STAND. COM. REP. NO. 2769

Honolulu, Hawaii

RE:    H.B. No. 2801

       H.D. 2

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam:

     Your Committee on Health, to which was referred H.B. No. 2801, H.D. 2, entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION FOR HAWAII HEALTH SYSTEMS CORPORATION FOR OPERATIONAL COSTS,"

begs leave to report as follows:

     The purpose of this measure is to appropriate emergency funding to the Hawaii Health Systems Corporation to ensure the continuous delivery of critical health care services and for the payment of the Hawaii Health Systems Corporation's operational costs.  This measure also establishes the Big Island Rural Interdisciplinary Program in the East Hawaii region in an effort to bring more physicians, nurses, and pharmacists to the island of Hawaii.

     Testimony in support of this measure was submitted by the Hawaii Health Systems Corporation Hilo Medical Center, the Hawaii Health Systems Corporation Kauai Region, and the Hawaii State Rural Health Association.  Testimony in support of the intent of this measure with amendments was submitted by the Hawaii Health Systems Corporation.  Testimony commenting on this measure was submitted by the Department of Budget and Finance, the Department of the Attorney General, and one individual.  Written testimony presented to the Committee may be reviewed on the Legislature's website.

     Your Committee finds that Hawaii Health Systems Corporation is one of the largest health care providers in the nation and that provisions should be taken to ensure that it will continue its operations without interruption should QUEST and QUEST Expanded Access payments to the Corporation be delayed due to the economic crisis. 

     Your Committee further notes as follows the amounts of money that Hawaii Health Systems Corporation is requesting to maintain uninterrupted services:  $16,397,000 for emergency funding for Hawaii Health Systems Corporation facilities statewide for fiscal year 2009-2010 and $2,500,000 to serve as emergency funding for the Big Island Rural Interdisciplinary Program to alleviate the physician and health care provider shortage on the island of Hawaii.

     Your Committee notes the Attorney General's comment that pursuant to Article VII, section 9 of the Hawaii Constitution, in a session when the Legislature submits a supplemental appropriations bill to the Governor, as in the case this year, appropriations bills not recommended by the Governor for immediate passage or covering legislative expenses cannot pass their final reading prior to the Governor's signing the supplemental appropriations bill.  Accordingly, the Attorney General, having been informed that the Governor will not ask for immediate passage of this measure, recommends that this measure must wait until the Governor has signed the supplemental appropriations bill before it may pass final reading. 

     Your Committee has amended this measure by deferring the effective date of this measure until July 1, 2050 to encourage further discussion.

     As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2801, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2801, H.D. 2, S.D. 1, and be referred to the Committee on Ways and Means.

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

____________________________

DAVID Y. IGE, Chair