STAND. COM. REP. NO. 1107

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 1585

       H.D. 1

       S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

 

Sir:

 

     Your Committee on Higher Education, to which was referred H.B. No. 1585, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to appropriate general funds to the University of Hawaii for project-funded staff positions for capital improvement program projects.

 

     Your Committee received testimony in support of this measure from the University of Hawaii System and one individual.

 

     Your Committee finds that the University of Hawaii System has a substantial deferred maintenance backlog that it is working toward eliminating.  Currently, outside construction management and inspection services are typically obtained on a project-by–project basis due to insufficient funds.  According to testimony submitted by the University, this inefficient use of construction management services does not deliver consistent oversight or performance standards.  Your Committee additionally finds that the University has a ten-year strategy plan to eliminate deferred maintenance and reach modernization goals and notes that this measure allows for the delivery of construction management services in-house, which provides a more optimum model for performing construction management and inspection services.

 

     Your Committee additionally finds that tuition rates at the University of Hawaii have been consistently on the rise in recent years and that the University has spent increasing amounts on personnel expenses during this time.  Your Committee is concerned with the lack of demonstrated efforts by the University of Hawaii to restructure and use financial resources efficiently, and finds that more transparency and accountability is needed.

 

     Accordingly, your Committee has amended this measure by:

 

     (1)  Requiring that all University of Hawaii employees who hold administrative positions and earn more than $150,000 annually be employed under an employment contract with the University by July 1, 2018; and

 

     (2)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

 

     As affirmed by the record of votes of the members of your Committee on Higher Education that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1585, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1585, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committee on Higher Education,

 

 

 

________________________________

KAIALI'I KAHELE, Chair