184
HOUSE OF REPRESENTATIVES             H.C.R NO.             
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                     HOUSE CONCURRENT
                        RESOLUTION

REQUESTING A TASK FORCE TO REVIEW AND REPORT ON THE BENEFITS AND
   FEASIBILITY OF COLLABORATIVE HEALTH CARE PURCHASING
   ARRANGEMENTS BETWEEN HAWAII QUEST AND THE HAWAII PUBLIC
   EMPLOYEES HEALTH FUND.



 1       WHEREAS, the  Hawaii Public Employees Health Fund covers
 2   77,000 active employees and retirees in health plans and paid
 3   $266,000,000 in insurance premiums in FY 97-98; at the same
 4   time, the Hawaii QUEST Program covers 123,000 medical
 5   assistance recipients in health plans and paid $300,000,000 in
 6   insurance premiums during FY 97-98; and
 7   
 8       WHEREAS, the Hawaii Public Employees Health Fund's medical
 9   plan premium rates have been volatile over the last ten years,
10   as reported by the Auditor in a financial audit of the Health
11   Fund (Report No. 99-18), while the Hawaii QUEST Program's
12   medical plan rates have steadily declined over the last five
13   years before stabilizing at their current premium levels; and
14   
15       WHEREAS, administration of the Hawaii Public Employees
16   Health fund and the Hawaii QUEST Program involve similar
17   functions such as setting benefit levels, selecting health
18   plans, negotiating contracts, providing information on
19   available choices to beneficiaries or consumers, and processing
20   enrollments and payments; and
21   
22       WHEREAS, other state governments are exploring
23   collaborative models for health care purchasing and
24   administration between government employee health funds and
25   Medicaid programs to increase the program's negotiating
26   leverage with health plans and to create economies of scale;
27   now, therefore,
28   
29       BE IT RESOLVED by the House of Representatives of the
30   Twentieth Legislature of the State of Hawaii, Regular Session
31   of 2000, the Senate concurring, that a Task Force be
32   established to review and report on the feasibility of
33   establishing collaborative health care purchasing arrangements
34   between the Hawaii Public Employees Health Fund and the Hawaii
35   QUEST Program including, but not limited to:

 
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                                  H.C.R NO.             
                                                        
                                                        

 
 1       (1)  Coordination of health plan purchasing standards;
 2   
 3       (2)  Combined purchasing of administrative services;
 4   
 5       (3)  Cooperative purchasing of health services; and
 6   
 7       (4)  Establishing a single health care purchasing agency
 8            for both the Hawaii QUEST Program and the Hawaii
 9            Public Employees Health Fund;
10   
11   and
12   
13       BE IT FURTHER RESOLVED that the Task Force consist of ten
14   members designated as follows:
15   
16       (1)  Two Senators selected by the Senate President;
17   
18       (2)  Two House members selected by the Speaker of the House
19            of Representatives;
20   
21       (3)  Two representatives from the various health plans
22            serving the Hawaii QUEST Program to be selected by the
23            Administrator of the Med-Quest Division;
24   
25       (4)  Two staff members from the Department of Human
26            Services to be selected by the Director;
27   
28       (5)  One staff member from the Department of Budget and
29            Finance to be selected by the Director; and
30   
31       (6)  One staff member from the Hawaii Public Employees
32            Health Fund to be selected by the Administrator of the
33            Hawaii Public Employees Health Fund;
34   
35   and
36   
37       BE IT FURTHER RESOLVED that all members of the Task Force
38   be appointed no later than thirty days after the last day of
39   the Regular Session of 2000, and that the Task Force convene
40   its initial meeting within thirty days after appointment of the
41   last member; and
42   
43       BE IT FURTHER RESOLVED that the Task Force, with the
44   assistance of the Legislative Reference Bureau, submit a
45   progress report of its findings and recommendations to the
46   Legislature no later than twenty days before the commencement
47   of the Regular Session of 2001, and a final report of its
48   findings and recommendations no later than twenty days before
49   the commencement of the Regular Session of 2002; and

 
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                                  H.C.R NO.             
                                                        
                                                        

 
 1       BE IT FURTHER RESOLVED that certified copies of this
 2   Concurrent Resolution be transmitted to the Governor, the
 3   President of the Senate, the Speaker of the House, the
 4   Directors of Finance and Human Services, the Administrator of
 5   the Med-Quest Division, the Acting Director of the Legislative
 6   Reference Bureau, and the Trustees of the Hawaii Public
 7   Employees Health Fund.
 8 
 9 
10 
11                         OFFERED BY:  ____________________________