STAND. COM. REP. NO. 160

Honolulu, Hawaii

RE:    S.B. No. 445

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committee on Education and Housing, to which was referred S.B. No. 445 entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII PUBLIC HOUSING AUTHORITY,"

begs leave to report as follows:

     The purpose of this measure is to provide a temporary exemption from chapters 103 and 103D, Hawaii Revised Statutes, to the Hawaii Public Housing Authority in order to correct the health, safety, and other deficiencies at Kuhio Park Terrace and Kuhio Homes in Kalihi.

     Testimony in support of this measure was submitted by one state agency and one private organization.  One state agency submitted comments.  Copies of written testimony are available for review on the Legislature's website.

     Your Committee finds that this measure would assist the Hawaii Public Housing Authority in correcting deficiencies at two housing projects in need of extensive rehabilitation.  Your Committee notes, however, that the exemption provided in this measure would apply only to state funds, not the use of federal funds.  Federal regulations require compliance with federal procurement rules when using federal funds.

     Your Committee has amended this measure by:

     (1)  Clarifying that the exemption would apply to all contracts for state funds related to correcting the health, safety, habitability, and accommodations for disabled resident deficiencies at Kuhio Park Terrace and Kuhio Homes in Kalihi;

     (2)  Adding planning, design, and equipment to the list of permitted procurements; and

     (3)  Making the Act effective upon approval.

     As affirmed by the record of votes of the members of your Committee on Education and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 445, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 445, S.D. 1, and be referred to the Committee on Judiciary and Government Operations.

Respectfully submitted on behalf of the members of the Committee on Education and Housing,

____________________________

NORMAN SAKAMOTO, Chair