STAND. COM. REP. NO. 2353

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 3053
                                        S.D. 1




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

Sir:

     Your Committee on Health and Human Services, to which was
referred S.B. No. 3053 entitled: 

     "A BILL FOR AN ACT RELATING TO INSURANCE,"

begs leave to report as follows:

     The purpose of this measure is to require mental health
insurance coverage for specialized alcohol or drug dependence
nonresidential treatment.

     Your Committee received testimony in support of this measure
from the Hawaii Psychiatric Medical Association, Hawaii
Association of Alcohol and Drug Abuse Counselors, Hawaii Medical
Association, and two private individuals.  Testimony in
opposition was received from the Department of Health, Hawaii
Biodyne, Inc., and Hawaii Substance Abuse Coalition.

     This measure is intended to clarify mental health insurance
coverage as it relates to alcohol and drug dependence treatment.
Current law does not provide for specialized alcohol and drug
dependence services that are expected to produce remission of the
patient's dependent condition.  This measure clarifies that
licensed physicians are not prohibited from performing diagnostic
evaluations, treating general complications of drug and alcohol
abuse, and providing nonspecialized counseling and treatment as
occurs in general medical practice or psychiatric treatment of
mental conditions.  Your Committee believes that physicians and
psychiatrists are qualified to treat alcohol and drug dependence

 
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in the course of their medical practice in order to help improve
their patients' condition.  

     Your Committee has amended this measure by:

     (1)  Deleting revisions to the definitions of alcohol or
          drug dependence outpatient services, certified
          substance abuse staff, and substance abuse services;

     (2)  Clarifying the definition of treatment episode to
          exclude an initial outpatient evaluation; and

     (3)  Clarifying that the chapter does not prohibit
          physicians from performing medical or psychiatric
          evaluations, treating general medical or psychiatric
          complications of drug and alcohol abuse, and providing
          medical supervision of detoxification services, as
          would occur in the course of general medical or
          psychiatric practice.

     As affirmed by the record of votes of the members of your
Committee on Health and Human Services that is attached to this
report, your Committee is in accord with the intent and purpose
of S.B. No. 3053, as amended herein, and recommends that it pass
Second Reading in the form attached hereto as S.B. No. 3053,
S.D. 1, and be referred to the Committee on Commerce and Consumer
Protection.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Health and Human
                                   Services,



                                   ______________________________
                                   SUZANNE CHUN OAKLAND, Chair

 
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