STAND. COM. REP. NO. 416

Honolulu, Hawaii

RE:    S.B. No. 1679

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committees on Health and Human Services, to which was referred S.B. No. 1679 entitled:

"A BILL FOR AN ACT RELATING TO THE EMERGENCY AND BUDGET RESERVE FUND,"

beg leave to report as follows:

     The purpose of this measure is to maintain the levels of programs determined to be essential to education, public health, and public welfare during this time of emergency, economic downturn, and unforeseen reduction in revenue that the State currently faces.

     The measure attempts to accomplish this goal by appropriating moneys from the emergency and budget reserve fund to the Department of Health, the Department of Human Services, and the Department of Education.

     Your Committees received testimony in support of this measure from the State Council on Developmental Disabilities, Department of Education, Special Education Advisory Council, Hawaii Primary Care Association, Child and Family Service, National Association of Social Workers, Catholic Charities and nineteen individuals.  Testimony in opposition of this measure was submitted by the Department of Budget and Finance.

     Written testimony that was provided to the Committees is available for review on the Legislature's website.

     Your Committees find that the emergency and budget reserve fund is a temporary supplemental source of funding for the State in times of emergency, economic downturn, or unforeseen reduction in revenues.  As set forth in section 328L-3, Hawaii Revised Statutes, specific purposes for the fund include the maintaining of levels of programs determined to be essential to public health, safety, welfare, and education.  Your Committees find that various proposals have been made to cut funding for critical safety net programs that your Committee would like to maintain through the emergency budget and reserve fund.

Accordingly, your Committees have amended this measure by including appropriation provisions from the emergency budget and reserve fund for the following programs and services which your Committees find are all essential to public health, safety, welfare, and education, particularly in this time of economic downturn:

     (1)  Respite services;

     (2)  The Healthy Start program;

     (3)  Ke Ola Pono, the Chronic Disease Self-Management program, EnhanceFitness, and for the development of the Aging and Disability Resource Center;

     (4)  Kupuna care;

     (5)  Catholic Charities, Inc., Kapahulu and Moiliili Senior Centers, and the Waikiki Community Center;

     (6)  The Developmental Disabilities Medicaid Waiver Program;

     (7)  Mental health services;

     (8)  The Partnerships in Community Living program;

     (9)  Direct health care to the uninsured, which may include primary medical, dental, and behavioral health care;

     (10) Substance abuse treatment; and

     (11) The Healthy Aging Partnership program.

     Your Committees have further amended this measure by deleting specific appropriation amounts.  For fiscal guidance purposes, program appropriation amount requests are listed below.  However, your Committees find that these critical safety net programs and services are funded at base levels.  Though your Committees would consider funding from the emergency budget to maintain these critical services, your Committees will be exploring federal and alternative funding sources to maintain these programs.

     (1)  Respite services                           $500,000

     (2)  The Healthy Start program                  $9,000,000

     (3)  Ke Ola Pono, the Chronic Disease

          Self-Management program, EnhanceFitness,

          and for the development of the Aging and

          Disability Resource Center                 $250,000

     (4)  Kupuna care                                $1,025,000

     (5)  Catholic Charities, Inc.                        $337,000

          Kapahulu Senior Center                     $100,000

          Moiliili Senior Center                     $125,000

          Waikiki Community Center                        $120,000

     (6)  The Developmental Disabilities

Medicaid Waiver Program                    $7,000,000

     (7)  Mental health services       (short fall)  $25,000,000

     (8)  The Partnerships in Community

          Living program                             $500,000

     (9)  Direct health care to the uninsured        $3,500,000

     (10) Substance abuse treatment                  $1,500,00

     (11) The Healthy Aging Partnership program      $250,000

     As affirmed by the records of votes of the members of your Committees on Health and Human Services that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1679, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1679, S.D. 1, and be referred to the Committee on Ways and Means.

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

____________________________ SUZANNE CHUN OAKLAND, Chair

____________________________ DAVID Y. IGE, Chair