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HB1221
HOUSE OF REPRESENTATIVES
H.B. NO.
1221
THIRTY-THIRD LEGISLATURE, 2025
STATE OF HAWAII
A BILL FOR AN ACT
relating
to procurement
.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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SECTION
1.
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The legislature finds that a
well-trained workforce is essential for Hawaii's economic growth and the
successful construction of public buildings, infrastructure, and other
development projects and that apprenticeship programs help individuals gain
their best knowledge of a particular trade, especially if those individuals can
take the knowledge they learn and apply their knowledge and skills in public
works construction.
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Although
some bidders for public works projects may have an apprenticeship agreement in
place during the bidding process and therefore benefit from the advantage
conferred under section 103-55.6, Hawaii Revised Statutes, upon bidders who
have apprenticeship agreements in place, upon the awarding of a contract, some
bidders may then use subcontractors or non-apprentices to actually perform the
contracted work.
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The legislature further
finds that requiring bidders for public works construction who take advantage
of the bidding incentive under existing law to actually use apprentices for the
contracted work is not only fairer but also ensures that quality workers will help
maintain a supply of skilled labor, support workforce development, and enhance
the outcomes of public works construction.
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The
purpose of this Act is to require a bidder for certain public works
construction contracts to use apprentices if the bidder is a party to an
apprenticeship agreement registered with the State at the time of general
bidding and is awarded the contract.
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SECTION
2
.
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Section 103-55.6, Hawaii Revised Statutes, is
amended as follows:
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1.
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By amending subsection (a) to read:
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"(a)
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A
governmental body, as defined in section 103D-104, that enters into a public
works contract under this chapter having an estimated value of not less than
$250,000,
shall decrease the bid amount of a bidder by
five per cent if the bidder is a party to an apprenticeship agreement
registered with the department of labor and industrial relations for each
apprenticeable trade the bidder will employ
and utilize
to construct the
public works
, and in conformance with chapter 372[
.
]
; provided
that the bidder shall employ apprentices pursuant to the apprenticeship
agreement for the public works contract if the bidder is awarded the contract.
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The lowest total bid, taking the preference
into consideration, shall be awarded the contract unless the solicitation
provides for additional award criteria.
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The contract amount awarded, however, shall be the amount of the price
offered, exclusive of the preference."
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2.
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By amending subsection (c) to read:
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"
(c)
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At the time of submission of a competitive
sealed bid or a competitive sealed proposal by a bidder, the bidder shall
furnish written proof of being a party to a registered apprenticeship agreement
for each apprenticeable trade the bidder will employ
and utilize
to
construct the public works and, if awarded the contract, shall continue to
certify monthly in writing that the bidder is a party to a registered
apprenticeship agreement for each apprenticeable trade the bidder will employ to
construct the public works
and is utilizing the registered apprenticeship
agreement to employ apprentices
for the entire duration of the bidder's
work on the project.
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This subsection
shall be deemed to be incorporated into a public works contract.
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A bidder who is awarded a contract shall be
subject to the following sanctions if, after commencement of work, the bidder
at any time during the construction is no longer a party to a registered
apprenticeship agreement for each apprenticeable trade the bidder will employ
to construct the public works[
:
]
or no longer employs apprentices through
the registered apprenticeship agreement to construct the public works:
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(1)
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Temporary or
permanent cessation of work on the project, without recourse to breach of
contract claims by the bidder; provided that the governmental body shall be
entitled to restitution for nonperformance or liquidated damages, as
appropriate; or
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(2)
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Proceedings to
debar or suspend under section 103D-702."
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SECTION
3.
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Statutory material to be repealed is
bracketed and stricken.
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New statutory
material is underscored.
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SECTION 4.
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This Act shall take effect upon its approval.
INTRODUCED BY:
_____________________________
Report Title:
Procurement;
Public Works Contracts; Apprenticeship
Description:
Requires
a bidder for certain public works construction contracts to utilize apprentices
if the bidder receives a bidding advantage for being a party to an
apprenticeship agreement registered with the State at the time of general
bidding and is awarded the contract.
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