STAND. COM. REP. NO. 2221

Honolulu, Hawaii

RE:    S.B. No. 2095

       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 Human Services, to which was referred S.B. No. 2095 entitled:

"A BILL FOR AN ACT RELATING TO THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM,"

begs leave to report as follows:

     The purpose and intent of this measure is to appropriate funds to the Department of Human Services to respond to the United States Department of Agriculture's mandate to amend supplemental nutrition assistance program eligibility requirements, which expands program eligibility from no more than 130 percent to no more than 200 percent of the federal poverty level.

     Your Committee received testimony in support of this measure from three individuals.  Your Committee received testimony in opposition to this measure from Molokai Advertiser-News.  Your Committee received comments on this measure from the Department of Human Services.

     Your Committee finds that the supplemental nutrition assistance program, formerly known as the food stamp program, is a beneficial federal program that provides food for those with incomes inadequate to purchase food for a regular, wholesome diet.  Your Committee also finds that in 2010, the federal government increased funding to the supplemental nutrition assistance program and changed the rules to set the gross income limit to the maximum allowable income of 200 percent of the federal poverty level, which allows more families to qualify.

     Your Committee notes that according to the testimony from the Department of Human Services, by implementing the expanded categorical eligibility provision, which allows individuals with incomes of no more than 200 percent of the federal poverty level to be eligible for the supplemental nutrition assistance program, the Department has experienced an increase in its caseload.  Since October 2010, the Department's caseload increased 12.6 percent and from July 1, 2008, to June 30, 2011, it increased 63 percent.  The increased caseload coupled with the Department's substantial workforce reduction and lost time due to furloughs caused the Department to miss federally mandated deadlines for the processing of program applications and resulted in a preliminary injunction levied against the Department.  Although the Department supports the intent of this measure, it cannot support the measure to the extent that it seeks to appropriate additional funds to the Department outside the Governor's supplemental budget request.

     Your Committee has amended this measure by:

     (1)  Deleting the dollar amount of the appropriation and leaving the amount unspecified for determination by the Committee on Ways and Means;

     (2)  Clarifying that the purpose of the appropriation is for the Department of Human Services to sufficiently respond to and carry out the requirements of the United States Department of Agriculture's mandate to amend the supplemental nutrition assistance program eligibility requirement from no more than 130 percent to no more than 200 percent of the income poverty guidelines; and

     (3)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2095, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2095, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Human Services,

____________________________

SUZANNE CHUN OAKLAND, Chair