Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Education and Health and Human Services, to which was referred H.B. No. 1678, H.D.1, entitled:

beg leave to report as follows:

The purpose of this measure is to define the class of children eligible for special education programs and services, and establish a voucher program allowing parents of special education children to obtain special education services from private organizations.

Your Committees heard testimony in opposition to the measure from the Department of Education.

Your Committees find that the Department of Education is already operating effective "voucher-like" programs in their placement of special education students in institutions such as Variety, Horizon, Assets, and Loveland. This provides students with much-needed special education services and parents with an expanded array of choices.

Your Committees further find that this issue would be an appropriate one to refer to a prospective Joint Senate-House Felix Consent Decree Investigative Committee for the committee to examine how service vouchers might be used to reduce the often adversarial interaction between the Felix-related service delivery system and parents, and to determine whether or not additional legislation may be required.

Your Committees also note that involving service providers in the Individualized Education Program process could create the appearance or fact of a conflict of interest. The Board of Education is urged to formulate any policies that may be needed to avoid such conflicts.

Your Committees have amended the measure by deleting the provision defining the class of children eligible for special education programs and services.

As affirmed by the records of votes of the members of your Committees on Education and Health and Human Services that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1678, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1678, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.