Report Title:
Procurement Code
Description:
Restores procurement exemption for the high technology development corporation.
|
THE SENATE |
S.B. NO. |
2997 |
|
TWENTY-THIRD LEGISLATURE, 2006 |
||
|
STATE OF HAWAII |
||
|
|
A BILL FOR AN ACT
relating to procurement.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Act 216 repealed the procurement code exemptions of the High Technology Development Corporation in sections 206M-3, Hawaii Revised Statutes, relating to general powers of the corporation, and section 206M-42, Hawaii Revised Statutes, relating to special facility leases. However, Act 216 did not amend section 206M-16(b), Hawaii Revised Statutes, which provides an exemption for project agreements, construction contracts, lease and sublease agreements, or other contracts, unless a project agreement so requires.
The Attorney General recommended, in testimony on October 24, 2005, that sections 206M-3 and 206M-42, Hawaii Revised Statutes, be amended to restore the exemptions that were repealed by Act 216 if the intent of the legislature is to confer a broad procurement exemption to the corporation. The one currently existing exemption under section 206M-16(b), Hawaii Revised Statutes, is too specific to be read as a broad exemption.
The purpose of this Act is to restore the procurement exemptions for the high technology and development corporation, in the interests of statutory consistency and interpretation.
SECTION 2. Section 206M-3, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:
"(b) The corporation shall be exempt from [chapter] chapters 102[.] and 103D."
SECTION 3. Section 206M-42, Hawaii Revised Statutes, is amended to read as follows:
"§206M-42 Powers. In addition to any other powers granted to the development corporation by law, the development corporation may:
(1) With the approval of the governor[,] and without public bidding, enter into a special facility lease or an amendment or supplement thereto whereby the development corporation agrees to acquire, construct, improve, install, equip, and develop a special facility solely for the use by another party to a special facility lease;
(2) With the approval of the governor, issue special facility revenue bonds in principal amounts that may be necessary to yield the amount of the cost of any acquisition, construction, improvement, installation, equipping, and development of any special facility, including, subject to paragraph (6), the costs of acquisition of the site thereof; provided that the total principal amount of the special facility revenue bonds which may be issued pursuant to the authorization of this section shall not exceed $100,000,000;
(3) With the approval of the governor, issue refunding special facility revenue bonds with which to provide for the payment of outstanding special facility revenue bonds (including any special facility revenue bonds theretofore issued for this refunding purpose) or any part thereof; provided any issuance of refunding special facility revenue bonds shall not reduce the principal amount of the bonds that may be issued as provided in paragraph (2);
(4) Perform and carry out the terms and provisions of any special facility lease;
(5) Notwithstanding section 103-7 or any other law to the contrary, acquire, construct, improve, install, equip or develop any special facility, or accept the assignment of any contract therefor entered into by the other party to the special facility lease;
(6) Construct any special facility on land owned by the State; provided that no funds derived herein shall be expended for land acquisition; and
(7) Agree with the other party to the special facility lease whereby any acquisition, construction, improvement, installation, equipping, or development of the special facility and the expenditure of moneys therefor shall be undertaken or supervised by another person. Any agreement under this paragraph shall not be subject to chapter 103D."
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval.
|
INTRODUCED BY: |
_____________________________ |