SENATE BILL REPORT
SB 5002



As Reported By Senate Committee On:
Labor, Commerce, Research & Development, February 7, 2005

Title: An act relating to camping resort contracts.

Brief Description: Marketing, offering, or selling camping resort contracts.

Sponsors: Senators Regala, Swecker, Hargrove, Brandland, Doumit and Shin.

Brief History:

Committee Activity: Labor, Commerce, Research & Development: 1/31/05, 2/7/05 [DPS].


SENATE COMMITTEE ON LABOR, COMMERCE, RESEARCH & DEVELOPMENT

Majority Report: That Substitute Senate Bill No. 5002 be substituted therefor, and the substitute bill do pass.Signed by Senators Kohl-Welles, Chair; Franklin, Vice Chair; Parlette, Ranking Minority Member; Brown, Honeyford, Keiser and Prentice.

Staff: Alison Mendiola (786-7483)

Background: In order to offer or sell a camping resort contract in this state, the contract must be registered with the Department of Licensing (DOL), with a few exceptions. This has been interpreted as out-of-state persons or businesses do not need to register their camping resort contracts, resulting in the contract being sold at a lower price. Furthermore, the current statute does not require the resale of more than one camp resort contract to be registered.

Summary of Substitute Bill: A camping resort contract can only be marketed, offered, or sold in this state, or to a resident of this state, if the contract is registered with the DOL.

The sale of more than one resale camp resort contract requires that the contract be registered with the DOL. Private party sales remain exempted from registering camping resort contract sales.

Substitute Bill Compared to Original Bill: Under the original bill, the sale of more than one resale camp resort contract was to be registered, regardless of whether it was a private party sale or not.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Testimony For: This bill is necessary to address out-of-state businesses and people who market camping resort contracts but are not licensed by the DOL. When unlicensed contracts are sold, it really becomes a consumer protection issue. An individual contract holder is allowed to resell his or her contract without having to registered with the DOL. When more than one contract is being resold, that's when the registration requirements kick in.

Testimony Against: None.

Who Testified: PRO: Mike McLeod, K/M Resorts of America; Scott Abercrombie and Kevin McLeod, K/M Resorts of America.