SB3253

PART I

SECTION 1. The legislature finds that, pursuant to Act 283, Session Laws of Hawaii 2007, the legislature established the educational workforce working group to examine and address various issues relating to workforce needs and methods for increasing the workforce supply in the State. The educational workforce working group prepared and submitted a report to the legislature, which included seven sets of recommendations with twenty-five action steps. The legislature further finds that there are, among other things, issues of implementation of the recommendations that the educational workforce working group must continue to address to ensure that its work is completed.

The purpose of this Act is to implement several of the educational workforce working group's recommendations for addressing workforce development issues in the State by:

(1) Creating unique identifiers for students grades kindergarten to twelve as they move into the workforce and appropriating funds to conduct a study to develop interfacing with existing databases;

(2) Establishing a community-based exchange coordinator to nurture stronger partnerships between the community and the schools;

(3) Expanding the running start program to include internships to be created by the community-based exchange and the department of education;

(4) Establishing penalties for truant students and their parents or guardians;

(5) Extending the educational workforce working group established pursuant to Act 283, Session Laws of Hawaii 2007, for two additional years and providing funding therefor;

(6) Requiring the University of Hawaii to implement incentives and performance based budgeting; and

(7) Appropriating funds for working adult scholarships.

PART II

SECTION 2. The legislature finds that, an essential element of educational reform is a system to assess how effective those reforms really are and why. In this way, changes can be made to improve the results. Moreover, an effective assessment system should not only measure the impact on academic achievement attributable to the reforms, but also the long-term impact on achievement in terms of careers and earnings. Without the ability to track the ultimate results of new programs and additional resources devoted to educational reform, resources could be wasted or misdirected in marginally effective efforts.

The legislature further finds that, currently, no one agency maintains or collects the data needed for a tracking system that monitors enrollment in education systems, educational outcomes, participation in programs, and workforce participation. Cooperation among the agencies is essential to gathering and utilizing relevant information.

Currently, there are a number of efforts underway to improve the assessment of student performance. The Hawaii P-20 initiative is piloting a reporting system that tracks students longitudinally from the department of education to the University of Hawaii. The State has also received a grant from the National Governors Association to develop an outcomes accounting system to assess the effectiveness of science, technology, engineering, and mathematics initiatives passed in regular session of 2007. These efforts provide a starting point for the development of a comprehensive performance measuring system.

The purpose of this part is to establish and appropriate funds for a comprehensive database for tracking students from grades kindergarten to twelve and beyond as they move into the workforce.

SECTION 3. The department of education shall convene the appropriate agencies, including but not limited to the University of Hawaii and the department of labor and industrial relations, to examine current and emerging programs seeking to track student progress and develop a comprehensive tracking system for students beginning in grades kindergarten to twelve, and beyond, as they move into the workforce; provided that

(1) The system shall include the creation of unique identifiers for each student;

(2) The University of Hawaii, department of labor and industrial relations, and any other appropriate agency shall work together with the department of education to develop a data sharing agreement to amass the complete range of data within the system; and

(3) The system shall assess the performance of the spectrum of educational reform efforts and resource allocations.

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2008-2009 for the establishment of a comprehensive tracking system for students beginning in grades kindergarten to twelve and beyond as they move into the workforce.

The sum appropriated shall be expended by the department of education for the purposes of this part.

PART III

SECTION 5. The legislature finds that community-based partnerships provide an essential vehicle for achieving the programmatic and policy objectives that can transform education and our public school students. The legislature further finds that, while the department of education currently undertakes efforts to provide opportunities for students to learn, work, and volunteer within the community, a dedicated position for establishing partnerships with businesses and organizations in the community can provide students with extraordinary experiences and knowledge.

