STAND. COM. REP. NO.  1312-16

Honolulu, Hawaii

                , 2016

RE:   S.B. No. 3092

      S.D. 2

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 3092, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

begs leave to report as follows:

The purpose of this measure is to authorize procurement officers to consider a previously licensed and listed subcontractor's license as valid; provided that certain conditions are satisfied.

The General Contractors Association of Hawaii; Genba Hawaii, Inc.; Healy Tibbitts Builders, Inc.; Lindemann Construction Inc.; and Building Industry Association of Hawaii testified in support of this measure.  The State Procurement Office testified in opposition to this measure.  The Contractors License Board and Subcontractors Association of Hawaii provided comments on this measure.

     Your Committee has amended this measure by:

     (1)  Specifying that the procurement officer may only consider a listed subcontractors license as valid if the subcontractor was previously licensed to perform the scope of work indicated within sixty days prior to bid opening; and

     (2)  Changing the effective date to July 1, 2112, to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3092, S.D. 2, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as S.B. No. 3092, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

ANGUS L.K. McKELVEY, Chair