STAND. COM. REP. NO.2281
RE: S.B. No. 2887
Honorable Robert Bunda
President of the Senate
Twenty-First State Legislature
Regular Session of 2002
State of Hawaii
Your Committees on Transportation, Military Affairs and Government Operations and Tourism and Intergovernmental Affairs, to which was referred S.B. No. 2887 entitled:
"A BILL FOR AN ACT RELATING TO THE PROCUREMENT CODE,"
beg leave to report as follows:
The purpose of this measure is to increase the small purchase procurement exception dollar ceiling for construction projects from $25,000 to $250,000, and to establish a state resident procurement preference.
Your Committees received testimony in opposition to this measure from the State Procurement Office.
Your Committees find that this measure promotes two laudable goals. First, it increases the small purchase dollar ceiling to $250,000 for construction projects, thereby exempting such projects from the time consuming procurement process.
Your Committees find that with the large backlog of projects, particularly school repair and maintenance projects, it makes sense to ease the requirements for awarding contracts for those projects so that work can begin as soon as possible.
In addition, your Committees support the provisions of this measure establishing a procurement preference for state residents. With the economic recession and further encroachment from mainland contractors, the State has a compelling interest in protecting local residents.
As affirmed by the records of votes of the members of your Committees on Transportation, Military Affairs and Government Operations and Tourism and Intergovernmental Affairs that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2887 and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.
Respectfully submitted on behalf of the members of the Committees on Transportation, Military Affairs and Government Operations and Tourism and Intergovernmental Affairs,
DONNA MERCADO KIM, Chair
CAL KAWAMOTO, Chair