STAND. COM. REP. NO.  1605-08

Honolulu, Hawaii

                , 2008

RE:   S.B. No. 2825

      S.D. 1

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred S.B. No. 2825, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

begs leave to report as follows:

     The purpose of this bill is to improve compliance with and administration of the procurement code by:

(1)  Allowing the Administrator of the State Procurement Office to determine the corrective actions to be taken by procurement officers; and

(2)  Providing that procurement officers who fail to comply with the administrator's determination of corrective action within 30 days of issuance of the determination are subject to an administrative fine for each day of noncompliance.

     The State Procurement Office supported this bill.  The Department of Accounting and General Services opposed this measure.

     Your Committee amended this bill by:

     (1)  Specifying that the administrative fine for noncompliance applies to executive branch procurement officers other than within the University of Hawaii, Department of Education, and Hawaii Health Systems Corporation; and

     (2)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2825, S.D. 1, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2825, S.D. 1, H.D. 2.

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

____________________________

TOMMY WATERS, Chair