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HI SB1067

HI SB1067
Charitable Solicitation


summary

Introduced
01/28/2015
In Committee
02/02/2016
Crossed Over
03/10/2015
Passed
Dead
05/05/2016

Introduced Session

2016 Regular Session

Bill Summary

Amends the definitions of "professional fund-raising counsel" or "professional fundraising counsel" and "solicit" and "solicitation". Clarifies required disclosures by professional solicitors. Authorizes the Attorney General to require electronic financial reporting by professional solicitors. Imposes a fine for late financial reports by professional solicitors and for commercial co-venturers who are found by the Attorney General to have violated chapter 467B, HRS. Clarifies exemptions from registration requirements.

AI Summary

This bill amends Hawaii's laws regarding charitable solicitations by clarifying definitions, enhancing disclosure requirements, and authorizing the Attorney General to require electronic reporting and impose fines. Specifically, it refines the definitions of "professional fund-raising counsel" (individuals or entities paid to plan or manage charitable solicitations but who don't solicit directly) and "solicit" (any request for money or goods for charitable purposes), expanding the latter to include various forms of appeals and clarifying that grant applications to government or tax-exempt organizations are not considered solicitations. Professional solicitors will now have more detailed disclosure obligations, including identifying themselves, their employer, the charitable organization they represent, and stating they are paid to solicit, along with providing information on where to access their registration and financial reports. The bill also allows the Attorney General to mandate electronic financial reporting from professional solicitors and imposes fines for late financial reports, with a daily penalty up to $1,000, and also penalizes commercial co-venturers (businesses that partner with charities for promotions) for violations of chapter 467B, HRS, with administrative fines up to $1,000 per violation and daily penalties. Additionally, it clarifies exemptions from registration requirements for certain charitable organizations and allows for consolidated registration applications for parent organizations with group exemption letters from the IRS. Finally, it adjusts filing fees for charitable organizations and requires electronic submission of annual reports for most organizations.

Committee Categories

Budget and Finance, Justice, Labor and Employment

Sponsors (1)

Last Action

The committee(s) on FIN recommend(s) that the measure be deferred. (on 04/01/2016)

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