Bill Text: HI SB2067 | 2012 | Regular Session | Introduced

---

Bill Title: Government Agencies; Procurement; City and County of Honolulu Package

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2012-01-19 - (S) Referred to JDL/PGM, WAM. [SB2067 Detail]

Download: Hawaii-2012-SB2067-Introduced.html

---

THE SENATE	S.B. NO.	2067
TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII

A BILL FOR AN ACT

 

 

RELATING TO PRIVATIZATION OF GOVERNMENT SERVICES.

 

 

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

 

     SECTION 1.  The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"CHAPTER

PRIVATIZATION

     §   -1  Scope and application.  This chapter preempts and supersedes all other state law with regard to determining whether services, including services obtained in conjunction with the procurement of goods and construction, funded by the State or any of its counties, should be provided exclusively by government or obtained through government contracts from the private sector.  Procurement laws shall be applied, as appropriate, if a determination is made pursuant to this chapter that a service should be obtained by contract from the private sector.

     §   -2  Determination; standards.  (a)  Notwithstanding any law to the contrary, including but not limited to chapters 46, 76, 77, 78, 89, and 89A, any other applicable civil service law, customary or historical past practices, or the fact that the services hereinafter described may have been performed by persons or positions in civil service, any state or county official in whom procurement authority is vested by law may enter into a contract financed by public funds, with a private entity to obtain services, including services provided in conjunction with the procurement of goods or construction, from a private entity, when there is reasonable basis to believe that the service of equivalent or better quality than that which could be provided by a government agency can be provided at lower cost.

     (b)  For purposes of this chapter, a "private entity" is any individual, company, or organization that is not an employee or agency within the federal, state, or county government.

     (c)  In the determination made pursuant to this chapter, the state or county official shall consider whether contracting with the private entity will:

     (1)  Jeopardize the government's ability to provide the service if the private entity fails to perform, or the contract becomes unprofitable or impossible for a private entity to perform;

     (2)  Impact on any employee covered by civil service laws; provided that the impact shall not prevent the procurement of services pursuant to this chapter;

     (3)  Affect the nature of the service the agency needs, including whether:

         (A)  The service is self-contained or part of a larger service delivery system;

         (B)  The service is geographically dispersed;

         (C)  The service is a core or ancillary government service and if in-house resources are available or needed;

         (D)  Government control is necessary;

         (E)  Government accountability can be shared; and

         (F)  Governmental authority will be diluted;

     (4)  Increase the potential for achieving cost savings, including:

         (A)  The need to abandon or repurchase capital improvements or equipment that are not fully depreciated;

         (B)  The extent to which the service is available in the private sector marketplace; and

         (C)  The extent to which federal or state restrictions may reduce private sector interest in providing or performing the needed or required service; and

     (5)  Affect the extent to which the services are needed or required, and how the criteria to select a service provider can be described in objective specifications.

     (d)  Any employee displacements shall be subject to section 46-   or 89A-1(e) as appropriate.

     §   -3  Annual reports.  Each state and county department and agency that uses the contracting process set out in this chapter, shall submit a report to the legislature no later than twenty days prior to the convening of the regular session of each year beginning with 2013.  The report shall include:

     (1)  An itemization of all services that were outsourced or subjected to the processes set out in this chapter;

     (2)  The agency’s or department’s justification that standards for determination were met;

     (3)  The cost of services obtained through the process set out in this chapter;

     (4)  A copy of all contracts entered into under this chapter; and

     (5)  An accounting of civil service employees displaced as a consequence of this chapter."

     SECTION 2.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________
	BY REQUEST

 

 

Report Title:

Government Agencies; Procurement; City and County of Honolulu Package

 

Description:

Allows the State and counties to contract services from private entities or to allow those services to be performed in house as appropriate.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.