Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1867, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to protect the health and well-being of Hawaii's injured workers when there is a dispute between the injured employee and the employer or insurance carrier as to whether medical services should be continued by allowing an injured employee to continue to receive medical services until the Director of Labor and Industrial Relations (Director) issues a decision on the matter.

ILWU Local 142, Hawaii State Teachers Association, Hawaii State AFL-CIO, Klein Chiropractic Center, Hawaii Chapter-American Physical Therapy Association, and several concerned individuals testified in support of this bill. The Hawaii State Chiropractic Association and Hawaii Medical Services Association supported the intent of this measure. The Hawaii Government Employees Association supported this bill with amendments. The Department of Labor and Industrial Relations (DLIR), Department of Human Resources Development, Department of Civil Service of the County of Hawaii, The Chamber of Commerce of Hawaii, Hawaii Insurers Council, Hawaii Independent Insurance Agents Association, and the Society for Human Resource Management-Hawaii Chapter testified in opposition to this bill. The Hawaii Employers' Mutual Insurance Company submitted comments.

Your Committee notes the concerns raised by DLIR and understands that some of the language in this measure may be ambiguous and may need to be clarified, particularly with regard to the responsibility for approving the treatment plan, and the responsibility for the costs of treatment later disallowed by the Director. Your Committee finds that the healthcare issues this measure attempts to address deserve further consideration.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1867, H.D. 1, and recommends that it pass Third Reading.