REPORT TITLE:
Procurement


DESCRIPTION:
Extends the 7 per cent preference given to construction firms
doing business with the State to include all small businesses
having 100 employees or less in Hawaii.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        
THE SENATE                              S.B. NO.           961
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO PROCUREMENT.
 


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Section 103D-1007, Hawaii Revised Statutes, is
 
 2 amended to read as follows:
 
 3      "[[]103D-1007[]]  Preference to bidders on state agency
 
 4 contracts.(a)  The requirements in this section are in addition
 
 5 to any other applicable requirements provided in this chapter.
 
 6      (b)  The preference in this section may not be used in
 
 7 combination with any other preference otherwise available to a
 
 8 bidder under state or federal law.
 
 9      (c)  In any contract [for a public works project], a state
 
10 agency shall award the contract to a bidder who has filed all
 
11 state tax returns due to the State and paid all amounts owing on
 
12 such returns for two successive years prior to submitting the
 
13 bid; provided that the amount of that bid is not more than seven
 
14 per cent higher than the amount bid by any competing contractor
 
15 who has not filed or paid all applicable state taxes, and the
 
16 amount of the bid by the state tax paying bidder is $5,000,000 or
 
17 less[.], if the contract is for:
 
18      (1)  A public works project; or
 
19      (2)  Goods or services and the bidder is a small business.
 

 
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 1      (d)  In any contract [for a public works project], a state
 
 2 agency shall award the contract to a bidder who has filed all
 
 3 state tax returns due to the State and paid all amounts owing on
 
 4 such returns for four successive years prior to submitting the
 
 5 bid; provided that the amount of that bid is not more than seven
 
 6 per cent higher than the amount bid by any competing contractor
 
 7 who has not filed or paid all applicable state taxes, and the
 
 8 amount of the bid by the state tax paying bidder is more than
 
 9 $5,000,000[.], if the contract is for:
 
10      (1)  A public works project; or
 
11      (2)  Goods or services and the bidder is a small business.
 
12      (e)  If two or more contractors who have paid state and
 
13 county taxes or were required to submit a filing regarding state
 
14 and county taxes are bidding on a public works contract, and
 
15 those contractors meet the criteria outlined in subsection (c) or
 
16 (d), the state agency shall award the contract to the contractor
 
17 among them who has submitted the lowest bid.
 
18      (f)  If any federal statute or regulation precludes the
 
19 granting of federal assistance or reduces the amount of that
 
20 assistance for a particular public works project because of
 
21 preference awarded by this section, this section shall not apply
 
22 insofar as its application would preclude or reduce federal
 
23 assistance for that work.
 

 
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                                     S.B. NO.           961
                                                        
                                                        

 
 1      (g)  As used in this section, "small business" means any
 
 2 business that has one hundred employees or less in Hawaii."
 
 3      SECTION 2.  Statutory material to be repealed is bracketed.
 
 4 New statutory material is underscored.
 
 5      SECTION 3.  This Act shall take effect upon its approval.
 
 6 
 
 7                           INTRODUCED BY:_________________________