STAND. COM. REP. NO. 1342-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2326
                                     S.D. 1
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committees on Labor and Public Employment and Finance,
to which was referred S.B. No. 2326, S.D. 1, entitled: 

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

beg leave to report as follows:

     The purpose of this measure is to allow the Public Employees
Health Fund the flexibility to port the Medicare Part B
reimbursements of retiree beneficiaries who subscribe to an
employee organization health plan to that employee organization
health plan instead of to the Public Employees Health Fund's own
plan.

     Testimony in support of this measure was submitted by the
Hawaii State Teachers Association.  Testimony commenting on this
measure was submitted by the Hawaii Public Employees Health Fund.

     Your Committees have amended this bill by leaving the
effective date blank to facilitate discussion.

     As affirmed by the records of votes of the members of your
Committees on Labor and Public Employment and Finance that are
attached to this report, your Committees are in accord with the
intent and purpose of S.B. No. 2326, S.D. 1, as amended herein,
and recommend that it pass Second Reading in the form attached
hereto as S.B. No. 2326, S.D. 1, H.D. 1, and be placed on the
calendar for Third Reading.

 
 
 
                                 STAND. COM. REP. NO. 1342-00
                                 Page 2

 
                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Labor and Public
                                   Employment and Finance,

                                   
                                   
                                   
                                   
______________________________     ______________________________
DWIGHT Y. TAKAMINE, Chair          TERRY NUI YOSHINAGA, Chair