Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Human Services, to which was referred H.B. No. 1716 entitled:

begs leave to report as follows:

The purpose of this bill is to support foster care homes as alternatives to costly institutional care by responding to the rising cost of their operations. Specifically, this bill requires the Department of Human Services (DHS) to increase the fees paid to foster care home providers by seven percent.

The Adult Foster Home Association of Hawaii (AFHAH) testified in support of this bill. DHS opposed this measure.

Your Committee recognizes the important role that foster care home providers play in servicing Hawaii's elderly.

Although AFHAH initially sought a fee increase of 100 percent, a compromise was made to lower the increase, thus allowing this measure to be heard. Your Committee notes that concerns have been raised regarding the calculations that validate the seven percent increase.

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 H.B. No. 1716 and recommends that it pass Second Reading and be referred to the Committee on Finance.