STAND. COM. REP. NO. 532________

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1002
                                     H.D. 1

Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii


     Your Committee on Judiciary and Hawaiian Affairs, to which
was referred H.B. No. 1002 entitled: 


begs leave to report as follows:

     The purpose of this bill is to exempt contracts for legal
services outside the state, from the requirements of the
procurement code.

     Testimony in support of the bill was received from the
Attorney General.  Additional testimony was received from the
Department of Accounting and General Services.

     Your Committee finds that situations requiring the retention
of attorneys to perform legal work outside the State occurs
infrequently.  This makes it difficult for agencies to satisfy
the bid or proposal solicitation requirements of the Procurement
Code while still making timely responses to a court or
administrative agency or to protect the State's legal interests.

     Your Committee has amended this bill by making technical,
nonsubstantive amendments for purposes of style and clarity.

     As affirmed by the record of votes of the members of your
Committee on Judiciary and Hawaiian Affairs that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 1002, as amended herein, and recommends that

                                 STAND. COM. REP. NO. 532________
                                 Page 2

it pass Second Reading in the form attached hereto as H.B. No.
1002, H.D. 1, and be referred to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Judiciary &
                                   Hawaiian Affairs,

                                   PAUL T. OSHIRO, Chair