CONFERENCE COMMITTEE REPORT NO.64

                            Honolulu, Hawaii
                                            , 2000

                            RE:   S.B. No. 2062
                                  S.D. 1
                                  H.D. 3
                                  C.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

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

Sir:

     Your Committee on Conference on the disagreeing vote of the
Senate to the amendments proposed by the House of Representatives
in S.B. No. 2062, S.D. 1, H.D. 3, entitled:  

     "A BILL FOR AN ACT RELATING TO LONG-TERM CARE," 

having met, and after full and free discussion, has agreed to
recommend and does recommend to the respective Houses the final
passage of this bill in an amended form.

     The purpose of this measure is to extend the actuarial study
on long-term care and clarify the requirements for the study,
extend the sunset date of the Joint Legislative Committee on
Long-Term Care (JLC), and make appropriations for the JLC
expenses.

     The need for long-term care, which is already significant,
will continue to grow as Hawaii's population ages.  Due to the
high costs associated with long-term care, more and more families
can be expected to endure financial hardships, and even
impoverishment, unless a better method of financing long-term
care is developed soon.  Providing adequate care for the aged and

 
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disabled is an economic burden for many people.  Long-term care
insurance offers a means of alleviating that load.  However, many
people cannot afford those policies and there are usually limits
on services and duration of benefits in coverages.

     This measure allows the JLC to complete its ongoing work
that commenced with Act 339, Session Laws of Hawaii 1997.  A
major portion of the JLC's work was accomplished with Act 93,
Session Laws of Hawaii 1999, which enacted the Long-Term Care
Insurance Model Act.  But, more work is needed to explore the
mechanics of establishing a state-sponsored long-term care system
that is effective, cost-efficient, and covers the largest number
of people. 

     Your Committee on Conference has amended this measure by:

     (1)  Requiring the JLC to contract for an actuarial study;

     (2)  Clarifying that the funding approach consider factors
          of expense, ease of administration, and actuarial
          soundness; and

     (3)  Making technical changes for consistency.

     As affirmed by the record of votes of the managers of your
Committee on Conference that is attached to this report, your
Committee on Conference is in accord with the intent and purpose
of S.B. No. 2062, S.D. 1, H.D. 3, as amended herein, and
recommends that it pass Final Reading in the form attached hereto
as S.B. No. 2062, S.D. 1, H.D. 3, C.D. 1.


 
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                                   Respectfully submitted on
                                   behalf of the managers:

  ON THE PART OF THE HOUSE           ON THE PART OF THE SENATE



_____________________________     _______________________________
Rep. DENNIS A. ARAKAKI            Sen. SUZANNE CHUN OAKLAND
Co-Chair                          Co-Chair



_____________________________     _______________________________
Rep. RON MENOR                    Sen. BRIAN T. TANIGUCHI
Co-Chair                          Co-Chair



_____________________________     _______________________________
Rep. EZRA R. KANOHO               Sen. BRIAN KANNO
Co-Chair                          Co-Chair



_____________________________     _______________________________
Rep. BRIAN Y. YAMANE              Sen. ANDREW LEVIN
Co-Chair                          Co-Chair

 
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