STAND. COM. REP. NO.515

Honolulu, Hawaii

, 2003

RE: S.B. No. 641

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Science, Arts, and Technology, to which was referred S.B. No. 641 entitled:

"A BILL FOR AN ACT RELATING TO CONTRACTORS,"

begs leave to report as follows:

The purpose of this measure is to amend the Contractors Regulatory Act (Act) to require the establishment of a public database of complaints filed against contractors and to require that the Board of Contractors revoke licenses for certain violations of the Act.

Testimony in support of this measure was submitted by a private citizen. Testimony in opposition to this measure was submitted by the Subcontractors Association of Hawaii and the General Contractors Association of Hawaii. The Contractors License Board and the Department of Commerce and Consumer Affairs (Department) offered comments and expressed concerns about parts of this measure.

Your Committee finds that the regulation by the government of occupations and professions is to protect consumers from either physical or financial harm. Your Committee further finds that an important part of this government function should be the sharing of information with consumers to prevent potential harm that could arise from their hiring of individuals whose record of service has not been satisfactory although they may still retain a license. Your Committee further finds that the Department should, as part of the ongoing development of their electronic information systems, make this information available without charge to the public

Your Committee has amended this measure by:

(1) Requiring the Department to establish an electronic database containing a current history of information integrating all complaints about a contractor whether the contractor is doing business as an individual, in partnership, or as a responsible managing employee (RME);

(2) Requiring that the information be made available without charge to the public through electronic posting on an Internet site established by the Department and allowing the Department to charge a reasonable fee for transmission of printed copies;

(3) Deleting the requirement for financial information to be part of the database;

(4) Deleting the provision that would prevent persons who have filed for bankruptcy from obtaining a license; and

(5) Making technical nonsubstantive changes for the purposes of clarity and style.

As affirmed by the record of votes of the members of your Committee on Science, Arts, and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 641, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 641, S.D. 1, and be referred to the Committee on Commerce, Consumer Protection and Housing.

Respectfully submitted on behalf of the members of the Committee on Science, Arts, and Technology,

____________________________

DAVID Y. IGE, Chair