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SB3249 • 2026

RELATING TO PROCUREMENT PROTESTS.

RELATING TO PROCUREMENT PROTESTS.

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
MORIWAKI
Last action
2026-03-12
Official status
Referred to FIN, referral sheet 17
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

RELATING TO PROCUREMENT PROTESTS.

RELATING TO PROCUREMENT PROTESTS.

What This Bill Does

  • RELATING TO PROCUREMENT PROTESTS.
  • Procurement; Protests; Administrative Proceedings; Cash or Protest Bonds; Forfeiture Requires the forfeiture of half of the cash or protest bond for review of procurement-related disputes if the initiating party does not prevail in an administrative proceeding and the Office of Administrative Hearings finds that the appeal was made in bad faith.
  • Effective 1/1/2525.
  • (SD1)

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

SD1

1

Hawaii published version SD1

Plain English: SB3249 SD1 THE SENATE S.B.

  • SB3249 SD1 THE SENATE S.B.
  • NO.
  • 3249 THIRTY-THIRD LEGISLATURE, 2026 S.D.
  • 1 STATE OF HAWAII A BILL FOR AN ACT RELATING TO PROCUREMENT PROTESTS .

Bill History

  1. 2026-03-12 H

    Referred to FIN, referral sheet 17

  2. 2026-03-12 H

    Pass First Reading

  3. 2026-03-10 H

    Received from Senate (Sen. Com. No. 389) in amended form (SD 1).

  4. 2026-03-10 S

    Report Adopted; Passed Third Reading. Ayes, 25; Aye(s) with reservations: Senator(s) Elefante. Noes, 0 (none). Excused, 0 (none). Transmitted to House.

  5. 2026-03-06 S

    One Day Notice 03-10-26.

  6. 2026-03-06 S

    Reported from JDC (Stand. Com. Rep. No. 3046) with recommendation of passage on Third Reading.

  7. 2026-03-05 S

    The committee(s) on JDC recommend(s) that the measure be PASSED, UNAMENDED. The votes in JDC were as follows: 5 Aye(s): Senator(s) Rhoads, Gabbard, Chang, Awa; Aye(s) with reservations: Senator(s) San Buenaventura ; 0 No(es): none; and 0 Excused: none.

  8. 2026-02-25 S

    The committee(s) on JDC will hold a public decision making on 03-05-26 10:01AM; Conference Room 016 & Videoconference.

  9. 2026-02-20 S

    Report adopted; Passed Second Reading, as amended (SD 1) and referred to JDC.

  10. 2026-02-20 S

    Reported from GVO (Stand. Com. Rep. No. 2571) with recommendation of passage on Second Reading, as amended (SD 1) and referral to JDC.

  11. 2026-02-12 S

    The committee(s) on GVO recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in GVO were as follows: 5 Aye(s): Senator(s) McKelvey, Gabbard, Hashimoto, Moriwaki, Awa; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.

  12. 2026-02-10 S

    The committee(s) on GVO deferred the measure until 02-12-26 3:00PM; CR 225 & Videoconference.

  13. 2026-02-06 S

    The committee(s) on GVO has scheduled a public hearing on 02-10-26 3:10PM; Conference Room 225 & Videoconference.

  14. 2026-02-02 S

    Referred to GVO, JDC.

  15. 2026-01-28 S

    Passed First Reading.

  16. 2026-01-28 S

    Introduced.

Official Summary Text

RELATING TO PROCUREMENT PROTESTS.
Procurement; Protests; Administrative Proceedings; Cash or Protest Bonds; Forfeiture
Requires the forfeiture of half of the cash or protest bond for review of procurement-related disputes if the initiating party does not prevail in an administrative proceeding and the Office of Administrative Hearings finds that the appeal was made in bad faith. Effective 1/1/2525. (SD1)

Current Bill Text

Read the full stored bill text 
SB3249

THE SENATE

S.B. NO.

3249

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

RELATING
TO PROCUREMENT PROTESTS
.

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

����
SECTION 1.
�
The
legislature finds that construction costs are increasing, due in part to
prolonged protests during the procurement process.
�
To address this issue, the legislature
enacted:

����
(1)
�
Act
224, Session Laws of Hawaii 2021, which increased the amount of cash or protest
bond required to initiate an administrative proceeding from one-half per cent
to one per cent of the estimated value of the contract; and

����
(2)
�
Act
162, Session Laws of Hawaii 2024, which provided for the return of the cash or
protest bond to the initiating party, less administrative costs, unless the initiating
party does not prevail and the claim is determined to be frivolous or made in
bad faith.

����
To expedite the construction of projects
and minimize delays due to protest claims, the legislature further finds that
it would be in the best interests of the State for the cash or protest bond,
less administrative costs, to be deposited into the general fund in all cases
where the initiating party does not prevail.

����
Accordingly, the purpose of this Act is to
require the forfeiture of the cash or protest bond in an administrative
proceeding if an initiating party does not prevail.

����
SECTION
2
.
�
Section 103D-709, Hawaii Revised Statutes, is
amended by amending subsection (e) to read as follows:

����
"(e)
�

The party initiating a proceeding falling within subsection (d) shall
pay to the department of commerce and consumer affairs a cash or protest bond
in the amount of one per cent of the estimated value of the contract.

����
The
cash or protest bond shall be returned to that party, minus administrative
costs as determined by the office of administrative hearings of the department
of commerce and consumer affairs; provided that full forfeiture of the cash or
protest bond shall occur if the initiating party does not prevail in the
administrative proceeding [
and the office of administrative hearings finds
that the appeal was frivolous or made in bad faith
], in which case the cash
or protest bond shall be deposited into the general fund."

����
SECTION 3.
�

This Act does not affect rights and duties that matured, penalties that
were incurred, and proceedings that were begun before its effective date.

����
SECTION 4.
�

Statutory material to be repealed is bracketed and stricken.

����
SECTION 5.
�

This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Procurement;
Protests; Administrative Proceedings; Cash or Protest Bonds; Forfeiture

Description:

Requires the forfeiture of cash or protest bond in an
administrative proceeding for review of procurement-related disputes if the
initiating party does not prevail.

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not legislation or evidence of legislative intent.