The purpose of this part is to establish a community-based exchange coordinator position in the department of education, for administrative purposes only, to be housed within a nonprofit organization in Hawaii by contact with the department of education, such as Hawaii 3R's, to facilitate partnerships with businesses and organizations in the community. This part shall also appropriate funds for the coordinator position, necessary support staff, and supplies and equipment for operations, as well as for the enhancing the department of education volunteer website to include sixty-four public schools.

SECTION 6. Chapter 302A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§302A- Community-business education exchange coordinator. (a) The department shall establish one permanent civil service exempt full‑time equivalent community-business education exchange coordinator position to facilitate and promote volunteerism and community partnerships within the public schools to build sustainable relationships for stronger learning communities and quality education.

(b) The community-business education exchange coordinator shall be responsible for nurturing stronger partnerships between the community and the schools through the establishment of partnerships that shall generate, among other things:

(1) Additional funding;

(2) Mentorship opportunities;

(3) Volunteer opportunities;

(4) Internship opportunities;

(5) Tutoring services; and

(6) Professional advice and assistance for robotics and other academic and after-school programs.

The coordinator shall facilitate the interface of community resources and school needs and ensure the delivery of resources to those current needs.

(c) Community partnerships may be established with any for-profit, faith-based, private, nonprofit, or other organizations in the community."

SECTION 7. There is appropriated out of the general revenues of the State of Hawaii the sum of $100,000 or so much thereof as may be necessary for fiscal year 2008-2009 for:

(1) One permanent full-time equivalent (1.0 FTE) community-business education exchange coordinator position as established by this part;

(2) One permanent full-time equivalent (1.0 FTE) administrative assistant to the community-based exchange coordinator position; and

(3) Any necessary travel expenses, equipment, and supplies.

The sum appropriated shall be expended by the department of education for the purposes of this part.

SECTION 8. There is appropriated out of the general revenues of the State of Hawaii the sum of $75,000 or so much thereof as may be necessary for fiscal year 2008-2009 for the enhancement of the department of education volunteer website to include sixty-four schools.

The sum appropriated shall be expended by the department of education for the purposes of this part.

PART IV

SECTION 9. Section 302A-401, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) There is created in the department the running start program to permit eligible students to enroll in any qualified course offered by the University of Hawaii system[.] and offer eligible students opportunities to participate in internships established by the community-business education exchange or the department."

PART V

SECTION 10. Section 302A-1135, Hawaii Revised Statutes, is amended to read as follows:

"[[]§302A-1135[]] Penalty. (a) If any child of school age persists in being absent from school, an administrative hearings officer, upon a proper petition, citation, or complaint being made by a teacher or any other officer or agent of the department, or police officer, or any other person, shall cause the child, and the child's parent or guardian or other person having charge of the child, to be summoned to appear before the administrative hearings officer. Upon a determination by an administrative hearings officer that the person responsible for the child did not use proper diligence to enforce the child's regular attendance at school, the responsible party shall be fined:

(1) Not more than $500 for a first offense;

(2) Not more than $700 for a second offense; and

(3) Not more than $900 for a third offense and any subsequent offenses.

Any action taken to impose or collect the penalty provided in this subsection shall be considered a civil action.

(b) If any child of school age persists in [~~absenting oneself~~] being absent from school, the family court [~~judge~~], upon a proper petition, citation, or complaint being made by the [~~schoolteacher~~] teacher or any other officer or agent of the department, or police officer, or any other person, shall cause the child, and the [~~father or mother,~~] parent, guardian, or other person having charge of the child, to be summoned to appear before the [~~judge.~~] court. Upon [~~its being proved~~] determination by the court that the person responsible for the child had not used proper diligence to enforce the child's regular attendance at school, the responsible party shall be [~~guilty~~]:

(1) Guilty of a petty misdemeanor[.] and sentenced to at least fifty hours but not more than two hundred fifty hours of community service for a first offense;

(2) Guilty of a misdemeanor and sentenced to at least fifty hours but not more than three hundred fifty hours of community service for a second offense; and

(3) Guilty of a misdemeanor and sentenced to at least fifty hours but not more than four hundred fifty hours of community service for a third offense and any subsequent offenses.

