CONFERENCE COMMITTEE REP. NO. 50

Honolulu, Hawaii

                 , 2015

RE:    S.B. No. 1117

       S.D. 2

       H.D. 1

       C.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1117, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT MAKING AN EMERGENCY APPROPRIATION TO THE HAWAII HEALTH SYSTEMS CORPORATION,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to make an emergency appropriation to the Hawaii Health Systems Corporation.

     Your Committee on Conference finds that during fiscal year 2015, the Hawaii Health Systems Corporation has been forced to absorb approximately $48,000,000 in unfunded collective bargaining raises that were negotiated by the Administration on the Corporation's behalf.  To deal with this deficit, the Hawaii Health Systems Corporation began implementing its contingency plans, including elimination of 109 vacant positions and 33 filled positions, closure of Maui Memorial's adolescent psychiatry unit, hiring freezes, and aggressive pursuit of attrition savings.

     Your Committee on Conference further finds that an emergency appropriation for the Hawaii Health Systems Corporation is necessary to maintain a stable statewide health care system that is relied upon by residents and visitors of the State.

     Your Committee on Conference has amended this measure by:

     (1)  Inserting an appropriation amount of $15,000,000 for supporting the functions of the Hawaii Health Systems Corporation; and

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

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1117, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1117, S.D. 2, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ DELLA AU BELATTI, Co-Chair	____________________________ JOSH GREEN, Chair
____________________________ SYLVIA LUKE, Co-Chair	____________________________ JILL N. TOKUDA, Co-Chair