PART X. PREFERENCES

 

§103D-1001  Definitions.  As used inthis part, unless the context clearly requires otherwise:

"Direct labor" means all workrequired for preparation, processing, or packing of goods or performance ofservices, but not work relating to supervision, administration, inspection, orshipping.

"Fair market price" means the priceof a product or service paid by a willing buyer to a willing seller, that isreasonably comparable to prices on the open market.

"Hawaii input" means the part of thecost of a product that is attributable to production, manufacturing, or otherexpenses arising within the State.  "Hawaii input" includes but isnot limited to:

(1)  The cost to mine, excavate, produce, manufacture,raise, or grow the materials in Hawaii;

(2)  The added value of that portion of the cost ofimported materials that is incurred after landing in Hawaii, including but notlimited to other articles, materials, and supplies, added to the importedmaterials;

(3)  The cost of labor, variable overhead, utilities,and services, incurred in the production and manufacturing of materials orproducts in Hawaii; and

(4)  Fixed overhead cost and amortization ordepreciation cost, if any, for buildings, tools, and equipment, situated andlocated in Hawaii and used in the production or manufacturing of a product.

"Hawaii products" means products thatare mined, excavated, produced, manufactured, raised, or grown in the State andwhere the cost of the Hawaii input towards the product exceeds fifty per centof the total cost of the product; provided that:

(1)  Where the value of the input exceeds fifty percent of the total cost, the product shall be classified as class I; and

(2)  Where any agricultural, aquacultural,horticultural, silvicultural, floricultural, or livestock product is raised,grown, or harvested in the State, the product shall be classified as class II.

"Hawaii software developmentbusiness" means any person, agency, corporation, or other business entitywith its principal place of business or ancillary headquarters located in theState and that proposes to obtain eighty per cent of the labor for softwaredevelopment from persons domiciled in Hawaii.

"Office paper" includes computerpaper, bond paper, ledger paper, xerographic copier paper, envelopes, and otherrelated types of paper on which printing, writing, or drawing is intended.

"Person" means every individual,partnership, firm, society, unincorporated association, joint venture, group,hui, joint stock, company, corporation, trustee, personal representative, trustestate, decedent's estate, trust, or other entities, whether the persons aredoing business for themselves or in any agency or fiduciary capacity.

"Person with disabilities" means anyperson who is so severely incapacitated by any physical or mental disabilitythat the person cannot engage in normal competitive employment because of thedisability.

"Post-consumer material" means amaterial or finished product that has served its intended use and has beendiscarded for disposal or recovery, having completed its life as a consumeritem, and is a part of the broader category of recovered material.

"Printed material" includes businessforms, stationery, business cards, brochures, reports, publications,advertising and promotional collateral, and other related materials, includingreports, publications, and related materials commissioned as part of anyprofessional services contract.

"Produced or manufactured" includesthe processing, developing, and making of a thing into a new article with adistinct character and use through the application of input within the Stateincluding Hawaii products, labor, skill, or other services.  "Produced ormanufactured" does not include the mere assembling or putting together of non-Hawaiiproducts or material.

"Products" include materials,manufactures, supplies, merchandise, goods, wares, products, and foodstuffs.

"Public agency" means any agency ofthe State or county.

"Qualified community rehabilitationprogram" means a nonprofit community rehabilitation program for personswith disabilities that:

(1)  Is organized and incorporated under the laws ofthe United States or this State, and located in this State;

(2)  Is operated in the interest of and [employs]persons with disabilities;

(3)  Does not inure any part of its net income to anyshareholder or other individual;

(4)  Complies with all applicable occupational healthand safety standards required by the federal, state, and county governments;and

(5)  Holds a current certificate from the UnitedStates Department of Labor pursuant to the Fair Labor Standards Act, Title 29United States Code section 214(c), and is certified by the state department oflabor and industrial relations under section 387-9 and applicableadministrative rules relating to the employment of persons with disabilities.

"Recovered material" means wastematerial and by-products that have been recovered or diverted from solidwaste.  "Recovered material" does not include those materials andby-products generated from, and commonly reused within, an originalmanufacturing process.

"Software development" means any workrelated to feasibility studies, system requirements analysis, system designalternatives analysis, system external specifications, system internal specifications,programming, testing, debugging, or implementation for an electronic dataprocessing system. [L 1994, c 186, pt of §1; am L 1999, c 149, §4; am L 2009, c175, §5]