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THE SENATE |
S.C.R. NO. |
77 |
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TWENTY-THIRD LEGISLATURE, 2006 |
S.D. 1 |
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STATE OF HAWAII |
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RESOLUTION
REQUESTING THE LEGISLATIVE REFERENCE BUREAU TO CONDUCT A STUDY of recommended procedures that will ensure that state-funded health care paYments adequately reimburse providers who provide services for medicaid or QUEST recipients for the actual costs of health care services.
WHEREAS, the critical financial condition of hospitals, long term care facilities, and other health care providers has been well-documented recently in a series of articles by Helen Altonn that were published by the Honolulu Star-Bulletin and an article by Rob Perez that was published by the Honolulu Advertiser; and
WHEREAS, these articles made the following points:
(1) Patients demand to be diagnosed and treated with the latest technology, which is very expensive;
(2) The need for expensive institutionalized long term care is substantial and is expected to grow as the "baby boomers" age;
(3) Health care facilities have incurred high costs related to potential terrorist threats and other emergencies;
(4) Providers are receiving insufficient payments for health care from government payers, private insurance payers, and patients who do not have insurance; and
(5) Hawaii’s hospitals have incurred more than $500,000,000 in losses due to bad debt and charity care since 2000; and
WHEREAS, the State pays for a considerable amount of health care and also controls certain types of payments for health care made to providers; and
WHEREAS, it is in the public interest to ensure that health care payments made with state funds or controlled by the State are sufficient to cover the actual costs of care; now, therefore,
BE IT RESOLVED by the Senate of the Twenty-Third Legislature of the State of Hawaii, Regular Session of 2006, the House of Representatives concurring, that the Legislative Reference Bureau is requested to conduct a study of recommended procedures that will ensure that state-funded health care payments adequately reimburse providers who provide services for Medicaid or QUEST recipients for the actual costs of health care services; and
BE IT FURTHER RESOLVED that the Legislature requests that the study conducted by the Legislative Reference Bureau include:
(1) Processes implemented by other jurisdictions or as recommended by experts that try to ensure that state-funded health care payments to Medicaid providers adequately reimburse them for their actual costs;
(2) A comparison of rates for the ten most frequently used services in Medicaid and QUEST health care services, actual costs of those services, and the amount reimbursed to the provider;
(3) A method of updating payments and reimbursements to health care providers every two years to keep pace with inflation; and
(4) A survey of nationwide benchmarks to see how Hawaii compares to other jurisdictions regarding provider payments and reimbursements for at least the ten most frequently used Medicaid and QUEST health procedures;
and
BE IT FURTHER RESOLVED that the Legislative Reference Bureau is requested to report findings and recommendations to the Legislature no later than twenty days prior to the convening of the Regular Session of 2007; and
BE IT FURTHER RESOLVED that certified copies of this concurrent resolution be transmitted to the Governor, the Director of Health, the Director of Human Services, the Insurance Commissioner, the Acting Director of the Legislative Reference Bureau, the Chief Executive Officer of the Healthcare Association of Hawaii, and the Chief Executive Officer of the Hawaii Medical Association.
Report Title:
State-funded Health care payments; reimbursements.