STAND. COM. REP. NO. 1509-04

Honolulu, Hawaii

, 2004

RE: S.C.R. No. 106

S.D. 1

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committees on Human Services and Housing and Health, to which was referred S.C.R. No. 106, S.D. 1, entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING AN INQUIRY INTO THE DELAYS IN PAYMENT TO DEVELOPMENTAL DISABILITY PROVIDERS,"

beg leave to report as follows:

The purpose of this measure is to request the Department of Health and the Department of Human Services to work together to address issues related to timely payment to developmental disability providers.

Specifically, the measure requests the departments to take action to complete the following tasks:

(1) Update the status of corrections to billing and claims processing issues;

(2) Investigate alternative methods to expedite claims processing;

(3) Ensure immediate advance payment to providers with unpaid claims;

(4) Identify specific problems with short-term and long-term solutions to provide timely claims processing;

(5) Identify statutes, rules, policies, and directives for amendment or adoption to encourage prompt claims processing;

(6) Define "timely"; and

(7) Determine whether prior authorization should be eliminated.

Testimony in support of this measure was received from the State Council on Developmental Disabilities, The Arc in Hawaii, and The Arc of Kauai.

Your Committees find that delayed claims processing and prompt payment to developmental disability providers has been a problem since the Department of Human Services began using a new computer billing system in October, 2002. Although some progress has been made, particularly in the area of prior authorizations, those who provide services to this fragile population should be promptly compensated for those services. Your Committees believe that the Department of Human Services and the Department of Health can work together and resolve the issues related to untimely claims processing and payment for services rendered. This measure will assist that process.

As affirmed by the records of votes of the members of your Committees on Human Services and Housing and Health that are attached to this report, your Committees concur with the intent and purpose of S.C.R. No. 106, S.D. 1, and recommends its adoption.

Respectfully submitted on behalf of the members of the Committees on Human Services and Housing and Health,

 

____________________________

DENNIS A. ARAKAKI, Chair

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MICHAEL PUAMAMO KAHIKINA, Chair