Bill > HCR59

This concurrent resolution requests the Department of Accounting and General Services (DAGS) to conduct a feasibility study on limiting project and construction management costs to ten percent of the total project cost, in response to rising expenses in Hawaii's construction sector. The resolution highlights that the state spends over $1 billion annually on capital improvement projects and that Honolulu experiences some of the world's highest construction costs due to factors like transportation expenses, fuel prices, and labor rates. Currently, project management costs traditionally range from seven to eleven percent, but some contractors are charging up to fifteen percent. The resolution asks DAGS to submit a report with findings and recommendations, including potential legislation, no later than twenty days before the 2026 Regular Session, and requires that a certified copy of the resolution be transmitted to the Comptroller. The study aims to help the state more efficiently utilize funds by controlling escalating construction management expenses.

Budget and Finance, Government Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HCR&billnumber=59&year=2025