STAND. COM. REP. NO. 1276-20

Honolulu, Hawaii

, 2020

RE: S.B. No. 3103

S.D. 2

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 3103, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO A SCHOOL FACILITIES AGENCY,"

begs leave to report as follows:

The purpose of this measure is to improve the development, planning, and construction of public schools by:

(1) Establishing the School Facilities Agency to be responsible for public school development, planning, and construction related to capital improvement projects assigned by the Legislature, Governor, or Board of Education;

(2) Establishing the School Facilities Board to oversee the School Facilities Agency; and

(3) Transferring to the School Facilities Agency certain Department of Education functions related to construction.

Your Committee received testimony in support of this measure from the Hawaii Institute for Public Affairs; American Council of Engineering Companies of Hawaii; Bank of Hawaii; Hui for Excellence in Education; Hawaiian Electric Company Inc.; and Chamber of Commerce Hawaii.  Your Committee received testimony in opposition to this measure from one individual. Your Committee received comments on this measure from the Department of Budget and Finance; Board of Education; Department of Education; Office of Hawaiian Affairs; Hawaii State Ethics Commission; Office of Information Practices; Department of the Attorney General; Hawaii State Public Library System; Hawaii State Teachers Association; Democratic Party of Hawaii Labor Caucus; Pacific Resource Partnership; Painting Industry of Hawaii Labor Management Cooperation Trust Fund; Hawaii Tapers Market Recovery Trust Fund; Hawaii Glaziers; Architectural Metal Glassworkers Local Union 1889 AFL-CIO Stabilization Trust Fund; Carpet, Linoleum and Soft Tile Local Union 1926 Market Recovery Trust Fund; Young Progressives Demanding Action; and United Public Workers AFSCME, Local 646, AFL-CIO.

Your Committee has amended this measure by:

(1) Removing the School Facilities Agency's authority to, through its Executive Director, appoint officers, agents, and employees, prescribe their duties and qualifications, and fix their salaries, without regard to chapter 76, Hawaii Revised Statutes;

(2) Removing the Superintendent of Education and a member of the Board of Education as ex officio, non-voting members, of the School Facilities Board;

(3) Requiring the School Facilities Board to include one member representing the construction industry rather than one member of the Hawaii Construction Alliance;

(4) Removing the appropriation for the establishment of the School Facilities Agency;

(5) Changing its effective date to upon approval; and

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

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3103, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3103, S.D. 2, H.D. 2.

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

____________________________

SYLVIA LUKE, Chair