STAND. COM. REP. NO.  840-12


Honolulu, Hawaii

                , 2012


RE:   H.B. No. 2411

      H.D. 1





Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii




     Your Committee on Finance, to which was referred H.B. No. 2411 entitled:




begs leave to report as follows:


     The purpose of this measure is to promote economic recovery and the creation of jobs by authorizing the issuance of general obligation bonds and appropriating monies out of various special funds for the planning and design phases of future construction projects.


     The Chamber of Commerce of Hawaii, General Contractors Association, Hawaii Laborers' Union, and one individual testified in support of this measure.  The Department of Accounting and General Services, Department of Budget and Finance, Department of Transportation, and University of Hawaii System provided comments.  


     Your Committee has amended this measure by deleting its contents and replacing it with provisions to:


     (1)  Add a definition of "contracting" to the Executive Budget Act;


     (2)  Include contracting costs in "capital investment costs" and "cost elements" and include the contracting phase in "phases of capital improvement project" for publicly-funded capital improvement projects; and


     (3)  Authorize departments to include contracting costs when determining the cost of projects funded by revenue bonds.


     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2411, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2411, H.D. 1.


Respectfully submitted on behalf of the members of the Committee on Finance,