Bill Text: HI SB1275 | 2013 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Kahoolawe Island Reserve Commission; Procurement Exemption

Spectrum: Partisan Bill (Democrat 6-0)

Status: (Engrossed - Dead) 2013-03-19 - Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and none excused (0). [SB1275 Detail]

Download: Hawaii-2013-SB1275-Amended.html

 

 

STAND. COM. REP. NO. 160

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 1275

 

 

 

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

 

Madam:

 

     Your Committees on Water and Land and Economic Development, Government Operations and Housing, to which was referred S.B. No. 1275 entitled:

 

"A BILL FOR AN ACT RELATING TO THE KAHO‘OLAWE ISLAND RESERVE COMMISSION,"

 

beg leave to report as follows:

 

     The purpose and intent of this measure is to grant the Kahoolawe Island Reserve Commission (Commission) a permanent procurement exemption for the procurement of food or fuel products necessary for the Commission to carry out the purposes of chapter 6K, Hawaii Revised Statutes, relating to the Kahoolawe Island Reserve law.

 

     Your Committees received testimony in support of this measure from the Kahoolawe Island Reserve Commission.

 

     Your Committees find that strict adherence to procurement code requirements is frequently not practicable for the Commission or advantageous to the State.

 

     Act 159, Session Laws of Hawaii 2010, provided a temporary procurement exemption to the Commission.  The exemption sunsets on July 1, 2013.  Your Committees find that the uniqueness of the Commission's work necessitates a procurement exemption.  For example, personnel and cargo are typically transported between Maui and Kahoolawe by boat, and helicopter transportation is used only sparingly due to its high cost.  Both methods of transportation involve several variables, including the weather, mechanical functions, and personnel availability.  Additionally, both methods of transportation have size and weight limitations for their cargo.  The Commission's requirements for fuel products are also unique in the State, as the Commission takes delivery and transports its own fuel supplies in multiple forms, such as bulk and barrel, which are not currently provided by the state contracted fuel provider.  Furthermore, food vendor prices change weekly, if not more frequently, and the Commission's food orders change weekly in terms of products and quantities ordered.

 

     Purchasing flexibility under the current temporary exemption has allowed the Commission to make the most cost effective and healthiest selections of local produce when available.  Testimony of the Commission indicates that it has been able to reduce waste by purchasing smaller quantities on sale or at reduced prices, whereas purchasing from the state price list would entail larger bulk orders tailored for much larger institutions and operations.

 

     As affirmed by the records of votes of the members of your Committees on Water and Land and Economic Development, Government Operations and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1275 and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committees on Water and Land and Economic Development, Government Operations and Housing,

 

____________________________

DONOVAN M. DELA CRUZ, Chair

 

____________________________

MALAMA SOLOMON, Chair

 

 

 

 

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