CONFERENCE COMMITTEE REP. NO. 82-10

Honolulu, Hawaii

                 , 2010

RE:    S.B. No. 2831

       S.D. 1

       H.D. 1

       C.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2831, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE PROCUREMENT CODE,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to make permanent the requirements for withholding payment to a subcontractor effectuated by Act 175, Session Laws of Hawaii 2009.

     Your Committee on Conference finds that the amendment made by Act 175 to section 103-2.1, Hawaii Revised Statutes, eliminates confusion concerning the procedure and amount of retainage that may be withheld from a subcontractor on a public works project and clarifies the conditions under which a procurement officer can withhold part or all of a subcontractor's payment request.  As such, your Committee on Conference believes that the amendment should be made permanent.

     Your Committee on Conference has amended this measure by making a technical, nonsubstantive change for purposes of accuracy in the statutory language.

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 2831, S.D. 1, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2831, S.D. 1, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ ANGUS L.K. MCKELVEY, Co-Chair	____________________________ BRIAN T. TANIGUCHI, Chair
____________________________ ISAAC W. CHOY, Co-Chair