STAND. COM. REP. NO. 600________

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1136
                                     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. 1136 entitled: 


begs leave to report as follows:

     The purpose of this bill is to expedite the process of
making safe and less costly generic drugs available to the public
by permitting the Board of Health to designate the Orange Book
and its supplements, published by the Federal Drug
Administration, as the state generic drug formulary.

     The Department of Health and Longs Drugs submitted testimony
in support of this measure, both stating that this measure will
result in substantial savings to both consumers and the State
Medicaid and Med-Quest programs and reduce delays in the delivery
of generic products to the consumer.

     Your Committee has amended this measure by making technical,
nonsubstantive amendments for purposes of style and clarity.

     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. 1136, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B. No.
1136, H.D. 1, and be referred to the Committee on Finance.

                                 STAND. COM. REP. NO. 600________
                                 Page 2

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

                                   RON MENOR, Chair