STAND. COM. REP. NO. 1818

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: S.B. No. 856
                                     S.D. 2
                                     H.D. 2




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No.
856, S.D. 2, H.D. 1, entitled: 

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

begs leave to report as follows:

     The purpose of this bill is to organize and regulate long-
term residential care facilities by:

     (1)  Consolidating and providing uniform regulation of
          various adult residential care homes (ARCHs) and
          promoting parity of reimbursement for services
          provided;

     (2)  Establishing the ARCH Personal Injury and Property
          Damage Compensation Fund; and

     (3)  Imposing a moratorium on the licensing of new basic
          category Type I ARCHs.

     The Executive Office on Aging, the State Planning Council on
Developmental Disabilities, the Hawaii Long Term Care
Association, the Healthcare Association of Hawaii, and the
Alliance for Residential Care Administrators testified in support
of this measure.  The Departments of Health and Human Services
testified in support of the intent of this measure.


 
 
 
                                 STAND. COM. REP. NO. 1818
                                 Page 2

 
     Your Committee has amended this measure by making technical,
nonsubstantive amendments for clarity and style.

     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of S.B. No.
856, S.D. 2, H.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as S.B. No. 856,
S.D. 2, H.D. 2.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Finance,



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair