STAND. COM. REP. NO.879

Honolulu, Hawaii

, 2003

RE: S.B. No. 1263

S.D. 2

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Transportation, Military Affairs, and Government Operations, to which was referred S.B. No. 1263, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ELECTRONIC PROCUREMENT,"

begs leave to report as follows:

The purpose of this measure is to enable the State to purchase goods and services, and award construction contracts, through an electronic procurement process.

Your Committee received testimony in support of this measure from the Department of Accounting and General Services (DAGS) and the State Procurement Office (SPO).

Your Committee finds that this measure lays the foundation for improving procurement efficiency, by allowing government agencies to take advantage of electronic procurement. Many other jurisdictions and the federal government use electronic procurement methods in some form.

Your Committee believes that it is the right time for Hawaii to utilize electronic procurement. First, the process is more transparent in addition to being more efficient, because all interested persons can inspect the bid requirements and responses.

In addition, electronic procurement will cut down on the need for contractors to drive to DAGS' office to pick up bid specifications, and will also eliminate much unnecessary paperwork.

Your Committee was concerned about the effect this measure would have on contractors without full computer access. However, the SPO assured your Committee that the electronic procurement process will be completely voluntary, thereby allaying your Committee's concerns.

Your Committee has made several technical, nonsubstantive amendments to this measure for purposes of clarity, accuracy, and consistency.

As affirmed by the record of votes of the members of your Committee on Transportation, Military Affairs, and Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1263, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1263, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Transportation, Military Affairs, and Government Operations,

____________________________

CAL KAWAMOTO, Chair