Bill Text: HI HB424 | 2018 | Regular Session | Amended
Bill Title: Relating To The University Of Hawaii.
Spectrum: Strong Partisan Bill (Democrat 13-1)
Status: (Engrossed - Dead) 2018-04-24 - Received notice of Senate conferees (Sen. Com. No. 831). [HB424 Detail]
Download: Hawaii-2018-HB424-Amended.html
HOUSE OF REPRESENTATIVES |
H.B. NO. |
424 |
TWENTY-NINTH LEGISLATURE, 2017 |
H.D. 1 |
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STATE OF HAWAII |
S.D. 2 |
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A BILL FOR AN ACT
RELATING TO THE UNIVERSITY OF HAWAII.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION
1. The legislature finds that Act 87,
Session Laws of Hawaii 2013, was enacted to:
(1) remove the university president's full authority to act as chief
procurement officer for the university for all procurement contracts under chapter
103D, Hawaii Revised Statutes, (2) transfer authority to the administrator of
the state procurement office to act as chief procurement officer with respect
to university construction contracts and university professional services
contracts relating to construction, and (3) address concerns about the prudent
and transparent management of public funds appropriated by the legislature and
expended by the university for construction.
Since its enactment, Act 87 has resulted in a bifurcated procurement system
at the university wherein a different set of rules and procedures applies
depending on whether the procurement involves construction or construction
related professional services for university construction projects. Requirements for construction or professional
services furnished by licensees under chapter 464, Hawaii Revised Statutes,
must comply with the Hawaii public procurement code and procedures governing
state executive branch agencies, while requirements for goods and services must
comply with the Hawaii public procurement code and university executive and
administrative procedures governing university transactions.
In
January 2016, the state procurement office issued its report to the legislature
as required under Act 87, which documents the extensive oversight, reviews, and
coordination between the university and the state procurement office on
procurements involving construction and professional services related to
construction. The conclusion of the
state procurement office in the report was that "based on SPO's review of
102 UH construction solicitations, UH's Administrative Procedures, and 14
post-award Site Visits, SPO finds that UH is conducting construction
procurements in a compliant, efficient and transparent manner." In the report, the state procurement office
further set forth minimum recommendations for improvement and mentioned several
university specific procedures as "best-practices."
The
purpose of this Act is to reinstate and restore full authority to the
university president to act as the university's chief procurement officer for
all procurement contracts under chapter 103D, Hawaii Revised Statutes.
SECTION
2. Section 103D-203, Hawaii Revised
Statutes, is amended by amending subsection (a) to read as follows:
"(a) The chief procurement officer for each of the
following state entities shall be:
(1) The judiciary--the administrative director of
the courts;
(2) The senate--the president of the senate;
(3) The house of representatives--the speaker of
the house of representatives;
(4) The office of Hawaiian affairs--the
chairperson of the board;
(5) The University of Hawaii--the president of the
University of Hawaii; [provided that, except as specified in section
304A-2672(2), for contracts for construction and professional services
furnished by licensees under chapter 464, the administrator of the state
procurement office of the department of accounting and general services shall
serve as the chief procurement officer;]
(6) The department of education, excluding the
Hawaii public library system--the superintendent of education;
(7) The Hawaii health systems corporation--the
chief executive officer of the Hawaii health systems corporation; and
(8) The remaining departments of the executive
branch of the State and all governmental bodies administratively attached to
them--the administrator of the state procurement office of the department of
accounting and general services."
SECTION
3. Section 304A-2672, Hawaii Revised
Statutes, is amended to read as follows:
"§304A-2672
Powers of the board.
Notwithstanding any law to the contrary, the board may:
(1) Designate as a university project, any
undertaking, improvement, or facility on any one or more of the areas in one or
more of the educational institutions under the jurisdiction of the board;
(2) Construct and maintain university projects,
including a university project included or to be in a university system; [provided
that all procurements for professional services furnished by licensees under
chapter 464 for construction projects shall be coordinated with the department
of accounting and general services on behalf of the board; provided further
that the department of accounting and general services shall not be responsible
for procurements determined by both the University of Hawaii and the department
of accounting and general services to be professional services furnished by
licensees under chapter 464 for repair and maintenance;]
(3) Combine two or more university projects into a
university system on one or more of the areas on any one or more of the educational
institutions under the jurisdiction of the board, and to maintain the system;
(4) Combine two or more university projects,
university systems, or university projects and university systems into a
network, on any one or more of the areas on any one or more of the educational
institutions under the jurisdiction of the board, and to maintain the network;
(5) Prescribe and collect rents, fees, and charges
for the use of or services furnished by any university project and the
facilities thereof, and pledge any appropriation to any university project and
the facilities thereof that in aggregate, produces revenue of the university at
least sufficient to comply with section 304A-2681;
(6) With the approval of the governor, issue
revenue bonds under this subpart in such principal amount as may be authorized
by the legislature from time to time to finance in whole or in part the cost of
construction or the cost of maintenance of any university project, including
funding reserves therefor;
(7) Pledge to the punctual payment of revenue
bonds and interest thereon, all or any part of the revenue of the university,
including any appropriation, in an amount sufficient to pay the revenue bonds
and interest as the same become due and to create and maintain reasonable
reserves therefor;
(8) Establish a loan program or a commercial paper
program upon terms and conditions that the board may determine; and
(9) Advance moneys of the university, not
otherwise required, and do any and all other lawful acts as may be necessary,
convenient, or desirable, for carrying into execution and administering this
subpart."
SECTION 4. The University of Hawaii shall submit an annual report to the legislature detailing a list of all capital improvement projects approved by the board of regents prioritized by each campus no later than twenty days prior to the convening of each regular session.
SECTION
5. Statutory material to be repealed is
bracketed and stricken.
SECTION 6. This Act shall take effect on July 1, 2050; provided that on June 30, 2021, this Act shall be repealed and sections 103D-203(a) and 304A-2672, Hawaii Revised Statutes, shall be reenacted in the form in which they read on the day prior to the effective date of this Act.
Report Title:
UH; Procurement
Description:
Reinstates the President of the University of Hawaii as the chief procurement officer for contracts for construction and construction related professional services furnished by licensees under Chapter 464, Hawaii Revised Statutes. Requires the University of Hawaii to submit an annual report to the Legislature detailing a list of all capital improvement projects approved by the Board of Regents prioritized by each campus no later than 20 days prior to the convening of each Regular Session. Repeals 6/30/2021. Effective 7/1/2050. (SD2)
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