STAND. COM. REP. NO. 2300

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2574
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Education and Technology, to which was
referred S.B. No. 2574 entitled:

     "A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII,"

begs leave to report as follows:

     The purpose of this measure is to authorize the community
colleges of the University of Hawaii to deposit their special
fund revenues into the community college system's special funds.

     Testimony in support of the measure was received from the
University of Hawaii.

     Your Committee finds that the community colleges are moving
toward a comprehensive, holistic approach in formulating their
budget to maximize the efficient use of all available funds.  In
order to achieve this goal, the community colleges require more
flexibility to manage their resources and operations.  Your
Committee agrees that consolidating the depositing and
disbursement of moneys in the community colleges' various special
funds into two basic special funds, the Tuition and Fees Special
Fund and the Community Colleges Special Fund, would make their
fiscal operation more efficient.

     Your Committee has amended the measure by making technical,
nonsubstantive amendments recommended by the University of Hawaii
for the purpose of clarity to insure that the measure's intent is
achieved.


 
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     Your Committee believes that the amended measure provides
the community colleges with adequate fiscal latitude to utilize
moneys at their disposal in a more comprehensive and efficient
manner.

     As affirmed by the record of votes of the members of your
Committee on Education and Technology that is attached to this
report, your Committee is in accord with the intent and purpose
of S.B. No. 2574, as amended herein, and recommends that it pass
Second Reading in the form attached hereto as S.B. No. 2574,
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
                                   Technology,



                                   ______________________________
                                   DAVID Y. IGE, Chair

 
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