(c) If a child of more than eleven years of age persists in being absent from school, an administrative hearings officer, upon a proper petition, citation, or complaint being made by a teacher or any other officer or agent of the department, or police officer, or any other person, shall cause the child, and the parent, guardian, or other person having charge of the child, to be summoned to appear before the administrative hearings officer. Upon determination by the administrative hearings officer that the child did persist in being absent from school, the administrative hearings officer shall:

(1) Place the child under formal school supervision and require the child to be placed under detention for:

(A) At least fifty hours but not more than two hundred fifty hours for a first offense;

(B) At least fifty hours but not more than three hundred fifty hours for a second offense; and

(2) Order a principal to prohibit the child from participating in one or more co-curricular activities for:

(A) At least eight school days but not more than forty-two school days for a first offense;

(B) At least twenty-five school days but not more than fifty-eight school days for a second offense; and

(C) At least forty-two school days but not more than seventy-five school days for a third offense and any subsequent offenses.

Any action taken to impose or enforce the penalty provided for in this subsection shall be considered a civil action.

(d) If a child of more than eleven years of age persists in being absent from school, the family court, upon a proper petition, citation, or complaint being made by a teacher or any other officer or agent of the department, or police officer, or any other person, shall cause the child, and the parent, guardian, or other person having charge of the child, to be summoned to appear before the court. Upon a determination by the court that the child did persist in being absent from school, the family court shall render at least one of the following:

(1) Order the examiner of drivers in the county to suspend the child's driver's license or instruction permit for:

(A) At least eight calendar days but not more than forty-two calendar days for a first offense;

(B) At least twenty-five calendar days but not more than fifty-eight calendar days for a second offense; and

(C) At least forty-two calendar days but not more than seventy-five calendar days for a third offense and any subsequent offenses,

if the student has a driver's license or learner's permit; or

(2) Place the student under home detention or curfew, using electronic monitoring and surveillance, during those hours of the day and days of the week when the student is not required to attend school or perform detention.

(e) Nothing in this section shall be construed to require a teacher or any other officer or agent of the department, or police officer, or any other person who makes a petition, citation, or complaint pursuant to this section to exhaust the administrative remedies provided in this section before bringing an action for relief in family court.

(f) This section shall not apply to any child not liable to compulsory attendance at school."

SECTION 11. Section 571-11, Hawaii Revised Statutes, is amended to read as follows:

"§571-11 Jurisdiction; children. Except as otherwise provided in this chapter[,] and section 302A-1135, the court shall have exclusive original jurisdiction in proceedings:

(1) Concerning any person who is alleged to have committed an act prior to achieving eighteen years of age which would constitute a violation or attempted violation of any federal, state, or local law or municipal ordinance. Regardless of where the violation occurred, jurisdiction may be taken by the court of the circuit where the person resides, is living, or is found, or in which the offense is alleged to have occurred[.];

(2) Concerning any child living or found within the circuit:

(A) Who is neglected as to or deprived of educational services because of the failure of any person or agency to exercise that degree of care for which it is legally responsible[.];

(B) Who is beyond the control of the child's parent or other custodian or whose behavior is injurious to the child's own or others' welfare;

(C) Who is neither attending school nor receiving educational services required by law whether through the child's own misbehavior or nonattendance or otherwise; or

(D) Who is in violation of curfew;

(3) To determine the custody of any child or appoint a guardian of any child[.];

(4) For the adoption of a person under chapter 578[.];

(5) For the termination of parental rights under sections 571-61 to 571-63[.];

(6) For judicial consent to the marriage, employment, or enlistment of a child, when such consent is required by law[.];

(7) For the treatment or commitment of a mentally defective, mentally retarded, or mentally ill child[.];

(8) Under the Interstate Compact on Juveniles under chapter 582[.];

(9) For the protection of any child under chapter 587[.]; and

(10) For a change of name as provided in section 574‑5(a)(2)(C)."

