Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Health and Human Services, to which was referred S.B. No. 77 entitled:

begs leave to report as follows:

The purpose of this measure is to repeal Act 87, Session Laws of Hawaii 1999 (preliminary codified as chapter 323C), relating to the privacy of health care information. The bill also repeals all related acts which amend Act 87.

During the statewide informational briefings conducted by the Senate in early January, the following groups testified in opposition to Act 87: six professional medical associations; two insurance associations; two insurance companies; one independent provider; two professional business associations; the Kona-Kohala and Hawaii Island Chambers of Commerce; seven private businesses; a school association; a lawyers advocate group; a union; two private organizations; and a private citizen. The Lieutenant Governor, County of Hawaii, and the Department of Labor and Industrial Relations also testified in opposition to Act 87. The Office of Information Practices, a consumer group and a private citizen testified in support of Act 87. The Attorney General's office, the Hawaii Civil Rights Commission, County of Kauai, an insurance association, and a private attorney offered comments on Act 87.

During your Committee's hearing, testimony was received supporting this bill, from the Lieutenant Governor; City and County of Honolulu; Hawaii State Teachers Association; four professional medical associations; five insurance associations; a hospital; six professional business associations; the Kona-Kohala and Hawaii Chamber of Commerce; and three school association. A health plan/hospital and a consumer group opposed the bill. The office of information practices, an insurance association, a private insurer, a private business, a lawyer advocate group, and the Department of Land and Natural Resources offered comments.

Your Committee finds that that there is little support for the effectuation of Act 87 on July 1, 2001. In fact, your Committee finds overwhelming support for the repeal of Act 87. With the adoption of the federal rules and regulations on medical privacy by the United States Department of Health and Human Services, covering and preempting many of the same areas of law, your Committee agrees that Act 87 should be repealed.

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. 77 and recommends that it pass Second Reading and be referred to the Committees on Judiciary and Commerce, Consumer Protection and Housing.