Notice of Prospect of Reconstitution

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Dear Governing Board Members:

Pursuant to Hawaii Revised Statute §302D-17(C)[1], the State Public Charter School Commission hereby notifies all members and purported members of the Kanuikapono Public Charter School (Kanuikapono) Governing Board of the prospect of reconstitution.

The Commission took this action at its July 12, 2018 General Business Meeting after the presentation of evidence and testimonies from members of the purported governing board and members of the public including former employees regarding the Notice of Concern (NOC) that was issued to Kanuikapono on May 15, 2018. The Commission issued the NOC to Kanuikapono due to concerns regarding the constitution and composition of the purported Governing Board, school policies and procedures, and the existence of credit card accounts that may not be allowable. Additionally, since the NOC was issued, the Commission has received complaints regarding the processing of student records/transcripts, the failure of the school to be open during state business hours, and the possible unauthorized termination of employees in violation of collective bargaining agreements, as well as the failure of the school to address grievances that were filed by.

This notice of prospect of reconstitution means that the Commission, may decide to replace up to, but no more than, the number of governing board members necessary so that the newly appointed members constitute a voting majority in accordance with the governing board's bylaws; except that the authorizer may replace the entire governing board if the alternative is the initiation of revocation of the charter school's charter contract and the governing board opts instead for reconstitution.[2] The Commission will be scheduling a meeting on July 19, 2018 at 10:30 a.m. on this matter.

As time is of the essence, the Commission is committed to insuring that Kanuikapono Public Charter School moves forward, especially for students and families who are looking forward to starting the new school year.

[1] §302D-17 Ongoing oversight and corrective actions. (a) An authorizer shall continually monitor the performance and legal compliance of the public charter schools it oversees, including collecting and analyzing data to support ongoing evaluation according to the charter contract. Every authorizer shall have the authority to conduct or require oversight activities that enable the authorizer to fulfill its responsibilities under this chapter, including conducting appropriate inquiries and investigations, so long as those activities are consistent with the intent of this chapter and adhere to the terms of the charter contract.

(d) Notwithstanding section 302D-18 to the contrary, every authorizer shall have the authority to take appropriate corrective actions or exercise sanctions short of revocation in response to apparent deficiencies in public charter school performance or legal compliance. Such actions or sanctions may include, if warranted:

(1) Requiring a school to develop and execute a corrective action plan within a specified time frame; and

(2) Reconstituting the governing board of the charter school; provided that the following conditions are met:

(A) Reconstitution occurs only under exigent circumstances, including the following:

(i) Unlawful or unethical conduct by governing board members;

(ii) Unlawful or unethical conduct by the charter school's personnel that raises serious doubts about the governing board's ability to fulfill its statutory, contractual, or fiduciary responsibilities; and

(iii) Other circumstances that raise serious doubts about the governing board's ability to fulfill its statutory, contractual, or fiduciary responsibilities;

(B) The authorizer shall replace up to, but no more than, the number of governing board members necessary so that the newly appointed members constitute a voting majority in accordance with the governing board's bylaws; except that the authorizer may replace the entire governing board if the alternative is the initiation of revocation of the charter school's charter contract and the governing board opts instead for reconstitution; and . . .

(C) Reconstitution occurs in accordance with processes set forth by the authorizer that provide the charter school's personnel and parents with timely notification of the prospect of reconstitution.

[2] HRS 302D-17(B)