STAND. COM. REP. NO.  1310

Honolulu, Hawaii

                , 2017

RE:   S.B. No. 1299

      S.D. 1

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 1299, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CHARTER TOUR OPERATORS,"

begs leave to report as follows:

The purpose of this measure is to allow travel agencies operating as charter tour operators to maintain statutorily required client trust accounts in federally-insured financial institutions outside the State; provided that the charter tour operator files a written irrevocable agreement and authorization allowing the Department of Commerce and Consumer Affairs to examine and obtain copies of all business records related to the client trust account.

Vacations Hawaii testified in support of this measure.  The Regulated Industries Complaints Office of the Department of Commerce and Consumer Affairs provided comments.

     Your Committee notes that the concerned parties are in the process of working together to resolve the issues this measure seeks to address.  Accordingly, your Committee finds that this measure deserves further consideration and discussion.

     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 S.B. No. 1299, S.D. 1, H.D. 1, and recommends that it be referred to your Committee on Finance.

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

____________________________

ROY M. TAKUMI, Chair