PART VI

SECTION 12. Act 283, Session Laws of Hawaii 2007, is amended as follows:

1. By adding a new section to read:

"SECTION 1A. The educational workforce working group shall create a website for the dissemination of information regarding workforce development resources, initiatives, and programs within the State."

2. By amending sections 1 and 2 to read:

"SECTION 1. (a) There is established an educational workforce working group within the department of labor and industrial relations for administrative purposes only. The chairperson of the workforce development council or the chairperson's designee shall convene the first meeting of the educational workforce working group no later than August 1, 2007, at which time the members shall select a chair, to examine and address the following issues:

(1) How well the workforce needs of Hawaii are currently being met;

(2) How prepared the State is to meet the workforce needs of the future;

(3) What recommendations can be made to improve Hawaii's educational system to fulfill the workforce needs of the future;

(4) What is the current relationship between the public schools and emerging industries;

(5) What percentage of high school students participate in any form of vocational or professional training outside of the school setting;

(6) What aspects of high school curriculum, standards, and assessment strategies have a direct relationship to the State's future workforce needs;

(7) What are the challenges or impediments to creating a more direct relationship between schools and economy-driving industries of the State;

(8) How might autonomous schools-within-schools, magnet schools, specialized schools, and charter schools be better used to create more direct links between high schools and economy-driving industries of the State; and

(9) How might the size of public schools, the distribution of discretionary funding, the decentralized authority of school community councils or charter school local school boards, and other organizational reforms be better used to satisfy the workforce development needs of the information and technology age.

(b) The educational workforce working group shall submit a report on its findings and recommendations regarding the issues set forth in subsection (a), including any recommendations and proposed legislation, to the legislature no later than twenty days prior to the convening of the regular [~~session~~] sessions of 2008[.], 2009, and 2010; provided that the 2009 and 2010 reports shall also include information on the progress of the working group and any initiatives or programs implemented as a result of this Act.

(1) Two representatives appointed by the president of the senate;

(2) Two representatives appointed by the speaker of the house of representatives;

(3) The director of business, economic development, and tourism or the director's designee;

(4) The superintendent of education or the superintendent's designee;

(5) Two representatives from the University of Hawaii system; provided that at least one shall be the chancellor of a community college;

(6) Two high school principals appointed by the superintendent of education from the high school principals leadership group;

(7) The executive director of the Hawaii P-20 council or the executive director's designee;

(8) The chairperson of the workforce development council or the chairperson's designee;

(9) The president and chief executive officer of Enterprise Honolulu or the president and chief executive officer's designee;

(10) The president of the Hawaii Science and Technology Council or the president's designee;

(11) The president and chief executive officer of the Hawaii Community Foundation or the president and chief executive officer's designee; and

(12) The executive director of the Honolulu Community Action Program or the executive director's designee.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $25,000 or so much thereof as may be necessary for fiscal year 2007-2008 and the sum of $ or so much thereof as may be necessary for 2008-2009 for the educational workforce working group.

The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this Act."

PART VII

SECTION 13. The legislature finds that the University of Hawaii is accountable to the legislature and should be accountable for its funds in a manner that is consistent across the campuses and understandable by the legislature and the public. This necessitates that the goals of the system's strategic plan shall be measurable terms that relate to fiscal allocations. The overall purpose of this measure is to delineate a budgeting system.

The University of Hawaii has been developing a long-term finance plan pursuant to a request from the legislature to establish such plan under Senate Concurrent Resolution No. 137, adopted in 2007. Additionally, Senate Concurrent Resolution No. 79, adopted in 2007, requested the University of Hawaii to report on the linking of funding for individual campuses and performance goals, which would require the University of Hawaii to develop a budgeting system that reflects achievements, challenges, and needs.

