Honolulu, Hawaii

                , 2013


RE:   H.B. No. 114

      H.D. 3





Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii




     Your Committee on Finance, to which was referred H.B. No. 114, H.D. 2, entitled:




begs leave to report as follows:


     The purpose of this measure is to assist the University of Hawaii Board of Regents in discharging its constitutional powers and duties and to ensure the responsible use of fiscal resources by the University by statutorily establishing an Independent Audit Committee within the Board of Regents.


     The University of Hawaii provided comments on H.B. No. 114, H.D. 2.


     For the purposes of a public hearing, your Committee circulated a proposed H.D. 3 that, in addition to the original contents of this measure, requires the state procurement officer, rather than the President of the University of Hawaii, to serve as the chief procurement officer for construction contracts and professional services related to construction contracts for the University of Hawaii.


     The University of Hawaii opposed the proposed H.D. 3.  The State Procurement Office provided comments on the proposed H.D. 3.

     Accordingly, your Committee has amended this measure by adopting the proposed H.D. 3. 


     Your Committee has further amended this measure by:


     (1)  Specifying that construction contracts and professional services for which the Administrator of the State Procurement Office shall serve as the chief procurement officer are those furnished by professional engineers, architects, surveyors, and landscape architects, including construction management; and


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


     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 114, H.D. 2, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 114, H.D. 3.


Respectfully submitted on behalf of the members of the Committee on Finance,