CONFERENCE COMMITTEE REP. NO. 134

Honolulu, Hawaii

                 , 2009

RE:    S.B. No. 423

       S.D. 1

       H.D. 2

       C.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 423, S.D. 1, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to appropriate state funds to match the federal disproportionate share hospital allowance secured by Hawaii's Congressional delegation.

     Your Committee finds that a federal Medicaid disproportionate share hospital appropriation has been secured for Hawaii in the amount of $2,500,000 for each quarter for the next two fiscal years.  These funds cannot be expended without a matching state appropriation.  Your Committee believes that by appropriating $12,291,054 as the State's matching share, the State will enable health care providers to continue offering quality services to Hawaii's disadvantaged populations.

     Accordingly, your Committee has amended this measure by:

     (1)  Appropriating $12,291,054 for fiscal year 2009-2010 to match the federal disproportionate share hospital allowance allocated to the State, and clarifying that the funds may be used to obtain prior fiscal year federal matching funds; and

     (2)  Changing the effective date from July 1, 2020, to July 1, 2009.

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 423, S.D. 1, H.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 423, S.D. 1, H.D. 2, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ RYAN I. YAMANE, Co-Chair	____________________________ SUZANNE CHUN OAKLAND, Chair
____________________________ JOHN M. MIZUNO, Co-Chair	____________________________ DAVID Y. IGE, Co-Chair
____________________________ SCOTT NISHIMOTO, Co-Chair	____________________________ SHAN S. TSUTSUI, Co-Chair