STAND. COM. REP. NO. 242

Honolulu, Hawaii

, 2023

RE: H.B. No. 978

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Labor & Government Operations, to which was referred H.B. No. 978 entitled:

"A BILL FOR AN ACT RELATING TO PURCHASES OF HEALTH AND HUMAN SERVICES,"

begs leave to report as follows:

The purpose of this measure is to amend the State's procurement laws relating to the purchase of health and human services to promote procurement efficiency, program success, and government accountability.

Your Committee received testimony in support of this measure from the State Procurement Office, Department of Human Services, and Department of Accounting and General Services.

Your Committee finds that the $25,000 limit to qualify for a small purchase for health and human services was established in 1997. Increases in the cost of goods and services in the intervening twenty-five years warrant an adjustment to that limit. Your Committee also finds that this measure promotes efficiency without sacrificing the requirement of demonstrated competence and qualification for treatment service at fair and reasonable prices.

Your Committee has amended this measure by:

(1) Changing the effective date to June 30, 3000, to encourage further discussion; 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 Labor & Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 978, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 978, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Labor & Government Operations,

____________________________

SCOT Z. MATAYOSHI, Chair