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Bill

GM 1212

Informing the Legislature that on June 8, 2026, the Governor signed the following bill into law: HB1810 HD2 SD2 CD1 (ACT 112).

2026 Regular Session

Requires professional solicitors to promptly pay charities and disclose detailed financials and contracts, boosting transparency for donated goods.

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Bill Summary · GM 1212

GM 1212 – Comprehensive Summary of HB1810 (CD1), Act 112 (2026)

Note: This summary analyzes the enacted bill HB1810, HD2, SD2, CD1, which Hawaii Governor signed into law on June 8, 2026. It focuses on purpose, key provisions, affected parties, and timeline.

Purpose andIntent

  • The Act targets the charitable solicitation model in which professional solicitors manage or broker donations of non-perishable tangible property through collection bins, receptacles, or similar devices.
  • The legislature finds that donors may believe their property goes directly to a charitable organization and may mistakenly assume tax benefits are available, while some operators pay charities small per-pound rates and resell items for profit. The law aims to increase transparency, prompt payment, and robust reporting to prevent misleading practices and protect donors and charitable organizations.

Key Provisions and Changes

  1. Prominent Disclosure and Payment Requirements for Professional Solicitors
  2. Professional solicitors that sell donated or collected non-perishable tangible property on behalf of charitable organizations must:

    • Promptly pay charities the full amount owed within 45 days after a sale.
    • Provide timely financial reporting to both the Attorney General and the charitable organization, including gross Hawaii donor revenue, national revenue, and itemized expenses.
    • Ensure contract terms with charitable organizations comply with statutory requirements.
  3. Enhanced Collection Bin/Receptacle Transparency

  4. Collection bins, containers, or receptacles used to receive donations must prominently disclose:

    • If operated by a paid professional solicitor.
    • If the solicitor resells items at retail stores and the charity receives a percentage of proceeds or weight-based payments.
    • If donated items may not be tax-deductible charitable contributions under the Internal Revenue Code.
    • The professional solicitor’s registration status with the Attorney General.
    • Availability of the solicitor’s contract and related documents for public inspection.
  5. Expanded Definitions and Scope

  6. Definitions for “contribution,” “solicit,” and “solicitation” are broadened to include modern solicitation activities (i.e., media announcements, direct appeals, handbills, and bin-based solicitations).

  7. Clarifies that a solicitation occurs even if no contribution is received, with certain exclusions for government or exempt organizations’ grants/subsidies.

  8. Professional Solicitor Financial Reporting and Compliance

  9. Detailed reporting requirements (Section 467B-2.5) mandate:

    • Annual and campaign-specific financial reports, including gross revenue from Hawaii donors and national gross revenue, and a breakdown of expenses.
    • Timelines: reports due within 90 days after campaign end, and, for multi-year campaigns, within 90 days after each anniversary and after campaign end.
    • Electronic filing and signatures may be required; late fees apply (initial $100 plus $20 per day, up to $1,000 total) unless reasonable cause is shown.
    • Copies of reports must be provided to the beneficiary charitable organization within 10 days of submission.
  10. Recordkeeping and Audit Readiness

  11. Professional solicitors must maintain records for at least three years after a campaign, including:

    • Date and amount of each contribution, contributor details.
    • Details of personnel involved in solicitation.
    • All revenue and expenses, and bank account information for funds received.
  12. Changes in information filed must be reported to the Attorney General within seven days of changes.

  13. Prohibited Acts and Misrepresentations

  14. Prohibits misrepresentation that funds will be used for specific charitable purposes if not the case.

  15. Prohibits use of another organization’s name, symbol, or endorsement to solicit contributions without written consent.

  16. Requires written authorization for solicitation by a charitable fundraising platform or platform charity, with specific forms of authorization and display obligations.

  17. Oversight and Enforcement

  18. The Attorney General oversees compliance, with provisions to ensure proper filing, reporting, and disclosure. Public inspection rights are created for certain documents (e.g., contracts).

  19. Effective Dates

  20. General provisions take effect July 1, 2026.

  21. Section 3 (financial reporting and related requirements) takes effect January 1, 2027.

  22. The bill is codified with new and amended sections in Hawaii Revised Statutes Chapter 467B.

Affected Parties

  • Professional solicitors (and their officers, employees, agents, or contractors) who solicit or collect donated or collected non-perishable tangible property on behalf of charitable organizations.
  • Charitable organizations receiving property or funds via third-party solicitors or platforms.
  • Charitable fundraising platforms and platform charities (including commercial co-venturers) engaged in solicitation activities.
  • The Hawaii Attorney General (designated to receive reports and enforce provisions).
  • Donors and the general public, due to enhanced disclosures and transparency.

Procedural and Timeline Aspects

  • Enactment: Act 112, signed into law June 8, 2026, effective July 1, 2026 (general provisions) and January 1, 2027 (Section 3 specifics).
  • Reporting deadlines:
    • Within 90 days after end of solicitation campaigns and annually for multi-year campaigns.
    • Quarterly or annual financial reporting may be electronically submitted as required.
  • Penalties: Late filing fees up to $1,000 per campaign, with potential waivers for reasonable cause.
  • Public disclosure: Contract terms, reporting, and disclosures are accessible for public inspection.

This Act strengthens transparency, prompt payment to charitable organizations, and clear disclosure for donation-receipt operations that use collection bins and similar solicitation methods in Hawaii.

Compiled from official sources — confirm details with the bill’s official record.

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