STAND. COM. REP. NO.  1632-16

 

Honolulu, Hawaii

                , 2016

 

RE:   S.B. No. 2812

      S.D. 2

      H.D. 2

 

 

 

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

 

Sir:

 

     Your Committee on Finance, to which was referred S.B. No. 2812, S.D. 2, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO CHARITABLE SOLICITATION,"

 

begs leave to report as follows:

 

     The purpose of this measure is to amend laws regarding the regulation and oversight of charitable solicitations.

 

Among other things, this measure:

 

(1)  Clarifies that grant or subsidy applications of a charitable organization are not solicitations that trigger registration and reporting requirements;

 

(2)  Amends requirements for disclosures by professional solicitors at the time contributions are solicited;

 

(3)  Harmonizes registration and filing requirements with federal tax law;

 

(4)  Clarifies the Attorney General's enforcement powers, including the authority to require electronic submission of reports, issue cease and desist orders, impose administrative fines, and grant waivers or exemptions;

(5)  Clarifies requirements for content, filing schedules, and certification of various reports by charitable organizations, their professional solicitors, and their commercial co-venturers; and

 

(6)  Updates the accreditation requirements for exempt educational institutions.

 

     The Department of the Attorney General, Hawaii Alliance of Nonprofit Organizations, and Aloha United Way testified in support of this measure.

 

Your Committee has amended this measure by:

 

(1)  Changing its effective date to January 1, 2030, to encourage further discussion; and

 

     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

 

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2812, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2812, S.D. 2, H.D. 2.

 

Respectfully submitted on behalf of the members of the Committee on Finance,

 

 

 

 

____________________________

SYLVIA LUKE, Chair