STAND. COM. REP. NO. 1532

Honolulu, Hawaii

RE:    H.C.R. No. 34

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committees on Human Services and Health, to which was referred H.C.R. No. 34 entitled:

"HOUSE CONCURRENT RESOLUTION REQUESTING CONGRESS TO RAISE MEDICARE FEE SCHEDULE PAYMENT AMOUNTS FOR PHYSICIANS RENDERING SERVICES IN HAWAII,"

beg leave to report as follows:

     The purpose of this measure is to request Congress to raise the Medicare fee schedule payment amounts for physicians rendering services in Hawaii.

     Testimony in support of this measure was submitted by the Department of Commerce and Consumer Affairs and the Hawaii Medical Service Association.  Written testimony presented to your Committees may be reviewed on the Legislature's website.

     Medicare and Medicaid reimbursements are established according to fee schedules, which are adjusted according to a set of geographic practice cost indices.  The geographic practice cost indices are set administratively by the Centers for Medicare & Medicaid Services.  However, in 2004 and 2005, Congress intervened and enacted legislation that set the geographic practice cost indices for Alaska at a higher rate.  Your Committees find that the reimbursement amounts that Hawaii physicians receive do not accurately reflect the costs, and Congress is requested to enact legislation to increase the geographic practice cost indices for Hawaii.

     As affirmed by the records of votes of the members of your Committees on Human Services and Health that are attached to this report, your Committees concur with the intent and purpose of H.C.R. No. 34, and recommend its adoption.

Respectfully submitted on behalf of the members of the Committees on Human Services and Health,

____________________________ DAVID Y. IGE, Chair

____________________________ SUZANNE CHUN OAKLAND, Chair