Report Title:

Budget, DOE

 

Description:

Requires the DOE to comply with zero-base budgeting beginning with FY 2002-2003.

 

HOUSE OF REPRESENTATIVES

H.B. NO.

400

TWENTY-FIRST LEGISLATURE, 2001

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO ZERO-BASE BUDGETING FOR PUBLIC EDUCATION.

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

SECTION 1. Existing law generally requires every state agency to submit to the department of budget and finance, for approval, a complete and detailed budget of proposed expenditures and estimated revenues.

This Act will, instead, require that the proposed executive budget for the department of education, commencing with fiscal year 2002-2003, be prepared in accordance with zero-base budgeting principles, as specified and developed by the director of budget and finance in cooperation with the department of education.

SECTION 2. Chapter 37, Hawaii Revised Statutes, is amended by adding a new section to Part IV to be appropriately designated and to read as follows:

"37- Zero-base budgeting. (a) Notwithstanding the general budgetary requirements contained in chapter 37, the proposed budget of the department of education shall be prepared in accordance with zero-base budgeting principles, as developed by the director of finance in cooperation with the department of education. These principles, which shall be applied to the preparation of the proposed budgets, shall include, but are not limited to, all of the following:

(1) Identification and description of each program activity;

(2) Statement of objectives of each program activity and output;

(3) Evaluation and ranking of program activities on the basis of a benefit versus cost analysis, and allocation of resources to program activities accordingly;

(4) Description and evaluation of qualitative and quantitative effects or impact on funding the program activity at a level of fifty per cent, seventy-five per cent, one hundred per cent, one hundred twenty-five per cent, and one hundred fifty per cent of the funding level commencing with fiscal year 2002-2003 and continuing thereafter;

(5) Estimation of effects of each such funding level on proposed future expenditures and revenues, if any, estimated to be generated by the program activity; and

(6) Identification of effects of each funding level on personnel requirements.

(b) Zero-base budgeting principles shall be applied to all department of education programs and sub-programs, including, but not limited to, comprehensive school support services, instructional support, state and district administration, school support, school community service, physical plant operations and maintenance, student transportation, public libraries, and budgets commencing with fiscal year 2002-2003.

(c) All information developed for zero-base budgeting pursuant to this section shall be made available to the legislative analyst, the director of finance, and the chairpersons of each fiscal committee of the legislature."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________