STAND. COM. REP. NO. 400-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1660

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 1660, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO COUNTY LABOR STANDARDS,"

begs leave to report as follows:

The purpose of this measure is to authorize the counties to require contractors to disclose information regarding their employees' wages, benefits, hours, and employment status and to deny, revoke, or suspend a building permit application for violating laws relating to wages, benefits, hours, and employment status, under certain conditions.

Your Committee received testimony in support of this measure from the Department of Labor and Industrial Relations; Hawaii Regional Council of Carpenters; International Union of Operating Engineers Local 3; and Pacific Resource Partnership. Your Committee received comments on this measure from the General Contractors Association of Hawaii.

Your Committee finds that this measure will close a critical enforcement gap by aligning county permitting authority with existing federal and state labor determinations. Under existing law, contractors may continue to obtain or retain building permits even after being formally cited for wage theft, misclassification, or other labor violations. This undermines worker protections and places law-abiding contractors at a competitive disadvantage. This measure corrects that imbalance by allowing counties to rely on established findings by a government agency without creating new labor standards or adjudicatory powers at the county level.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1660, H.D. 1, and recommends that it be referred to your Committee on Judiciary & Hawaiian Affairs.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

SCOT Z. MATAYOSHI, Chair