STAND. COM. REP. NO. 2484

Honolulu, Hawaii

, 2006

RE: S.B. No. 2836

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Education and Military Affairs, to which was referred S.B. No. 2836 entitled:

"A BILL FOR AN ACT RELATING TO THE STATE EDUCATIONAL FACILITIES IMPROVEMENT FUND,"

begs leave to report as follows:

The purpose of this measure is to increase the amount of money deposited into the State Educational Facilities Improvement Special Fund (SEFI Fund).

Testimony in support of this measure was submitted by the Department of Education. The Department of Budget and Finance submitted testimony in opposition to this measure. The Hawaii Tax Foundation submitted comments.

Your Committee finds that there is a compelling need to immediately fund the backlog of repair and maintenance projects in the public schools because Hawaii's children deserve a quality education in a clean, safe environment. This backlog is currently estimated at $525,000,000 and includes recurring major and minor repairs, maintenance, nonrecurring projects, and emergency repairs. Your Committee notes that this measure will address the repair and maintenance backlog by increasing the amount of money deposited into the SEFI fund for one year.

Your Committee has amended this measure to require the amount of $140,000,000 from all general excise tax revenues realized by the State and $220,000,000 from the proceeds of general obligation bonds authorized for the fiscal year to be deposited in the state treasury as a credit to the SEFI Fund.

As affirmed by the record of votes of the members of your Committee on Education and Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2836, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2836, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Education and Military Affairs,

____________________________

NORMAN SAKAMOTO, Chair