STAND. COM. REP. NO.1362

Honolulu, Hawaii

, 2001

RE: H.B. No. 511

H.D. 1

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 511, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO REMEDIES OF PART VII, CHAPTER 103D, HAWAII REVISED STATUTES,"

begs leave to report as follows:

The purpose of this measure is to amend the public procurement code by requiring a protest bond when a procurement protest is initiated.

In particular, this bill amends section 103D-701, Hawaii Revised Statutes, relating to the authority to resolve protested solicitations and awards, by:

(1) Adding a requirement that a protester file a notice of intent to protest;

(2) Requiring a nonrefundable administrative fee to accompany a protest;

(3) Requiring a bond or other form of security, which is to be claimed by the State when the process does not sustain the protest in favor of the protestor;

(4) Allowing successful protestors to recover protest bond costs; and

(5) Requiring the procurement policy board to adopt rules to implement these provisions.

Your Committee received comments on this measure from the Administrator of the State Procurement Office.

Your Committee finds that this bill will assist in reducing the filing of frivolous protests, which delay the award of state contracts that have been put out for bid, while continuing to preserve the rights of aggrieved bidders to protest.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 511, H.D. 1, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair