HI SB1077

Limits owner-builder exemption to residential or farm property only, removing exemptions for industrial or commercial buildings.

Requires owner-builders to supervise construction, hire appropriately licensed subcontractors, provide workers' compensation insurance, and maintain records available for department inspection during and three years after construction.

Establishes that owner-builders are ineligible to recover from the contractors recovery fund and prohibits those who violate the exemption requirements from using the exemption for three years.

Increases fines for violations of owner-builder exemption rules from 40-50% to 50-60% of construction or improvement value as indicated on building permit application, determined based on case circumstances.

Requires licensed contractors to provide detailed verbal explanations about lien rights and bonding options to homeowners prior to or at time of contract signing, extending this requirement to owner-builder homeowners.