Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1580, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to propose amendments to the Hawaii Constitution to authorize issuance of special purpose revenue bonds, and use of the proceeds from these bonds, to assist not-for-profit private and sectarian elementary schools, secondary schools, new century charter schools, universities and colleges that serve the general public and are selected in a nondiscriminatory manner on the basis of neutral, secular criteria.

Your Committee is aware that there are many aging educational facilities at public and private school campuses that are in need of major renovation or rebuilding. Your Committee finds that special purpose revenue bonds would enable some of these institutions to move forward with long-awaited renovation plans. Your Committee is cognizant, however, that there are considerable concerns and unresolved questions surrounding this issue. Your Committee, therefore, has preserved the defect in the bill created by the previous Committees to further discussion on the merits of this issue.

Your Committee has amended the bill by deleting references to universities, colleges, and new century charter schools, and clarifying that the schools requesting authorization of special purpose revenue bonds shall be secular in nature, and by making technical nonsubstantive changes for purposes of style, clarity, and consistency.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1580, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1580, S.D. 2.