STAND. COM. REP. NO. 2373

Honolulu, Hawaii

RE: S.B. No. 2680

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Education, to which was referred S.B. No. 2680 entitled:

"A BILL FOR AN ACT RELATING TO EDUCATION FUNDING,"

begs leave to report as follows:

The purpose and intent of this measure is to require the Legislative Reference Bureau to conduct a study on the impact of the weighted student formula on small and remote schools to determine whether the formula fulfills its statutory purpose of equalizing operational funding among the State's public schools.

Your Committee received testimony in support of this measure from the Hawaii State Teachers Association and Oahu County Committee on Legislative Priorities for the Democratic Party of Hawaii. Your Committee received comments on this measure from the Department of Education and Legislative Reference Bureau.

Your Committee finds that the Reinventing Education Act of 2004 established a weighted student formula to allocate monies to schools according to the different costs of educating students with different needs. However, despite the intended equitable distribution of funds, the weighted student formula has placed small and remote schools at a disadvantage.

Your Committee further finds that the Committee on Weights is responsible for, among other things, reviewing the issue and revising the formula to provide for the equitable distribution of funds to all of Hawaii public schools. Although there is major concern for insufficient funding for public schools, various Committees on Weights have recommended and the Board of Education has approved changes in the formula factor that has increased the weighted student formula base funding at schools. Because these changes affect the well-being of schools and students from all areas, it is important that the Legislature be made aware of such changes.

Your Committee has amended this measure by deleting its contents and inserting language that requires the Committee on Weights to submit a report to the Legislature detailing any changes to the funding formula within thirty days of the change.

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. 2680, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2680, S.D. 1, and be referred to your Committee on Ways and Means.

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

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MICHELLE N. KIDANI, Chair