STAND. COM. REP. 764-04

Honolulu, Hawaii

, 2004

RE: H.B. No. 1374

H.D. 2

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1374, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO WORKERS' COMPENSATION,"

begs leave to report as follows:

The purpose of this bill is to amend Hawaii's workers' compensation statute to:

(1) Authorize the Insurance Fraud Investigations Unit of the Department of Commerce and Consumer Affairs (DCCA) to investigate and prosecute workers' compensation fraud related to self-insured employers;

(2) Facilitate the fair and reasonable investigation and prosecution of workers' compensation fraud; and

(3) Provide that a party who successfully investigates fraud may receive part of the administrative penalties assessed against the guilty party.

The Department of Human Resources Development, Chamber of Commerce of Hawaii, National Federation of Independent Business-Hawaii, Hawaii Employers' Mutual Insurance Company, Inc., and Iron Workers Stabilization Fund supported this bill. The Department of Labor and Industrial Relations supported this bill with proposed amendments. An individual supported the intent of the measure.

The Hawaii Government Employees Association, ILWU Local 142, and Hawaii State AFL-CIO opposed this bill. DCCA and Hawaii Insurers Council submitted comments.

Your Committee has amended this bill in the interest of fair play and to remedy a defect on the effective date.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1374, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1374, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

 

____________________________

DWIGHT Y. TAKAMINE, Chair