HomeMy WebLinkAboutCOM 0758.001 2008-2010 RUDELE DE LIMA RECD ••f iVED
ATTORNEYS AT LAW
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April 6, 2010 COUl�1 �' 'i- 1. _, "Vt(d1 . .
Chairman Onishi and Members of the Committee
Hawaii County Council
County Building
Hilo, Hawaii 96720
Dear Chairman Onishi and Members of the Committee,
I am Brian De Lima and I am an attorney representing Kamaaina Pumping, Inc. Kamaaina
Pumping, Inc., is a corporation with a shareholder that is employed with the County of Hawaii.
On behalf of my client, we are opposed to the proposal. The transmittal by Mayor Kenoi to the
Board of Ethics acknowledges that there is a long history of enterprising county workers having a
long history of providing goods and services to the county through their private companies. In
addition, it should be noted that the County employs everyday special duty police officers that
perform an important service for a myriad of individuals and businesses that would be illegal
under the terms of the proposed amendment. The Board of Ethics proposal as I understand it
addressed this problem.
The existing code specifically prohibits any officer and employee from seeking employment or
contract for services for onesel by the use or attempted use of the officer's or employee's office
or position. This is the conduct that should be prohibited.
However, the proposed amendment seeks to prohibit any county employee from having any
business relationship with the County unless that employee is less than a majority owner of a
business. Such an exception, I suggest would make the proposal meaningless for private
businesses would merely incorporate and provide the employee less than a controlling interest in
the corporation. However, this would not solve the problem of the special duty police officer,
because they are actually paid through the County. This result would be tragic because special
duty police officers perform valuable services to the community.
It is important to note that foundation of our government is free enterprise and competition serves
the public interest. The tax payers benefit when more companies are able to bid on contracts.
Existing law presently prohibits any contract being awarded where the employee or officer had
anything to do with the contract. �,'
Comas 1o,
Ref.. kw )'resented re-.°
Ref. Deis twn u 6 2010
101 AUPUNI STREET • SUITE 177 • HILO, HAWAII 96720 • (808) 969 -7707 • FAX: (808) 969 -6606
Chairman Onishi
April 6, 2010
Page Two
Kammaina Pumping Inc., and its principal Randy Riley has been performing a contract for
services through the competitive seal bidding process since 1996. This was even before Mr.
Riley became an employee with the County. When Mr. Riley became an employee with the
County he had no involvement in overseeing the contract. Mr. Riley has been with the
Automotive Division since 2003 and has nothing to do with the contract specifications and
bidding process. It is important to note that from the first competitive bid in 1996 through the
last bid awarded in 2010, Kamaaina Pumping Inc., has always been the low bidder by a
significant margin. The competitive bidding process has secured significant savings to the
County tax payers.
Particularly in tough economic times, the more competitive bidders the better. The competitive
bidding process saves the County and tax payers millions of dollars. Existing law prohibits self
dealing and conflicts of interests, the proposal will not generate competition and free enterprise.
What we need to understand is what problem does the proposed legislation attempt to solve. If it
is to prohibit self dealing and conflicts of interest, the present law prohibits such conduct and
conflicts of interest.
Should you have any questions, please do not hesitate to ask and I shall endeavor to answer your
questions or concerns.
" ulcer ly,
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