STAND. COM. REP. NO. 671-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 1871
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committees on Labor and Public Employment and Finance,
to which was referred H.B. No. 1871 entitled: 

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

beg leave to report as follows:

     The purpose of this bill is to require the Board of the
Hawaii Public Employees Health Fund to annually audit of all
health benefits plans offered by employee organizations.

     The Department of Labor and Public Employment supported the
intent of this bill.  The Hawaii Public Employees Public Trust
Fund took no position on this bill.  The Hawaii State Teachers
Association, Hawaii Government Employees Association, and United
Public Workers opposed this bill.

     Your Committee finds that annual audits of employee
organizations' health plans would ensure the cost-effectiveness
and financial integrity of such plans.

     As affirmed by the records of votes of the members of your
Committees on Labor and Public Employment and Finance that are
attached to this report, your Committees are in accord with the
intent and purpose of H.B. No. 1871 and recommend that it pass
Second Reading and be placed on the calendar for Third Reading.

 
 
 
 
 
                                 STAND. COM. REP. NO. 671-00
                                 Page 2

 

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Labor and Public
                                   Employment and Finance,

                                   
                                   
                                   
                                   
______________________________     ______________________________
DWIGHT Y. TAKAMINE, Chair          TERRY NUI YOSHINAGA, Chair