STAND. COM. REP. NO. 2021

Honolulu, Hawaii

RE: S.B. No. 2075

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred S.B. No. 2075 entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII TOURISM AUTHORITY,"

begs leave to report as follows:

The purpose and intent of this measure is to require the Hawaii Tourism Authority to offer performance-based incentives in its professional services contracts.

Your Committee received no testimony on this measure.

Your Committee finds that performance-based incentives in professional services contracts have been used to reduce costs and motivate contractors to implement best practices to perform the contracted work closely to the scope solicited. The Hawaii Tourism Authority's website currently reports that its active solicitations, not including those for the Hawaii Visitors and Convention Bureau, Hawaii Community Foundation, and Hawaii Convention Center, have a total award amount of nearly $9,000,000. Your Committee believes that this measure will help increase the accountability and quality of professional services that are provided through the Hawaii Tourism Authority's procurement contracts.

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2075 and recommends that it pass Second Reading and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Energy, Economic Development, and Tourism,

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GLENN WAKAI, Chair