STAND. COM. REP. NO.  565-12

 

Honolulu, Hawaii

                , 2012

 

RE:   H.B. No. 2318

      H.D. 2

 

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

 

Sir:

 

     Your Committee on Economic Revitalization & Business, to which was referred H.B. No. 2318, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

 

begs leave to report as follows:

 

     The purpose of this measure is to require the procurement policy board to adopt rules that include a five percent preference for small businesses, a seven percent preference for veteran-owned businesses, and a nine percent preference for service-disabled veteran-owned businesses.

 

     Military Officers Association of America and the Oahu Veterans Council testified in support of this measure.  The Department of Budget and Fiscal Services of the City and County of Honolulu testified in opposition to this measure.  The General Contractors Association provided comments on this measure.

 

     Your Committee has amended this measure by:

 

     (1)  Authorizing the Chief Procurement Officer to establish the goal that at least three percent of the State's annual purchasing expenditures are awarded to veteran- owned businesses;

 

     (2)  Adding a definition for "veteran-owned business" and "service-disabled veteran-owned business";

 

     (3)  Changing the effective date to July 1, 2112, for the purposes of facilitating further discussion; and

 

     (4)  Making technical, nonsubstantive amendments for style, clarity, and consistency.

 

     As affirmed by the record of votes of the members of your Committee on Economic Revitalization & Business that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2318, H.D. 1, as amended herein, and recommends that it be referred to the Committee on Finance in the form attached hereto as H.B. No. 2318, H.D. 2.

 

 

Respectfully submitted on behalf of the members of the Committee on Economic Revitalization & Business,

 

 

 

 

____________________________

ANGUS L.K. McKELVEY, Chair