SB2741

Report Title:

Education

Description:

Establishes a state income tax checkoff block on the State's tax return form to allow public support for educator scholarships.

THE SENATE	S.B. NO.	2741
TWENTY-FIRST LEGISLATURE, 2002
STATE OF HAWAII

A BILL FOR AN ACT

 

RELATING TO EDUCATION.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 235, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§235- Scholarship fund checkoff authorized. Any law to the contrary notwithstanding, an individual whose state income tax liability for any taxable year is $3 or more may designate $3 of the liability to be paid to the scholarships for educators special fund created pursuant to section 302A- , when submitting a state income tax return to the department of taxation. In the case of a joint return of a husband and wife having a state income tax liability of $6 or more, each spouse may designate that $3 be paid to the fund. The director of taxation shall revise the individual state income tax form to allow the designation of contributions to the fund on the face of the tax return and immediately above the signature lines. An explanation shall be included that clearly states that the checkoff does not constitute an additional tax liability. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for such taxable year. A designation once made whether by an original or amended return may not be revoked."

SECTION 2. Chapter 302A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§302A- Scholarships for educators program; special fund. (a) There is established the scholarships for educators program, to be established and administered by the department of education, for the purpose of providing financial support to students who are enrolled in a State-approved public teacher-education program and who, upon graduation, agree to teach in the Hawaii public school system for not less than four years. Eligibility and amounts to be awarded shall be determined by the department of education based upon available resources, need for financial aid, and proof of enrollment in a State-approved public teacher-education program within the State of Hawaii.

(b) All scholarships made under this section shall require the execution of a promissory note indicating that repayment of the scholarship is required should the student fail to receive a teaching degree or decide not to teach in the Hawaii public school system. Upon a showing of proof that the individual has completed a State-approved public teacher-education program and has been employed for four consecutive years as a full-time teacher in the Hawaii public school system, the promissory note shall be rescinded. If a scholarship recipient fails to receive a teaching degree or decide not to teach in the Hawaii public school system for a minimum of four consecutive years, then the recipient shall repay the scholarship amount.

(c) There is created in the treasury of the State, the Hawaii scholarships for educators special fund, for the purpose of funding scholarships pursuant to subsection (a). This fund shall be administered by the department of education. All revenues received from the scholarship fund checkoff created under section 235- shall be deposited into this fund. The department may also accept donations from private sources for the purposes of this fund."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________