One of Hawaiʻi’s largest charter schools is being spared from closure for now but will undergo major leadership changes in an effort to keep the school open, the Hawaiʻi State Public Charter School Commission decided on Thursday. 

DreamHouse ʻEwa Beach, a public charter school serving more than 450 students, was in a precarious situation earlier this month when the final three members of its governing board – including the chair – abruptly resigned. Earlier this summer, membership on the board had already fallen to five, below the seven-member requirement in its bylaws.   

Under state law, all charters must have governing boards, a team of volunteers responsible for hiring and firing principals, approving budgets and overseeing a school’s academics and finances. 

DreamHouse opened a $26 million high school building two years ago financed through municipal bonds, making it the first Hawaiʻi school to pursue this funding route. But bondholders and an outside nonprofit have since tried to interfere with DreamHouse’s academics and operations, prompting the board chair to resign. Other board members did not respond to requests for comment about the reasons for their departures.

“It just seems like there’s been pressure to just play nice,” said former governing board chair Shaylan Arneho about the governing board’s relationship with bondholders. “It existed, it was tangible and I don’t want any part in that.” 

The resignations have raised questions about the future of the school, which serves a large population of Native Hawaiian students. Without a board, the charter school commission could order the school to shut down. But the school appears safe for now. 

The charter school commission, a state agency responsible for opening and closing schools, voted on Thursday to re-establish DreamHouse’s board by opening applications to the public and selecting its members. Applications will be accepted through the end of October, and commissioners will discuss them at their November meeting. 

The commission’s decision came as a relief to community members, parents and educators, who showed up at Thursday’s meeting to support the school. The commission had the option of informing the charter it was at risk of closing, but school supporters argued that would be too harsh a response since DreamHouse is still serving students and managing its day-to-day operations. 

Educators and students emphasized the school is fulfilling its mission of developing local leaders and providing students with a rigorous education. Last year, nearly 40% of DreamHouse’s students were Native Hawaiian and more than half were economically disadvantaged – above the state average for both demographics. 

“While we honor our past and remain deeply grateful for our foundation, our school’s potential should not be defined by where we’ve been, but by what lies ahead,” said DreamHouse administrator and parent Katrina Abes during Thursday’s meeting. “This is a school learning and evolving together.” 

Head of school Hoku Simpliciano said she currently knows of eight individuals willing to apply for the reconstituted governing board, with more interest likely to come from the community. Simpliciano declined to comment on the re-establishment of the governing board after Thursday’s meeting. 

Who’s In Charge?

Former governing board chair Arneho said she supports the commission’s decision to rebuild the board. After serving as a board member since 2018, she resigned earlier this month partially because of the significant time commitment that took her away from her family, she said in an interview after the meeting. 

At the same time, she said, the governing board was facing disagreements with its nonprofit, which is responsible for financing DreamHouse’s $26 million high school building through municipal bonds. The governing board was facing pressure from the nonprofit to follow the demands of the bondholders, she said, even though the board has the ultimate say over running the school. 

Unlike traditional public schools, charters are responsible for finding and paying for their own facilities. But as a state entity, DreamHouse cannot take on debt, meaning its nonprofit was responsible for finding bondholders to pay for the new high school building and entering agreements with them.

A provision in the agreement between DreamHouse’s nonprofit and its bondholders requires the nonprofit to hire an outside consultant to evaluate the school’s academics, finances and operations. DreamHouse must follow the consultant’s recommendations, according to the agreement – even though the governing board officially has the final say in running the school and answers only to the state charter commission.  

Arneho declined to comment on the specifics of the evaluation but said she strongly disagreed with the recommendations for the school. 

“I walked away in protest of the evaluation as a whole,” she said. 

Moving forward, Arneho said, the commission should recruit people with backgrounds in real estate and finance to serve as board members. The new board will be responsible for tackling the same problems with the nonprofit and bond agreement, she said. 

“I don’t think they’re going to have a problem finding people,” Arneho said. “They’re going to have to put in a lot of work and effort to transition people on.” 

Roger Kiyomura, a member of DreamHouse’s nonprofit board, said he is pleased with the commission’s decision to reestablish the school’s governing board. Kiyomura did not respond to follow-up questions about the nonprofit’s relationship with the former governing board or the terms of the bond agreement. 

The commission has had mixed success with reforming schools’ governing boards in the past. Some have successfully turned their schools around, while others have struggled with the magnitude of problems they inherited. In early 2025, the state chose to shut down Kamalani Academy in Wahiawā after the commission had previously replaced the school’s governing board. By the time the school closed, every original member of the reformed board had left, except for its chair. 

Community member and DreamHouse volunteer Theresa Kuehu said she would be willing to serve on the school’s governing board but would like to see more information from the commission outlining the requirements of the position. The school plays an important role in serving Native Hawaiian families and the West Oʻahu community, she said, as well as children who need an education that’s different from what they would receive in a traditional public school. 

“For me, it’s seeing the opportunity to help support a school that really wants to do so much for their community,” Kuehu said.