STAND. COM. REP. NO.791

Honolulu, Hawaii

, 2001

RE: S.B. No. 1058

S.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 1058 entitled:

"A BILL FOR AN ACT RELATING TO THE PUBLIC EMPLOYEES HEALTH FUND,"

begs leave to report as follows:

The purpose of this measure is to require that the amount ported to the employee organizations for health benefit plans and group life insurance be based on the most cost effective plan that provides the same level of benefits for participants in the plans of the Public Employees Health Fund.

This measure clarifies the employer's authority to audit the employee organization plans and requires employee organizations to return the employer's share of refunds from their insurance carriers to the Public Employees Health Fund.

Your Committee received testimony in support of this measure from the Department of Budget and Finance. The HGEA-AFSCME, Local 152 AFL-CIO, and the UPW, AFSCME, Local 646 AFL-CIO testified in opposition. The Public Employees Health Fund provided neutral testimony.

Upon further consideration, your Committee has amended this measure by:

(1) Changing the effective date to July 1, 2050, to make it defective in order to promote continuing discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity and style.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1058, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1058, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair