Bill Text: HI SB1299 | 2017 | Regular Session | Amended
Bill Title: Relating To Charter Tour Operators.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Engrossed - Dead) 2017-03-24 - Report adopted; referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Aquino, DeCoite, Har, Ichiyama, C. Lee, Thielen excused (6). [SB1299 Detail]
Download: Hawaii-2017-SB1299-Amended.html
|
THE SENATE |
S.B. NO. |
1299 |
|
TWENTY-NINTH LEGISLATURE, 2017 |
S.D. 1 |
|
|
STATE OF HAWAII |
|
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO CHARTER TOUR OPERATORS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 468L-5, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) Within five business days of
receipt, all travel agencies shall deposit all sums received from a consumer,
for travel services offered by the travel agency in a trust account maintained
in a federally insured financial institution located in Hawaii[.];
provided that charter tour operators subject to part II of this chapter may
deposit sums subject to section 468L-23 in a trust account maintained in a
federally insured financial institution serving as the depository bank for a
public charter program pursuant to the requirements of title 14 Code of Federal
Regulations part 380, as amended. A travel agency shall be deemed to have
complied with this section if:
(1) (A) Travel services are paid for by the consumer by means of a credit, charge or debit card, or by means of a centrally billed travel account, and the travel agency submits the charge data to the appropriate payment processing or card issuing company within five days of the charge; and
[(2)] (B) Any moneys received from
these means by the agency are handled in accordance with the provisions of this
section[.]; or
(2) A charter tour operator subject to part II of this chapter deposits sums subject to section 468L-23 in a trust account maintained in a federally insured financial institution located out of the State pursuant to this section; provided that the charter tour operator:
(A) Provides the director with irrefutable evidence that no financial institution in the State can maintain the charter tour operator's client trust account;
(B) Files with the department a notarized irrevocable agreement and authorization in writing, in a form prescribed by the department, allowing the department, upon written request to the federally insured financial institution, to examine and obtain copies of all business records maintained by the financial institution related to the client trust account, regardless of the location of the financial institution and records; provided that the agreement shall indicate that the authorization remains in effect for as long as the financial institution retains the records;
(C) Bears any expense to reproduce any records requested by the department to determine compliance with this chapter; and
(D) Bears any fees or expenses, including travel expenses, requested by the department to audit the records of the charter tour operator or otherwise determine compliance with this chapter;
provided further that the department may contract with a private consultant to audit the records of any charter tour operator to determine compliance with this chapter, the cost of which shall be borne by the charter tour operator regardless of whether a violation of this chapter is established."
SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2050.
Report Title:
Travel Agencies; Client Trust Accounts; Charter Tour Operators
Description:
Provides that charter tour operators may deposit sums subject to section 468L-23, HRS, in a trust account maintained in a federally insured financial institution serving as the depository bank for a public charter program subject to federal regulations. Permits charter tour operators to maintain client trust accounts in a federally insured financial institution located out of State, if certain conditions are met. Effective 7/1/2050. (SD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
