STAND. COM. REP. NO. 2436

Honolulu, Hawaii

RE:    S.B. No. 2885

       S.D. 2

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 2885, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH SAVINGS ACCOUNTS,"

begs leave to report as follows:

     The purpose of this measure is to establish a health savings account task force to study the current state of health savings accounts in Hawaii and to encourage the expanded use of health savings accounts.

     Specifically, this measure creates a health savings accounts assessment task force within the Department of Labor and Industrial Relations for administrative purposes to study the current state of health savings account options in Hawaii's health insurance market, establish a plan of action to expand the use of health savings accounts, identify and recruit potential health plans, and assess the potential economic impact of expanding health savings accounts in the State.

     Your Committee received comments in support of this measure from the Department of Commerce and Consumer Affairs and the Hawaii Medical Association.  Written comments may be reviewed on the Legislature's website.

     Your Committee finds that health savings accounts are available alternate means of paying for health care that may generate significant health care cost savings for certain Hawaii residents.  Your Committee also finds that health savings accounts options in Hawaii's health insurance market should be carefully examined to ensure compliance with Hawaii prepaid health care law.

     Upon further consideration, your Committee has amended this measure by changing the effective date to July 1, 2050, to promote further discussion.  Your Committee has also amended this measure by making technical nonsubstantive amendments for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2885, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2885, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DONNA MERCADO KIM, Chair