Hawaii 2024 Regular Session

Hawaii Senate Bill SB1276 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	THE SENATE S.B. NO. 1276 THIRTY-SECOND LEGISLATURE, 2023 STATE OF HAWAII A BILL FOR AN ACT RELATING TO PURCHASES OF HEALTH AND HUMAN SERVICES. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
2	2
3	3	THE SENATE S.B. NO. 1276
4	4	THIRTY-SECOND LEGISLATURE, 2023
5	5	STATE OF HAWAII
6	6
7	7	THE SENATE
8	8
9	9	S.B. NO.
10	10
11	11	1276
12	12
13	13	THIRTY-SECOND LEGISLATURE, 2023
14	14
15	15
16	16
17	17	STATE OF HAWAII
18	18
19	19
20	20
21	21
22	22
23	23
24	24
25	25
26	26
27	27
28	28
29	29
30	30
31	31	A BILL FOR AN ACT
32	32
33	33
34	34
35	35
36	36
37	37	RELATING TO PURCHASES OF HEALTH AND HUMAN SERVICES.
38	38
39	39
40	40
41	41
42	42
43	43	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
44	44
45	45
46	46
47	47	SECTION 1. The purpose of this Act is to amend the procurement laws relating to the purchase of health and human services to promote procurement efficiency, program success, and government accountability. This Act (1) increases the efficiency of short-term treatment purchase of services, and (2) increases the small purchase threshold for health and human services from less than $25,000 to less than $100,000. SECTION 2. Section 103F-404, Hawaii Revised Statutes, is amended to read as follows: "[[]§103F-404[]] Treatment purchase of services. (a) Treatment services may be purchased in accordance with this section if [either or both of] the following circumstances are applicable: [(1) Such services may become necessary from time to time, but cannot be anticipated accurately on an annual or biennial basis; and (2) When deferring treatment until solicitation, provider selection, and contract formation can be completed, the problem needing treatment would be rendered worse than at the time of diagnosis or assessment. Contracts for treatment services shall be awarded on the basis of demonstrated competence and qualification for the type of service required, and at fair and reasonable prices.] (1) The need for treatment services is unanticipated and arises from time to time; (2) The required treatment services are for a one-time purchase for not more than $100,000 and not longer than one year; (3) The treatment services are generally accepted practices by the industry or profession; and (4) The award of a contract is based on demonstrated competence and qualification for the type of treatment service required and at fair and reasonable prices. (b) [At a minimum, before the beginning of each fiscal year, the administrator] The head of the purchasing agency, or the purchasing agency's designee, shall, at a minimum, publish a notice describing the types of treatment services that may be needed throughout the fiscal year on [a periodic] an as-needed basis and inviting providers engaged in providing these treatment services to submit current statements of qualification and expressions of interest to the [office. The chief procurement officer may specify a uniform format for statements of qualifications.] purchasing agency. Providers may amend these statements by filing an amended or new statement prior to the date designated for submission. (c) The [administrator] head of the purchasing agency, or the purchasing agency's designee, shall form an initial review committee for each profession, consisting of a minimum of three employees from a state agency or agencies with sufficient education, training, and licenses or credentials to evaluate the statements of qualifications [which] that the [administrator] head of the purchasing agency, or the purchasing agency's designee, receives in response to the notice published pursuant to subsection (b). The committee shall review and evaluate the submissions and other pertinent information, including references and reports, and prepare a list of qualified providers to provide treatment services during the fiscal year. Providers included on the list of qualified treatment providers may amend their statements of qualifications as necessary or appropriate. Providers shall immediately inform the [administrator] head of the purchasing agency of any changes in information furnished [which] that would disqualify the provider from being considered for a contract award. (d) When the need to purchase treatment services arises, the head of a purchasing agency shall select the provider most qualified to provide the needed treatment services from the list of qualified providers. (e) The head of the purchasing agency, or [a] the purchasing agency's designee, shall negotiate a contract, including a rate of compensation [which] that is fair and reasonable, established in writing, and based upon the estimated value, scope, nature, and complexity of the treatment services to be rendered, or use the rate established by the [administrator,] head of the purchasing agency, if any. If negotiations fail, upon written notice of an impasse to the provider selected under subsection (d), the head of the purchasing agency shall choose another provider from the list of qualified providers, and conduct further negotiations. Negotiations shall be conducted confidentially. (f) Contracts for treatment services in excess of $100,000 or that last for more than one year shall [be procured using section 103F-402, competitive purchase of services, unless a waiver of this subsection is approved by the chief procurement officer.] utilize an alternative applicable method of procurement pursuant to section 103F-401." SECTION 3. Section 103F-405, Hawaii Revised Statutes, is amended to read as follows: "[[]§103F-405[]] Small purchases. Purchases of health and human services of less than [$25,000] $100,000 are small purchases, and shall be made in accordance with [section 103D-305 and] rules adopted by the policy board to implement [that] this section. The threshold amount for goods and services set out in section 103D-305 shall also apply to section 103F-405." SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. SECTION 5. This Act shall take effect upon its approval. INTRODUCED BY: _____________________________ BY REQUEST
48	48
49	49	SECTION 1. The purpose of this Act is to amend the procurement laws relating to the purchase of health and human services to promote procurement efficiency, program success, and government accountability. This Act (1) increases the efficiency of short-term treatment purchase of services, and (2) increases the small purchase threshold for health and human services from less than $25,000 to less than $100,000.