Presently, the University of Hawaii's operational funding is determined each fiscal biennium based on specific program and personnel requests. In addition, supplemental budget requests are prepared for the second year of each fiscal biennium to address unforeseen issues and funding deficiencies that have arisen after the biennium budget has been approved and funds allocated. State appropriations for the University of Hawaii fluctuate based on current spending needs and state general revenue levels.

As a guide, the University of Hawaii system strategic plan was prepared in 2002 as a means for the university to chart its course through 2010. The strategic plan outlined the University of Hawaii's vision, mission, commitments and core values, and planning imperatives. The plan identified the following key strategic goals for the university as a means of advancing its strategic imperatives, including:

(1) Educational effectiveness and student success;

(2) A learning, research, and service network;

(3) A model local, regional, and global university;

(4) Investment in faculty, staff, students, and their environment; and

(5) Resources and stewardship.

During fiscal year 2007-2008, the University of Hawaii reexamined its strategic plan to update it for the next eight years. As the only public higher education institution in the State, the University of Hawaii is largely responsible for helping the State meet its higher education needs, which include:

(1) Increasing the educational capital of the State;

(2) Expanding workforce development initiatives;

(3) Assisting in diversifying the economy; and

(4) Addressing underserved regions and populations of the State, particularly the native Hawaiians.

These goals are being incorporated into the strategic plan that will guide the university through 2015.

The next step is to develop a finance plan to reach the strategic goals. The goal is to develop an educational compact which would define the long-term goals to address Hawaii's major economic challenges and align the University of Hawaii to the achievement of these goals. In turn, the university would be accountable for meeting performance standards. The higher education compact would be used to clearly link funding for the university with specific goals and performance measures.

Developing the educational compact requires delineating a finance plan which would link the strategic plan goals to accompanying funding. Thus, there will be a long-term component to the financial plan that indicates the long-term costs of achieving the strategic goals and by providing long-term funding targets for each institution within the University of Hawaii system. There will also be a medium-term component to the finance plan that will cover three biennium periods, starting with the 2009-2011 biennium budget and extending to 2015 to cover the same period as the strategic plan. The finance plan will outline the financial costs to achieve the strategic plan and will be based on measurable goals.

The long-term component will include the following:

(1) Base operating funds- the ongoing fiscal obligations that need to be adjusted for inflation and obligations such as collective bargaining;

(2) Capital improvement funding- annual and deferred maintenance obligations; and

(3) Incentive and performance outcome funding- funds provided as a result of achieving specific performance goals.

The purpose of this Act is to require the University of Hawaii to develop an incentive and performance outcome funding component for the long-range finance plan. This requirement shall attempt to accomplish the following:

(1) Increasing the legislative and public support for higher education;

(2) Allocating funds through a dual approach of incentives and performance-based funding;

(3) Monitoring the general condition of the University of Hawaii system;

(4) Identifying potential sources of problems or areas for improvement;

(5) Improving the effectiveness and efficiency of colleges and universities within the University of Hawaii system;

(6) Focusing college, campus, department, and university efforts on State priorities and goals;

(7) Assessing progress on State priorities and goals to improve graduate and undergraduate education; and

(8) Improving consumer information on higher education.

SECTION 14. (a) The University of Hawaii shall prepare an annual incentive and performance report in November of each year that reflects the success of the University of Hawaii's previous incentive and performance plans and proposes the plan for the following year. The purpose of the annual incentive and performance report is to facilitate the legislature in allocating approximately two per cent of the University of Hawaii annual budget to facilitate the university's strategic plan and related state goals; provided that:

(1) During the 2009-2011 fiscal biennium, the focus shall be on developing incentive plans that have measurable performance outcomes; and

(2) Beginning with the 2011 fiscal year, the allocation of funds shall be based on the annual incentive and performance annual report.

(b) The University of Hawaii shall include within its strategic plan, measurable goals and performance-based outcome data.

