STAND. COM. REP. NO.3273

Honolulu, Hawaii

, 2002

RE: H.B. No. 1716

H.D. 1

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred H.B. No. 1716, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CONDOMINIUM PROPERTY REGIMES,"

begs leave to report as follows:

The purpose of this measure is to require both the apartment owner and the board of directors to pay for their own costs in mediating a dispute between them, unless both agree that one party will pay all or a specified portion of the mediation costs.

Your Committee received testimony in support of this measure from the Mediation Center of the Pacific, Hawaii Council of Associations of Apartment Owners, Hawaiiana Management Company, Ltd., Hawaii Independent Condominium & Cooperative Owners, and six individuals.

Your Committee finds that the Real Estate Commission is currently undergoing a recodification review of the condominium law, and expects to submit draft legislation in response to the review in the 2003 Regular Session. While your Committee understands the Commission's preference to delay amendments to the law until that time, the current law does not specifically address the payment of costs for mediation. This has left interpretation of the law to the parties.

Your Committee notes the effective date of July 1, 2050, and agrees with the Committee on Commerce, Consumer Protection and Housing that the measure warrants further time for discussion before the adjournment of this Session.

As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1716, H.D. 1, S.D. 1, and recommends that it pass Third Reading.

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

____________________________

BRIAN KANNO, Chair