HI SB856

Requires the State Auditor to conduct an annual operational audit of the Department of Education's academic and financial plans, assessing efficiency and effectiveness from budget planning through implementation to student outcomes.

Mandates the Auditor submit audit findings and any proposed legislation to the legislature no later than twenty days before each regular session.

Requires the Department of Education to contract with a third-party school finance consultant to study the adequacy of education funding in Hawaii using evidence-based methods.

The adequacy study must identify funding variables for quality education, estimate additional funding needed for equal educational opportunity, compare Hawaii teacher salaries with similar districts, and assess funding equity across Hawaii public schools.

Appropriates funds for fiscal years 2019-2020 and 2020-2021 to conduct the operational audit and for fiscal year 2019-2020 to conduct the adequacy study, with results due to the legislature by the 2021 regular session.