STAND. COM. REP. NO. 587-24

Honolulu, Hawaii

, 2024

RE: H.B. No. 2499

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 2499, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT FOR THE UNIVERSITY OF HAWAII,"

begs leave to report as follows:

The purpose of this measure is to remove the repeal and reenactment in Act 8, Special Session Laws of Hawaii 2021, to maintain the authority of the President of the University of Hawaii to act as the University of Hawaii's Chief Procurement Officer.

Your Committee received testimony in support of this measure from the University of Hawaiʻi System; State Procurement Office; and one individual.

Your Committee finds that Act 87, Session Laws of Hawaii 2013, created a complex bifurcated system of procurement within the University of Hawaii, as the University of Hawaii President continued to serve as the Chief Procurement Officer for goods and services while the Administrator of the State Procurement Office (Office) served as the Chief Procurement Officer for construction and construction-related professional services. Your Committee further finds that, after a review conducted by the Office, the Office found that the University is conducting procurements in a compliant, efficient, and transparent manner. Accordingly, the full authority over procurement was restored to the University of Hawaii President through Act 42, Session Laws of Hawaii 2018, and Act 8, Special Session of Hawaii 2021. However, this restored authority is set to sunset on June 30, 2024. This measure would remove the sunset date and make permanent the University of Hawaii President's authority to serve as the Chief Procurement Officer for all procurements by the University.

Your Committee has amended this measure by changing the effective date to June 29, 3000, to encourage further discussion.

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 H.B. No. 2499, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 2499, H.D. 2.

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

____________________________

MARK M. NAKASHIMA, Chair