STAND. COM. REP. NO.2004
RE: S.B. No. 2026
Honorable Robert Bunda
President of the Senate
Twenty-First State Legislature
Regular Session of 2002
State of Hawaii
Your Committee on Health and Human Services, to which was referred S.B. No. 2026 entitled:
"A BILL FOR AN ACT MAKING AN APPROPRIATION FOR INCREASED MEDICAID REIMBURSEMENT,"
begs leave to report as follows:
The purpose of this measure is to provide an appropriation to increase Medicaid and QUEST reimbursements to hospitals and physicians.
Your Committee received testimony in support of the measure from the Hawaii Primary Care Association, Hawaii Medical Service Association, Hawaii Medical Association, and Healthcare Association of Hawaii. Your Committee received testimony against the measure from the Department of Human Services.
Your Committee finds that there is a financial crisis in the health care industry. Health care in Hawaii is financed primarily by Medicare, Medicaid, and health care insurance. In the health care community, it is common knowledge that Medicare and Medicaid payments typically do not cover the actual costs of care. The Medicare Payment Advisory Commission recently recommended an increase in Medicare payments to most providers, saying that cutting payments or keeping them at current levels could jeopardize access to care for the elderly and disabled. This measure in seeking to cover the actual cost of medical services, promotes such access to care.
As affirmed by the record of votes of the members of your Committee on Health and Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2026 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 Health and Human Services,
DAVID MATSUURA, Chair