CONFERENCE COMMITTEE REP. NO. 34

Honolulu, Hawaii

, 2019

RE: S.B. No. 1176

S.D. 2

H.D. 1

C.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sirs:

Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1176, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO FALSE CLAIMS TO THE STATE,"

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 meet federal financial incentive requirements by:

(1) Increasing the penalty amounts for false claims to the State to a minimum of $11,463 and a maximum of $22,927; and

(2) Requiring the state penalty amounts for the year 2020 and thereafter to be the same as, and for the same effective dates as, the federal penalty amounts adjusted and adopted by the United States Department of Justice.

Your Committee on Conference finds that section 1909 of the Social Security Act provides a ten-percentage-point increase in the State's share of any amount recovered in a state action under a false or fraudulent claim if the State has a false claims act that meets the requirements set forth in section 1909. Section 1909 further requires that the State's false or fraudulent claims law contain a civil penalty that is not less than the amount provided under federal law. This measure brings Hawaii's false claims act into compliance with section 1909 of the federal Social Security Act.

Your Committee on Conference has amended this measure by making it effective upon approval.

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. 1176, 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. 1176, 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

____________________________ JOY A. SAN BUENAVENTURA Co-Chair	____________________________ KARL RHOADS Chair
____________________________ SCOT Z. MATAYOSHI Co-Chair	____________________________ MAILE S.L. SHIMABUKURO Co-Chair