STAND. COM. REP. NO.  1224-14

Honolulu, Hawaii

                , 2014

RE:   H.R. No. 134

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committee on Economic Development & Business, to which was referred H.R. No. 134 entitled:

"HOUSE RESOLUTION REQUESTING THE STATE PROCUREMENT OFFICE TO CONDUCT A STUDY ON THE FEASIBILITY, NECESSARY PROCESSES, AND COSTS RELATIVE TO REQUIRING THE CONSIDERATION OF PAST PERFORMANCE AS A FACTOR IN AWARDING PUBLIC CONTRACTS, INCLUDING LOW BID CONTRACTS,"

begs leave to report as follows:

The purpose of this measure is to increase government efficiency and allow the State to avoid poor-performing contractors when issuing public contracts by requesting the State Procurement Office to conduct a study on the feasibility, necessary processes, and costs relative to requiring the consideration of past performance as a factor in awarding public contracts, including low bid contracts.

The State Procurement Office testified in support of this measure.  The General Contractors Association of Hawaii provided comments.

     Your Committee notes that while the State Procurement Office indicated that the Office welcomes the opportunity to perform this study, the Office estimates that it will need approximately $25,000 for completion of this study.

     As affirmed by the record of votes of the members of your Committee on Economic Development & Business that is attached to this report, your Committee concurs with the intent and purpose of H.R. No. 134 and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Economic Development & Business,

____________________________

CLIFT TSUJI, Chair