(c) The University of Hawaii shall collect and maintain records of the following data, which shall be utilized in formulating the 2009 annual report required under subsection (d):

(1) Regular admissions standards and comparisons of entering students to these standards;

(2) Remediation activities and indicators of remedial effectiveness;

(3) Enrollment, retention, and graduation data by gender, ethnicity, and program;

(4) Total student credit hours produced by institution and discipline;

(5) Amount of tuition collected and how the tuition was expended;

(6) Transfer rates to and from two-year and four-year colleges or universities;

(7) Total degrees awarded by institution and program and time to degree;

(8) Pass rates on professional licensure examinations;

(9) Placement data on graduates;

(10) Results of follow-up satisfaction studies of alumni, students, parents, and employers;

(11) Faculty workload and productivity data;

(12) Number and percentage of accredited and eligible programs;

(13) External or sponsored research funds; and

(14) Any additional relevant measurable goals and performance-based outcome data.

(d) The annual report shall describe the success of previous incentive and performance plans by analyzing the outcome performance measures in relation to the goals. The report also shall propose the following year's incentive plan, including identifying the goals and the performance outcome measures. The annual report shall reflect the following five state goals: education quality and effectiveness, access-diversity-equity, efficiency and productivity, contributions to state needs, and connection and contribution to other education sectors. The data that shall be analyzed under each category are delineated under the following state goals:

(1) Education quality and effectiveness - emphasizing undergraduate and graduate teaching and learning. Data may include standardized entrance scores; number of students in remediation; effectiveness of remediation; availability of academic programs; amount of financial commitment to instruction; student-faculty ratios; class size; percentage of students taking at least one course with fewer than fifteen students; student assessment results; student performance on nationally-normed examinations; type of faculty teaching lower-division courses; time to degree completion; course demand analysis; graduation rates; performance of graduates on licensure examinations; job placement rates; graduate and employer satisfaction; number of degrees awarded by discipline and number of degrees granted;

(2) Access-diversity-equity - changing demographics and the changing needs of the student population, including persistence and graduation rates by ethnicity and gender, availability of financial aid, faculty diversity, college participation rates, progress in affirmative action, and student demographics compared to the state population demographics;

(3) Efficiency and productivity - how well and at what cost particular goals or priorities are met, including program costs, time to degree and number of credits by institution and degree, classroom and laboratory utilization, changes to students, state appropriations per capita and per resident student, total contact hours of instruction by faculty rank, facilities maintenance, average faculty salary, and student-faculty ratios;

(4) Contribution to state needs - concerns about workforce development and economic competitiveness issues, including what programs have been modified or added to meet employer needs, the number of graduates in critical employment fields, the economic impact on the state of graduates, and the continuing education patterns; and

(5) Connection and contribution to other education sectors - concerning the educational system as a whole, including effectiveness of remedial education, feedback on performance to high schools, and research and service in support of public education.

The proposed incentive and performance plan for the following years shall include descriptions of proposals to be carried out at the program, department, campus, or system level. The incentive plan proposals shall be distributed across all levels and funding shall go back to those levels if plans are successful as demonstrated by their outcome performance measures. The plan shall include a summary of what amount or percentage of the approximately two per cent of the overall incentive and performance plan budget shall be allocated to each program, department, college, campus, or system level.

PART VIII

SECTION 15. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2008-2009 for working adult scholarships for individuals who are seeking to pursue training or instruction to establish a second career in employment-shortage areas, such as nursing, teaching, agriculture, and science, technology, engineering, or mathematics fields.

The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this part.

PART IX

SECTION 16. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun, before its effective date.

SECTION 17. If any provision of this Act, or the application thereof to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the Act, which can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

SECTION 18. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 19. This Act shall take effect on July 1, 2008; provided that sections 10, 11, 12, and part VII of this Act shall take effect upon approval.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	3253
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII