STAND. COM. REP. NO. 2127

Honolulu, Hawaii

RE:    S.B. No. 2651

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Education, to which was referred S.B. No. 2651 entitled:

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS FOR HAWAII PREPARATORY ACADEMY,"

begs leave to report as follows:

     The purpose and intent of this measure is to extend the lapse date of the issuance of special purpose revenue bonds authorized by Act 116, Session Laws of Hawaii 2007, to assist Hawaii Preparatory Academy from June 30, 2012, to June 30, 2017.

     Your Committee received testimony in support of this measure from Hawaii Preparatory Academy, Hawaii Association of Independent Schools, The Kohala Center, and four individuals. 

     Your Committee finds that this measure will enable Hawaii Preparatory Academy to make necessary improvements to its two campuses on the island of Hawaii.

     Your Committee has amended this measure by:

     (1)  Adding language to specify that special purpose revenue bonds may be issued in a total amount not to exceed $50,000,000, to refund the special purpose revenue bonds authorized by Act 116, Session Laws of Hawaii 2007; and

     (2)  Making a technical, nonsubstantive amendment to change the lapsing date to June 28, 2017, in order to avoid violating the five-year authorization period for special purpose revenue bonds in section 39A-257, Hawaii Revised Statutes.

     As affirmed by the record of votes of the members of your Committee on Education that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2651, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2651, S.D. 1, and be referred to the Committee on Ways and Means.

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

____________________________

JILL TOKUDA, Chair