Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Human Services, to which was referred S.B. No. 974 entitled:

begs leave to report as follows:

The purpose of this measure is to appropriate funds for the Preschool Open Doors program of the Department of Human Services, which provides financial assistance to low-income and gap group families for preschool tuition.

Testimony in support of this measure was submitted by the Good Beginnings Alliance and the immediate past President of its Board of Directors. Testimony in support of the intent of this measure was submitted by the Department of Human Services and the Department of Education.

A People's Pulse poll commissioned by the Hawaii Business Roundtable, Enterprise Honolulu, and Pacific Resource Partnership found that seventy-six per cent of Hawaii residents surveyed agreed that the State should ensure all parents can afford to send their children to preschool. According to the "From Neurons to Neighborhoods" report (report), a quality preschool program can help low-income and gap group children to "make up" some of the educational disparities associated with social or economic circumstances that become apparent even before children enter kindergarten. The report found that low-income and gap group children who attended preschool were better-prepared for, and therefore did better in, school. The Good Beginnings Alliance reported that, for every $1.00 invested in early childhood education programs, the State could save up to $4.00 in future remedial costs, including costs of providing any special education and other specialized services required by the child.

Your Committee finds that the Preschool Open Doors program addresses the twin goals of ensuring access to quality early childhood education and care and promoting school readiness. The Preschool Open Doors program of the Department of Human Services provides financial assistance, on a sliding scale, for preschool for children from families whose incomes are at or below one hundred eight-five percent of the federal poverty level. For example, a family of four could have a gross monthly income of up to $4,806 and still qualify for tuition assistance. Your Committee finds that, but for Preschool Open Doors, many of these families would not be able to afford to send their children to preschool.

The Department of Human Services reported that the Preschool Open Doors program will provide preschool tuition assistance for 930 children at a cost of $4.3 million in fiscal year 2002-2003. For fiscal year 2003-2004, the Department proposes to utilize federal funds transferred from the Temporary Assistance to Needy Families program to provide child care and preschool tuition assistance to low-income parents who are working or attending school full-time; however, the Department's proposal has yet to receive federal approval. The Department is therefore requesting $5 million from the State, that would allow the Preschool Open Doors program to serve an additional 500 children during FY 2003-2004.

Your Committee finds that Hawaii's children need and deserve access to licensed preschool programs which provide quality care and promote school readiness. Accordingly, your Committee is reporting this measure out to facilitate further discussion of this important issue.

As affirmed by the record of votes of the members of your Committee on Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 974 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.