Authorizes the issuance of general obligation bonds to supplement any shortfall to acquire land to expand Kahuku high and intermediate school. (SD1)

A BILL FOR AN ACT

SECTION 1. The legislature finds that the Hawaii Baptist Academy (Academy) would like to acquire the state-owned land it currently leases for its campus in Nuuanu, Oahu. The Academy has offered to purchase land of equivalent value to give to the State in exchange for their leased land.

The legislature further finds that the State, through the state board of land and natural resources, has offered the department of education the first opportunity to identify lands for public school purposes. The department of education has identified a land parcel (tax map key 1-5-6-006:057), hereinafter called "mauka property", in Kahuku, Oahu, as part of the land exchange between the State and the Academy. The mauka property is approximately 58.439 acres and directly above the Kahuku high and intermediate school campus.

The legislature further finds that the existing Kahuku high and intermediate school campus is in a flood zone with seasonal flooding, causing facility damage and road and school closures. The current and projected enrollments are above the capacity of the present campus by three hundred students. In fact, the campus currently has over thirty portable classrooms to address overcrowding. A recently completed master plan for the Kahuku high and intermediate school campus suggests that instructional facilities could be relocated on the mauka property with athletic facilities remaining on the existing campus. In addition, relocating classrooms and other facilities to the mauka property would enable the construction of a pair of retention basins on the existing campus, thereby benefiting the entire neighboring community.

The legislature further finds that, while the department of education only requires twenty-three acres for development, the current owner of the mauka property is not interested in subdividing the fifty-eight acre parcel. The owner is also currently entertaining another offer to purchase the fifty-eight acre parcel.

This Act would provide the department of education with sufficient funds to negotiate with either the current or new owner of the parcel. The legislature believes that the Academy land exchange agreement, where the Academy will purchase land of equivalent value to their current leased site on behalf of the State, will be the primary funds used in any land purchased under this Act. The funds provided in this Act are intended to supplement that amount if not sufficient to complete the purchase of the mauka parcel.

SECTION 2. The director of finance is authorized to issue general obligation bonds in the sum of $        , or so much thereof as may be necessary, and the same sum, or so much thereof as may be necessary, is appropriated for fiscal year 2006-2007, for the purpose of supplementing any shortfall, up to $        , to acquire land to expand Kahuku high and intermediate school.

SECTION 3. The sum appropriated shall be expended by the department of education for the purposes of this Act.

SECTION 4. The appropriation made for the capital improvement project authorized by this Act shall not lapse at the end of the fiscal biennium for which the appropriation is made; provided that all moneys from the appropriation unencumbered as of June 30, 2008, shall lapse as of that date.

SECTION 5. This Act shall take effect on July 1, 2006.