Urging The Department Of Education To Provide And Publish Information Related To Federal Impact Aid.
The resolution indicates that, as of fiscal year 2019, the reimbursement received from federal impact aid only covered approximately 12.91 percent of the total per-pupil costs for military students attending Hawaii's public schools. This gap results in a significant financial strain on local taxpayers who must subsidize the education of military students, contributing to an estimated debt of between $170 million and $217 million owed by the Department of Defense to the state for that fiscal year alone. This situation highlights an ongoing equity issue for Hawaii residents who do not benefit from the same tax exemptions as military families.
Senate Resolution 102 (SR102) urges the Department of Education of Hawaii to provide and publish comprehensive information related to federal impact aid. The resolution highlights a significant shortfall in the financial obligations of the United States Department of Defense toward Hawaii’s public schools. Currently, the Department of Defense is required to make payments known as impact aid, intended to compensate for the financial burden placed on the state’s public education system, particularly due to non-taxable military lands and the absence of income and general excise tax contributions from military personnel residing in Hawaii.
Through SR102, the Senate emphasizes the need for greater accountability and clarity regarding financial contributions from the Department of Defense while advocating for the best interests of the state's public education system. The action taken by the Senate reflects a growing recognition of the financial ramifications of military presence within Hawaii and the importance of ensuring that local schools receive adequate funding to support their educational missions.
SR102 calls for an annual report from the Department of Education that outlines the federal impact aid obligations, aiming to hold the Department of Defense accountable for its financial responsibilities. It requests detailed statistics, including the total number of federally connected students, cost calculations based on a 'full cost recovery method', and the total impact aid reimbursed in any given year. Supporters argue that such transparency is essential to address an inequitable situation where local residents unfairly bear the financial burdens of federal military policies.