STAND. COM. REP. NO. 940

Honolulu, Hawaii

RE:    H.B. No. 988

       H.D. 2

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committees on Economic Development and Technology and Commerce and Consumer Protection, to which was referred H.B. No. 988, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

beg leave to report as follows:

     The purpose of this measure is to further the State's efforts toward self-sufficiency by amending the Hawaii Procurement Code to make it more likely that agricultural products procured by government agencies are products grown in the State.

     Testimony in support of this measure was submitted by the Department of Agriculture, Hawaii Farm Bureau Federation, and Hawaii Food Industry Association.  Written testimony presented to the Committees may be reviewed on the Legislature's website.

     Your Committees find that providing local agricultural producers and farmers with a purchasing preference on sales to government agencies will enable those small agricultural producers and farmers to receive an economic boost in their business.  Your Committees also find that local agricultural producers and farmers will benefit from this measure because with the additional protections for small businesses under the procurement code, those local agricultural producers and farmers will have more market opportunities to sell their Hawaii agricultural products to government agencies.

     Your Committees have amended this measure by making technical, nonsubstantive amendments for the purpose of clarity.

     As affirmed by the records of votes of the members of your Committees on Economic Development and Technology and Commerce and Consumer Protection that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 988, H.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 988, H.D. 2, S.D. 1, and be referred to the Committee on Judiciary and Government Operations.

Respectfully submitted on behalf of the members of the Committees on Economic Development and Technology and Commerce and Consumer Protection,

____________________________ ROSALYN H. BAKER, Chair

____________________________ CAROL FUKUNAGA, Chair