STAND. COM. REP. NO.  477

 

Honolulu, Hawaii

                , 2019

 

RE:   H.B. No. 76

      H.D. 1

 

 

 

 

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

 

Sir:

 

     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 76 entitled:

 

"A BILL FOR AN ACT RELATING TO NONJUDICIAL FORECLOSURES,"

 

begs leave to report as follows:

 

     The purpose of this measure is to confirm the Legislature's intent in authorizing condominium and homeowners' associations to use nonjudicial foreclosure to collect delinquencies without having specific authority in the association documents to conduct such foreclosures.

 

     Associa, Community Associations Institute Hawaii Chapter, HI Council of Association of Apartment Owners, Law Offices of Mark K. McKellar, LLC, and numerous concerned individuals supported this measure.  Kokua Council, Hui Oia io, Hawaiian Community Assets, and several concerned individuals opposed this measure.  The Department of the Attorney General provided comments.

 

     Your Committee has amended this measure by:

 

     (1)  Clarifying the existing right of associations to use the nonjudicial foreclosure process regardless of the existence of a power of sale provision in an association's governing documents; and

 

     (2)  Changing the effective date to July 1, 2050, to encourage further discussion.

 

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 76, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 76, H.D. 1, and be referred to your Committee on Judiciary.

 

 

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

 

 

 

 

____________________________

ROY M. TAKUMI, Chair