STAND. COM. REP. NO. 2588

Honolulu, Hawaii

RE: S.B. No. 2035

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committees on Government Operations and Housing, to which was referred S.B. No. 2035 entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

beg leave to report as follows:

The purpose and intent of this measure is to require the number of housing units proposed to be developed to constitute forty percent of the evaluation score when determining the award of redevelopment contracts on state or county lands.

Your Committees received testimony in opposition to this measure from the State Procurement Office and Hawaii Housing Finance and Development Corporation.

Your Committees recognize that Hawaii has a housing shortage which causes residents to move out of the State to more affordable markets and contributes to the increased number of homeless individuals and families across our State. Your Committees find that currently there is a unique opportunity to increase the supply of housing by building more housing units on state-owned lands along the rail transit corridor.

Your Committees have amended this measure by:

(1) Limiting the requirement to apply only to procurement projects located within a one-half mile radius of mass transit stations in urban areas; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

Your Committees note that the language of this measure should not be placed in the Hawaii Procurement Code - 103D, Hawaii Revised Statutes, but rather relocated to a more appropriate section or sections of the Hawaii Revised Statutes.

As affirmed by the records of votes of the members of your Committees on Government Operations and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2035, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2035, S.D. 1, and be referred to your Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committees on Government Operations and Housing,

________________________________ STANLEY CHANG, Chair

________________________________ LAURA H. THIELEN, Chair