STAND. COM. REP. NO. 145

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 1251
                                        




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Education and Technology, to which was
referred S.B. No. 1251 entitled: 

     "A BILL FOR AN ACT RELATING TO EDUCATION,"

begs leave to report as follows:
     
     The purpose of this measure is to set aside interest earned
by the educational facilities improvement special fund to be used
solely for education technology and to give the legislature sole
authority to authorize projects.

     Your Committee received testimony in support of the intent
of this measure from the Department of Education (DOE).  The
Department of Budget and Finance testified in opposition.

     Your Committee finds that the DOE has expressed concerns
that restricting the interest for educational technology could
result in a reduction of lump sum funding for telecommunications
infrastructure improvements.  Your Committee believes these
concerns to be unfounded.  Currently, interest earnings of the
educational facilities improvement special fund are returned to
the general fund.  This measure would instead give the DOE
additional funds for use in needed improvements to the public
schools telecommunications infrastructure.

     As affirmed by the record of votes of the members of your
Committee on Education and Technology that is attached to this
report, your Committee is in accord with the intent and purpose

 
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of S.B. No. 1251 and recommends that it pass Second Reading and
be referred to the Committee on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Education and
                                   Technology,



                                   ______________________________
                                   DAVID Y. IGE, Chair

 
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