CONFERENCE COMMITTEE REP. NO. 85-14

Honolulu, Hawaii

                 , 2014

RE:    S.B. No. 2057

       S.D. 2

       H.D. 1

       C.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2057, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE NURSING FACILITY SUSTAINABILITY PROGRAM,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

The purpose of this measure is to extend the repeal date and improve the nursing facility sustainability program by:

     (1)  Extending the sunset date of the nursing facility sustainability program to June 30, 2015; and

     (2)  Appropriating funds out of the nursing facility sustainability program special fund for fiscal year 2014-2015.

Your Committee on Conference finds that nursing facilities are a critical part of the long-term safety net for the State's aging population and that funding the nursing facility sustainability program is necessary to increase the sustainability of nursing facilities in Hawaii.  Your Committee on Conference further finds that without an exemption from the central service expenses assessment, the nursing facility sustainability program will have to pay approximately $500,000 per year, which inhibits the program's ability to sustain nursing facilities and improve services to Medicaid recipients.

Your Committee on Conference has amended this measure by:

     (1)  Adding a provision to exempt the nursing facility sustainability program special fund from the central service expenses assessment;

     (2)  Inserting an appropriation amount of $12,000,000;

     (3)  Inserting an effective date of June 29, 2014; and

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

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 2057, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2057, S.D. 2, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ MELE CARROLL, Co-Chair	____________________________ SUZANNE CHUN OAKLAND, Chair
____________________________ DELLA AU BELATTI, Co-Chair	____________________________ MICHELLE N. KIDANI, Co-Chair
____________________________ BERTRAND KOBAYASHI, Co-Chair