STAND. COM. REP. NO. 496-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1783

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Education, to which was referred H.B. No. 1783 entitled:

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

begs leave to report as follows:

The purpose of this measure is to:

(1) Require the School Facilities Authority to establish a pilot program for the development of proposals for three new public-private partnership schools and submit reports to the Legislature on the pilot program's effectiveness; and

(2) Authorize the School Facilities Authority to use public-private partnerships for the development of public school facilities, including facilities at public charter schools.

Your Committee received testimony in support of this measure from the State Public Charter School Commission; School Facilities Authority; Hawaiʻi Technology Academy; HawaiiKidsCAN; Hawaiʻi Children's Action Network Speaks!; Hoaloha Project; and six individuals. Your Committee received testimony in opposition to this measure from the United Public Workers, AFSCME Local 646, AFL-CIO. Your Committee received comments on this measure from the Department of Education and Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO.

Your Committee finds that the State has some of the highest public school construction costs in the nation, which makes providing adequate school facilities for students difficult. Your Committee further finds that the School Facilities Authority was established to address issues with public school facilities in a more timely and cost-effective manner, including through public-private partnerships that utilizes private sector expertise and financing.

Your Committee believes that innovative, cost-effective delivery models are essential to respond to urgent community needs while responsibly and transparently stewarding public resources. This measure provides a framework for testing alternative delivery methods for the development of public school facilities through a pilot program to develop schools in areas that demonstrate community need.

Your Committee has amended this measure by:

(1) Deleting statutory language that would have authorized the School Facilities Authority to partner with public and private development agencies to develop public school facilities;

(2) Changing the appropriation to an unspecified amount;

(3) Amending its preamble;

(4) Changing the effective date to July 1, 3000; and

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

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $3,000,000 to develop and administer the requests for proposals for the School Facilities Authority's pilot program.

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 H.B. No. 1783, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1783, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

JUSTIN H. WOODSON, Chair