STAND. COM. REP. NO. 2121

Honolulu, Hawaii

RE: S.B. No. 2106

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Water and Land, to which was referred S.B. No. 2106 entitled:

"A BILL FOR AN ACT RELATING TO CONCESSIONS ON PUBLIC PROPERTY,"

begs leave to report as follows:

The purpose and intent of this measure is to amend the requirements for advertising of concession contracts on public property.

Your Committee received testimony in support of this measure from the City and County of Honolulu Department of Budget and Fiscal Services and City and County of Honolulu Department of Enterprise Services.

Your Committee finds that government entities often experience difficulties attracting interested and qualified bidders to provide concession services on public property. Concessions remain an important revenue generator for the counties. However, interest and the ability to attract competition has waned due to factors such as the economy and employment. A digital advertisement option may provide relief to the current difficulties attracting and securing concessionaires. To encourage greater interest and competition among bidders for concession services, this measure amends the requirements for the advertising of concession contracts on public property to include newspaper and online advertisements.

Your Committee has amended this measure by:

(1) Inserting an effective date of July 1, 2050, to encourage further discussion; and

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

As affirmed by the record of votes of the members of your Committee on Water and Land that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2106, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2106, S.D. 1, and be referred to your Committees on Judiciary and Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Water and Land,

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LORRAINE R. INOUYE, Chair