Increases the dollar threshold for housing projects exempt from the labor and mechanics wage rate law governing the Hawaii public housing administration.

A BILL FOR AN ACT

SECTION 1. The purpose of this Act is to increase the dollar threshold for housing projects exempt from the labor and mechanics wage rate law governing the Hawaii public housing administration. The current dollar threshold is $500,000. This threshold was adopted upon the original enactment of the original housing and community development corporation of Hawaii law in 1997. It has not been updated despite the increase in the costs of doing business since that time. Accordingly, some projects, which in 1997 would have been exempt from the wage rate law, are no longer exempt today despite the identical scale and size of the project.

SECTION 2. Section 201G-133, Hawaii Revised Statutes, is amended to read as follows:

"§201G-133 Rate of wages for laborers and mechanics. The administration shall require an eligible bidder or eligible developer of a housing project developed under this subpart to comply with the requirements of section 104-2 for those laborers and mechanics hired to work on that housing project; provided that this section shall not apply to a housing project developed under this chapter if the entire cost of the project is less than [$500,000] $20,000,000 and the eligible bidder or eligible developer is a private nonprofit corporation."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2006.