STAND. COM. REP. NO.  1178-20

 

Honolulu, Hawaii

                , 2020

 

RE:   S.B. No. 2421

      S.D. 1

 

 

 

 

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

 

Sir:

 

     Your Committees on Consumer Protection & Commerce and Judiciary, to which was referred S.B. No. 2421, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO CONDOMINIUM ASSOCIATIONS,"

 

beg leave to report as follows:

 

     The purpose of this measure is to make permanent statutory amendments pertaining to nonjudicial foreclosures on condominium units enacted by Act 195, Session Laws of Hawaii 2018 (Act 195).

 

     Your Committees received testimony in support of this measure from the Hawaii Chapter of the Community Associations Institute Legislative Action Committee, Palehua Townhouse Association, Associa, Kokua Council, Hui Oiaio, Board of Directors of the Honolulu Tower Association of Apartment Owners, and fifteen individuals.

 

     Your Committees find that Act 195 created important and effective rules relating to association foreclosures on condominiums; however, Act 195 is scheduled to sunset on June 30, 2020.  These rules help protect condominium owners by, among other things, enabling owners to initiate a dispute over non-essential fees or penalties prior to being forced to pay these assessments.  This measure makes permanent the consumer protections contemplated by Act 195 by repealing its sunset date.

 

     As affirmed by the records of votes of the members of your Committees on Consumer Protection & Commerce and Judiciary that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2421, S.D. 1, and recommend that it pass Second Reading and be referred to your Committee on Finance.

 

 

Respectfully submitted on behalf of the members of the Committees on Consumer Protection & Commerce and Judiciary,

 

 

____________________________

CHRIS LEE, Chair

 

____________________________

ROY M. TAKUMI, Chair