STAND. COM. REP. NO. 2600

Honolulu, Hawaii

RE: S.B. No. 3180

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Education, to which was referred S.B. No. 3180 entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION TO THE STATE PUBLIC CHARTER SCHOOL COMMISSION,"

begs leave to report as follows:

The purpose and intent of this measure is to make an emergency appropriation and is recommended by the Governor for immediate passage in accordance with article VII, section 9, of the Constitution of the State of Hawaii to provide funds for the state public charter school commission to pay the claim and settlement amount pursuant to Miller-Potter v. State of Hawaii, et al., Civil No. 16-1-0385K.

Your Committee received testimony in support of this measure from the Hawaii State Public Charter School Commission, Hookakoo Corporation, and a private individual.

Your Committee finds that section 4 of Act 99, Session Laws of Hawaii 2019, appropriated $75,000 in general funds from the fiscal year 2018-2019 budget for EDN 600 to pay for claims against the State or Hawaii state public charter school. However, serious questions arose regarding whether the State's risk management protection covered public charter schools. This resulted in the Hawaii state public charter school being required to use funds for the settlement payment from funds that were intended for the operation of the public charter school and the education of public charter school students.

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. 3180 and recommends that it pass Second Reading 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