STAND. COM. REP. NO.727

Honolulu, Hawaii

, 2003

RE: S.B. No. 789

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 Ways and Means, to which was referred S.B. No. 789 entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC EMPLOYEE HEALTH BENEFITS,"

begs leave to report as follows:

The purpose of this measure is to extend from July 1, 2003 to July 1, 2004 the switch over from the Public Employees Health Fund to the Hawaii Employer-Union Health Benefits Trust Fund.

Furthermore, this measure appropriates additional funds to the Department of Budget and Finance for the upcoming fiscal year to facilitate the transition.

Your Committee finds that Act 88, Session Laws of Hawaii 2001, establishes the Hawaii Employer-Union Health Benefits Trust Fund, repeals the Public Employees Health Fund, and transfers all positions, employees, appropriations, and assets from the one fund to the other effective July 1, 2003.

Your Committee intends to pass this measure along as a back-up plan in case problems arise that will prevent the Hawaii Public Employees Health Fund from starting on time. Your Committee does not intend to delay the Hawaii Public Employees Health Fund. Specifically, this measure will allow the Hawaii Public Employees Health Fund to contract for health and life insurance benefits from July 1, 2003, to July 1, 2004.

Your Committee has amended this measure by changing the effective date from June 30, 2003 to June 30, 2053 in order to promote continued discussion of the matter.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 789, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 789, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair