STAND. COM. REP. NO. 1533

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 104
                                        H.D. 1
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B.
No. 104, H.D. 1, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO THE PUBLIC EMPLOYEES HEALTH
     FUND,"

begs leave to report as follows:

     The purpose of this bill is to change the composition of the
Employer-Union Trust Concept Committee and to extend the scope of
its mandated purpose.

     Specifically, the measure clarifies that equal numbers of
representatives from public employers and public employee
organizations sit on the Committee and that a retired beneficiary
of the Public Employees Health Fund be included among the
employee members.  The measure also:

     (1)  Extends the Committee's term until June 30, 2001;

     (2)  Requires the Committee to submit annual progress
          reports on November 21, 1999, May 15, 2000, and
          November 21, 2000, to the Legislature;

     (3)  Requires the Committee to submit annual action plans to
          the Legislature on November 1, 1999, and November 1,
          2000; and

 
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                                   STAND. COM. REP. NO. 1533
                                   Page 2


     (4)  Requires the Committee to submit a finalized proposal
          and implementing legislation no later than twenty days
          prior to the convening of the 2001 regular session.

     Your Committee has made technical, nonsubstantive amendments
for the purposes of clarity and style.

     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 H.B. No.
104, H.D. 1, S.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as H.B. No. 104,
H.D. 1, S.D. 2.

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



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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