Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 2694, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to improve Hawaii's workers' compensation system by changing the reimbursement rate for medical services under the State Workers' Compensation Law to an unspecific percentage of the Medicare Resource Based Relative Value Scale System rates.

The Hawaii Chapter, American Physical Therapy Association and Hawaii State Chiropractic Association testified in support of this bill. Kaiser Permanente supported this measure with amendments. The Hawaii Insurers Council opposed this measure. The Department of Human Resources Development, Department of Labor and Industrial Relations, Hawaii Medical Association, Hawaii Employers' Mutual Insurance Company, Inc., and ILWU Local 142 provided comments.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2694, H.D. 1, and recommends that it be referred to the Committee on Finance.