THE SENATE	S.C.R. NO.	114
THIRTY-THIRD LEGISLATURE, 2026		S.D. 1
STATE OF HAWAII

SENATE CONCURRENT

RESOLUTION

requesting the Department of Education's Internal Audit Office to conduct Semiannual performance and management audits of the Department and its attached agencies.

WHEREAS, the Department of Education represents nearly a quarter of the State's general fund operating budget; and

WHEREAS, the Department of Education also receives hundreds of millions of dollars in federal funding each year; and

WHEREAS, the Board of Education recently amended its bylaws to reestablish an Audit Committee within the Board of Education; and

WHEREAS, the scope of the Audit Committee is limited to accounting and financial reporting processes; compliance with legal and regulatory requirements; and systems of internal controls over financial reporting and compliance with the adopted codes of conduct and ethical standards, including regular review and approval of internal audit plans; and

WHEREAS, the Audit Committee lacks the authority to evaluate the efficacy of programs within the Department of Education to ensure student academic success and workforce readiness; and

WHEREAS, the existing Internal Audit Office within the Department of Education provides independent, objective assurance and consulting services to add value and improve the Department's operations and internal control structures; and

WHEREAS, the Department of Education 2025 organization chart states that the Internal Audit Office is independent of all other departments within the Department; and

WHEREAS, the need for regular and timely reviews of the programmatic and organizational structure of the Department of Education grows as the standards for student success change over time; and

WHEREAS, due to its operational independence and familiarity with the Department of Education's processes, the Internal Audit Office is uniquely well-suited to expand its audits to include additional critical areas of public expenditure; now, therefore,

BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2026, the House of Representatives concurring, that the Department of Education's Internal Audit Office is requested to conduct semiannual performance and management audits of the Department and its attached agencies; and

BE IT FURTHER RESOLVED that the Internal Audit Office of the Department of Education is requested to rotate the semiannual performance and management audits amongst the Department of Education and its attached agencies, and to conduct not less than one performance audit and one management audit per year; and

BE IT FURTHER RESOLVED that the Internal Audit Office of the Department of Education is requested to base each of the semiannual performance and management audits on at least one of the following categories:

(1) Academic performance of existing programs compared to the strategic plan objectives for the Department of Education;

(2) Leadership and management structure;

(3) Federal funding, including grants, entitlements, reimbursements such as Medicaid reimbursements, and emergency relief funding such as Elementary and Secondary School Emergency Relief funds; and

(4) School academic and financial plans; and

BE IT FURTHER RESOLVED that the Department of Education and its attached agencies are urged to use the audit findings to evaluate existing programs and structures and reallocate resources as necessary to increase student academic success and workforce readiness; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Superintendent of Education, State Librarian, Director of the Executive Office on Early Learning, Executive Director of the School Facilities Authority, Executive Director of the State Public Charter School Commission, Executive Director of the Hawaii Teacher Standards Board, and Internal Audit Director of the Department of Education.

Report Title:

DOE; Audits; Internal Audit Office