Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 3116, H.D. 2, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to ensure health care coverage for all of Hawaii's children by creating the Hawaii Children's Health Care Program.

Specifically, this measure establishes a three-year pilot program of health care coverage for children between thirty-one days and eighteen years of age who are ineligible for any other state or federal health care coverage. This includes otherwise qualified individuals earning between two hundred fifty and three hundred per cent of the federal poverty level who may choose coverage through QUEST Net and pay a prorated premium. The aim is to reduce the adverse effects of preventable and treatable illnesses on these children's growth and development. The State, through the Department of Human Services, and a mutual benefit society will share payments for the insurance coverage premiums equally.

The measure further provides that the participating mutual benefit society is responsible for eligibility determination and enrollment and is required to report quarterly to the Department of Human Services and the Legislature. Other private organizations may partner with the State to offer coverage to uninsured children under the Hawaii children's health care program, but only if they offer plan benefits that are equal to or better than those offered by the pilot program. The pilot program terminates on June 30, 2009. Finally, this measure appropriates an unspecified amount for the Hawaii children's health care program.

Upon further consideration, your Committee has amended this measure by changing the unspecified appropriated amount to $1 for the purpose of stimulating further discussion.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 3116, H.D. 2, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 3116, H.D. 2, S.D. 2.