CONFERENCE COMMITTEE REPORT NO. 134

                            Honolulu, Hawaii
                                            , 1999

                            RE:   H.B. No. 1361
                                  H.D. 2
                                  S.D. 2
                                  C.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Conference on the disagreeing vote of the
House of Representatives to the amendments proposed by the Senate
in H.B. No. 1361, H.D. 2, S.D. 2, entitled:

    "A BILL FOR AN ACT RELATING TO CHARTER TOUR OPERATORS,"

having met, and after full and free discussion, has agreed to
recommend and does recommend to the respective Houses the final
passage of this bill in an amended form.

     The purpose of this bill is to protect consumers who make
advance purchases from charter tour operators against the risk of
loss resulting from the failure of these businesses.

     Specifically, this bill imposes statutory regulations on
travel agencies operating charter tours by requiring:

     (1) Licensure;

     (2) Evidence of financial ability to perform contractual
         obligations; and


 
 
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     (3) Periodic financial reporting.

     After much discussion, your Committee on Conference has
amended this bill by:

     (1) Requiring a charter tour operator applicant to state
         whether the applicant intends to operate 16 or more
         charter tours during any 12 months or shorter period of
         the registration period;

     (2) Amending the required bond coverage or irrevocable
         letter of credit a travel agency wishing to engage in
         the business of a charter tour operator is required to
         carry;

     (3) Deleting the requirement that a charter tour operator's
         required quarterly report must be prepared by an
         independent certified public accountant; and

     (4) Making technical, nonsubstantive revisions for purposes
         of consistency and style.


     Your Committee on Conference is in accord with the intent
and purpose of H.B. No. 1361, H.D. 2, S.D. 2, as amended herein,
and recommends that it pass Final Reading in the form attached
hereto as H.B. No. 1361, H.D. 2, S.D. 2, C.D. 1.

                                   Respectfully submitted,

MANAGERS ON THE PART OF THE        MANAGERS ON THE PART OF THE
           SENATE                              HOUSE
                                   
                                   
                                   
______________________________     ______________________________
LORRAINE R. INOUYE, Co-Chair       ROBERT N. HERKES, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
BRIAN KANNO, Co-Chair              KENNETH T. HIRAKI, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
BRIAN T.  TANIGUCHI, Co-Chair      RON MENOR, Co-Chair

 
                            CONFERENCE COMMITTEE REPORT NO. 134
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______________________________     ______________________________
JAN YAGI BUEN, Member              BRIAN Y. YAMANE, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
MARSHALL K. IGE, Member            BARBARA MARUMOTO, Member



______________________________
SAM SLOM, Member