STAND. COM. REP. NO. 40-22

Honolulu, Hawaii

, 2022

RE: H.B. No. 1579

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Health, Human Services, & Homelessness, to which was referred H.B. No. 1579 entitled:

"A BILL FOR AN ACT RELATING TO THE DEPARTMENT OF HEALTH,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Extend the date by which the transfer of the Oahu Regional Health Care System facilities from the Hawaii Health Systems Corporation to the Department of Health is to be completed from December 31, 2022, to December 31, 2023;

(2) Set the proper manner by which the Oahu Regional Health Care System should seek operational funding during the transition process;

(3) Grant the transition working group certain exemptions to enable it to expeditiously carry out its responsibilities; and

(4) Appropriate funds to formulate and execute a comprehensive business and transition plan.

Your Committee received testimony in support of this measure from the University of Hawai‘i System and United Public Workers, AFSCME Local 646, AFL-CIO. Your Committee received comments on this measure from the Department of Health, Department of Budget and Finance, Office of Information Practices, Oahu Region Hawaii Health Systems Corporation, and Hawaii Health Systems Corporation.

Your Committee finds that Act 212, Session Laws of Hawaii 2021, requires the transfer of the Oahu Region Health Care System facilities from the Hawaii Health Systems Corporation to the Department of Health to be completed by December 31, 2022. Your Committee further finds that due to the complex nature of the transfer and the diversion of the Department of Health's focus to other pressing issues, additional time is needed to complete this transfer.

Your Committee has amended this measure by:

(1) Requiring the transition working group to submit an additional report to the Legislature no later than twenty days prior to the Regular Session of 2023;

(2) Clarifying that the reason for the exemption from chapter 92, Hawaii Revised Statutes, granted to the working group is to protect patient privacy and the confidentiality of prospective bidders;

(3) Changing the effective date to July 1, 2060, 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, Human Services, & Homelessness that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1579, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1579, 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, Human Services, & Homelessness,

____________________________

RYAN I. YAMANE, Chair