STAND. COM. REP. 248

Honolulu, Hawaii

, 2003

RE: H.B. No. 75

H.D. 1

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Consumer Protection and Commerce, to which was referred H.B. No. 75 entitled:

"A BILL FOR AN ACT RELATING TO CONDOMINIUMS,"

begs leave to report as follows:

The purpose of this bill is to:

(1) Extend the time period for the Real Estate Commission's (Commission) review and recommended recodification of Hawaii's condominium property regimes law; and

(2) Provide additional funding for the review and recodification process, including funding for a temporary condominium specialist position.

Testimony in support of this bill was submitted by the Commission, Hawaii Association of Realtors, and Community Associations Institute. Hawaii Independent Condominium & Cooperative Owners and numerous individuals opposed the bill. Many apartment owners opposed the bill and offered an amendment. Yacht Harbor Towers and an individual commented and expressed concerns. The Hawaii Council of Associations of Apartment Owners and many individuals provided comments and concerns and suggested amendments.

 

Your Committee recognizes that there is a need to update, clarify, organize, deregulate, and make more consistent, the condominium property regimes law in chapter 514A, Hawaii Revised Statutes. Act 213, Session Laws of Hawaii 2000, called for a review and recodification of the chapter that was to be completed and submitted as proposed legislation prior to the 2003 regular legislative session.

However, although a preliminary draft of the recodification is available, your Committee finds that a number of complex issues still need to be addressed. Your Committee believes the most efficient way to resolve these issues is to give the Commission additional time to produce a revised draft of the recodification.

Your Committee recognizes that concerns have been raised by several associations and condominium owners who feel that their rights as owners may be in jeopardy because they have not been able to participate in the drafting process. Your Committee urges the Commission to confer with these parties and consider their concerns, especially regarding protection of owners' rights, while drafting the revised recodification.

In an effort to ensure public participation in the drafting process, your Committee has amended this bill by requiring the Commission to have held at least one public hearing regarding the draft recodification in each of the counties of Oahu, Hawaii, Maui, and Kauai, by December 31, 2003.

As affirmed by the record of votes of the members of your Committee on Consumer Protection and Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 75, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 75, H.D. 1, and be referred to the Committee on Finance.

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

 

____________________________

KENNETH T. HIRAKI, Chair