SB 2814: DOE; Facilities; Preventative Maintenance; New Fund; Report; Appropriation

A BILL FOR AN ACT

RELATING TO PREVENTIVE MAINTENANCE FUNDING FOR PUBLIC SCHOOL FACILITIES.

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

     SECTION 1.  The legislature finds that preventive maintenance is essential to preserve the State's investment in public school facilities, mitigate health and safety risks, and extend the useful life of the department of education's assets.  Postponing preventive maintenance accelerates deterioration and increases costs for corrective actions and emergency repairs.

     The legislature further finds that the department of budget and finance's finance memorandum no. 19-03 prohibits the use of tax-exempt general obligation bond funds for routine maintenance expenditures, which makes capital improvement project moneys unsuitable for this purpose.  A separate source of reliable operating funds is therefore critical to ensure timely preventive maintenance and to avoid costly emergency repairs.

     Accordingly, the purpose of this Act is to establish a preventive maintenance special fund within the department of education to ensure reliable funding for essential upkeep of public school facilities.

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

     "§302A-     Preventive maintenance special fund; appropriation.  (a)  There is established in the state treasury the preventive maintenance special fund to be used exclusively for the preventive maintenance of public school facilities.

     (b)  The fund shall be administered by the department and shall be expended for:

     (1)  Scheduled inspections, servicing, and repairs of building systems, including roofing, heating, ventilation, air conditioning, plumbing, electrical, and structural components;

     (2)  Maintenance activities necessary to comply with health, safety, and environmental standards; and

     (3)  Other preventive measures that extend the useful life of school facilities and reduce emergency repair costs.

     (c)  The unencumbered balances of the fund shall lapse to the credit of the general fund at the end of each fiscal year.

     (d)  The department shall submit an annual report to the legislature no later than twenty days prior to the convening of each regular session, detailing expenditures, descriptions of funded projects, and costs of funded projects for the previous fiscal year, and projected preventive maintenance needs for the next fiscal year."

     SECTION 3.  There is appropriated out of the general revenues of the State of Hawaii the sum of $75,000,000 or so much thereof as may be necessary for fiscal year 2026-2027 for deposit into the preventive maintenance special fund.

     SECTION 4.  There is appropriated out of the preventive maintenance special fund the sum of $75,000,000 or so much thereof as may be necessary for fiscal year 2026-2027 for preventive maintenance of public school facilities.

     The sum appropriated shall be expended by the department of education for the purposes of this Act.

     SECTION 5.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect July 1, 2026.

Report Title:

DOE; Facilities; Preventative Maintenance; New Fund; Report; Appropriation

Description:

Establishes the preventive maintenance special fund under the Department of Education to be used exclusively for preventive maintenance of public school facilities.  Requires an annual report to the Legislature.  Appropriates moneys.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.