SCR127.DOC

WHEREAS, the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 is a federal law that establishes requirements to make insurance coverage for mental health conditions and substance use disorders comparable to insurance coverage for other medical conditions; and

WHEREAS, the federal Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 applies to plans sponsored by private and public sector employers with more than fifty employees that offer mental and surgical benefits as well as mental health or substance use disorder benefits, including self-insured and fully insured arrangements, and to health insurance issuers who sell coverage to employers with more than fifty employees; and

WHEREAS, more specifically, this federal law requires group health plans and health insurance issuers to ensure that financial requirements, such as co-payments and deductibles, and treatment limitations, such as visit limits, applicable to mental health or substance use disorder benefits are not more restrictive than the predominant requirements or limitations applied to substantially all other medical and surgical benefits; and

WHEREAS, while the federal government has recommended that states proactively pass legislation regarding insurance parity in conformity with the federal law, only about one-third of states have done so thus far; and

WHEREAS, not all insurance issuers and plans in the State follow the parity requirements established by the federal law; and

WHEREAS, with respect to complying with the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008, the State must, among other things:

(1) Develop new policies regarding state compliance with the federal law, including the enforcement of provider and insurer compliance;

(2) Determine the applicability of rules and obligations for insurers, insurance plans, and services; and

(3) Proactively pass legislation to achieve compliance with the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008; and

WHEREAS, it is the State's responsibility to determine which entities are subject to parity laws by, for example, creating standardized definitions that apply to health care services; and

WHEREAS, establishing a working group to examine the implementation and enforcement of the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 will enhance access to health care in the State and assist the State in complying with the federal law; now, therefore,

BE IT RESOLVED by the Senate of the Twenty-sixth Legislature of the State of Hawaii, Regular Session of 2012, the House of Representatives concurring, that the Department of Health is requested to convene a working group to determine state compliance with the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 and enhance existing state parity laws; and

BE IT FURTHER RESOLVED that the members of the working group include the following members:

(1) One member selected by the Governor;

(2) One member of the Senate selected by the President of the Senate;

(3) One member of the House of Representatives selected by the Speaker of the House of Representatives;

(4) One member selected by the Insurance Commissioner;

(5) One member selected by the Director of Health;

(6) One representative of the Hawaii Substance Abuse Coalition;

(7) At least one member who is a psychiatrist or psychologist; and

(8) At least one representative of a health insurance provider regulated under chapter 431, article 10A, Hawaii Revised Statutes; chapter 432, article I, Hawaii Revised Statutes; or a managed care provider regulated under chapter 432D, Hawaii Revised Statutes; and

BE IT FURTHER RESOLVED that the members of the working group designate a chairperson from among the group's members; and

BE IT FURTHER RESOLVED that the working group is requested to report the group's findings and recommendations, including any proposed legislation, regarding the enhancement of existing state parity laws and state compliance with the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 to the Legislature no later than twenty days prior to the convening of the Regular Session of 2013; and

BE IT FURTHER RESOLVED that the Legislative Reference Bureau is requested to assist the working group with drafting legislation, if any, that the working group deems necessary as a result of the group's findings and recommendations regarding parity in the State; provided that the group submits a draft of its proposals to the Legislative Reference Bureau for drafting no later than November 1, 2012; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Governor, Insurance Commissioner, Director of Health, Director of the Legislative Reference Bureau, and Hawaii Substance Abuse Coalition.

	OFFERED BY:	_____________________________

Report Title:

Mental Health Parity; Working Group

THE SENATE	S.C.R. NO.	127
TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII