CONFERENCE COMMITTEE REP. NO.135

Honolulu, Hawaii

, 2001

RE: S.B. No. 654

S.D. 2

H.D. 2

C.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

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. 654, S.D. 2, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO MEDICAID,"

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 bill, as received, is to set medicaid payments at a level that fairly compensates providers by ensuring that payments are at least sufficient to cover the actual cost of care offered by providers.

Your Committee on Conference was not provided the funding so that reimbursements to providers could be increased to cover the actual cost. Thus, this bill has been amended by:

(1) Removing the appropriation sections for the increase in reimbursements for QUEST, the aged, blind, and disabled medicaid recipients;

(2) Requiring the Department of Human Services to withdraw its proposed state medicaid plan to eliminate one-half of the DRI McGraw-Hill inflation component and the return on equity;

(3) Prohibiting the Department of Human Services from resubmitting to the Health Care Financing Administration any new proposed state medicaid plan amendment to eliminate of diminish the DRI MCGraw-Hill inflation component and the return on equity until the legislature approves and funds a mandatory program; and

(4) Amending the purpose section to apply to current language of the bill.

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. 654, S.D. 2, H.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 654, S.D. 2, H.D. 2, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________

MICHAEL P. KAHIKINA, Co-Chair

____________________________

DAVID M. MATSUURA, Chair

____________________________

BERTHA C. KAWAKAMI, Co-Chair

____________________________

COLLEEN HANABUSA, Co-Chair