committee notes that issues were raised about the licensure and taxation of rental agents and that it was also suggested that rental agents be required to live on the island on which the residential unit they are managing is located.

     Your Committee has amended this bill by:

     (1)  Changing its effective date to January 1, 3000, to encourage further discussion; and

     (2)  Making technical, nonsubstantive amendments for purposes of clarity, consistency, and style.

     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. 1706, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1706, H.D. 1.

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

____________________________

ROBERT N. HERKES, Chair