STAND. COM. REP. NO.  926

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 861

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 861 entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC WORKS,"

begs leave to report as follows:

     The purpose of this bill is to ensure that the prevailing wage is paid to workers at private construction projects funded by special purpose revenue bonds (SPRBs) by:

     (1)  Requiring that the Director of Budget and Finance (B&F) report to the Department of Labor and Industrial Relations (DLIR) on any issuances of SPRBs for private projects that fall within the definition of "public works project" in the prevailing wage law but are not directly caused by a governmental contracting agency; and

     (2)  Requiring DLIR to serve as the governmental contracting agency and enforce the prevailing wage law for these private projects.

     The Hawaii State AFL-CIO and International Brotherhood of Electrical Workers Local Union 1186 testified in support of this bill.  DLIR and B&F opposed this measure.  The Office of Housing and Community Development of the County of Hawaii offered comments.

     Your Committee has amended this bill by making technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 861, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 861, H.D. 1.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair