STAND. COM. REP. NO.  786-08

Honolulu, Hawaii

                , 2008

RE:   H.B. No. 2758

      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. 2758, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH,"

begs leave to report as follows:

     The purpose of this bill is to ensure the continued strength of Hawaii's health care safety net by requiring the Department of Taxation (DOTAX) to defer General Excise Tax collections for any private hospital located in a county with a population greater than 500,000 that has an annual patient population consisting of 60 percent or more of uninsured, Medicaid, and Medicare patients.

     The Representative of the 42^nd District and Hawaii Medical Center testified in support of this bill.  DOTAX and Tax Foundation of Hawaii commented on this measure.

     Your Committee has amended this bill by:

     (1)  Changing its effective date to July 1, 2020, to encourage further discussion; and

     (2)  Making technical, nonsubstantive amendments for 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. 2758, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2758, H.D. 2.

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

____________________________

MARCUS R. OSHIRO, Chair