STAND. COM. REP. NO. 2953
RE: H.B. No. 2529
Honorable Shan S. Tsutsui
President of the Senate
Twenty-Sixth State Legislature
Regular Session of 2012
State of Hawaii
Your Committees on Hawaiian Affairs and Public Safety, Government Operations, and Military Affairs, to which was referred H.B. No. 2529, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO THE DEPARTMENT OF HAWAIIAN HOME LANDS,"
beg leave to report as follows:
The purpose and intent of this measure is to:
(1) Exempt expenditures and procurements of less than $250,000 made from the Hawaiian home receipts fund, the Hawaiian home trust fund, the native Hawaiian rehabilitation fund, and the Hawaiian home administration account from the Hawaii Public Procurement Code, chapter 103D, Hawaii Revised Statutes, under certain conditions; and
(2) Require the Department of Hawaiian Home Lands to annually report to the Legislature solicitations of goods, services, and construction, types of procurements, and awardees.
Your Committees received testimony in support of this measure from the Department of Hawaiian Home Lands, Office of Hawaiian Affairs, Sovereign Councils of the Hawaiian Homelands Assembly, and Association of Hawaiian Civic Clubs. Your Committees received testimony in opposition to this measure from the State Procurement Office and Aupuni O Hawaii.
Your Committees find that the Hawaii Public Procurement Code requires most businesses that bid for a procurement award to use the Hawaii Electronic Procurement System. This requirement causes delays when companies that have the ability to perform the work cannot successfully navigate the online procurement system. Delaying repair and maintenance work on Hawaiian Home Lands adversely impacts the quality of life for residents of Hawaiian home lands.
Your Committees have amended this measure by:
(1) Decreasing the maximum value of expenditures and procurements from the Hawaiian home receipts fund, the Hawaiian home trust fund, the native Hawaiian rehabilitation fund, and the Hawaiian home administration account that are exempt from the Hawaii Public Procurement Code, from $250,000 to $100,000;
(2) Changing the effective date to July 1, 2012, with a repeal date of June 30, 2015; and
(3) Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.
As affirmed by the records of votes of the members of your Committees on Hawaiian Affairs and Public Safety, Government Operations, and Military Affairs that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2529, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 2529, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.
Respectfully submitted on behalf of the members of the Committees on Hawaiian Affairs and Public Safety, Government Operations, and Military Affairs,
WILL ESPERO, Chair
BRICKWOOD GALUTERIA, Chair