STAND. COM. REP. NO. 2229

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2521
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Government Operations and Housing, to
which was referred S.B. No. 2521 entitled: 

     "A BILL FOR AN ACT RELATING TO PROFESSIONAL SERVICE
     CONTRACTS,"

begs leave to report as follows:

     The purpose of this measure is to increase public awareness
of State professional service contracts of $250,000 or more by
establishing disclosure requirements for purchasing agencies.

     This measure requires that within a specified time, the
purchasing agency shall publish the names of at a maximum, the
top five contenders, the name of the firm or individual awarded
the contract, the principal officers of the firm, and any
relationship between the principals and the official making the
award.  This measure also specifies that the purchasing agency
shall publish an annual report of all professional service
contracts listing the name of the contracting agency, and the
amount and type of each contract awarded.

     In its testimony, the Department of Accounting and General
Services supported the intent of this measure and recommended
that the publishing requirement be modified to allow the
purchasing agency to post the information on the agency's
bulletin board and on the Internet.  Testimony in opposition of
this measure was received from the State Procurement Office.


 
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                                   STAND. COM. REP. NO. 2229
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     Your Committee finds that the information made available as
a result of this measure is important public information and will
contribute to a more knowledgeable citizenry.  Your Committee has
heard the recommendations as to the form of delivery of the
information and has amended this measure to delete the references
to publish and publication and to make this information available
by posting and on the Internet.

     As affirmed by the record of votes of the members of your
Committee on Government Operations and Housing that is attached
to this report, your Committee is in accord with the intent and
purpose of S.B. No. 2521, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as S.B.
No. 2521, S.D. 1, and be referred to the Committee on Ways and
Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Government
                                   Operations and Housing,



                                   ______________________________
                                   ROD TAM, Chair

 
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