Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Human Services, to which was referred S.B. No. 2327 entitled:

begs leave to report as follows:

The purpose of this measure is to require the Department of Human Services to abolish the enrollment cap in the QUEST program.

Testimony in support of this measure was submitted by the Hawaii State Commission on the Status of Women, Kokua Council, Advocates for Consumer Rights, Hawaii Primary Care Association, Hawaii Disabilities Rights Center, and Aloha Care. The Department of Human Services submitted testimony in support of the intent of the measure but could not fully support it because of the cost implications.

Your Committee finds that the QUEST program was created to provide health insurance to those who do not meet the employment criteria and are too poor to afford to purchase health insurance as individuals. The program was also designed to cover "gap group" populations, such as college students who are no longer able to remain on their parents' insurance plan, and are unable to afford health care on their own. Unfortunately, due to the cap, 26,000 eligible adults do not have health insurance. These adults turn to community health centers and emergency rooms and it is these establishments that currently bear the cost of caring for the indigent. Thus your Committee finds that removing the cap will ensure all eligible individuals will receive proper health insurance.

As affirmed by the record of votes of the members of your Committee on Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2327 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.