STAND. COM. REP. NO. 149

Honolulu, Hawaii

RE: S.B. No. 976

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Health, to which was referred S.B. No. 976 entitled:

"A BILL FOR AN ACT RELATING TO HEALTH,"

begs leave to report as follows:

The purpose and intent of this measure is to amend the definition of "preceptor" and "volunteer-based supervised clinical training rotation" to improve accessibility for providers to receive income tax credits for acting as preceptors, who offer professional instruction, training, and supervision to future healthcare providers.

Your Committee received testimony in support of this measure from the Department of Health, Department of Taxation, University of Hawai‘i System, Hawai‘i – American Nurses Association, Hawai‘i State Center for Nursing, University of Hawai‘i at Hilo - Daniel K. Inouye College of Pharmacy, Hawai‘i Primary Care Association, The Queen's Health Systems, Hawai‘i Association of Professional Nurses, and ten individuals.

Your Committee finds that clarifying the effective date to apply to all of 2021 would help an eligible preceptor to qualify for the tax credit for volunteer work performed from the beginning of 2021. As such, your Committee has amended this measure by:

(1) Amending the effective date to July 1, 2050, to encourage further discussion; and

(2) Further amending the effective date to clarify that the tax credit shall apply to taxable years beginning after December 31, 2020.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 976, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 976, S.D. 1, and be referred to your Committees on Ways and Means and Commerce and Consumer Protection.

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

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JARRETT KEOHOKALOLE, Chair