STAND. COM. REP. NO. 787

Honolulu, Hawaii

RE: S.B. No. 1530

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1530 entitled:

"A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII,"

begs leave to report as follows:

The purpose and intent of this measure is to improve the performance of the University of Hawaii System.

Specifically, this measure:

(1) Authorizes the Board of Regents of the University of Hawaii to transfer general fund appropriations among program IDs in accordance with performance-based outcomes;

(2) Requires the President of the University of Hawaii to devise metrics and standards for the performance-based outcomes;

(3) Requires the President of the University of Hawaii to submit annual reports to the Legislature on the distribution of funds under the performance-based outcome funding;

(4) Requires that the President of the University of Hawaii to propose at least three efficiency measures to the Director of Finance; and

(5) Requires the President of the University of Hawaii to submit to the Legislature details on changes in efficiency, a narrative and comments on efficiency measures, and intended actions to improve efficiency.

Your Committee received written comments on this measure from the University of Hawaii System.

Your Committee finds that authorizing the Board of Regents of the University of Hawaii to transfer general funds among the University of Hawaii program IDs will encourage schools of those programs to increase graduation rates, improve student transfer rates, and make other enhancements to meet performance-based standards.

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. 1530 and recommends that it pass Third Reading.

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

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DONOVAN M. DELA CRUZ, Chair