STAND. COM. REP. NO. 1407-22

Honolulu, Hawaii

, 2022

RE: S.B. No. 2387

S.D. 1

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 2387, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

begs leave to report as follows:

The purpose of this measure is to require agencies to publicly post the justification for cancelling an invitation for bids or request for proposals for a minimum of ten business days on a purchasing agency's website or provider's website or by any other method the procurement officer deems effective for publicizing the cancellation notice.

Your Committee received comments on this measure from the State Procurement Office.

Your Committee finds that procurement is a critical function in government. One of the guiding principles of the Hawaii Public Procurement Code is transparency, which ensures openness in the procurement process so all stakeholders have access to information about procurement activities. Your Committee further finds that transparency should not be limited to the awarding of contracts. This measure requires agencies to publicly post the justification for cancelling invitations for bids or requests for proposals, which will promote consistency, transparency, and efficiency in the state procurement process.

Your Committee has amended this measure by:

(1) Specifying that the justifications for cancellation may be posted on a government electronic notification system, rather than on a provider's website; and

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

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 S.B. No. 2387, S.D. 1, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as S.B. No. 2387, S.D. 1, H.D. 2.

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

____________________________

AARON LING JOHANSON, Chair