STAND. COM. REP. NO. 2859

Honolulu, Hawaii

RE: S.B. No. 3279

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 3279, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE DEPARTMENT OF EDUCATION,"

begs leave to report as follows:

The purpose and intent of this measure is to increase accountability in public education.

Specifically, this measure:

(1) Statutorily establishes the Board of Education Internal Audit Office and appropriates moneys for its establishment and functions;

(2) Requires the Board of Education to establish a standing committee with a scope that includes audits; and

(3) Prohibits moneys appropriated to the Department of Education from being used to fund or support certain positions or expenses.

Your Committee received written testimony in opposition to this measure from one individual.

Your Committee received written comments on this measure from the Board of Education, Department of Education, and one individual.

Your Committee finds that program and fiscal evaluations are essential for ensuring that programs are efficient, effective, and accountable. Your Committee further finds that statutorily establishing a Board of Education Internal Audit Office and requiring the Board of Education to maintain a standing committee with a scope that includes audit-related responsibilities are vital to providing oversight that ensures the effective use of Department resources. To avoid the potential over-expenditure of funds, your Committee notes that this measure prohibits moneys from being expended on certain existing functions and positions.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3279, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair