Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Education and Military Affairs, to which was referred S.B. No. 2310 entitled:

begs leave to report as follows:

The purpose of this measure is to appropriate funds to the department of education to fund the student transportation program.

Testimony in support of this measure was submitted by the department of education (DOE).

Your Committee finds that the DOE student transportation branch provides school bus transportation services for students eligible under section 302A-406, Hawaii Revised Statutes. Pursuant to Act 178, Session Laws of Hawaii 2005, the DOE was appropriated funds in excess of $25,000,000 for operation of the student transportation program for fiscal year 2005-2006. However, the projected actual cost to run the program for fiscal year 2005-2006 far exceeds the appropriation, leaving a substantial shortfall. Although the DOE has reallocated funds to reduce the shortfall, a deficit still remains. Your Committee further finds that approximately 43,500 students, including 3,500 special needs students, use the student transportation program. Many families, particularly those within the rural areas of the State, are highly dependent upon the program. Therefore, your Committee determines that an emergency appropriation is necessary to ensure the uninterrupted provision of student transportation services for our keiki.

As affirmed by the record of votes of the members of your Committee on Education and Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2310 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.