REPORT TITLE:
$$, Hana Comm. Health Center


DESCRIPTION:
Makes appropriations of $995,720 for FY 1998-1999 and $995,720
for FY 1999-2000, to assist Hana community health center to meet
operational expenses.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        
THE SENATE                              S.B. NO.           992
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

MAKING AN APPROPRIATION FOR THE HANA COMMUNITY HEALTH CENTER.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  The legislature finds that Act 263, Session Laws
 
 2 of Hawaii 1996, mandated the transfer of the Hana medical center
 
 3 to the Hana community health center, a nonprofit organization
 
 4 with a guarantee of state financial support as needed.  The
 
 5 legislature further finds that the Hana community health center
 
 6 continues to operate as the only licensed medical facility
 
 7 serving the isolated rural East Maui community.  Therefore, it is
 
 8 critical that the Hana community health center continue to
 
 9 provide the broad range of basic and essential services for area
 
10 residents, who would otherwise be faced with seeking services
 
11 located in central Maui, which is more than a two-hour drive from
 
12 the Hana district.
 
13      The legislature further finds that pursuant to the transfer,
 
14 the Hana community health center and the Hawaii health systems
 
15 corporation negotiated a subsidy agreement of $764,820, which
 
16 included a clause indicating that Hana community health center
 
17 could request additional financial assistance based upon actual
 
18 costs.  This clause was specifically included within the
 

 
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                                     S.B. NO.           992
                                                        
                                                        

 
 1 agreement based upon a mutual understanding that the subsidy
 
 2 amount might not be sufficient to cover unanticipated costs at
 
 3 Hana community health center, such as pre-hospital emergency
 
 4 medical services.  However, in an October 1997 letter from the
 
 5 Hawaii health systems corporation, the Hana community health
 
 6 center was advised that the negotiated subsidy was being reduced
 
 7 by $34,000 based upon a reduction in funding of forty-eight per
 
 8 cent being imposed upon the Hana community health center.  This
 
 9 reduction seriously jeopardizes the continued operations of the
 
10 Hana community health center, as its actual operating expenses
 
11 are already exceeding its projections based upon an increased
 
12 patient volume of twenty-six per cent between July 1 and
 
13 October 31, 1997.  This increase in patient volume is due to an
 
14 overall improvement in the level and quality of services being
 
15 provided by the Hana community health center.
 
16      The purpose of this Act is to restore to the Hana community
 
17 health center adequate funding to maintain its operations during
 
18 the coming fiscal biennium and thereby comply with the negotiated
 
19 agreement and promise of state financial assistance.
 
20      SECTION 2.  There is appropriated out of the general
 
21 revenues of the State of Hawaii the sum of $995,720, or so much
 
22 thereof as may be necessary for fiscal year 1998-1999, for
 

 
 
 
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                                     S.B. NO.           992
                                                        
                                                        

 
 1 emergency operational expenses for the Hana community health
 
 2 center.
 
 3      SECTION 3.  There is appropriated out of the general
 
 4 revenues of the State of Hawaii the sum of $995,720, or so much
 
 5 thereof as may be necessary for fiscal year 1999-2000, for
 
 6 operational expenses for the Hana community health center.
 
 7      SECTION 4.  The sums appropriated in Section 2 and Section 3
 
 8 shall be expended by the department of health for the purposes of
 
 9 this Act.
 
10      SECTION 5.  This Act shall take effect on July 1, 1999,
 
11 provided that Section 2 shall take effect retroactive to July 1,
 
12 1998.
 
13 
 
14 
15                           INTRODUCED BY:  _______________________