STAND. COM. REP. NO. 2553

Honolulu, Hawaii

RE:    S.B. No. 2849

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B. No. 2849, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ESCROW DEPOSITORIES,"

begs leave to report as follows:

     The purpose and intent of this measure is to strengthen and clarify the escrow depositories law under Chapter 449, Hawaii Revised Statutes. 

     Specifically, the measure:

(1)  Authorizes the Commissioner of Financial Institutions to enter into agreements with NMLS to collect and maintain records and process transaction fees related to licensees;

(2)  Requires applicants for licensure and applicants for approval of a proposed change in control of the licensee to provide information and authorizations necessary for the Department of Commerce and Consumer Affairs to conduct a criminal history record check on the applicant's controlling persons and other personnel; and

(3)  Imposes new fees.

     Your Committee received written comments in support of this measure from the Department of Commerce and Consumer Affairs, Division of Financial Institutions.

     Your Committee finds that this administration measure will enable the Division of Financial Institutions to operate more efficiently and provide greater consumer protection of funds and transactions involving escrow depositories.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2849, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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JILL N. TOKUDA, Chair