STAND. COM. REP. NO.1566

Honolulu, Hawaii

, 2001

RE: H.B. No. 638

H.D. 1

S.D. 2

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Commerce, Consumer Protection and Housing and Transportation, Military Affairs and Government Operations and Ways and Means, to which was referred H.B. No. 638, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC ASSISTANCE,"

beg leave to report as follows:

The purpose of this measure is to clarify the responsibilities and authority of the Department of Human Services with respect to real property liens and to appropriate funds for respite care services and a welfare safety net program.

The Department of Human Services (DHS) testified in support of the amendments relating to real property liens. The National Association of Social Workers and Affordable Housing and Homeless Alliance testified in support of establishing and making an appropriation for a welfare safety net program.

State law authorizes DHS to place a lien against the real property of public assistance recipients and against medical assistance recipients residing in a health care facility. Presently, the department devotes substantial resources to updating lien amounts, preparing notices of lien, and filing and recording the liens. Your Committees find that these filings are unnecessary, not required of other creditors, and may violate federal confidentiality requirements.

Your Committees further find that the law is ambiguous regarding the applicability of recording, tracking, and accounting procedures as to the different types of liens and prohibits the department from initiating probate proceedings to enforce a lien.

This measure addresses these deficiencies in the law by providing that the department's obligation to update liens is for internal accounting purposes, clarifying procedural requirements, and removing the prohibition against the department's initiation of probate proceedings.

Your Committees have amended this measure by deleting parts II and III of the measure, as received, relating to appropriations for respite care services for family caregivers and a welfare safety net program. Your Committees note that these provisions are contained in S.B. No. 1113, H.D. 1, a measure approved by the House Committees on Human Services and Housing and Finance, and awaiting passage on Third Reading.

As affirmed by the records of votes of the members of your Committees on Commerce, Consumer Protection and Housing and Transportation, Military Affairs and Government Operations and Ways and Means that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 638, H.D. 1, S.D. 1, as amended herein, and recommend that it pass Third Reading in the form attached hereto as H.B. No. 638, H.D. 1, S.D. 2.

 

Respectfully submitted on behalf of the members of the Committees on Commerce, Consumer Protection and Housing and Transportation, Military Affairs and Government Operations and Ways and Means,

____________________________

CAL KAWAMOTO, Chair

____________________________

RON MENOR, Chair

____________________________

BRIAN T. TANIGUCHI, Chair