STAND. COM. REP. NO.  962-08

Honolulu, Hawaii

                , 2008

RE:   H.B. No. 2757

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 2757, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HOSPITALS,"

begs leave to report as follows:

     The purpose of this bill is to ensure the continuation and strength of Hawaii's health care safety net by:

     (1)  Establishing a hospital capital loan program under the Department of Health (DOH); and

     (2)  Specifying that the first loan provided by DOH shall be to a private hospital in the state that annually serves a patient population of 60 percent or more of uninsured, Medicaid, and Medicare patients.

     The Representative of the 42^nd District, Hawaii Building and Construction Trades Council, AFL-CIO, and Hawaii Medical Center testified in support of this bill.  DOH testified in opposition to this measure.  The Department of Budget and Finance commented on this bill.

     Your Committee has amended this bill by deleting its contents and replacing it with language that:

     (1)  Authorizes the issuance of special purpose revenue bonds (SPRBs) in a total amount not to exceed $40,000,000, for the purpose of assisting Hawaii Medical Center; and

     (2)  Repeals the authorization to issue the SPRBs on June 30, 2020.

     Other technical, nonsubstantive amendments were made for purposes of clarity, consistency, and style.

     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. 2757, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2757, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair