STAND. COM. REP. NO.94

Honolulu, Hawaii

, 2001

RE: S.B. No. 173

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Tourism and Intergovernmental Affairs, to which was referred S.B. No. 173 entitled:

"A BILL FOR AN ACT RELATING TO TIME SHARING PLANS,"

begs leave to report as follows:

The purpose of this measure is to exclude employees or contractors of licensed real estate brokers from the definition of time share "acquisition agent".

Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs, American Resort Development Association of Hawaii, Hilton Grand Vacations Club, Marriott International, Inc., Pahio Resorts, Inc., and The Bay Club Ownership Resort, Inc.

Your Committee finds that the individuals covered under this section of the time share law are known as outside public contacts (OPC) and that the sole function of the OPC is to invite consumers to attend a time share presentation. As the acquisition agent or sales agent employing the OPC is responsible for the action of the OPC, any violation would be the responsibility of the acquisition agent or sales agent. Therefore, there is no need for the OPC to be separately registered.

Your Committee finds that this measure will reduce paperwork, while continuing to provide adequate consumer protection measures. Your Committee has amended this measure to exclude, as well, employees and contractors of time share acquisition agents who are not licensed real estate brokers.

As affirmed by the record of votes of the members of your Committee on Tourism and Intergovernmental Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 173, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 173, S.D. 1, and be referred to the Committee on Commerce, Consumer Protection and Housing.

Respectfully submitted on behalf of the members of the Committee on Tourism and Intergovernmental Affairs,

____________________________

DONNA MERCADO KIM, Chair