Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Labor & Public Employment, to which was referred S.B. No. 3090, S.D. 2, entitled:

begs leave to report as follows:

The purpose of this bill is to improve the efficiency of the workers' compensation system by requiring the Director of Labor and Industrial Relations to establish standardized forms for health care providers to use when reporting on and billing for injuries compensable under the State Workers' Compensation Law.

The Department of Labor and Industrial Relations (DLIR), ILWU Local 142, and Hawaii Employers' Mutual Insurance Company, Inc., supported this bill. The Department of Human Resources Development supported the intent of this measure. The Hawaii Insurers Council supported this bill with amendments.

Your Committee notes that employers, employees, insurers, and health care providers have raised concerns regarding the timeliness of the delivery of health care services in workers' compensation cases. This has continued to be a problem with Hawaii's workers' compensation system that results in a delay in workers receiving appropriate medical care. Standardizing forms for health care providers to use when reporting on and billing for injuries compensable under the State Workers' Compensation Law will help alleviate some of these problems.

Your Committee realizes that DLIR would like to streamline the process even further by including standardized forms within their computer system that will allow these forms to be made available online. However, accomplishing this goal will require funding. Your Committee on Labor and Public Employment respectfully requests that the Committee on Finance review the request by DLIR for authorization to use $5 million from the Special Fund for Disability Benefits to achieve this objective.

As affirmed by the record of votes of the members of your Committee on Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3090, S.D. 2, and recommends that it pass Second Reading and be referred to the Committee on Finance.