STAND. COM. REP. NO. 2368

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2218
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Education and Technology, to which was
referred S.B. No. 2218 entitled: 

     "A BILL FOR AN ACT RELATING TO NEW CENTURY CHARTER SCHOOLS,"

begs leave to report as follows:

     The purpose of this measure is to require the same per pupil
allocation for new century charter schools as that for public
schools and to require the auditor to consider the advice of
local school boards, rather than the superintendent, in setting
the allocation for new century charter schools.

     In addition, this measure appropriates moneys for the
establishment of 22 additional new century charter schools,
including the hiring of additional school personnel.

     Testimony in support of the measure was received from South
Maui Learning Ohana and two individuals.  Oral testimony was
provided by one individual.  Testimony in opposition to the
measure was received from the Department of Education and HGEA-
AFSCME.  Comments on the measure were received from the State
Auditor and HSTA.

     Your Committee finds that currently the auditor determines
the appropriate allocation for only two new century charter
schools based on a formula involving the total department general
fund appropriation per pupil expenditure for the previous year,
with advice from the superintendent.  Since, however, this
measure authorizes the establishment of 22 additional schools,

 
a                                                     SB2218 SD1
                                   STAND. COM. REP. NO. 2368
                                   Page 2


the auditor noted concerns regarding the practicality of having
to explicitly consider and respond to the advice of 24 local
school boards.

     Your Committee amended the measure by:

     (1)  Adding a section to provide legal protection for
          members of the local school board of a new century
          charter school established under section 302A-1182,
          Hawaii Revised Statutes;

     (2)  Adding a provision to allow groups of teachers to
          establish a new century charter school;

     (3)  Adding the requirement that the auditor consider the
          advice of local school boards, in addition to that of
          the superintendent.

     (4)  Deleting the per pupil allocation provision in
          section 4.

     (5)  Requiring the auditor to establish a methodology for
          allocating funds that can be applied to various forms
          of alternatives to public schools;

     (6)  Deleting from the appropriation section the number of
          charter schools to which the funding would apply; and

     (7)  Making technical, nonsubstantive amendments for clarity
          and consistency.

     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
of S.B. No. 2218, as amended herein, and recommends that it pass
Second Reading in the form attached hereto as S.B. No. 2218,
S.D. 1, 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


 
a                                                     SB2218 SD1