STAND. COM. REP. NO.  1095-08


Honolulu, Hawaii

                , 2008


RE:   S.B. No. 2542

      S.D. 2

      H.D. 1





Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii




     Your Committees on Health and Human Services & Housing, to which was referred S.B. No. 2542, S.D. 2, entitled:




beg leave to report as follows:


     The purpose of this measure is to ensure that the community health center system remains financially viable and stable in the face of the increasing needs of the population of uninsured and underinsured residents.


     Specifically, this measure establishes a process that enables community health centers and rural health clinics to receive supplemental medicaid payments and seek modifications to their scope of services.  In addition, this measure appropriates funds to adequately pay federally qualified community health centers for direct medical care services for the uninsured.


     Your Committees received testimony in support of this measure from Waikiki Health Center, Kalihi-Palama Health Center, Waimanalo Health Center, Hamakua Health Center, Inc., West Hawaii Community Health Center, Inc., Hawaii Primary Care Association, and Waianae Coast Comprehensive Health Center.  The Department of Human Services and the Department of Health offered comments.


     Your Committees find that community health centers across the State rely heavily upon Med-QUEST and state uninsured funding to support their services.  Community health centers are vitally important to the State's ability to provide health care for all residents.  This measure provides cost-effective support for Hawaii's health care system.


     Your Committees have amended this measure by changing the effective date to January 1, 2050 to promote continued discussion of the matter.


     As affirmed by the records of votes of the members of your Committees on Health and Human Services & Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2542, S.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2542, S.D. 2, H.D. 1, and be referred to the Committee on Finance.


Respectfully submitted on behalf of the members of the Committees on Health and Human Services & Housing,