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HOUSE OF REPRESENTATIVES             H.R. NO.              H.D. 2
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                     HOUSE RESOLUTION

  REQUESTING THE HAWAII TOURISM AUTHORITY TO ESTABLISH A
    TRANSITION PLAN TO TRANSFER THE FUNCTIONS AND
    RESPONSIBILITIES OF THE CONVENTION CENTER AUTHORITY TO THE
    HAWAII TOURISM AUTHORITY.



 1        WHEREAS, the visitor industry brings almost seven million
 2   visitors into the State every year, accounting for almost
 3   twenty-five percent of the gross state product and over thirty
 4   percent of all civilian jobs; and
 5   
 6        WHEREAS, it is extremely important that the development,
 7   marketing, and research of this industry be coordinated in a
 8   manner consistent with the needs of the State; and
 9   
10        WHEREAS, the powers and duties of the Hawaii Tourism
11   Authority (HTA) include the development and implementation of
12   tourism policy for the State, and the formulation and
13   implementation of strategic marketing plans for Hawaii's
14   visitor industry; and
15   
16        WHEREAS, although the primary purpose of the Convention
17   Center Authority (CCA) was to supervise construction of the
18   Convention Center, CCA is also responsible for managing,
19   operating, and maintaining the Convention Center; and
20   
21        WHEREAS, because marketing the Convention Center is not a
22   direct responsibility of CCA, marketing services for the Hawaii
23   Convention Center are currently provided by the Hawaii Visitors
24   and Convention Bureau (HVCB) with funding from HTA; and
25   
26        WHEREAS, the state Auditor recently released an "Audit of
27   the Convention Center Authority" and concluded that although
28   CCA's management controls are generally in place, two important
29   controls, an evaluation mechanism and procedures to ensure
30   compliance with the State Procurement Code, need to be
31   tightened; and
32   
33        WHEREAS, the Auditor also noted that the most important
34   issue is the need to "retain public oversight" to protect the
35   State's interest in the $200,000,000 Convention Center; and

 
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                                  H.R. NO.              H.D. 2
                                                        
                                                        

 
 1        WHEREAS, the operations responsibility and the marketing
 2   responsibility of the convention center are divided between two
 3   state agencies; and
 4   
 5        WHEREAS, in the interest of efficiency and effectiveness,
 6   these responsibilities could fall under the purview of one
 7   state agency; and, as the lead state agency for tourism, it is
 8   appropriate that these responsibilities could be assigned to
 9   HTA; now, therefore,
10   
11        BE IT RESOLVED by the House of Representatives of the
12   Twentieth Legislature of the State of Hawaii, Regular Session
13   of 2000, that HTA is requested to establish a transition plan,
14   including proposed legislation, to transfer the functions and
15   responsibilities of CCA to HTA; and
16   
17        BE IT FURTHER RESOLVED that HTA is requested to submit its
18   transition plan to the Legislature before December 31, 2000;
19   and
20   
21        BE IT FURTHER RESOLVED that the transition plan resolve or
22   address issues including:
23   
24        (1)  Specifying clear objectives and responsibilities of
25             the operators of the Convention Center;
26   
27        (2)  Defining and communicating the level of performance
28             expected from the Convention Center's operator;
29   
30        (3)  Monitoring the accomplishments of these objectives;
31   
32        (4)  Developing or implementing an evaluation mechanism
33             that uses clear and consistent measurement criteria;
34   
35        (5)  Establishing procedures to ensure that the Convention
36             Center is operated in full compliance with the State
37             Procurement Code;
38   
39        (6)  Specifying how HTA will ensure the equitable
40             treatment of vendors;
41   
42        (7)  Specifying how HTA will resolve remaining punchlist
43             and warranty items to ensure that all state interests
44             in the Convention Center are protected and that the
45             designer/builder assures all costs for which it is
46             responsible; and

 
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                                  H.R. NO.              H.D. 2
                                                        
                                                        

 
 1        (8)  Specifying how HTA will carry out the community
 2             relations and marketing aspects of the Convention
 3             Center;
 4   
 5   and
 6   
 7        BE IT FURTHER RESOLVED that certified copies of this
 8   Resolution be transmitted to the Governor, the Chairperson of
 9   HTA, the Chairperson of CCA, the President of HVCB, and the
10   Director of Business, Economic Development, and Tourism.