STAND. COM. REP. NO. 3285

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  H.B. No. 2727
                                        H.D. 1
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which
was referred H.B. No. 2727, H.D. 1, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO INTERISLAND VEHICLE
     TRANSFERS,"

begs leave to report as follows:

     The purpose of this measure is to expedite the process of
shipping vehicles interisland by repealing the requirement that
the registered owner of a vehicle obtain written, notarized
consent from the legal owner before shipping the vehicle between
islands.

     Testimony was submitted by Young Brothers, Limited, the
Hawaii Credit Union League, and the Hawaii Bankers Association.

     Your Committee finds that a financial institution, as the
legal owner of a vehicle, has a reasonable interest in its
security and that this interest would be put in jeopardy under
this measure, as heard.

     Your Committee has amended this measure to:

     (1)  Retain the requirement for written consent or
          authorization;

     (2)  Delete the requirement that the letter be notarized;


 
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     (3)  Add a requirement that any written consent or
          authorization be provided by the legal owner within
          four hours of a request by the registered owner;

     (4)  Change the sunset date to July 1, 2003;

     (5)  Establish a defective effective date of July 1, 2010,
          to further discussion on this measure; and

     (6)  Make technical, nonsubstantive amendments.

     Your Committee notes that by deleting the requirement for a
notarized letter, the legal owner could provide this document by
facsimile to the registered owner or the shipper, thereby
reducing the delays that have occurred under the current law.

     As affirmed by the record of votes of the members of your
Committee on Commerce and Consumer Protection that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 2727, H.D. 1, S.D. 1, as amended herein, and
recommends that it pass Third Reading in the form attached hereto
as H.B. No. 2727, H.D. 1, S.D. 2.

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



                                   ______________________________
                                   BRIAN KANNO, Co-Chair



                                   ______________________________
                                   BRIAN T. TANIGUCHI, Co-Chair

 
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