Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Water, Land Use, and Hawaiian Affairs, to which was referred H.B. No. 1302 entitled:

begs leave to report as follows:

The purpose of this bill is to make certain technical, housekeeping amendments relating to the awarding of monetary grants by the Office of Hawaiian Affairs (OHA).

Your Committee finds that during the 2002 legislative session, OHA introduced a bill to clarify its authority to award monetary grants independent of procurement law requirements. The bill was prompted by an opinion from the Department of the Attorney General suggesting that the public notice and bidding requirements of chapters 103D and 103F, Hawaii Revised Statutes (HRS), applied to grants-in-aid awarded by OHA.

The bill submitted by OHA, eventually enacted as Act 182, Session Laws of Hawaii (SLH) 2002, amended parts of chapters 103D and 103F, HRS. The Office of State Procurement (OSP) did not oppose the substance of the bill but preferred that the language in chapters 103D and 103F, HRS, be left unamended. The language of the bill, however, was left intact and enacted as Act 182, SLH 2002, with OHA's agreement that a housekeeping bill would be introduced during the 2003 legislative session to address OSP's concerns. This bill fulfills OHA's commitment to OSP and does not make any substantive changes to the rights and obligations of OSP and OHA with respect to OHA's award of monetary grants.

OHA testified in support of the bill.

As affirmed by the record of votes of the members of your Committee on Water, Land Use, and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1302 and recommends that it pass Second Reading and be referred to the Committee on Finance.