Report Title:

Charter Schools; UH-Hilo; Systemic Reforms; Appropriation

Description:

Allows the board of regents of the UH to operate new century charter schools that use the Hawaiian language as their primary medium of education to establish the basis for a laboratory school program in the college of Hawaiian language; establishes the charter school education agency to be administratively attached to the DOE; provides for an executive director and staff for the office; requires funds for charter schools to be appropriated through EDN 110 -- charter schools. (SD1)

 

HOUSE OF REPRESENTATIVES

H.B. NO.

1021

TWENTY-SECOND LEGISLATURE, 2003

H.D. 1

STATE OF HAWAII

S.D. 1


 

A BILL FOR AN ACT

 

relating to education.

 

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

PART I

SECTION 1. The legislature finds that:

(1) The college of Hawaiian language was established at the University of Hawaii at Hilo to serve as a focal point for a statewide effort to revitalize the Hawaiian language for all the people of Hawaii through the use and study of the language;

(2) The college of Hawaiian language is presently the only government agency of statewide reach in Hawaii that uses Hawaiian as its primary language of operation;

(3) The functions of the college of Hawaiian language should include the establishment of a laboratory school program to train prospective public school teachers and administrators;

(4) The college of Hawaiian language and its laboratory school program should enter into an agreement with the department of education to promote the use of the Hawaiian language as a medium of education; and

(5) The informal, cooperative relationship between the college of Hawaiian language and the nonprofit group Aha Punana Leo, Incorporated, are valuable to the State of Hawaii and should be formalized.

The purpose of this part is to allow the board of regents of the University of Hawaii to operate new century charter schools that use the Hawaiian language as their primary medium of education and establish the basis for a laboratory school program in the college of Hawaiian language at the University of Hawaii at Hilo.

SECTION 2. Chapter 302A, Hawaii Revised Statutes, is amended by adding a new section to part III, subpart D, to be appropriately designated and to read as follows:

"§302A-   Applicability to laboratory school program. This subpart shall not apply to teachers and other personnel of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo under the same pay schedule, including part-time employees working less than twenty hours a week who are equal to one-half of a full-time equivalent; provided that this section shall not be construed to prohibit teachers and other personnel of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo from being licensed by the Hawaii teacher standards board if they meet the requirements for licensure established by the board pursuant to this subpart."

SECTION 3. Chapter 302A, Hawaii Revised Statutes, is amended by adding two new sections to part IV, subpart D, to be appropriately designated and to read as follows:

"§302A-   New century charter schools; transfer of public school teachers. (a) The board of education, in accordance with chapter 89, shall negotiate with the exclusive representative of bargaining unit (5) to provide licensed, tenured, and probationary public school teachers who transfer to new century charter schools with the benefits described in subsections (b) and (c).

(b) Licensed, tenured public school teachers who transfer to new century charter schools shall:

(1) Continue to earn and accrue service credits as if they were in their regular teaching positions; and

(2) Be placed in the appropriate range/step of the salary schedule as if they had remained in service when they return to the department.

(c) Licensed, probationary public school teachers who transfer to new century charter schools shall be allowed to earn up to four semesters of probationary credit toward tenure; provided that:

(1) Tenure shall be granted only upon a probationary teacher's return to a public school; and

(2) New century charter schools shall not be allowed to grant tenure to probationary public school teachers.

§302A-   New century charter schools; transfer of public school educational officers. (a) The board of education, in accordance with chapter 89, shall negotiate with the exclusive representative of bargaining unit (6) to provide certified, tenured, and probationary public school educational officers who transfer to new century charter schools with the benefits described in subsections (b) and (c).

(b) Certified, tenured public school educational officers who transfer to new century charter schools shall:

(1) Continue to earn and accrue service credits as if they were in their regular educational officer positions; and

(2) Be placed in the appropriate range/step of the salary schedule as if they had remained in service when they return to the department.

