STAND. COM. REP. NO. 961

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.R. No. 16
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committees on Transportation and Intergovernmental
Affairs and Labor and Environment, to which was referred S.R.
No. 16 entitled:

     "SENATE RESOLUTION REQUESTING HAWAII'S CONGRESSIONAL
     DELEGATION TO REQUIRE FEDERAL CONTRACTING OFFICERS TO ADHERE
     TO FEDERAL LAWS THAT ARE DESIGNED TO IMPROVE EMPLOYMENT
     CONDITIONS IN HAWAII WHEN UNEMPLOYMENT RATES ARE HIGHER THAN
     THE NATIONAL AVERAGE,"

beg leave to report as follows:

     The purpose of this measure is to request Hawaii's
Congressional Delegation to require federal contracting officers
to adhere to federal laws that are designed to improve employment
conditions in Hawaii when unemployment rates are higher than the
national average.

     Testimony in support of this measure was received from the
Hawaii Building and Construction Trades Council AFL-CIO, Hawaii
Electricians Market Enhancement Program Fund, Honolulu Community
Action Program, Inc., Masons Unions Local #1 and Local #630,
Hawaii Operating Engineers Industry Stabilization Fund, Pacific
Resource Partnership, Iron Workers Stabilization Fund, Plumbers
and Fitters Local 675 United Association, and Painting Industry
of Hawaii Labor Management Cooperation Fund.

     Your Committees find that Hawaii's construction industry is
experiencing serious economic downturns resulting in high
unemployment rates.  In 1986, the United States Congress

 
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                                   STAND. COM. REP. NO. 961
                                   Page 2


instituted a policy to include in all federal defense
appropriations acts a provision providing that when the
unemployment rate in Hawaii exceeds the national rate of
unemployment, contractors of federal defense construction
projects in Hawaii are required to employ Hawaii residents who
are able to perform the contract.  Your Committees find that
Hawaii's Congressional Delegation must take the necessary action
to ensure that the policy is followed because it creates
employment opportunities for Hawaii's construction industry.

     Your Committees have amended this measure by making
technical, nonsubstantive changes for purposes of style.

     As affirmed by the records of votes of the members of your
Committees on Transportation and Intergovernmental Affairs and
Labor and Environment that are attached to this report, your
Committees concur with the intent and purpose of S.R. No. 16, as
amended herein, and recommend that it be referred to the
Committee on Ways and Means, in the form attached hereto as S.R.
No. 16, S.D. 1.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Transportation
                                   and Intergovernmental Affairs
                                   and Labor and Environment,



____________________________       ______________________________
BOB NAKATA, Chair                  CAL KAWAMOTO, Chair

 
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