HOUSE OF REPRESENTATIVES

H.B. NO.

1385

TWENTY-SEVENTH LEGISLATURE, 2013

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to the Hawaii public procurement code.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  Section 103D-305, Hawaii Revised Statutes, is amended to read as follows:

     "§103D-305  Small purchases; prohibition against parceling.  (a)  Procurements of less than $100,000 for goods or services, or $250,000 for construction, except as provided in subsection (d), shall be made in accordance with procedures set forth in rules adopted by the policy board that are designed to ensure administrative simplicity and as much competition as is practicable; provided that multiple expenditures shall not be created at the inception of a transaction or project so as to evade the requirements of this chapter; and provided further that procurement requirements shall not be artificially divided or parceled so as to constitute a small purchase under this section.

     (b)  Procurements greater than $50,000 for construction under subsection (a) shall require security by performance and payment bonds, pursuant to section 103D-324, delivered to the procurement officer, that are:

     (1)  In a form prescribed by the rules of the policy board;

     (2)  Executed by a surety company authorized to do business in this State; and

     (3)  In an amount equal to one hundred per cent of the price specified in the contract,

or shall otherwise be secured by a performance bond in a manner satisfactory to the procurement officer.

     (c)  Procurements of $25,000 to less than $250,000 shall be made in accordance with small purchase procedures; provided that such small purchase procurements through an electronic system shall be required.

     (d)  Construction procurements of less than $25,000 for drilling work and soil testing shall be made by competitive sealed bid and the invitation for bids shall be advertised to the public on the department of accounting and general services's website; provided that a bid for drilling work and soil testing shall be separate from a bid for the engineering work on the same project."

     SECTION 2.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect on July 1, 2013.

 

INTRODUCED BY:

_____________________________

 

 


 


 

Report Title:

Procurement Code; Small Purchases; Drilling Work; Soil Testing

 

Description:

Requires that all construction procurements of less than $25,000 for drilling work or soil testing shall be made by competitive sealed bidding, and that the invitation for bids is published on the DAGS website.  Establishes that bids for such work shall be separate from bids for engineering work on the same project.  Effective July 1, 2013.

 

 

 

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