STAND. COM. REP. NO.  1617-16

Honolulu, Hawaii

                , 2016

RE:   S.B. No. 2542

      S.D. 2

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 2542, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO REPAIR AND MAINTENANCE,"

begs leave to report as follows:

The purpose of this measure is to establish a full funding policy and budgetary procedures for routine repair and maintenance of state-owned buildings, facilities, and other improvements, including Judiciary-owned facilities.

     Specifically, this measure:

     (1)  Requires all state executive agencies managing state-owned buildings, facilities, and improvements to submit annual reports to the Legislature regarding routine repair and maintenance funding needs; and

     (2)  Requires that all capital improvement projects include a recommended plan for routine repair and maintenance.

The Department of Accounting and General Services testified in support of this measure.  The Judiciary, Department of Budget and Finance, Department of Human Resources Development, and United Public Workers, AFSCME, Local 646, AFL-CIO provided comments.

     Your Committee has amended this measure by:

     (1)  Changing its effective date to July 1, 2030, to facilitate further discussion; and

     (2)  Making technical, nonsubstantive amendments for 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 S.B. No. 2542, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2542, S.D. 2, H.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

SYLVIA LUKE, Chair