CONFERENCE COMMITTEE REP. NO. 254

Honolulu, Hawaii

, 2025

RE: H.B. No. 712

H.D. 2

S.D. 2

C.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madam and Sir:

Your Committee on Conference on the disagreeing vote of the House of Representatives to the amendments proposed by the Senate in H.B. No. 712, H.D. 2, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH,"

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 preserve the integrity of the federal 340B Drug Pricing Program by:

(1) Prohibiting drug manufacturers from denying, restricting, or prohibiting the acquisition, shipping, or delivery of a 340B drug to a pharmacy under contract with any 340B covered entity in the State;

(2) Authorizing 340B covered entities and the Attorney General to bring a civil action for enforcement within four years of a violation;

(3) Requiring each 340B covered entity to report certain information annually to the Department of Health; and

(4) Requiring the Department of Health to prepare, submit to the Legislature, and publicly post annual reports and publicly post all reports submitted by 340B covered entities.

Your Committee on Conference has amended this measure by:

(1) Authorizing manufacturers to request claims data for the manufacturer's 340B drugs dispensed through a contract pharmacy arrangement under certain circumstances;

(2) Amending the reporting requirements for 340B covered entities by:

(A) Requiring 340B covered entities to report to the hospital trade association operating in the State, rather than the Department of Health;

(B) Limiting the reporting to activities related to the dispensing or filling of 340B drugs at contract pharmacies; and

(C) Deleting certain provisions relating to a 340B covered entity's costs and payments;

(3) Requiring the hospital trade association operating in the State to prepare and publicly post an annual aggregate report, rather than the Department of Health;

(4) Changing the effective date to July 1, 2025; and

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

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 H.B. No. 712, H.D. 2, S.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as H.B. No. 712, H.D. 2, S.D. 2, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE SENATE

ON THE PART OF THE HOUSE

____________________________ JOY A. SAN BUENAVENTURA Chair	____________________________ GREGG TAKAYAMA Co-Chair
____________________________ JARRETT KEOHOKALOLE Co-Chair	____________________________ SCOT Z. MATAYOSHI Co-Chair
____________________________ HENRY J.C. AQUINO Co-Chair	____________________________ MAHINA POEPOE Co-Chair
____________________________ STANLEY CHANG Co-Chair	____________________________ JENNA TAKENOUCHI Co-Chair