(c) Certified, probationary public school educational officers who transfer to new century charter schools shall be allowed to earn up to four semesters of probationary credit toward tenure; provided that:

(1) Tenure shall be granted only upon a probationary educational officer's return to a public school; and

(2) New century charter schools shall not be allowed to grant tenure to probationary public school educational officers."

SECTION 4. Chapter 304, Hawaii Revised Statutes, is amended by adding a new section to part II, subpart O, to be appropriately designated and to read as follows:

"§304-   Operation of new century charter schools; laboratory school program. (a) Notwithstanding chapter 302A to the contrary, the board of regents may operate new century charter schools that use the Hawaiian language as their primary medium of education and establish the basis for a laboratory school program in the college of Hawaiian language.

(b) The purpose of the laboratory school program shall include:

(1) The training of prospective public school teachers and administrators in one or more of the following areas:

(A) Hawaiian language;

(B) Hawaiian immersion; and

(C) Hawaiian studies; and

(2) Serving as an experimental base for the development of teaching techniques and methods, and the conduct of research related to education, in the Hawaiian language.

(c) This section shall not be construed to give the board of regents the power to approve or discontinue a new century charter school. The power to approve or discontinue a new century charter school shall be reserved to the board of education.

(d) The procurement of services and goods by the laboratory school program from not-for-profit Hawaii corporations shall be exempt from the requirements of chapter 103D if these corporations use the Hawaiian language as their primary medium for conducting business.

(e) Hawaii interscholastic athletic associations funded in whole or in part with public funds shall allow the laboratory school program to join the associations and participate in association activities to the same extent that nonpublic schools are allowed to join the associations and participate in association activities.

(f) The laboratory school program may contract with the department of education or form an educational service agency comprising all its new century charter schools to ensure the provision of a free appropriate public education, including special education and related services, to eligible students with disabilities.

(g) For the purposes of this section, "new century charter school" means a school established by and operated under the authority of the board of education pursuant to chapter 302A."

SECTION 5. Section 89-6, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) All employees throughout the State within any of the following categories shall constitute an appropriate bargaining unit:

(1) Nonsupervisory employees in blue collar positions;

(2) Supervisory employees in blue collar positions;

(3) Nonsupervisory employees in white collar positions;

(4) Supervisory employees in white collar positions;

(5) Teachers and other personnel of the department of education and the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo under the same pay schedule, including part-time employees working less than twenty hours a week who are equal to one-half of a full-time equivalent;

(6) Educational officers and other personnel of the department of education and the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo under the same pay schedule;

(7) Faculty of the University of Hawaii and the community college system[;], other than faculty of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo;

(8) Personnel of the University of Hawaii and the community college system, other than faculty[;] of the university and community colleges, and personnel of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo;

(9) Registered professional nurses;

(10) Institutional, health, and correctional workers;

(11) Firefighters;

(12) Police officers; and

(13) Professional and scientific employees, who cannot be included in any of the other bargaining units."

SECTION 6. Section 302A-605, Hawaii Revised Statutes, is amended to read as follows:

"§302A-605 Principals and vice-principals. (a) Principals shall meet the department's certification requirements and shall have not less than five years of appropriate school-level experience of which at least three years shall have been as a teacher.

(b) Vice-principals shall meet the department's certification requirements and shall have appropriate school-level experience as determined by the department.

(c) On a case-by-case basis, the department may waive the certification requirements and school-level experience for vice-principal candidates with appropriate administrative experience. The department shall establish criteria and reasons for waivers pursuant to chapter 91.

(d) This section shall not apply to educational officers and other personnel of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo under the same pay schedule; provided that this section shall not be construed to prohibit educational officers and other personnel of the college of Hawaiian language laboratory school program at the University of Hawaii at Hilo from being certified by the department if they meet the requirements for certification established by the department pursuant to this section."

SECTION 7. The attorney general, in consultation with the chairperson of the board of education and the superintendent of education, shall prepare recommended legislation to designate the University of Hawaii, including any campus, college, or program within the university, as a local educational agency to establish the basis for a laboratory school program in the college of Hawaiian language at the University of Hawaii at Hilo. The attorney general shall also prepare a report describing the powers and duties of the local educational agency, including its responsibilities and liabilities under federal law.

