HOUSE OF REPRESENTATIVES
THIRTY-FIRST LEGISLATURE, 2021
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO PROCUREMENT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 103D-302, Hawaii Revised Statutes, is amended as follows:
1. By amending subsections (b), (c), and (d), to read:
"(b) An invitation for bids shall be issued[
and shall include a purchase description and all contractual terms and
conditions applicable to the procurement.
If the invitation for bids is for construction, [ it] the invitation
for bids shall specify that all bids include the name of each person or
firm to be engaged by the bidder as a joint contractor or subcontractor in the
performance of the contract and the nature and scope of the work to be
performed by each. Construction bids
that do not comply with this requirement may be accepted if acceptance is in
the best interest of the State and the value of the work to be performed by the
joint contractor or subcontractor is equal to or less than one per cent of the
total bid amount.
(c) Adequate public notice of the invitation for
bids shall be given a reasonable time before the date set forth in the
invitation for the opening of bids. The
policy board shall adopt rules [
which] that specify:
(1) The form that the notice is to take;
(2) What constitutes a reasonable interim between publication and bid opening; and
(3) How notice may be published, including
publication in a newspaper of general circulation, notice by mail to all
persons on any applicable bidders mailing list, publication by any public or
private telecommunication information network, or any other method of
it] the policy board deems to be effective.
(d) Bids shall be opened publicly in the presence of one or more witnesses, at the time and place designated in the invitation for bids. The amount of each bid and other relevant information specified by rule, together with the name of each bidder, shall be recorded. The record and each bid shall be open to public inspection."
2. By amending subsection (f) to read:
"(f) Bids shall be evaluated based on the
requirements set forth in the invitation for bids. These requirements may include criteria to
determine acceptability, such as inspection, testing, quality,
workmanship, delivery, and suitability for a particular purpose. [
Those criteria] Criteria that
will affect the bid price and be considered in evaluation for award shall be
objectively measurable, such as discounts, transportation costs, and total or
life cycle costs. The invitation for
bids shall set forth the evaluation criteria to be used. No criteria may be used in bid evaluation
that are not set forth in the invitation for bids."
3. By amending subsection (h) to read:
"(h) The contract shall be awarded with reasonable
promptness by written notice to the lowest responsible and responsive bidder,
or second lowest responsible and responsive bidder in certain cases as determined
by the purchasing agency, whose bid meets the requirements and criteria set
forth in the invitation for bids. In the
event all bids exceed available funds as certified by the appropriate fiscal
officer, the head of the purchasing agency responsible for the procurement in
question is authorized in situations where time or economic considerations
preclude resolicitation of work of a reduced scope to negotiate an adjustment
of the bid price, including changes in the bid requirements, with the low
responsible and responsive bidder[
,] or second lowest responsible and
responsive bidder, in order to bring the bid within the amount of available
SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2112.
Procurement; Competitive Sealed Bidding; Second Lowest Bidder
Allows purchasing agencies to award a contract to the second lowest bidder in certain cases through the competitive sealed bidding process. Effective 7/1/2112. (HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.