The implementation of HB 841 aims to improve transparency and accountability in the bidding process for professional services by enabling agencies to consider financial factors alongside qualifications. By mandating that the top-ranked offerors submit cost data, it creates an environment where price becomes a critical component of the decision-making process, which could lead to more competitive bidding and ultimately more cost-effective outcomes for the state. Additionally, the bill specifies that purchasing agencies are not obligated to disclose competing cost data, which could protect sensitive business information but may also raise questions of transparency.
Summary
House Bill 841 seeks to enhance cost competitiveness in the procurement of specific professional services, including engineering and architectural services, within the state of Hawaii. The bill amends Section 103D-304 of the Hawaii Revised Statutes, allowing selection committees evaluating these professional service submissions to require the top-ranked offerors to provide cost or pricing data. This is intended to aid purchasing agencies in making more informed decisions during contract negotiations, potentially leading to better value for state and county contracts.
Contention
Notably, the bill has sparked discussion concerning the balance between cost and quality of services. Critics may argue that emphasizing cost data could lead to a situation where lower bids overshadow quality considerations, potentially resulting in subpar contract fulfillment. Additionally, the provision that purchasing agencies do not need to disclose cost data might invite concerns regarding fairness and transparency in the procurement process, as it may hinder the ability of stakeholders to assess the competitiveness of bids adequately.
Prohibits the state and any of its political subdivisions or agencies from using price or price-related information as a factor in the selection of architectural and engineering professional services for certain projects (EN NO IMPACT See Note)