The attorney general shall submit its findings and recommendations, including proposed legislation if necessary, to the legislature no later than twenty days prior to the convening of the regular session of 2004.

SECTION 8. There is appropriated out of the general revenues of the State of Hawaii the sum of $          , or so much thereof as maybe necessary for fiscal year 2003-2004 to allow the University of Hawaii at Hilo to establish the basis for a laboratory school program, the purpose of which shall include:

(1) The training of prospective public school teachers and administrators in one or more of the following areas:

(A) Hawaiian language;

(B) Hawaiian immersion; and

(C) Hawaiian studies; and

(2) Serving as an experimental base for the development of teaching techniques and methods, and the conduct of research related to education, in the Hawaiian language.

The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.

PART II

SECTION 9. Chapter 302A, Hawaii Revised Statutes, is amended by adding a new section to part IV, subpart D, to be appropriately designated and to read as follows:

"§302A-B New century charter schools, new century conversion charter schools; funding. (a) Beginning with the fiscal biennium 2003-2005, and every fiscal biennium thereafter, all funds for new century charter schools and new century conversion charter schools shall be appropriated by the legislature under the program identification code, EDN 110. This program designation shall be assigned to the charter schools education agency established under section 302A-1187.

(b) In making the appropriation, the legislature shall consider the biennial budget request and supplemental budget request submitted by the charter schools education agency through the board of education and the governor, which shall include the projected total number of enrolled students for each school and a breakdown of the total number of general education and special education students enrolled in each school. Based upon the projected enrollment, the legislature shall appropriate for each charter school an amount based upon the average per pupil cost reported in the department of education's consolidated annual financial report for the previous fiscal year; provided that:

(1) The appropriation for a new century conversion charter school shall be based upon the average per pupil cost reported in all categories of the annual financial report; and

(2) The appropriation for a new century charter school shall be based upon the average per pupil cost for instructional services, instructional support services, and school support as reported in the annual financial report. For the purposes of this paragraph, "instructional services" shall include a base per pupil amount for every general and special education student, and a supplemental amount, to be determined by the legislature, for each special education student based upon a per pupil weighted count formula implemented by the department of education and applied to special education students within the new century charter schools.

(c) Beginning with the fiscal biennium 2003-2005, the allocations of state general funds from the charter school education agency to new century charter schools and new century conversion charter schools shall be based upon legislative appropriations to EDN 110 and the projected enrollment figures reported to the agency by each school; provided that the governor or the board of education may impose restrictions or reductions, pursuant to chapter 37, on charter schools to the same extent as such are imposed on department of education schools."

SECTION 10. Section 302A-1187, Hawaii Revised Statutes, is amended to read as follows:

"§302A-1187 New century charter schools; [administrative supervision. Whenever any new century charter school is established under section 302A-1182, the following provisions shall apply except as otherwise specifically provided by this chapter:

(1) Following consultation with the new century charter school, the board shall represent the new century charter school in communications with the governor and with the legislature;

(2) The financial requirements for state funds of the new century charter school shall be submitted through the board and included in the budget for the department;

(3) The approval of all policies and rules adopted by the new century charter school shall be preceded by an open public meeting and shall not be subject to chapter 91;

(4) The employment, appointment, promotion, transfer, demotion, discharge, and job descriptions of all officers and employees of or under the jurisdiction of the new century charter school shall be determined by the new century charter school and applicable personnel laws and collective bargaining agreements;

(5) Except as set forth in this section, the board or the superintendent of education shall not have the power to supervise or control the new century charter school in the exercise of its functions, duties, and powers; and

(6) Local school boards may enter into an annual business contract for centralized services to be provided by the department prior to the beginning of each school year.] administration; charter school education agency. (a) There is established a charter school education agency, which shall be attached to the department of education for administrative purposes only. The charter school education agency shall provide administrative oversight of the new century charter schools and the new century conversion charter schools. The agency shall be governed by a nine member board of directors, who shall be appointed as follows: four members comprised of one member from each county representing a charter school established in that county, and five members who shall be selected by a statewide association of charter schools. The agency shall be administered by an executive director, who shall be appointed without regard to chapters 76 and 89 by the charter school board of directors. The executive director may hire necessary staff without regard to chapters 76 and 89 to assist in the administration of the agency.

