STAND. COM. REP. NO.  1442

Honolulu, Hawaii

                , 2013

RE:   S.B. No. 1293

      S.D. 1

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Sir:

     Your Committees on Labor & Public Employment and Consumer Protection & Commerce, to which was referred S.B. No. 1293, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CONTRACTORS,"

beg leave to report as follows:

The purpose of this measure is to require any person applying for a license as an electrical contractor, pole and line contractor, high voltage electrical contractor, or electronic systems contractor, with the exception of employees of a public utility, to possess a trade license to perform electrical work in the State.

The International Brotherhood of Electrical Workers Local Union 1186 and Electrical Contractors Association of Hawaii supported this measure.  The Contractors License Board; General Contractors Association of Hawaii; Building Industry Association of Hawaii; BKA Builders Inc.; Custom Electronic Design & Installation Association; Universal Construction, Inc.; and Pacific Resource Partnership opposed this measure.

     Your Committees have amended this measure by:

(1)  Specifying that the requirement that an applicant for a license as an electrical contractor, pole and line contractor, high voltage electrical contractor, or electronic systems contractor possess a journey worker trade license to perform electrical work in the State applies only to individuals operating as sole proprietors;

(2)  Defining "sole proprietor" as an individual who owns and operates a business that does not employ any other individuals;

(3)  Adding new language to require sole proprietors to possess a journey worker trade license to perform electrical work in the state as a condition of maintaining a specified electrical contractor's license, effective July 1, 2015;

(4)  Specifying that the licensing requirements established by this measure shall not prohibit a general contractor from performing customary duct or conduit work as part of site preparation; and

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

     As affirmed by the records of votes of the members of your Committees on Labor & Public Employment and Consumer Protection & Commerce that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1293, S.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1293, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committees on Labor & Public Employment and Consumer Protection & Commerce,

____________________________ ANGUS L.K. McKELVEY, Chair

____________________________ MARK M. NAKASHIMA, Chair