STAND. COM. REP. NO. 227-24

Honolulu, Hawaii

, 2024

RE: H.B. No. 2496

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Labor & Government Operations, to which was referred H.B. No. 2496 entitled:

"A BILL FOR AN ACT RELATING TO PROCUREMENT,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Add alternative procurement methods to the types and methods of source selection; and

(2) Allow an alternative procurement method when the federal government provides for or approves the alternative procurement method and the head of the purchasing agency makes a written determination that it is neither practicable nor advantageous to use the existing statutory procurement methods.

Your Committee received testimony in opposition to this measure from the State Procurement Office.

Your Committee finds that improving contracting practices and promoting quality and innovation in goods and services and construction have the potential to reduce the life cycle cost of projects in the State. Adding alternative procurement methods to the types and methods of source selection provide options for unique, complex, or schedule-critical projects, which can result in substantial cost savings and other benefits to the State.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 3000, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Labor & Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2496, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2496, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Government Operations,

____________________________

SCOT Z. MATAYOSHI, Chair