Bill Text: HI HB1872 | 2014 | Regular Session | Introduced
Bill Title: Fix Hawaii's Schools Act ($)
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2014-01-21 - Referred to EDN/HED, FIN, referral sheet 3 [HB1872 Detail]
Download: Hawaii-2014-HB1872-Introduced.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
1872 |
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TWENTY-SEVENTH LEGISLATURE, 2014 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to education.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. This Act shall be known as the "Fix Our Schools Act of 2014."
SECTION 2. The legislature finds that Hawaii's future is dependent upon our youth, and the investments we make in our young people today will determine the course of our State in the years to come. One of the greatest investments we can make is to provide our youth with the best possible opportunities in education, and therefore the purpose of this Act is to provide:
(1) Resources for operations, and repair and maintenance of Hawaii's educational facilities; and
(2) Flexibility to the department of education for the construction of new schools.
PART I
SECTION 3. It has been proven that a proper scholastic environment–-one that is safe, secure, well-maintained, and clean--is a key contributor to a child's capacity to learn.
However, the legislature finds that there is a continuing backlog of repair and maintenance projects for Hawaii's public schools. In 2001, the Hawaii Opinion Poll on Public Education found that rundown, poorly kept, or inadequate facilities ranked third in the ten biggest problems facing our schools. Student leaders at the 2005 Hawaii Secondary Student Conference passed a resolution supporting the expenditure of funds to relieve the backlog.
It has become increasingly clear that the condition of our schools depends on the availability of funds and effective management of facility needs.
It is equally important that our schools be provided with sufficient funds for their operations, which also directly affect student achievement. Hence, the purpose of this part is to provide resources for both the operations and repair and maintenance of Hawaii's public schools.
SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $100,000,000 or so much thereof as may be necessary for fiscal year 2014-2015 for repair and maintenance of department of education school facilities.
The sum appropriated shall be expended by the department of education for the purposes of this part.
SECTION 5. The director of finance is authorized to issue general obligation bonds in the sum of $50,000,000 or so much thereof as may be necessary, and the same sum or so much thereof as may be necessary is appropriated for fiscal year 2014-2015 for the purpose of capital improvement projects for the department of education.
SECTION 6. The appropriation made for the capital improvement projects authorized by this Act shall not lapse at the end of the fiscal year for which the appropriation is made; provided that all moneys from the appropriation unencumbered as of June 30, 2016, shall lapse as of that date.
SECTION 7. The sum appropriated shall be expended by the department of education for the purposes of this part.
SECTION 8. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2014-2015 for operations of the department of education.
The sum appropriated shall be expended by the department of education for the purposes of this part.
PART II
SECTION 9. The legislature finds that the department of education may serve Hawaii's students more effectively if given flexibility in certain areas of its operations. The purpose of this part is to:
(1) Authorize the department to independently issue certificates of participation when initiating the construction of new schools; and
(2) Establish a special fund from which lease back payments may be made.
SECTION 10. Chapter 302A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§302A- New school construction special fund. (a) There is created in the state treasury the new school construction special fund, into which shall be deposited:
(1) Legislative appropriations, including designated appropriations made for the operations of the department of education; and
(2) All interest earnings accruing from moneys in the fund.
(b) Expenditures from the fund shall be limited to interest earnings and shall be solely for the purpose of making lease back payments for new schools constructed through financing agreements entered into pursuant to chapter 37D, including using certificates of participation.
(c) The department of education shall administer the new school construction special fund.
SECTION 11. Section 37D-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) There is hereby established and
authorized the financing agreement program of the State. Any agency desiring
to acquire or improve projects through the financing agreement program
established and authorized by this chapter shall submit a written request to
the department providing any information that the department shall require.
Notwithstanding any other law to the contrary, and except for the Hawaii health
systems corporation and its regional system boards, only with the approval by
the attorney general as to form and legality and upon the written request of
one or more agencies may the department enter into a financing agreement in
accordance with this chapter, and only with the approval by the attorney
general as to form and legality, and by the director as to fiscal
responsibility, and upon the written request
of an agency, the agency may enter into a financing
agreement in accordance with this chapter, except that the department of
education may enter into a financing agreement in accordance with section 36-32
[with the concurrence] without the approval of the director [and]
but with the approval of the attorney general as to form and legality;
and that the board of regents of the University of Hawaii may enter into a
financing agreement in accordance with this chapter without the approval of the
director and of the attorney general as to form and legality if the principal
amount of the financing agreement does not exceed $3,000,000. A financing
agreement may be entered into by the department on behalf of one or more
agencies, or by an agency, at any time (before or after commencement or
completion of any improvements or acquisitions to be financed) and shall be
upon terms and conditions the department finds to be advantageous. In each
case of a written request by the judiciary to participate in the financing
agreement program, the department shall implement the request; provided that
the related financing agreement shall be upon terms and conditions the
department finds to be advantageous. Any financing agreement entered into by
the department without the approval, or by an agency without the approvals
required by this section shall be void and of no effect. A single financing
agreement entered into by the department may finance a single item or multiple
items of property to be used by multiple agencies or may finance a single item
or multiple items of property to be used by a single agency. If the financing
agreement is by the department, the department shall bill any agency that
benefits from property acquired with the proceeds of a financing agreement for
the agency's pro rata share of:
(1) The department's costs of administration of the financing agreement program; and
(2) The financing costs, including the principal and interest components of the financing agreement and insurance premiums,
on a monthly or other periodic basis, and may deposit payments received in connection with the billings with a trustee as security for the financing agreement. Any agency receiving such a bill shall be authorized and shall pay the amounts billed from available moneys.
If a financing agreement is by an agency, the agency shall deposit on a monthly or other periodic basis with the department, payments from available moneys with respect to the agency's financing costs, including the principal and interest components of the financing agreement and insurance premiums, which payments the department may deposit with a trustee as security for the financing agreement. The department may bill an agency for the department's costs of administering the agency's payments and the agency receiving such a bill shall be authorized to and shall pay the amounts billed from available moneys."
SECTION 12. There is appropriated out of the general revenues of the State of Hawaii the sum of $50,000,000 or so much thereof as may be necessary for fiscal year 2014-2015 to be deposited into the new school construction special fund.
The sum appropriated shall be expended by the department of education for the purposes of this part.
PART III
SECTION 13. The legislature finds that while it is important to improve Hawaii's schools at the primary and secondary levels, it is also vital that we address the needs of Hawaii's post-secondary school educational system. Therefore, the purpose of this part is to provide funding for the operations of, and repair and maintenance for the University of Hawaii.
SECTION 14. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2014-2015 for repair and maintenance of buildings and facilities of the University of Hawaii.
The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.
SECTION 15. The director of finance is authorized to issue general obligation bonds in the sum of $ or so much thereof as may be necessary, and the same sum or so much thereof as may be necessary is appropriated for fiscal year 2014-2015 for the purpose of repair and maintenance of facilities of the University of Hawaii.
SECTION 16. The appropriation made for the capital improvement project authorized by this Act shall not lapse at the end of the fiscal year for which the appropriation is made; provided that all moneys from the appropriation unencumbered as of June 30, 2016, shall lapse as of that date.
SECTION 17. The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.
SECTION 18. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2014-2015 for the operations of the University of Hawaii.
The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.
PART IV
SECTION 19. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 20. This Act shall take effect on July 1, 2014.
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INTRODUCED BY: |
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Report Title:
Fix Hawaii's Schools Act
Description:
Makes appropriations for operations of, and repair and maintenance for the department of education and the University of Hawaii. Authorizes the department of education to use certificates of participation to finance the construction of new schools.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
