STAND. COM. REP. NO. 968

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 122
                                     H.D. 2




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No.
122, H.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO PUBLIC CONTRACTS,"

begs leave to report as follows:

     The purpose of this bill is to enforce the prompt payment of
contracts by providing for penalties for the failure of a
contractor to promptly pay a subcontractor.

     Alaka'i Mechanical Corporation, the Plumbing and Mechanical
Contractors Association of Hawaii, and the Subcontractors
Association of Hawaii testified in support of this measure.  The
Department of Accounting and General Services testified in
support of the intent of this measure.  The General Contractors
Association of Hawaii commented on this measure.

     Your Committee has amended this measure by making technical,
nonsubstantive amendments for clarity and style.

     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
122, H.D. 1, as amended herein, and recommends that it pass Third
Reading in the form attached hereto as H.B. No. 122, H.D. 2.


 
 
 
 
 
                                 STAND. COM. REP. NO. 968
                                 Page 2

 
                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Finance,



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair