STAND. COM. REP. NO. 2263

Honolulu, Hawaii

RE: S.B. No. 2391

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committees on Labor and Technology and Education, to which was referred S.B. No. 2391 entitled:

"A BILL FOR AN ACT RELATING TO EDUCATION,"

beg leave to report as follows:

The purpose and intent of this measure is to provide annual salary step increases for public school teachers who have completed one year's satisfactory service and comply with specified requirements, pursuant to a collective bargaining agreement negotiated for Bargaining Unit (5) and subject to the availability of funds.

Your Committees received testimony in support of this measure from Teach for America Hawaii, Democratic Party of Hawaiʻi, Democratic Party of Hawaiʻi Education Caucus, Hawaiʻi State Teachers Association, Pacific American Foundation, Parents of Public Schools of Hawaiʻi, and ten individuals.

Your Committees received testimony in opposition to this measure from the Office of Collective Bargaining and Department of Budget and Finance.

Your Committees received comments on this measure from the Department of the Attorney General; Department of Education; and United Public Worker, AFSCME Local 646, AFL-CIO.

Your Committees find that teachers play a critical role in improving student achievement and educational outcomes. However, teachers in the State are the lowest paid in the nation when adjusted for cost of living, contributing to high turnover rates, with nearly half leaving the profession or the State within five years of starting, posing a significant problem for students. This measure provides the stability and predictability necessary for teachers to remain in the classroom by ensuring salary progression as a consistent part of their professional career.

Your Committees acknowledge the concerns raised in testimony by the Department of the Attorney General that this measure conflicts with chapter 89, Hawaii Revised Statutes, which governs collective bargaining in public employment, because wages are subject to negotiation through collective bargaining. Your Committees also note discussions held during the public hearing on this measure pertaining to the need to extend the annual salary increases to teachers in public charter schools. Therefore, amendments to this measure are necessary to address these matters.

Your Committees have amended this measure by:

(1) Replacing the phrase "Pursuant to a collective bargaining agreement negotiated for bargaining unit (5)" with the phrase "Notwithstanding any law to the contrary, if negotiated into a collective bargaining agreement pursuant to section 89-9" to promote consistency with chapter 89, Hawaii Revised Statutes;

(2) Inserting language to accurately reflect the full range of Hawaii Revised Statutes sections pertaining to employment conditions and compensation for teachers, to promote consistency;

(3) Inserting language to provide annual salary step increases to public charter school teachers;

(4) Inserting an effective date of January 1, 2077, to encourage further discussion; and

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

As affirmed by the records of votes of the members of your Committees on Labor and Technology and Education that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2391, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2391, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Labor and Technology and Education,

________________________________ DONNA MERCADO KIM, Chair

________________________________ BRANDON J.C. ELEFANTE, Chair