STAND. COM. REP. NO. 1310-18

Honolulu, Hawaii

, 2018

RE: S.B. No. 2060

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 2060, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO CONDOMINIUMS,"

begs leave to report as follows:

The purpose of this measure is to encourage parties involved in condominium related disputes to use alternative dispute resolution instead of resolving those disputes in court by:

(1) Authorizing the use of moneys from the Condominium Education Trust Fund for voluntary binding arbitration of condominium related disputes after the parties have attempted evaluative mediation; and

(2) Amending the mediation requirements for condominium related disputes to require parties to certain condominium related disputes to participate in mediation, upon the request of one party.

Community Associations Institute, Associa Hawaii, and one concerned individual supported this measure. One concerned individual opposed this measure. The Real Estate Commission and Hui ‘Ola‘i‘o provided comments.

Your Committee has amended this measure by including a two-year sunset provision.

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. 2060, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2060, S.D. 2, H.D. 1, and 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