STAND. COM. REP. NO. 1459

Honolulu, Hawaii

, 2023

RE: S.B. No. 1215

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Health & Homelessness, to which was referred S.B. No. 1215, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HEALTHCARE PRECEPTORS,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Improve accessibility for providers to receive income tax credits for acting as preceptors;

(2) Add licensed dietitians, physician assistants, and social workers to the list of preceptors and expand tax credit eligibility by allowing any recognized preceptor to train any eligible students;

(3) Include dietitian students, physician assistant students, and social worker students in the definition of "eligible student"; and

(4) Revise the membership of the Preceptor Credit Assurance Committee to include the Director of Health.

Your Committee received testimony in support of this measure from the Department of Health, University of Hawai‘i System, Hawai‘i State Center for Nursing, Hawai‘i Primary Care Association, Hawai‘i Academy of Physician Assistants, Hawai‘i Association of Professional Nurses, Hawaii Medical Association, Hawai‘i Pacific Health, Kaiser Permanente Hawai‘i, The Queen's Health System, and three individuals. Your Committee received comments on this measure from the Department of Taxation and Tax Foundation of Hawaii.

Your Committee finds that there is a shortage of primary care providers in the State. Your Committee further finds that the healthcare preceptor income tax credit is intended to incentivize volunteer preceptors to offer professional instruction, training, and supervision to students and residents seeking careers as health care providers. However, only a small subset of providers meet the credit's eligibility requirements each year. Additionally, some classes of health care providers, such as licensed dieticians, physician assistants, and social workers, are statutorily ineligible for the tax credit. This measure is intended to increase eligibility for the tax credit by clarifying compensation limits for volunteer-based supervised clinical training rotations and expanding the definition of "preceptor" to include additional medical specialties.

Your Committee has amended this measure by:

(1) Changing the effective date to December 31, 3000, to encourage further discussion; and

(2) 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 & Homelessness that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1215, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1215, S.D. 2, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

DELLA AU BELATTI, Chair