STAND. COM. REP. NO. 1485

Honolulu, Hawaii

RE:    H.B. No. 674

       H.D. 2

       S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committees on Commerce, Consumer Protection, and Health and Ways and Means, to which was referred H.B. No. 674, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CHILD CARE PROVIDERS,"

beg leave to report as follows:

     The purpose and intent of this measure is to require all child care providers subject to regulation by the Department of Human Services to obtain and maintain liability insurance as a condition of licensure, temporary permission, or registration and disclose insurance-related information to certain parents or guardians.

     Your Committees received testimony in support of this measure from sixty-seven individuals.  Your Committees received comments on this measure from the Department of Human Services.

     Your Committees find that through the Department of Human Services, the State regulates and inspects child care facilities to ensure the health and safety of all children in child care.  This measure requires child care providers regulated by the Department of Human Services to obtain and maintain liability insurance coverage, which will bring assurance to families who require child care services and allow opportunities for legal recourse for parents whose children are not properly cared for.

     Your Committees have amended this measure by:

     (1)  Requiring the Department of Human Services to submit a report to the Legislature, no later than twenty days prior to the Regular Session of 2018, on the amount of liability insurance coverage required to be obtained by child care providers, the costs incurred by child care providers and the projected impact these costs may have on the rates charged to consumers, and outreach efforts conducted by the Department to ensure compliance;

     (2)  Inserting an effective date of July 1, 2050, to encourage further discussion; and

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

     As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection, and Health and Ways and Means that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 674, H.D. 2, S.D. 1, as amended herein, and recommend that it pass Third Reading in the form attached hereto as H.B. No. 674, H.D. 2, S.D. 2.

Respectfully submitted on behalf of the members of the Committees on Commerce, Consumer Protection, and Health and Ways and Means,

________________________________ JILL N. TOKUDA, Chair

________________________________ ROSALYN H. BAKER, Chair