HI HB865

Establishes a three-year pilot program within the Office of the Lieutenant Governor to lease public school lands for public purposes, with the Lieutenant Governor serving as facilitator in consultation with the Department of Education and Board of Education.

Authorizes the Department of Education to lease up to two public school land sites identified by the Board for terms up to 55 years to lessees who develop facilities for public purposes such as workforce rental housing.

Creates a School Facilities Special Fund in Chapter 302A, HRS, into which all revenues and proceeds from public school land leases, permits, and interest income shall be deposited and used exclusively for new construction, upgrades, and maintenance of school facilities.

Requires the Lieutenant Governor to submit annual reports to the legislature by 2014, 2015, and 2016 detailing the pilot program timeline, activities, results, community engagement efforts, and any proposed legislation.

Appropriates unspecified general revenues for fiscal years 2013-2014 and 2014-2015 to fund the pilot program, effective July 1, 2050, with the pilot program itself set to expire June 30, 2016.