STAND. COM. REP. NO. 2256

Honolulu, Hawaii

RE:    S.B. No. 2751

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Economic Development, Government Operations and Housing, to which was referred S.B. No. 2751 entitled:

"A BILL FOR AN ACT RELATING TO CONCESSIONS,"

begs leave to report as follows:

     The purpose and intent of this measure is to exempt the operation of concessions for wireless and communication services and for advertising from the public concession bidding process.

     Your Committee received testimony in support of this measure from the Department of Transportation and Airport Concessionaires Committee.  Your Committee received testimony in opposition to this measure from ShakaNet, Inc.

     Your Committee finds that the rapid development of technology has altered the way in which advertising and sales are rendered.  Similarly, communications technology evolves quickly to accommodate changing needs for connectivity and compatibility with personal hardware.  As such, flexible procedures are needed within government contracts to ensure efficiency and best economic results.

     Your Committee has amended this measure by inserting an effective date of July 1, 2050, to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Economic Development, Government Operations and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2751, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2751, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Economic Development, Government Operations and Housing,

____________________________

DONOVAN M. DELA CRUZ, Chair