(b) The executive director shall report to the board of directors and, following consultation with the board of directors and the local school boards of charter schools, shall provide administrative support to and oversight of the charter schools as follows:

(1) Represent charter schools in communications with the governor, the board of education, and with the legislature;

(2) Prepare and submit the charter school education agency budget request for and execute the annual appropriations made to the charter schools;

(3) Ensure that charter schools are in compliance with applicable state and federal laws; and

(4) Assist charter schools with the preparation and execution of contracts for centralized services to be provided by the department of education."

SECTION 11. Section 302A-1302, Hawaii Revised Statutes, is amended to read as follows:

"§302A-1302 School-based budget flexibility. (a) Beginning with the 1995-1997 fiscal biennium, the department shall implement school-based budget flexibility for schools, complexes, and learning support centers. The flexibility shall be limited to the school-based budgeting program EDN 100 of the department for all schools except new century charter schools defined in section 302A-101 and new century conversion charter schools defined in section 302A-1191[; provided that beginning].

(b) Beginning in fiscal year [1998-1999,] 2003-2004, and every year thereafter, the [department] charter school education agency shall distribute the [full appropriation] allocations due to a new century charter school or new century conversion charter school pursuant to [sections 302A-1185 and 302A-1191,] section 302A-B, directly to the new century charter school or new century conversion charter school."

SECTION 12. Section 302A-1188, Hawaii Revised Statutes, is amended to read as follows:

"[[]§302A-1188[]] New century charter schools; [mandate to support] responsibilities of department of education. (a) The department[, together with key representatives of the major divisions in the department, representatives from the unions, [as well as individuals] and representatives from the new century charter schools shall collaborate [together on a system of technical assistance that will provide a baseline for success of each new century charter school . In addition, the department, through the board and its superintendent, shall provide any other information and technical assistance upon request necessary] to support the establishment and expansion of new century charter schools[.]; including the development of a system of technical assistance to be offered by the department of education during the first two years of operation of a new century charter school. The department and representatives of the new century charter schools shall collaborate to develop a list of central services that the department of education may offer for purchase by a new century charter school at an annual cost to be negotiated between an individual charter school and the department. The department shall enter into a contract with a new century charter school to provide these services, which shall be re-negotiated on an annual basis.

(c) Any new century charter school that admits special education students or identifies one of their students as eligible for special education shall be responsible for developing and providing the educational and related services within a student's individual education plan; provided that if the charter school is unable to provide all of the required services after exhausting all means within its jurisdiction, then placement of the student shall be determined by the department of education.

(d) If, at any time, a new century charter school dissolves or is denied continuation, the State of Hawaii shall have first right, at no cost to the State, to all the assets and facilities of the new century charter school, except as otherwise provided by law."

SECTION 13. Section 302A-1185, Hawaii Revised Statutes, is repealed.

["§302A-1185 New century charter schools; funding. (a) New century charter schools shall receive an allocation of state funds based upon the operational and educational funding requirements of the schools; provided that:

(1) Beginning in fiscal year 2001-2002, and every year thereafter, the auditor shall determine the appropriate allocation based on the total department general fund allocation for EDN 100, 200, 300, and 400 and projected per pupil allocation for the current fiscal year;

(2) Small schools with fewer than one hundred twenty students may be given a state subsidy or small school allotment, as determined by the department, to augment the per pupil allocation given; provided that if additional federal grant moneys are received, the auditor shall determine the appropriate portion of the federal grant moneys to be used to offset the small school allotment; provided further that the federal grant moneys shall not include federal impact aid;

(3) The department may provide a limited start-up and planning grant formulated by the auditor to a charter school upon the issuance of its charter; provided further that the department shall provide appropriate transitional resources to a conversion charter school for its first year of operation as a charter school based on the department's allocation to the school for the year prior to conversion;

(4) The auditor shall take into consideration any changes to the department's budget made by the legislature, the governor, department-imposed restrictions, or any applicable collective bargaining negotiated amounts; provided that the auditor shall exclude from the per pupil allocation funds for:

(A) Services that must be provided at the state level;

(B) Specific programs or projects that target individual schools, complexes, or districts;

(C) Grants in aid; and

(D) Resources of new facilities that target specific, new construction projects.

