Honolulu, Hawaii

, 2002

RE: S.B. No. 2085

S.D. 1



Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii


Your Committees on Health and Human Services and Commerce, Consumer Protection and Housing, to which was referred S.B. No. 2085 entitled:


beg leave to report as follows:

The purpose of this measure is to amend the laws relating to mental health and alcohol and drug abuse treatment insurance benefits to:

(1) Define "minor" as a an individual under the age of eighteen;

(2) Provide mental illness benefits to minors to the same extent as to an adult;

(3) Include major depression in the definition of "serious mental illness" as applied to minors;

(4) Require benefits for a minor as clinically necessary;

(5) Provide that benefits shall not be provided to minors receiving treatment pursuant to the Felix consent decree;

(6) Allow an insurer, mutual benefit society, or health maintenance organization to require a provider to adhere to standards of care, treatment guidelines, and review techniques for minors; and

(7) Make permanent the current definition of "serious mental illness".

Testimony supporting this measure was received from the Department of Health, Hawaii Psychological Association, HGEA, AFSCME, Local 152, AFL-CIO, Hawaii Psychiatric Medical Association, Equal Insurance Coalition, Mental Health Association in Hawaii, Hawaii Youth Services Network, and one individual. Testimony opposing this measure was received from the Department of Education, Kaiser Permanente, Hawaii Medical Services Association, and Royal State National Insurance Co., Ltd. Comments were submitted by the Department of Commerce and Consumer Affairs, Chamber of Commerce of Hawaii, and Mutual Benefit Association of Hawaii.

Your Committees find that minors are not receiving health care coverage benefits in parity with adults. During the important developmental stages of their lives, minors should receive the mental health and substance abuse treatments they require. This measure affords minors with the necessary health insurance coverage to ensure that they receive the medical treatments they require.

Your Committees have amended this measure by replacing its contents with provisions that require the State to provide mental illness and drug and alcohol dependence treatment benefits for children of state employees identical to the benefits provided to adults under chapter 431M, Hawaii Revised Statutes, with certain exceptions. Treatment benefits shall not be provided for children already receiving treatment by the State in accordance with the Individuals with Disabilities Education Act or Section 504 of Rehabilitation Act of 1973.

As affirmed by the records of votes of the members of your Committees on Health and Human Services and Commerce, Consumer Protection and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2085, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2085, S.D. 1, and be referred to the Committee on Ways and Means.


Respectfully submitted on behalf of the members of the Committees on Health and Human Services and Commerce, Consumer Protection and Housing,