Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Labor & Public Employment, to which was referred H.B. No. 2953 entitled:

begs leave to report as follows:

The purpose of this bill is to ensure that all parties involved in public works contracts comply with Hawaii's wage and hour laws by requiring the chief procurement officer (CPO) to notify every governmental contracting agency of requirements and applicability of Hawaii's prevailing wage law for public works contracts in excess of $2,000, including emergency contracts and those funded by special purpose revenue bonds, purchase orders, and vouchers.

The State Procurement Office, Department of Labor and Industrial Relations, and Associated Builders and Contractors, Inc., opposed this measure. The Department of Accounting and General Services offered comments.

The Attorney General recently issued an opinion that public works projects include projects funded by special purpose revenue bonds. This has caused confusion among state departments and contracting organizations. Your Committee believes that making the CPO responsible for informing every governmental contracting agency will ensure compliance with wage and hour laws.

Your Committee has amended this bill by:

As affirmed by the record of votes of the members of your Committee on Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2953, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2953, H.D. 1, and be referred to the Committee on Finance.