STAND. COM. REP. NO. 554-18

Honolulu, Hawaii

, 2018

RE: H.B. No. 1875

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1875, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO SPECIALTY CONTRACTORS,"

begs leave to report as follows:

The purpose of this measure is to require the Contractors License Board to adopt rules to define the term "incidental and supplemental to the performance of work" for the purpose of permitting specialty contractors to accept contracts that include some portion of work outside the scope of specialty licensure. This measure requires that the definition refer to no more than ten percent of all work in the subcraft contract.

The Ironworkers Stabilization Fund supported this measure. The Pacific Resource Partnership, General Contractors Association of Hawaii, Hawaii Laborers-Employers Cooperation and Education Trust, Hawaii Laborers Union, Local 368, and Building Industry Association of Hawaii opposed this measure. The Contractors License Board and Subcontractors Association of Hawaii provided comments.

Your Committee has amended this measure by changing requirements for the definition of "incidental and supplemental to the performance of work" to refer to no more than an unspecified percent of all work in the subcraft contract.

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 H.B. No. 1875, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 1875, H.D. 2.

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

____________________________

ROY M. TAKUMI, Chair