STAND. COM. REP. NO. 2270

Honolulu, Hawaii

RE: S.B. No. 2788

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Human Services, to which was referred S.B. No. 2788 entitled:

"A BILL FOR AN ACT RELATING TO HEALTH ANALYTICS,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Establish the health analytics program in the Med-QUEST Division of the Department of Human Services;

(2) Require the health analytics program to maintain an all‑claims, all‑payer database;

(3) Establish and appropriate general funds for four positions to support the health analytics program and administrative costs; and

(4) Appropriate federal funds for the health analytics program.

Your Committee received testimony in support of this measure from the Department of Human Services, Department of Commerce and Consumer Affairs, Department of Budget and Finance, Department of Health, University of Hawai‘i System, Office of Enterprise Technology Services, State Health Planning and Development Agency, and Hawaii Medical Service Association. Your Committee received comments on this measure from the Hawaii Employer-Union Health Benefits Trust Fund and Hawai‘i Primary Care Association.

Your Committee finds that the Legislature enacted Act 139, Session Laws of Hawaii 2016, to facilitate greater transparency and understanding of health costs, improve healthcare system quality and population health outcomes, and address disparities through the development of an all-payer system claims data warehouse. Your Committee further finds that the health analytics program and all-payers medical claims database would allow the Med‑Quest Division of the Department of Human Services to utilize community based analytics to improve programs and services and meet critical Medicaid-specific operational and policy goals. Given the size and complexity of the Medicaid program in the State, the health analytics program and all-payers medical claims database will better inform the Division's collection and analysis of data in order to improve and transform the State's health care delivery system.

Your Committee has amended this measure by 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 Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2788, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2788, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Human Services,

________________________________

JOSH GREEN, Chair