STAND. COM. REP. NO. 2787

Honolulu, Hawaii

RE:    S.B. No. 2518

       S.D. 2

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 2518, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO EDUCATION,"

begs leave to report as follows:

     The purpose and intent of this measure is to authorize the State Public Charter School Commission to assess fees to cover its operating costs.  The measure also makes various amendments to the charter school law for clarity and consistency.

     Your Committee received written comments in support of the measure from the Hawaii State Teachers Association, State Public Charter School Commission, and Hawaii Public Charter Schools Network.  The Hawaii State Ethics Commission submitted written comments in opposition to this measure.  The Department of Budget and Finance and the Hawaii Educational Policy Center submitted comments.

     Your Committee finds that this measure further refines the charter school law, which was recently recodified in 2012.

     Your Committee has amended this measure by:

(1)  Adding vendors and contractors who provide goods or services to a charter school to the category of persons who, as a combined group, shall not comprise more than one-third of the voting members of the governing board of a charter school;

(2)  Adding vendors and contractors who provide goods or services to a charter school to the category of persons who shall not serve as the chairperson of the governing board of that charter school;

(3)  Deleting vendors and contractors who provide goods or services to a charter school from the definition of an "employee";

(4)  Clarifying that former employees of a charter school and relatives of former employees of a charter school are included in the category of persons who, as a combined group, shall not comprise more than one-third of the voting members of the governing board of a charter school under the jurisdiction of that governing board; provided that the former employees or relatives of the former employees shall no longer be included in that category after one year has elapsed since the termination of the employees' employment with the school;

(5)  Clarifying that former employees of a charter school and relatives of former employees of a charter school shall not serve as the chairperson of the governing board of that charter school until at least one year has elapsed since the termination of the employees' employment with the school;

(6)  Changing the effective date to July 1, 2050, to facilitate discussion on the measure; and

(7)  Making technical nonsubstantive amendments for the purposes of clarity, style, and consistency.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2518, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2518, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DAVID Y. IGE, Chair