STAND. COM. REP. NO.980

Honolulu, Hawaii

, 2003

RE: S.B. No. 1324

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Judiciary and Hawaiian Affairs, to which was referred S.B. No. 1324 entitled:

"A BILL FOR AN ACT RELATING TO CONCILIATION PANELS,"

begs leave to report as follows:

The purpose of this measure is to amend the medical torts law by:

(1) Requiring that claims filed with the Medical Claim Conciliation Panel (MCCP) include a certification that the case was reviewed by a physician and based on that review, the attorney believes the case has merit;

(2) Allowing submission of claims to certified alternative dispute resolution (ADR) programs;

(3) Authorizing litigation only after rejection of the ADR decision or if the claim was not resolved by ADR within twelve months from the date the claim was filed with the ADR program;

(4) Requiring a physician's review certification for litigation;

(5) Tolling the applicable statute of limitations when a claim is filed with an ADR program; and

(6) Reducing the processing time for cases filed with either the MCCP or ADR programs from eighteen to twelve months.

Your Committee received testimony in support of the measure from the Hawaii Medical Association. The Department of Commerce and Consumer Affairs supported the measure and proposed amendments. The Center for Alternative Dispute Resolution supported the intent of the measure but had certain concerns. The Consumer Lawyers of Hawaii opposed the measure.

Your Committee finds that since 1976, medical tort claims against health providers were required to undergo a merit review by the MCCP before the claims could be litigated. Your Committee further finds that a growing number of baseless claims have been filed with the MCCP. The filing of such claims results in increased cost and expenses for health care providers and health care facilities that must defend against the claims. These costs are reflected in higher medical malpractice insurance premiums that in turn, results in higher costs of health care services to the public.

Your Committee further finds that sometimes, the MCCP is not the most appropriate forum to review claims, and allowing other forums for claim resolution is desirable. Based on testimony received, your Committee amended the bill by:

(1) Rewording §671- (a)(1) to allow claimant's attorney to consult with a physician knowledgeable in a closely related medical specialty if the attorney is unable to consult with a physician specializing in the same medical field as the health care professional against whom the claim is made;

(2) Deleting certain qualifications for the specialist physician;

(3) Amending §671- (c) to specify to whom the MCCP may disclose the physician's name;

(4) Extending the deadline for filing the certification of physician consultation (physician certification) after filing a claim with the MCCP from thirty to ninety days;

(5) Rewording the ADR sections and requiring that claimants must first file their claim with the MCCP;

(6) Deleting the requirement that the ADR program must be certified by the Supreme Court of Hawaii, and all references to certified ADR program;

(7) Deleting the provision that ADR decisions are advisory and not binding on the parties;

(8) Authorizing litigation only if a resolution cannot be reached through the ADR process or if the claim has not been resolved after twelve months from the date the claim was filed with the ADR provider; and

(9) Deleting the provision that litigation submitted after the claim was submitted to an ADR program must be accompanied by a physician certification.

As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1324, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1324, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Judiciary and Hawaiian Affairs,

____________________________

COLLEEN HANABUSA, Chair