STAND. COM. REP. NO. 1649

Honolulu, Hawaii

RE: S.C.R. No. 154

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Higher Education, to which was referred S.C.R. No. 154 entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING THE UNIVERSITY OF HAWAII OFFICE OF INTERNAL AUDIT TO CONDUCT AN AUDIT OF VARIOUS PROGRAMS AT THE UNIVERSITY OF HAWAII WEST OAHU THAT RECEIVE EXTRAMURAL FUNDING, INCLUDING TITLE III GRANT FUNDING,"

begs leave to report as follows:

The purpose and intent of this measure is to request the University of Hawaii Office of Internal Audit to conduct an audit of various programs at the University of Hawaii West Oahu that receive extramural funding, including Title III grant funding.

Your Committee received testimony in support of this measure from the University of Hawai‘i System. Your Committee received testimony in opposition to this measure from four individuals.

Your Committee finds that the University of Hawaii West Oahu provides various programs to assist incoming and current students. Many of these programs receive extramural funding, including Title III grant funding, for the further development of Native Hawaiian student support services. However, discrepancies in information provided by the University of Hawaii West Oahu on various programs were found, from initial documentation on the programs to follow-up documentation, as well as inconsistencies in the reporting of extramural funds. Because some of these programs utilize federal funds, further due diligence is needed to make certain that the funds are not lost due to mismanagement or abuse. To ensure an accurate accounting of all funds by the University of Hawaii West Oahu, an audit of the various programs at the University that receive extramural funding, including Title III grant funding, would clarify whether funds are being utilized appropriately for the benefit of the students.

As affirmed by the record of votes of the members of your Committee on Higher Education that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 154 and recommends that it be referred to your Committee on Ways and Means.

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

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DONNA MERCADO KIM, Chair