50	50
51	51	SECTION 2. Section 103F-404, Hawaii Revised Statutes, is amended to read as follows:
52	52
53	53	"[[]§103F-404[]] Treatment purchase of services. (a) Treatment services may be purchased in accordance with this section if [either or both of] the following circumstances are applicable:
54	54
55	55	[(1) Such services may become necessary from time to time, but cannot be anticipated accurately on an annual or biennial basis; and
56	56
57	57	(2) When deferring treatment until solicitation, provider selection, and contract formation can be completed, the problem needing treatment would be rendered worse than at the time of diagnosis or assessment.
58	58
59	59	Contracts for treatment services shall be awarded on the basis of demonstrated competence and qualification for the type of service required, and at fair and reasonable prices.]
60	60
61	61	(1) The need for treatment services is unanticipated and arises from time to time;
62	62
63	63	(2) The required treatment services are for a one-time purchase for not more than $100,000 and not longer than one year;
64	64
65	65	(3) The treatment services are generally accepted practices by the industry or profession; and
66	66
67	67	(4) The award of a contract is based on demonstrated competence and qualification for the type of treatment service required and at fair and reasonable prices.
68	68
69	69	(b) [At a minimum, before the beginning of each fiscal year, the administrator] The head of the purchasing agency, or the purchasing agency's designee, shall, at a minimum, publish a notice describing the types of treatment services that may be needed throughout the fiscal year on [a periodic] an as-needed basis and inviting providers engaged in providing these treatment services to submit current statements of qualification and expressions of interest to the [office. The chief procurement officer may specify a uniform format for statements of qualifications.] purchasing agency. Providers may amend these statements by filing an amended or new statement prior to the date designated for submission.
70	70
71	71	(c) The [administrator] head of the purchasing agency, or the purchasing agency's designee, shall form an initial review committee for each profession, consisting of a minimum of three employees from a state agency or agencies with sufficient education, training, and licenses or credentials to evaluate the statements of qualifications [which] that the [administrator] head of the purchasing agency, or the purchasing agency's designee, receives in response to the notice published pursuant to subsection (b). The committee shall review and evaluate the submissions and other pertinent information, including references and reports, and prepare a list of qualified providers to provide treatment services during the fiscal year. Providers included on the list of qualified treatment providers may amend their statements of qualifications as necessary or appropriate. Providers shall immediately inform the [administrator] head of the purchasing agency of any changes in information furnished [which] that would disqualify the provider from being considered for a contract award.
72	72
73	73	(d) When the need to purchase treatment services arises, the head of a purchasing agency shall select the provider most qualified to provide the needed treatment services from the list of qualified providers.
74	74
75	75	(e) The head of the purchasing agency, or [a] the purchasing agency's designee, shall negotiate a contract, including a rate of compensation [which] that is fair and reasonable, established in writing, and based upon the estimated value, scope, nature, and complexity of the treatment services to be rendered, or use the rate established by the [administrator,] head of the purchasing agency, if any. If negotiations fail, upon written notice of an impasse to the provider selected under subsection (d), the head of the purchasing agency shall choose another provider from the list of qualified providers, and conduct further negotiations. Negotiations shall be conducted confidentially.
76	76
77	77	(f) Contracts for treatment services in excess of $100,000 or that last for more than one year shall [be procured using section 103F-402, competitive purchase of services, unless a waiver of this subsection is approved by the chief procurement officer.] utilize an alternative applicable method of procurement pursuant to section 103F-401."
78	78
79	79	SECTION 3. Section 103F-405, Hawaii Revised Statutes, is amended to read as follows:
80	80
81	81	"[[]§103F-405[]] Small purchases. Purchases of health and human services of less than [$25,000] $100,000 are small purchases, and shall be made in accordance with [section 103D-305 and] rules adopted by the policy board to implement [that] this section. The threshold amount for goods and services set out in section 103D-305 shall also apply to section 103F-405."
82	82
83	83	SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
84	84
85	85	SECTION 5. This Act shall take effect upon its approval.
86	86
87	87
88	88
89	89	INTRODUCED BY: _____________________________
90	90	BY REQUEST
91	91
92	92	INTRODUCED BY:
93	93
94	94	_____________________________
95	95
96	96
97	97
98	98
99	99
100	100	BY REQUEST
101	101
102	102	Report Title: Procurement; Treatment Purchase of Services; Small Purchase Threshold Description: Authorizes heads of purchasing agencies to issue requests for statements of qualification and to establish lists of qualified providers for treatment purchase of services. Increases the small purchase threshold for health and human services. The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
103	103
104	104
105	105
106	106
107	107
108	108	Report Title:
109	109
110	110	Procurement; Treatment Purchase of Services; Small Purchase Threshold
111	111
112	112
113	113
114	114	Description:
115	115
116	116	Authorizes heads of purchasing agencies to issue requests for statements of qualification and to establish lists of qualified providers for treatment purchase of services. Increases the small purchase threshold for health and human services.
117	117
118	118
119	119
120	120
121	121
122	122
123	123
124	124	The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.