STAND. COM. REP. NO. 3313

Honolulu, Hawaii

RE:    H.B. No. 2415

       H.D. 2

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B. No. 2415, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO MEDICAID,"

begs leave to report as follows:

     The purpose and intent of this measure is to develop a strategy to provide working individuals with disabilities with access to affordable health care.

     Specifically, the measure:

(1)  Establishes a joint legislative task force to assist the Department of Human Services in developing and implementing a medicaid buy-in program for working individuals with disabilities; and

(2)  Requires the Department of Human Services to implement a medicaid buy-in program based upon the recommendations of the task force by July 1, 2014.

     Your Committee received written comments in support of this measure from the Office of Hawaiian Affairs; Workforce Development Council; Hawaii Disability Rights Center; University of Hawaii Center on Disability Studies; and one individual.

     Your Committee received written comments in opposition to this measure from the Department of Human Services.

     Your Committee finds that forty-five states have approved medicaid buy-in programs authorizing working individuals who have disabilities to retain their health care coverage through medicaid, despite having earnings that exceed the medicaid eligibililty criteria.  Implementing a medicaid buy-in program in Hawaii will provide an incentive for working individuals with disabilities to increase their contribution to the workforce, generating tax revenue and reducing expenses for the Department of Human Services.

Your Committee finds that a joint legislative task force of representatives from government and private agencies that serve individuals with disabilities will marshal the knowledge and experience necessary to help the Department of Human Services to create a medicaid buy-in program.

     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 H.B. No. 2415, H.D. 2, S.D. 1, and recommends that it pass Third Reading.

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

____________________________

DAVID Y. IGE, Chair