STAND. COM. REP. NO. 316

Honolulu, Hawaii

RE:    S.B. No. 1337

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Madam:

     Your Committee on Health, to which was referred S.B. No. 1337 entitled:

"A BILL FOR AN ACT RELATING TO HEALTH WELLNESS PROGRAMS,"

begs leave to report as follows:

     The purpose and intent of this measure is to amend the definition of "something of value" to clarify that participation in health wellness programs is not considered gambling or lottery participation under the Hawaii Penal Code.

     Your Committee received testimony in support of this measure from The Chamber of Commerce of Hawaii.  Your Committee received testimony in opposition to this measure from the City and County of Honolulu Police Department and County of Hawaii Police Department.

     Your Committee finds that preventative health care is important not only for individuals' personal wellbeing, but also for the health care system of the State as a whole.  Preventative health care assists health consumers in maintaining good health and helps them avoid debilitating and costly diseases and conditions that might otherwise affect them without preventative health care.  Your Committee notes that while these goals are laudable, there have been concerns that such programs run afoul of the State's gambling and lottery statutes.  Because wellness programs promote the health of Hawaii's citizens and save the health care system significant sums of money annually, your Committee finds it necessary to amend the Hawaii Penal Code to clarify that wellness programs do not constitute gambling or lottery participation.

     Your Committee has amended this measure by:

     (1)  Amending the purpose section to clarify the Act's intent to exclude wellness programs from the definition of "gambling" and "something of value";

     (2)  Inserting language to amend the definition of "gambling" to exclude payment for or participation in wellness programs sponsored by group health plans, accident and health or sickness insurers, mutual benefit societies, and health maintenance organizations in the State;

     (3)  Amending the definition of "something of value" to exclude payment for or participation in wellness programs sponsored by group health plans, accident and health or sickness insurers, mutual benefit societies, and health maintenance organizations in the State; and

     (4)  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 Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1337, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1337, S.D. 1, and be referred to the Committee on Judiciary and Labor.

Respectfully submitted on behalf of the members of the Committee on Health,

____________________________

JOSH GREEN, Chair