“This bill is needed to stop mortgagees who want to rush into foreclosing on homes in Hawaii before appropriate legislation is enacted to deal with the mortgage foreclosure problem,” said Rep. Bob Herkes, chairman of the Committee on Consumer Protection & Commerce. “We don’t want to shut down the mortgage market, but I think we need a timeout.”
HONOLULU — The Hawaii House of Representative has passed a measure that would prohibit non-judicial home foreclosures for five months.
The House voted 50-1 Thursday to approve the bill, sending it to the Senate for additional consideration.
Democratic Rep. Bob Herkes said the legislation would provide a “time-out” that prevents predatory lenders from foreclosing on homeowners unjustly.
Foreclosures that are reviewed by the courts could proceed during the moratorium.
Republican Rep. Gil Riviere opposed the bill because he said it would hurt a mortgage lending industry that’s already having a hard time clearing home loans.
The bill is intended to allow homeowners to stay in their homes and work with their mortgage companies through mediation, loan modifications, negotiations or a forgiveness process.
|Measure Title:||RELATING TO MORTGAGE FORECLOSURES.|
|Report Title:||Nonjudicial; Mortgage Foreclosures; Five-month moratorium|
|Description:||Places a five month moratorium on nonjudicial foreclosures. (HB894 HD1)|
|Introducer(s):||CARROLL, HANOHANO, Evans, Morikawa, Wooley|
|1/26/2011||H||Introduced and Pass First Reading.|
|1/26/2011||H||Referred to CPC, JUD, referral sheet 2|
|1/28/2011||H||Re-referred to CPC/JUD, referral sheet 3|
|1/28/2011||H||Bill scheduled to be heard by CPC/JUD on Wednesday, 02-02-11 2:00PM in House conference room 325.|
|2/2/2011||H||The committees on CPC recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 11 Ayes: Representative(s) Herkes, Yamane, Brower, Carroll, Keith-Agaran, McKelvey, B. Oshiro, Tsuji, Marumoto, Thielen; Ayes with reservations: Representative(s) Ching; Noes: none; and 5 Excused: Representative(s) Cabanilla, Ito, Luke, Morita, Souki.|
|2/2/2011||H||The committees on JUD recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 11 Ayes: Representative(s) Keith-Agaran, Rhoads, Brower, Carroll, Herkes, McKelvey, B. Oshiro, Tsuji, Marumoto, Thielen; Ayes with reservations: Representative(s) Fontaine; Noes: none; and 5 Excused: Representative(s) Cabanilla, Ito, Luke, Morita, Souki.|
|2/8/2011||H||Reported from CPC/JUD (Stand. Com. Rep. No. 127) as amended in HD 1, recommending passage on Second Reading and placement on the calendar for Third Reading.|
|2/8/2011||H||Passed Second Reading as amended in HD 1; placed on the calendar for Third Reading with none voting no (0) and none excused (0).|
|2/10/2011||H||Passed Third Reading with Representative(s) Ching, Fontaine, Johanson, Marumoto, Pine, Ward voting aye with reservations; Representative(s) Riviere voting no (1) and Representative(s) McKelvey excused (1). Transmitted to Senate.|