HOUSE OF REPRESENTATIVES

H.B. NO.

336

TWENTY-NINTH LEGISLATURE, 2017

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO the PER-PUPIL FUNDING SYSTEM FOR PUBLIC CHARTER SCHOOLS.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  The legislature finds that Hawaii's public charter schools are a part of the state public education system and contribute to that system as a whole, by providing alternative educational options and modeling innovative practices.  Each public charter school is a single state entity, and primarily dependent on state funding for operational costs.

     The legislature further finds that the public charter school system is of particular importance to the Native Hawaiian community and the perpetuation of Hawaii's host culture, as seventeen of the thirty-four public charter schools are Hawaiian-focused or Hawaiian language immersion schools, offering educational curricula grounded in Hawaiian cultural values, concepts, and language.

     Hawaii's public charter schools receive a majority of their funding through a general fund per-pupil allotment.  Section 302D-28, Hawaii Revised Statutes, mandates that non-facility general fund per-pupil funding for public charter school students be the same as that for department of education school students.  The non-facility general fund per-pupil allotment for public charter schools is accordingly determined based on the total funding allocated to certain programs within the department of education, and the projected and verified student enrollment rates for department of education and public charter schools.

     The legislature finds that questions have been raised regarding whether the per-pupil funding system provides equal funding for public charter schools as intended under the law, including whether all required department of education cost categories are appropriately and consistently factored into the determination of the per-pupil allotment for public charter schools.  A potential disparity in per-pupil funding is of particular concern, given that public charter schools must also meet other expenses, including facility costs, not borne by department of education schools, and given the state public charter school commission's warning in its annual reports that public charter schools may face short-term financial strain as well as long-term operational sustainability challenges. 

     The purpose of this Act is to require the legislative reference bureau to conduct a study on the per-pupil funding system, to determine whether the system fulfills its statutory purpose of equalizing operational funding among public schools.

     SECTION 2.  (a)  The legislative reference bureau shall conduct a study on the non-facility general fund per-pupil funding system for public charter schools, to determine whether the system fulfills its statutory purpose of equalizing operational funding among the State's public schools.  The study shall:

     (1)  Include all general fund non-facility costs described in section 302D-28(a) and (b), Hawaii Revised Statutes, including but not limited to school-based budgeting, instructional support, school administration, and school support;

     (2)  Describe all general fund cost categories not considered in the determination of per-pupil funding for public charter schools; and

     (3)  Provide any other fiscal information that would be relevant to the legislative reference bureau's study.

     (b)  The department of education and the state public charter school commission shall provide specific data to the legislative reference bureau by June 30, 2017, in a format to be determined by the bureau, detailing what the present system of funding consists of within the statutory allocation, to enable the bureau to focus its study and complete it in a timely manner.

     (c)  The department of education, department of budget and finance, state public charter school commission, Hawaii Public Charter School Network, Hawaii Educational Policy Center, and other stakeholder agencies are requested to provide other information and assistance as requested by the legislative reference bureau.

     (d)  The legislative reference bureau shall submit a report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2019.

     SECTION 3.  This Act shall take effect upon its approval.

 

INTRODUCED BY:

_____________________________

 

By Request


 


 

Report Title:

OHA Package; Per-Pupil Funding System; Legislative Reference Bureau; Study

 

Description:

Requires the Legislative Reference Bureau to conduct a study on the non-facility general fund per-pupil funding system for public charter schools, to determine whether the system fulfills its statutory purpose of equalizing operational funding among the State's public schools.

 

 

 

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