STAND. COM. REP. NO. 684-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1897

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1897 entitled:

"A BILL FOR AN ACT RELATING TO CONDOMINIUM ALTERNATIVE DISPUTE RESOLUTION,"

begs leave to report as follows:

The purpose of this measure is to amend the conditions and procedures for resolving various condominium-related disputes.

Your Committee received testimony in support of this measure from the Community Associations Institute, Hawaii Legislative Action Committee; Associa; Mark K. McKellar, LLLC; and numerous individuals. Your Committee received testimony in opposition to this measure from the Board of Directors of the Association of Apartment Owners of Honolulu Tower and five individuals. Your Committee received comments on this measure from the Hawaiʻi Real Estate Commission.

Your Committee finds that owners, tenants, and other persons who reside in a condominium property are subject to the declarations and bylaws adopted by the condominium association and that those persons must strictly comply with the covenants, conditions, and restrictions set forth in the declaration, bylaws, and house rules. Your Committee further finds that the existing model of self-governance for condominium associations necessitates that these associations have mechanisms to enforce compliance. Furthermore, it is in the best interests of unit owners and associations to resolve disputes in an efficient and equitable manner. This measure accordingly amends the conditions and procedures for resolving various condominium-related disputes.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 3000, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

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. 1897, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1897, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

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

____________________________

SCOT Z. MATAYOSHI, Chair