Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Health, to which was referred H.C.R. No. 165 entitled:

begs leave to report as follows:

The purpose of this concurrent resolution is to request the Auditor to conduct an audit of operations and expenditures involving the Kalaupapa Settlement, including addressing the concerns and issues raised in this measure and other concerns that may be ascertained during the audit.

Many residents of the Kalaupapa Settlement testified in support of this concurrent resolution. The Department of Health supported the intent of this measure.

Your Committee finds that many years ago, Hansen's disease patients were forced into exile at Kalaupapa Settlement to be isolated from society. While the patients are now free to come and go as they please, the State has acknowledged the injustice that occurred and has pledged that the remaining patients may live out their lives at Kalaupapa, their home, and has committed to caring for them.

Your Committee further finds that there are approximately 41 patients living in Kalaupapa and there are an estimated 49 state workers in Kalaupapa, all of whom are believed to be necessary because the State operates all of the services in Kalaupapa, including the community store, service station, and the hospital.

However, there are numerous allegations of excessive or inappropriate expenditures and of preferential treatment toward the workers. While your Committee does not question the need for the workers in Kalaupapa, the expenditures relating to the workers do raise concerns. Your Committee believes an audit is necessary to ensure that the funds allocated to Kalaupapa are expended for their true purpose: to care for the remaining patients who have chosen to live the rest of their lives in a town that is their home.

Your Committee has amended this concurrent resolution by:

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 165, as amended herein, and recommends that it be referred to the Committee on Finance in the form attached hereto as H.C.R. No. 165, H.D. 1.