Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Health, to which was referred S.B. No. 3155 entitled:

begs leave to report as follows:

The purpose of this measure is to appropriate funds for capital improvements of the Molokai General Hospital, for release when the Office of Hawaiian Affairs provides matching funds of $1 for every $2 appropriated.

The Office of Hawaiian Affairs, Molokai General Hospital, and the Healthcare Association of Hawaii submitted testimony in support of this measure. The Department of Health submitted comments.

Your Committee finds that Molokai General Hospital, a subsidiary of the Queen's Health Systems, faces the continuing challenge of generating sufficient revenue to support its capital improvements and to meet the health care needs of the population it serves. Your Committee notes that Molokai General Hospital is the only hospital on Molokai. Molokai General provides emergency, urgent, acute, and long-term inpatient care services for Molokai's residents, many of whom are Native Hawaiian or part Hawaiian. Providing community-focused, quality health care in a rural, economically-challenged setting remains very difficult. Support from the State is vital to maintain health care services for this island community.

Your Committee further finds that the Office of Hawaiian Affairs has committed matching funds of up to up to $500,000 per fiscal year for capital improvements and the Phase II renovation and construction project for Molokai General Hospital. Upon completion of Phase II, the building will house laboratory, pharmacy, and dietary facilities, the women's health center, administrative offices, a medical-surgical suite, and classrooms.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3155 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.