STAND

STAND. COM. REP. NO. 887-06

Honolulu, Hawaii

, 2006

RE: H.B. No. 2610

H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 2610, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CHARTER SCHOOLS,"

begs leave to report as follows:

The purpose of this bill is to ensure the long-term viability of charter school facilities by:

(1) Appropriating funds to the Charter School Administrative Office (CSAO) to be used through the EDN 600 Program:

(a) As seed funds to plan, organize, and develop a charter schools facilities fund partnership to support charter school capital improvements; and

(b) To reimburse new century charter schools for the rent, lease, or mortgage expenses of their facilities;

(2) Establishing an income tax credit for landlords to rent or lease property to a new century charter school or its associated nonprofit organization; and

(3) Authorizing the Board of Land and Natural Resources to lease to new century charter schools, public lands and buildings under the control of the Department of Land and Natural Resources.

The Department of Education and concerned individuals testified in support of this bill. The CSAO and Board of Education supported the intent of this measure. The Office of Hawaiian Affairs supported this bill in part and opposed this bill in part. The Department of Taxation, Tax Foundation of Hawaii, and Hawaii Government Employees Association submitted comments.

Your Committee has amended this measure by:

(1) Changing its effective date to July 1, 2020, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2610, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2610, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

		____________________________ DWIGHT TAKAMINE, Chair