STAND. COM. REP. NO.  1704-08

Honolulu, Hawaii

                , 2008

RE:   S.B. No. 3068

      S.D. 1

      H.D. 1

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 S.B. No. 3068, S.D. 1, entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION TO THE DEPARTMENT OF HEALTH FOR THE ADULT MENTAL HEALTH DIVISION,"

begs leave to report as follows:

     The purpose of this bill is to continue existing adult mental health services to meet the needs of the increasing mental health population.  Specifically, this measure appropriates:

     (1)  $10,250,443 in general fund monies to pay for the following:

          (A)  Services provided by the Department of Health's Adult Mental Health Division in the areas of case management, crisis services, treatment services, rehabilitation services, and housing;

          (B)  Revenue shortfall caused by a deficit in federal matching funds; and

          (C)  Higher operational costs at the Hawaii State Hospital;

     and

     (2)  $1,200,000 from the Mental Health and Substance Abuse Special Fund, thereby increasing the ceiling for the fund by that amount.

     The Department of Health, CARE Hawaii, Inc., Hale Na‘au Pono, and NAMI Hawaii testified in support of this bill.

     Pursuant to the requirements set forth in Article VII, Section 9, of the Hawaii Constitution, the Governor, in Governor's Message No. 253, requested the Legislature's immediate consideration and passage of S.B. No. 3068, which makes an emergency appropriation of $10 million to cover higher enrollment and per capita costs for the Adult Mental Health Division of the Department of Health.

     Your Committee has amended this bill to conform to Governor's Message No. 253, by:

     (1)  Decreasing the general fund appropriation amount to $10,000,000;

     (2)  Deleting language appropriating $1,200,000 from the Mental Health and Substance Abuse Special Fund; and

     (3)  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 S.B. No. 3068, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3068, S.D. 1, H.D. 1, and be placed on the calendar for Third Reading.

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

____________________________

MARCUS R. OSHIRO, Chair