HOUSE OF REPRESENTATIVES	H.B. NO.	2441
TWENTY-FIFTH LEGISLATURE, 2010		H.D. 2
STATE OF HAWAII

A BILL FOR AN ACT

 

 

RELATING TO PROCUREMENT.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that in this period of tremendous economic turmoil, procedural changes are necessary to enable the State to achieve a quick recovery and to provide effective economic stimulation.  The legislature further finds that Hawaii's public procurement process is inefficient and antiquated.  Procedures require protracted periods of time between each procurement step.  Currently, the awarding of a contract is subject to prolonged review, thereby preventing government projects from proceeding in a timely manner.

     Senate Concurrent Resolution No. 132, Senate Draft 1, Regular Session of 2009, established a task force to determine the economic contributions of the construction industry in Hawaii.  As directed in the concurrent resolution, the task force has developed a series of proposals for state actions to preserve and create new jobs in the local construction industry.  The intent of this Act is to implement one of the task force's proposals.

     Accordingly, the purpose of this Act is to amend chapter 103D, Hawaii Revised Statutes, to require all state agencies to award public contracts on bid proposals within thirty days of the bid opening date.  In doing so, however, it is also the purpose of this Act to strike a balance between expedited procedures and the necessary accountability and transparency.

     SECTION 2.  Chapter Section 103D, Hawaii Revised Statutes, is amended by adding a new section to part III to read as follows:

     "§103D-    Contract award deadlines.  Notwithstanding any other statute or administrative rule relating to procurement, contracts for projects of the state departments of Hawaiian home lands and transportation, county boards of water supply, and county departments of housing, planning and permitting, and transportation shall be awarded within thirty days of the bid opening date; provided that:

     (1)  The limitation shall not apply if the lowest responsible bid exceeds available funding;

     (2)  An extension, not exceeding       business days, shall be permitted if the extension will provide the opportunity for further negotiations with the lowest responsible bidder relating to considerations that could result in benefits to the public; and

     (3)  Contracts for design professional services furnished by licensees under chapter 464 shall be awarded within forty-five days of the opening date of the bid."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect upon its approval, and shall be repealed on June 30, 2015.

 

Report Title:

Construction Task Force; Procurement; Thirty Days

 

Description:

Requires contracts awarded to projects of the departments of Hawaiian home lands and transportation; county boards of water supply; and county departments of housing, planning and permitting, and transportation to be awarded within 30 days of the bid opening date, subject to sufficient available funding and possible further negotiations to benefit the public.  Requires contracts by these agencies for design professional services to be awarded within 45 days of the bid opening date.  (HB2441 HD2)

 

 

 

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