STAND. COM. REP. NO.  786-12

Honolulu, Hawaii

                , 2012

RE:   H.B. No. 1398

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1398 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 encourage joint ventures with private parties for the development of public housing by:

     (1)  Authorizing the Hawaii Public Housing Authority to develop public housing projects under a partnership or development agreement with a private party;

     (2)  Exempting the Hawaii Public Housing Authority from Chapter 103, Hawaii Revised Statutes, relating to the expenditure of public money and contracts, and Chapter 103D, Hawaii Revised Statutes, the Hawaii Procurement Code, if not prohibited by federal law or regulation; and

     (3)  Requiring the Hawaii Public Housing Authority to submit an annual report to the Legislature prior to the convening of each regular session on the status of all public housing projects being developed using partnership or development agreements.

The Hawaii Public Housing Authority testified in support of this measure.  The State Procurement Office testified in opposition to this measure.  The Hawaii Building and Construction Trades Council provided comments on this measure.

     Your Committee has amended this measure by:

     (1)  Changing the effective date to July 1, 2030, for the purposes of facilitating further discussion; and

     (2)  Making technical, nonsubstantive amendments for the purposes of 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. 1398, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1398, H.D. 1.

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

____________________________

MARCUS R. OSHIRO, Chair