(5) Any new century charter school may enter into an annual memorandum of agreement for centralized services to be provided by the department prior to the beginning of each school year, provided that:

(A) The allocation of the new century charter school shall be reduced in an amount based upon the per pupil amount expended by the department for such services; and

(B) The department may not retain new century charter school funds in excess of the actual cost of the service.

(6) The department shall determine and provide the appropriate level of special education staff and services necessary to ensure that the student's educational needs as indicated in the individualized educational plans are met; and

(7) The auditor shall develop a methodology for allocating funds that can be applied to alternative forms of public schools, including but not limited to new century charter schools; and

(8) The auditor shall develop a methodology for allocating funds for conversion charter schools, by basing the allocation for each newly converted school on the EDN 100 and 200 program budgets, and upon written agreement between the conversion charter school's local school board and the department, specified sections of the EDN 300 and 400 program budgets the school received in the year prior to conversion; provided that the allocation may be adjusted to account for any changes that may be made by the legislature, the governor, department-imposed restrictions, or applicable collective bargaining negotiated amounts.

(b) All federal financial support for new century charter schools shall be no less than all other public schools; provided that if administrative services related to federal grants and subsidies are provided to the charter school by the department, the charter school shall reimburse the department for the actual costs of the administrative services in an amount that does not exceed six and one-half per cent of the charter school's federal grants and subsidies.

Any new century charter school shall be eligible to receive any supplementary financial grant or award for which any other public school may submit a proposal, or any supplemental federal grants limited to new century charter schools; provided that if department administrative services, including funds management, budgetary, fiscal accounting, or other related services, are provided with respect to these supplementary grants, the charter school shall reimburse the department for the actual costs of the administrative services in an amount that does not exceed six and one-half per cent of the supplementary grant for which the services are used.

All additional funds that are generated by the local school boards, not from a supplementary grant, shall be separate and apart from allotted funds and may be expended at the discretion of the local school boards.

(c) To enable new century charter schools to access state funding prior to the start of each school year, foster their fiscal planning, and enhance their accountability, the department shall:

(1) Provide fifty per cent of a new century charter school's per pupil allocation based on the new century charter school's projected student enrollment no later than August 1 of each year; provided that the new century charter school shall submit to the department a projected student enrollment no later than May 15 of each year; and

(2) Provide the remaining per pupil allocation of a new century charter school based on the new century charter school's verified student enrollment no later than October 15 of each year; provided that the new century charter school shall submit to the department a verified student enrollment no later than September 15 of each year.

(d) If, at any time, the new century charter school dissolves or is denied continuation, the State of Hawaii shall have first right, at no cost to the State, to all the assets and facilities of the new century charter school, except as otherwise provided in the detailed implementation plan."]

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 2003-2004, for new century charter schools and new century conversion charter schools, EDN 110.

The sum appropriated shall be expended by the charter school education agency for the purposes of this Act.

SECTION 15. To enable new century charter schools and new century conversion charter schools to access state funds in the fiscal year 2003-2004, prior to the establishment of the charter school education agency, the department of budget and finance shall make allocations directly to the charter schools in the amounts appropriated by the legislature for the fiscal year 2003-2004 as follows:

(1) Fifty per cent of a charter school's allocation not later than August 1, 2003; and

(2) The remaining fifty per cent of a charter school's allocation not later than October 15, 2003.

PART III

SECTION 16. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun, before its effective date.

SECTION 17. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 18. This Act shall take effect on May 17, 2054.