STATE OF HAWAII
BOARD OF EDUCATION
FINANCE AND INFRASTRUCTURE COMMITTEE MEETING

MINUTES

Queen Liliuokalani Building
1390 Miller Street, Room 404
Honolulu, Hawaii 96813
Thursday, February 8, 2024

PRESENT:
Ken Kuraya, Chairperson
Bill Arakaki
Kaimana Barcarse
Warren Haruki
Lauren Moriarty
Kahele Dukelow, ex officio

EXCUSED:
Makana McClellan

ALSO PRESENT:
Keith Hayashi, Superintendent, Department of Education
Curt Otaguro, Deputy Superintendent of Operations, Department of Education
Capsun Poe, Board Executive Director
Wimmie Wong Lui, Board Analyst
Lady Garrett, Secretary


I. Call to Order

Committee Chairperson Ken Kuraya called the Finance and Infrastructure Committee (“Committee”) Meeting to order at 9:05 a.m.


II. Approval of Meeting Minutes of October 4, 2023, December 7, 2023, and January 11, 2024

ACTION: Motion to approve the Finance and Infrastructure Committee’s October 4, 2023, December 7, 2023, and January 11, 2024, meeting minutes. (Barcarse/Arakaki). The motion carried through unanimous consent from all members present.


III. Discussion Items

Department capital improvement projects. Curt Otaguro, Deputy Superintendent of Operations, summarized the status of Department of Education (Department) capital improvement projects (CIP). The Department has approximately $2.1 billion in CIP funds that are not spent as follows: $865 million in CIP projects obligated in a contract or purchase order, $895 million in CIP projects appropriated in 2021 and 2022 with a lapse date of June 30, 2024, and $336 million in CIP projects were appropriated in 2023 with a funding lapse date of June 30, 2026. The Department completed 88 projects during the summer totaling $44 million and is in process of reviewing business processes and reporting abilities while implementing Bright Line Rules. The Department needs to determine timelines for permitting expectation and overall workflow to address the line item CIP. Committee Chairperson Kuraya called for public testimony on this agenda item.

Vanessa Ott, member of the public, expressed concern relating to the amount of time for the public to prepare testimony with no agenda materials posted. She proposed that the Board request that meeting materials be posted 10-calendar days prior to the meeting.

Susan Pcola-Davis, member of the public, echoed comments by Ott and noted that past practice allowed the public to prepare written testimony. She stated that the Committee requested information at the previous meeting and the memorandum does not address the questions raised.

Committee members received written testimony before the meeting. (A listing of the people who submitted written testimony before the meeting is included at the end of these minutes.)

Update on status of schools fire alarm systems. Otaguro updated the Committee on the school fire alarm system and reported that Moanalua Middle School is no longer on fire watch.

Committee Chairperson Kuraya called for public testimony on this agenda item.

Susan Pcola-Davis, member of the public, requested understanding on what it means when the Department shares that Moanalua Middle School is no longer on fire watch. She also asked for target completion dates to be provided by the Department.


Department actions and updates in response to the final report of the House of Representatives Lahaina wildfire interim working groups. Otaguro noted that the Department continues to work on Lahaina wildfire recovery efforts to address the 33 findings identified by the House of Representatives working group. He shared that the Department continues to work with the county to ensure the environment is safe, ongoing debris removal efforts and quality testing for air and water, school evacuation plans, reimbursement for expenses from the Federal Emergency Management Agency (FEMA), and the United States Army Corps of Engineers is building the temporary school in West Maui which will include 30 classrooms, library, multi-purpose center, and play areas for students.

Committee Chairperson Kuraya called for public testimony on this agenda item.

Susan Pcola-Davis, member of the public, shared about a bill relating to school safety and emphasized that the Department needs to review the House Lahaina wildfire interim working group report.


Strategic Plan Desired Outcome 3.1.2, "All systems to address school facility needs are responsive and able to meet all needs effectively, efficiently, and quickly," relating to overall real estate optimization (OREO). Hayashi expressed commitment to OREO to identify historical impediments and create an integrated process with examples. The OREO analysis will include planning, budgeting, funding and procurement, project management, permitting, and policy modifications to address cost effective management of facilities. The Department has begun work on phase I of OREO, to gather an inventory of all assets in the Department’s real estate portfolio. During phase II of OREO the Department will examine internal processes to make sure work is integrated across all functions and all islands for optimal efficiency and cost-effectiveness. The Department’s timeline to build a complete inventory will be completed in 6 months and includes discussions with University of Hawaii and other entities to determine best practices. He highlighted that the job order contracting has been successful to help the Department save money and manage costs.

Committee Chairperson Kuraya called for public testimony on this agenda item.

Susan Pcola-Davis, member of the public, testified that presentations link back to the legislature and the summaries.


IV. Adjournment

Committee Chairperson Kuraya adjourned the meeting at 11:03 a.m.

List of the people who submitted written testimony before the meeting


NAME
Organization
Agenda Item
Vanessa OttIII.A. Review of status of Department capital improvement projects; III.B. Update on status of school fire alarm systems; III.C. Update on Department actions and updates in response to the final report of the House of Representatives Lahaina wildfire interim working group; III.D. Review of Strategic Plan Desired Outcome 3.1.2, "All systems to address school facility needs are responsive and able to meet all needs effectively, efficiently, and quickly," relating to overall real estate optimization
Susan Pcola-DavisIII.A. Review of status of Department capital improvement projects; III.C. Update on Department actions and updates in response to the final report of the House of Representatives Lahaina wildfire interim working group