STAND. COM. REP. NO. 469

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 574

       S.D. 1

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

 

Madam:

 

     Your Committee on Commerce and Consumer Protection, to which was referred S.B. No. 574 entitled:

 

"A BILL FOR AN ACT RELATING TO CONDOMINIUMS,"

 

begs leave to report as follows:

 

     The purpose of this measure is to extend the Condominium Dispute Resolution Pilot Project by two years. 

 

     Your Committee received testimony in support of this measure from Hawaii Independent Condominium & Cooperative Owners and Hawaii Council of Associations of Apartment Owners.  Testimony in opposition to this measure was received from the Community Associations Institute and two individuals.  Testimony with comments on this measure was received from the Department of Commerce and Consumer Affairs.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

 

     Your Committee finds that although there have not been a sufficient number of requests for hearings filed with the Condominium Dispute Resolution Pilot Project to warrant the establishment of a permanent condominium dispute resolution contested case process, there is a need to provide a limited extension of the pilot project until a satisfactory replacement process may be established.  Your Committee notes that the stakeholders who presented testimony on this measure expressed that all interested parties to this issue have agreed to work together to establish an evaluative mediation process to resolve condominium disputes.  Your Committee encourages the proponents of evaluative mediation to work with the Department of Commerce and Consumer Affairs to investigate evaluative mediation and make recommendations for instituting such a process by either administrative rule or legislation. 

 

     Your Committee has amended this measure by making a minor, nonsubstantive technical change. 

 

     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 S.B. No. 574, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 574, S.D. 1, and be placed on the calendar for Third Reading.

 

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

 

 

 

____________________________

ROSALYN H. BAKER, Chair