H.C.R. NO.



H.D. 1











requesting the legislative reference bureau to study recent INTERIM amendments to Hawaii Administrative Rules relating to CONSTRUCTION CONTRACTS UNDER THE HAWAII PUBLIC procurement CODE to determine WHETHER THOSE AMENDMENTS ARE CONTRARY TO THE LETTER OR SPIRIT OF THE PROCUREMENT CODE.




     WHEREAS, the Hawaii Public Procurement Code, codified in chapter 103D, Hawaii Revised Statutes, was designed to create a method of awarding public contracts in a manner that ensures that public moneys are spent in a way that provides the best value for products and services provided by the most qualified offeror; and


     WHEREAS, the Procurement Policy Board is authorized to adopt interim rules, valid for a maximum of eighteen months, that are not subject to the notice, hearing, and gubernatorial approval requirements of the Administrative Procedure Act; and


     WHEREAS, recent interim amendments to the Hawaii Administrative Rules that address the awarding of public contracts for construction projects may have an effect that is contrary to the intent of the Hawaii Public Procurement Code; and


     WHEREAS, these interim rulemaking actions may result in the award of public contracts to offerors that are not the most qualified to perform the work under the contract or do not provide the best value; and


     WHEREAS, it is in the interest of equity and fiscal responsibility to study the relevant interim administrative rules to determine if they comply with the letter and spirit of the Hawaii Public Procurement Code; now, therefore,


     BE IT RESOLVED by the House of Representatives of the Twenty-fifth Legislature of the State of Hawaii, Regular Session of 2009, the Senate concurring, that the Legislative Reference Bureau is requested to study amendments made to the Hawaii Administrative Rules through interim rulemaking actions implementing and interpreting the Hawaii Procurement Code relating to construction contracts since January 1, 2003, to determine whether those amendments are contrary to the letter or spirit of chapter 103D, Hawaii Revised Statutes; and


     BE IT FURTHER RESOLVED that the Legislative Reference Bureau is requested to study the feasibility and advisability of establishing a mechanism that requires the procurement policy board to provide timely notice to trade unions or trade associations in Hawaii of the adoption of interim rules; and


     BE IT FURTHER RESOLVED the Legislative Reference Bureau is requested to submit a report of its findings to the Legislature not later than twenty days prior to the convening of the Regular Session of 2010; and


     BE IT FURTHER RESOLVED that the State Procurement Office is requested to provide full cooperation and support to the Legislative Reference Bureau; and


     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of the Legislative Reference Bureau, the Comptroller, and the Administrator of the State Procurement Code.


Report Title: 

LRB; Administrative Rules; Public Contracts; Procurement Code