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HCR 110

REQUESTING THE AUDITOR TO CONDUCT AN AUDIT OF THE DEPARTMENT OF EDUCATION'S CAPITAL IMPROVEMENT PROJECT FINANCES.

2025 Regular Session Introduced by Terez Amato and 11 co-sponsors

The bill urges an independent State Auditor audit of Hawaii DOE’s capital improvement finances since 2021 to improve transparency, prioritization, and governance.

Reported from EDN (Stand. Com. Rep. No. 1544), recommending referral to FIN.
#audit #auditor #cip #doe #finances
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Bill Summary · HCR 110

Summary of HCR 110 (2025)

What the bill is

  • Type: Concurrent resolution (HCR110)
  • Title: Requesting the Auditor to conduct an audit of the Department of Education's capital improvement project finances
  • Introduced: March 12, 2025
  • Status: Reported from the EDN (Stand. Com. Rep. No. 1544) recommending referral to FIN; referred to State Affairs on 2025-03-19; EDN recommended passage 2025-03-20; subsequently referred to FIN with the EDN report on 2025-03-25
  • Purpose: To formally urge the Hawaii State Auditor to conduct an audit of the Department of Education’s (DOE) capital improvement program (CIP) finances and related spending since 2021, with findings and recommendations to be reported to the Legislature before the 2026 Regular Session.

Why the bill is being proposed (Background)

  • Hawaii DOE is responsible for repair and maintenance of roughly 4,425 buildings statewide (over 20 million square feet).
  • A significant share of public school facilities are aging: about 20% are more than 100 years old; the average school building age is 72 years.
  • DOE reportedly had over $2 billion in unspent CIP funds as of January 2024.
  • The state has allocated nearly $1 billion for CIP in the 2021–2023 fiscal biennium.
  • The bill frames the audit as a mechanism to increase fiscal transparency, accountability, and disciplined, timely spending of CIP funds.

Key provisions and requests

  • Auditorial scope: The Auditor is requested to conduct an audit of the DOE’s CIP finances, focusing on expenditures and management of CIP funds since 2021.
  • Expenditure analysis: The audit should examine how CIP funds are expended, including the process and criteria for prioritizing CIP projects.
  • Prioritization: Review of how projects are prioritized for CIP funding and approved for implementation.
  • Deliverable timeline: The Auditor must submit a report with findings, recommendations, and any proposed legislation to the Legislature no later than 20 days before the 2026 Regular Session convenes.
  • Transmission of copies: Certified copies of the concurrent resolution must be transmitted to the Auditor and the Superintendent of Education.

Who/what is affected

  • Primary focus: Department of Education and its capital improvement program finances.
  • Auditor: Engaged to perform the audit and prepare a legislative report.
  • Legislature: Will receive findings, recommendations, and any proposed legislation to consider in the 2026 session.

Procedural and timeline details

  • Introduced: March 12, 2025
  • Committee actions (highlights):
    • March 7, 2025: Offered
    • March 18, 2025: Resolution scheduled for EDN hearing (March 20)
    • March 20, 2025: EDN recommended PASSED, UNAMENDED (7–0; 4 excused)
    • March 25, 2025: EDN report adopted; referred to FIN
    • March 25, 2025: EDN Stand. Com. Rep. No. 1544 issued, recommending referral to FIN
    • March 19, 2025: Referred to State Affairs (prior step in process)
  • Sponsors: A broad bipartisan list including Amato, Lowen, Kila, Reyes Oda, Garcia, Shimizu, Ward, La Chica, Marten, Poe Poe, Perruso, Kusch (primaries)

Related measures

  • Companion measures: SCR 32 (Senate), HR 106 (House)

Impact and expectations

  • This is a non-binding, voluntary request that seeks an independent audit by the State Auditor.
  • If conducted, the audit could identify inefficiencies, unspent CIP funds considerations, project prioritization practices, and opportunities for legislative reforms or oversight improvements.
  • The report could inform future policies or enacted legislation to improve CIP governance and capital spending clarity for Hawaii’s schools.

This summary provides an accessible overview of HCR110’s aims, scope, and procedural path, focusing on the proposed audit of DOE CIP finances and its potential implications for transparency and accountability in public school capital projects.

Compiled from official sources — confirm details with the bill’s official record.

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