Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committees on Health and Human Services and Housing, to which was referred H.B. No. 914 entitled:

beg leave to report as follows:

The purpose of this bill is to establish the Liability and Homeowner's Insurance Premium and Claims Payment Special Fund for the Department of Health (DOH) to pay premiums for adult residential care home operators who cannot afford liability or homeowners' insurance to operate their business.

The United Group of Home Operators and several concerned individuals testified in support of this measure. DOH; the Department of Budget and Finance; Hawaii Long Term Care Association; Kokua Council; Case Management Council; Case Management, Inc.; and numerous concerned individuals opposed this measure. The Queen's Medical Center and Adult Foster Home Association commented.

Your Committees find that care home operators sometimes incur exorbitant insurance expenses as a result of operating their businesses. A large portion of the opposing testimony stated that they supported the intent of the measure, but opposed the exclusion of foster family care homes.

Accordingly, your Committees have amended this measure by:

As affirmed by the records of votes of the members of your Committees on Health and Human Services and Housing that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 914, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 914, H.D. 1, and be referred to the Committee on Finance.