STAND. COM. REP. NO. 201-20

Honolulu, Hawaii

, 2020

RE: H.B. No. 1881

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Health, to which was referred H.B. No. 1881 entitled:

"A BILL FOR AN ACT RELATING TO MEDICAL SERVICE BILLING,"

begs leave to report as follows:

The purpose of this measure is to protect patient access to health care by addressing unanticipated medical coverage gaps for patients who receive emergency services from non-participating providers.

Your Committee received testimony in support of this measure from the Department of Commerce and Consumer Affairs Insurance Division, Hawaii Health Systems Corporation, Hawaii Medical Service Association, Hawaii Pacific Health, and one individual. Your Committee received testimony in opposition to this measure from the Hawaii Medical Association, Hawaii American College of Emergency Physicians, and Hawaii Emergency Physicians Associated. Your Committee received comments on this measure from Healthcare Association of Hawaii, Kaiser Permanente Hawaii, and Adventist Health Castle.

Your Committee finds that surprise bills are an unwelcome shock to patients who receive unanticipated or emergency out-of-network health care services from a provider. These surprise bills place significant financial burdens on patients. These financial burdens are especially painful in a State with a high cost of living. Your Committee finds that this measure offers an opportunity to continue the conversation in addressing these surprise billing practices.

Your Committee has amended this measure by:

(1) Amending the billing requirements for emergency services;

(2) Requiring the use of dispute resolution when a dispute exists as to the reimbursement of a nonparticipating provider;

(3) Changing the effective date to July 1, 2050, to encourage further discussion; and

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

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1881, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1881, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

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

____________________________

JOHN M. MIZUNO, Chair