STAND. COM. REP. NO. 3201

Honolulu, Hawaii

RE: S.B. No. 2302

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2302, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CHIEF PROCUREMENT OFFICERS,"

begs leave to report as follows:

The purpose and intent of this measure is to minimize conflicts of interest in procurement for the University of Hawaii System.

Specifically, this measure designates the Vice President for Budget and Finance and Chief Financial Officer of the University of Hawaii as the chief procurement officer for the university.

Your Committee received written comments on this measure from the University of Hawaii.

Your Committee finds that many institutions of higher education across the United States differentiate between institutional leadership and purchasing by assigning procurement authority to a person other than the institution's chief executive officer.

Your Committee further finds that the facilities of the University of Hawaii are in need of repairs and maintenance. Upon consultation with the Acting Administrator of the State Procurement Office and the chief procurement officer for the Executive Branch, your Committee is amending this measure to appropriate funds for this purpose, to be procured pursuant to chapter 103D, Hawaii Revised Statutes, and to be placed under the direction of the chief procurement officer of the University of Hawaii.

Accordingly, your Committee has amended this measure by:

(1) Appropriating $21,700,000 in general funds to program ID University of Hawaii – systemwide support (UOH900) for the repair and maintenance of campus buildings and infrastructure, to be procured under the direction of the chief procurement officer of the University of Hawaii;

(2) Changing the effective date from upon its approval to July 1, 2022; and

(3) Making technical nonsubstantive amendments for purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2302, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2302, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair