STAND. COM. REP. NO.  1561

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 912

      S.D. 1

      H.D. 1

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. 912, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO LONG-TERM CARE FACILITIES,"

begs leave to report as follows:

The purpose of this measure is to address financial challenges in providing quality long-term care to Medicaid recipients by requiring the Department of Human Services to increase a long-term care facility's provider-specific prospective payment rate for such recipients by applying a federally approved inflation factor to the provider's historical costs or basic prospective payment system rates.

The Queen's Health Systems, Hawaii Health Systems Corporation, Healthcare Association of Hawaii, Hale Makua Health Services, Nuuanu Hale Hospital, Liliha Healthcare Center, Wahiawa Nursing and Rehabilitation Center, Island Nursing Home, Avalon Care Center – Honolulu, Aloha Nursing Rehab Centre, One Kalakaua Senior Living, The Harry & Jeanette Weinberg Care Center at Pohai Nani, Hale Nani Rehabilitation & Nursing Center, Garden Isle Rehabilitation & Healthcare Center, and many individuals provided testimony in support of this measure.  The Department of Human Services provided testimony in opposition.

     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. 912, S.D. 1, H.D. 1, and recommends that it pass Third Reading.

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

____________________________

SYLVIA LUKE, Chair