Bill Text: HI SB2550 | 2022 | Regular Session | Introduced
Bill Title: Relating To Federal Impact Aid.
Spectrum: Moderate Partisan Bill (Democrat 8-1)
Status: (Introduced - Dead) 2022-01-24 - Referred to EDU/PSM, WAM. [SB2550 Detail]
Download: Hawaii-2022-SB2550-Introduced.html
THE SENATE |
S.B. NO. |
2550 |
THIRTY-FIRST LEGISLATURE, 2022 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to federal impact aid.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that the United States Department of Defense is not meeting its financial obligations to Hawaii's public schools. Pursuant to section 3 of United States Public Law 81-874, the Department of Defense is required to pay impact aid to the State to offset the financial burden on the State's public education system of non-taxable military lands and non-payment of income and general excise tax by military personnel. However, according to the department of education, in fiscal year 2019, the federal impact aid reimbursement paid to the State was only 12.91 per cent of the total per-pupil cost of educating eleven thousand to fourteen thousand military students.
The legislature notes that, when reimbursing tuition for federally connected students attending approved overseas schools, the Department of Defense Education Activity office calculates reimbursement rates using the "full cost recovery method", in compliance with Government Accountability Office guidelines. Applying this same methodology of full cost recovery to military students in Hawaii, the Department of Defense owes the State approximately $170,687,000 to $217,238,000 for fiscal year 2019 alone.
The legislature recognizes that income tax and general excise tax are the primary sources of funding for the department of education. When Department of Defense families utilize the State's public education system without paying full, or any, income or excise taxes, and the Department of Defense does not fully reimburse the State for these students' educational costs, Hawaii residents and taxpayers effectively, and unfairly, subsidize the military students' education. Over decades, this amounts to several billion dollars owed by the Department of Defense to the State for costs incurred by Hawaii's residents.
The legislature finds that an annual report to the legislature and the public is needed to hold the Department of Defense accountable for moneys owed.
Accordingly, the purpose of this Act is to require the department of education to provide to the legislature and publish on the department's website an annual summary of the federal impact aid owed and paid by the United States Department of Defense.
SECTION 2. (a) No later than twenty days prior to the convening of the regular session of 2023 and no later than twenty days prior to the convening of each regular session thereafter, the department of education shall report to the legislature and publish on the department's website a summary of the federal impact aid owed and paid by the United States Department of Defense pursuant to section 3 of United States Public Law 81-874.
(b) Information reported to the legislature and published on the department's website annually shall include:
(1) The total number of federally connected and military students attending department of education schools and the per-pupil cost of the students' education;
(2) The full cost recovery method calculation for federal impact aid reimbursement owed for the year, in compliance with Government Accountability Office guidelines;
(3) The basic support payment calculation for federal impact aid reimbursement owed for the year; and
(4) The total amount of federal impact aid paid that year by the Department of Defense.
SECTION 3. This Act shall take effect upon its approval.
INTRODUCED BY: |
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Report Title:
HDOE; DOD; Impact Aid; Annual Report
Description:
Requires the Department of Education to provide to the Legislature and publish on the department's website an annual summary of the Federal Impact Aid owed and paid by the United States Department of Defense.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.