HOUSE OF REPRESENTATIVES

H.B. NO.

1785

THIRTY-THIRD LEGISLATURE, 2026

H.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO STUDENT TRANSPORTATION.

 

 

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

 

     SECTION 1.  The legislature finds that, while the number of school bus drivers has increased since the governor's August 2, 2024, emergency proclamation relating to school bus services, the department of education continues to experience a school bus driver shortage.

     The legislature further finds that some school bus contractors enter into contracts but are later unable to provide transportation for all contracted routes.  Under existing law, the department of education cannot simply cancel or reassign the unfulfilled portion of the contract.  This leaves students without access to school transportation.

     The purpose of this Act is to provide the department of education with flexibility to remove or suspend portions of school bus contracts if the contractor does not provide services for five or more instructional days.

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

     "§302A-     Student transportation contracts; failure to provide service.  (a)  Notwithstanding any law to the contrary, when a contractor under a student transportation contract with the department fails to provide service on a contracted route for five or more consecutive instructional days, the department may recommend to the governor the suspension or removal of the affected route or routes from the contract.

     (b)  The governor may specify conditions and timelines for, and other limitations on, the suspension or removal of a route, as deemed necessary to protect the public interest.

     (c)  Upon written approval by the governor, the department may:

     (1)  Remove or temporarily suspend the affected route or routes from the contract; and

     (2)  Enter into an interim agreement with another qualified carrier to provide transportation for the affected route or routes.

     (d)  An interim agreement executed under this section shall be exempt from chapter 103D; provided that:

     (1)  The agreement shall be limited to the scope of the suspended or removed route or routes;

     (2)  The agreement shall not exceed thirty months in duration; and

     (3)  The department shall ensure compliance with all applicable student safety standards.

     (e)  The department shall complete a competitive procurement under chapter 103D for a permanent replacement service within thirty months of executing an interim agreement under subsection (d).

     (f)  The removal or suspension of a route under this section, and the execution of an interim agreement, shall not otherwise affect the validity or enforceability of the remaining portions of the contract."

     SECTION 3.  Section 302A-407.5, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§302A-407.5[]]  School bus fare revolving fund.  (a)  There is established in the state treasury the school bus fare revolving fund, into which shall be deposited all moneys received from students and parents or guardians of students by public schools for state-provided school busing services, as authorized by section 302A-406.

     (b)  Except as otherwise provided by the legislature, moneys in the school bus fare revolving fund shall be used [for]:

     (1)  For school busing services, as authorized by section 302A-406[.]; and

     (2)  To offset costs associated with procuring replacement services for a student transportation contract under section 302A-   ."

     SECTION 4.  All requests for proposals issued by the department of education for student transportation services, and all contracts executed by the department of education for student transportation services, after the effective

date of this Act, shall specifically reference section 302A-   , Hawaii Revised Statutes.

     SECTION 5.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     SECTION 6.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 7.  This Act shall take effect on July 1, 3000.

 

 

Report Title:

DOE; Student Transportation; Governor

 

Description:

Authorizes the Department of Education to hire a new contractor if a contractor under a student transportation contract fails to provide service on a contracted route for five or more consecutive instructional days.  Authorizes the use of the school bus fare revolving fund to offset costs associated with procuring replacement services.  Effective 7/1/3000.  (HD1)

 

 

 

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