STAND. COM. REP. NO. 745

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 785

       S.D. 2

 

 

 

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

 

Sir:

 

     Your Committee on Ways and Means, to which was referred S.B. No. 785, S.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO HEALTH,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to enable the State to match available federal disproportionate share hospital funds to bring in increased amounts of federal funding available for Medicare by appropriating funds to the Department of Human Services.

 

     Your Committee received written comments in support of this measure from John M. Kirimitsu, Kaiser Permanente; and Rick Keene, Executive Vice President and Chief Financial Officer, The Queen's Medical Center.

 

     Your Committee received comments on this measure from Patricia McManaman, Interim Director, Department of Human Services.

 

     Your Committee finds that the Medicaid program provides coverage for the State's most vulnerable populations and an important piece in ensuring the success of the program is the ability to cover the actual costs of the care provided.

 

     Hawaii's congressional delegation has secured a federal Medicaid disproportionate share hospital appropriation of $10,000,000 per year through the year 2019; however, these funds cannot be drawn down without a matching state appropriation.  By appropriating $10,000,000 to match the $10,000,000 in federal disproportionate share hospital funds, this measure will help ensure that Medicaid payments to providers will offset the actual costs of the care provided and that the State's most vulnerable population will receive necessary medical services.

 

     Your Committee has amended this measure by:

 

     (1)  Changing the amount of the appropriation of the State's total share of matching funds to an unspecified sum; and

 

     (2)  Changing the effective date to July 1, 2050, to facilitate further discussion on the measure.

 

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 785, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 785, S.D. 2.

 

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

 

		____________________________ DAVID Y. IGE, Chair