STAND. COM. REP. NO.  1656

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 1174

      S.D. 2

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 1174, S.D. 2, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO WORKERS' COMPENSATION,"

begs leave to report as follows:

The purpose of this measure is to amend the medical examination requirements for workers' compensation claims by:

(1)  Requiring that a qualified physician selected by mutual agreement of the parties shall perform an independent medical examination and permanent impairment rating examination; and

(2)  Establishing a procedure for appointing a qualified physician in the event the parties cannot agree upon a selection.  

The Hawaii State AFL-CIO; United Public Workers, AFSCME, Local 646, AFL-CIO; Hawaii Medical Association; Hawaii Rehabilitation Counseling Association; Hawaii Injured Workers' Association; International Association of Rehab Professionals; Work Star Injury Center; and many concerned individuals supported this measure.  The City and County of Honolulu; General Contractors Association of Hawaii; Building Industry Association of Hawaii; Chamber of Commerce of Hawaii; Hawaii Insurers Council; Hawaii Independent Insurance Agents Association; Rons Construction Corporation; LYZ, Inc.; Hawaiian Crane and Rigging, Ltd.; Hensel Phelps Construction Company; Dorvin D. Leis Co., Inc.; North Shore Chamber of Commerce; Specialty Surfacing Co. HI, Inc.; PVT Land Company; Nordic PCL Construction, Inc.; Performance Systems Inc.; Heartwood Pacific, LLC; City Mill Company, Ltd.; Ralph S. Inouye Co., Ltd.; Society for Human Resource Management, Hawaii Chapter; Hawai‘i Lodging and Tourism Association; Healy Tibbitts Builders, Inc.; and many concerned individuals opposed this measure.  The Department of Labor and Industrial Relations; Department of Human Resources Development; Department of Commerce and Consumer Affairs; ILWU Local 142; and several concerned individuals provided comments.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1174, S.D. 2, H.D. 2, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair