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~YVV Of N1 <br /> KONISHI ~~t~K. CONSTANCE R. hII~IU <br /> Counn'Clrr'k •i Lrgi,rl~~tirr-lud6or <br /> JAY ~-(ENDS <br /> JVrf Of ~XY~' <br /> r <br /> Dr~un~ Counrn ClerA ~ <br /> County ofHnwni`i _ <br /> Offcce of the County Clerk ~ ~ <br /> 3J.aupuniSfreet <br /> Hiln, llumai'i 96720 <br /> elepbowr~: (b'03) 96/-5336 Facsimile (303J 961-3572 <br /> _J <br /> hily .?004 <br /> ni <br /> fO: Bobby Jean Leithead-Todd <br /> Deputy Corporation Counsel <br /> fKOM: Constance R. I<iriu~(~~' <br /> Legislative Auditor <br /> RE: Bill No. 380 relating to E3usiness Improvement Districts <br /> QUTSTIONS <br /> I . May the County adopt a business improvement district ordinance that enables a board or association crewed <br /> pursuant to Chapter 46-80.5, HRS, to procw~e goods and services without comphing with the Smte <br /> Procurement Code or applicable civil service laws? <br /> 3. If yes, does the language in E3ill No. 380, Section _-18 authorize the board or association to independently <br /> procure goods and services without complying with the State Procurement Code or applicable ci~~il service <br /> laws or would }'ou suggest clarifying language? <br /> <br /> 3. From an ed~ical or procurement standpoint, is there any law or rule that prohibits the council member of the <br /> district within which file maja~ity of land in the business improvement district is located to be a eoting <br /> member of the disn~ict board or association? <br /> <br /> BACI:GROUND <br /> In 1999, the State Legislature enacted Act 107, which stated, in par[, the following: <br /> §46-80.5 Special improvement district. <br /> °(a) ....The ordinance authorizing the creation of special improvement districts may permit the county to <br /> provide for a board or association, established pursuant to chapter 4I4D, to provide management of the <br /> special improvement district, and to carry out activities as may be prescribed by nc~ ordinance authorizing <br /> the aeation of special improvement districts and the ordinance establishing the special improvement disc ict <br /> ?s permitted thereby...." <br /> °(g) An~~ board or association established for the pw~poses of carrying out the activities described in this <br /> section Shall not be deemed a governmental body. The board and association shall neither be deemed to be a <br /> ~rocernment department, agency, or a county nor to be performing services on behalfof a government <br /> deparnnent_ agency, or county.' <br /> Comm. No. 7 <br /> Hrnru!'i ("ounq~ is uri £yacrl (J/~~~or~tu~iti' Prm~id~r cmd Emplo7'er Ref. 10: <br /> Ref. Uote <br /> <br />