STAND. COM. REP. NO. 393

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 1938

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

 

Madam:

 

     Your Committee on Human Services and Public Housing, to which was referred S.B. No. 1938 entitled:

 

"A BILL FOR AN ACT RELATING TO HUMAN SERVICES,"

 

begs leave to report as follows:

 

     The purpose of this measure is to eliminate the asset limits for households with minor dependents' applications for medical assistance and appropriates funds for this purpose.

 

     The National Association of Social Workers, Hawaii Women Work, the Hawaii Alliance for Community‑Based Economic Development, and 3Point submitted testimony in support of this measure.  The Department of Human Services submitted comments.

 

     Your Committee finds that asset limits put low‑income families in a position of spending down or depleting their assets to low levels so that they can receive help.  According to the Department of Human Services, the current maximum allowable asset retention limit for adults in both the QUEST and the Fee‑For‑Service Medicaid Program is $2,000 for a single person, $3,000 for a two person household, and an additional $250 for each additional family member in the household.  By spending down or depleting their assets to these low levels, low‑income families are actually prevented from building sufficient assets to move towards self‑sufficiency.  Therefore, the asset limits actually serve as a barrier to escaping poverty as many individuals are forced to choose between attempting to build assets and the need for services.

 

     As affirmed by the record of votes of the members of your Committee on Human Services and Public Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1938 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committee on Human Services and Public Housing,

 

 

 

____________________________

SUZANNE CHUN OAKLAND, Chair