Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committees on Education and Military Affairs and Commerce, Consumer Protection, and Housing, to which was referred S.B. No. 639 entitled:

beg leave to report as follows:

The purpose of this measure is to remove the Housing and Community Development Corporation of Hawaii from managing the Department of Education teacher housing, and to authorize the department to manage its teacher housing.

Testimony in support of the measure was submitted by the Department of Education and Housing and Community Development Corporation of Hawaii.

Your Committees find that the teacher housing program has been an effective recruitment and retention tool for isolated communities that have very limited affordable housing for educational personnel. Furthermore, Act 51, Session Laws of Hawaii 2004, encouraged the transfer of educational functions in other departments and agencies to the Department of Education. However, adequate resources and the development of property management capacity must also be transferred to implement the intent of this measure.

Upon further consideration, your Committees have amended this measure to:

As affirmed by the records of votes of the members of your Committees on Education and Military Affairs and Commerce, Consumer Protection, and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 639, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 639, S.D. 1, and be referred to the Committee on Ways and Means.