Report Title:

Department of Education

Description:

Sets forth a new formula, based on a DOE per pupil allocation average, less 5% for administrative costs, to be used by the Auditor in allocating funds to charter schools. (HB1091 HD1)

HOUSE OF REPRESENTATIVES

H.B. NO.

1091

TWENTY-SECOND LEGISLATURE, 2003

H.D. 1

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO THE DEPARTMENT OF EDUCATION.

 

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

SECTION 1. Section 302A-1185, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(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,] 2003-2004, 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;] the average per pupil allocation amount reported in the department of education's most recent financial report, excluding capital improvement project and debt service amounts, less five per cent for department oversight and administrative costs;

(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]:

(A) 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] and

(B) 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] students' 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 newly converted 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."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2003.