Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1074
                                     H.D. 1

Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii


     Your Committee on Consumer Protection and Commerce, to which
was referred H.B. No. 1074 entitled: 


begs leave to report as follows:

     The purpose of this bill is to increase governmental
efficiency and reduce unnecessary state regulation by:

     (1)  Eliminating the Board of Osteopathic Examiners (Board);

     (2)  Assigning the Board's duties to the Board of Medical
          Examiners (BME),

consistent with the recommendations of the Legislative Auditor's
(Auditor) 1992 sunset report.

     The Department of Commerce and Consumer Affairs (DCCA) and
the Legislative Auditor testified in support of this measure.
The Board offered testimony in opposition.

     DCCA stated that its proposal to eliminate the Board was
based in part on reasons first stated in the Auditor's 1992
sunset report 92-24, as well as other factors including:

     (1)  Minimal activity of, and complaints handled by, the

                                 STAND. COM. REP. NO. 720
                                 Page 2

     (2)  Convergence of osteopathy with areas of medicine
          regulated by the BME;

     (3)  Clear licensing standards for osteopaths, allowing
          Board-licensing activities to be undertaken by DCCA
          staff who currently processes physician applications;

     (4)  The opportunity to dispel public misunderstanding of
          osteopaths as alternative health care providers rather
          than as physicians with the same rights and privileges
          as physicians.

DCCA testified that the 1998 Legislature had passed a similar
bill, which would have been enacted into law but for a technical
problem with the measure.

     The Board testified that osteopathy had unique medical
aspects better regulated by other osteopaths.  If this bill were
to move forward, the Board requested that:

     (1)  More than one osteopath be included on the BME; and

     (2)  Language in the bill referring to an osteopathic
          "physician or surgeon" be removed because there is
          currently no delineation between the two.

     Upon consideration of this measure and the testimony
submitted, your Committee has amended this bill by:

     (1)  Adding an additional osteopath to the BME, totaling
          eleven members, resulting in less opportunity for tie

     (2)  Making technical amendments as suggested by the Board;

     (3)  Making other nonsubstantive changes for purposes of
          clarity, consistency, and style.

     As affirmed by the record of votes of the members of your
Committee on Consumer Protection and Commerce that is attached to
this report, your Committee is in accord with the intent and
purpose of H.B. No. 1074, as amended herein, and recommends that
it be referred to the Committee on Finance in the form attached
hereto as H.B. No. 1074, H.D. 1.

                                 STAND. COM. REP. NO. 720
                                 Page 3

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Consumer
                                   Protection and Commerce,

                                   RON MENOR, Chair