Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 568, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to create a new governance structure for public employees' health benefits by establishing an Employer-Union Health Benefit Trust Fund, as a system and as a fund, to replace the Hawaii Public Employees Health Fund system and trust fund.

The Department of Budget and Finance testified in support of this measure. The Hawaii Public Employees Health Fund Board of Trustees, the City and County of Honolulu Department of Human Resources, the Hawaii Government Employees Association, and the Office of Information Practices offered comments. The Hawaii State Teachers Association and the United Public Workers, AFSCME, testified in opposition to this bill.

Your Committee has amended this bill by:

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 H.B. No. 568, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 568, H.D. 2.