STAND. COM. REP. NO. 416

Honolulu, Hawaii

, 2023

RE: H.B. No. 1341

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committees on Human Services and Health & Homelessness, to which was referred H.B. No. 1341 entitled:

"A BILL FOR AN ACT RELATING TO MEDICAID,"

beg leave to report as follows:

The purpose of this measure is to appropriate funds for the achievement of full funding, including estimated payment increases, of Medicaid Home and Community-Based Services.

Your Committees received testimony in support of this measure from the Hawaii Substance Abuse Coalition, AARP Hawai‘i, Big Island Adult Foster Home Operators, ILWU Local 1000, Adult Foster Homecare Association of Hawaii, Untied Caregivers of Hawaii, Community Homecare Association of Hawaii, Alliance of Professional Primary Care Administrators, Providers Helping Hands of Hawaii, and fifteen individuals. Your Committees received comments on this measure from the Department of Human Services.

Your Committees find that for many in need of long-term care, Medicaid is their safety net coverage if they are unable to pay out of pocket or lack private long-term care insurance. Home and community-based setting providers offer cost-effective high quality services and support individuals' preferences to age in place.

Your Committees further find that the Department of Human Services' Med-QUEST Division completed a study of home and community-based rates paid for Community Care Foster Family Homes, Expanded Adult Residential Care Homes, and other home and community-based services. The Med-QUEST Division contracted an actuarial firm for a wide range of services and to conduct the study and issued a final report on the study in December 2022. This measure is intended to fund the estimated rate increases proposed in the study, which will help improve overall access to care for all people served in home and community-based settings in the State.

Your Committees have amended this measure by:

(1) Changing the appropriation to an unspecified amount;

(2) Changing the effective date to June 30, 3000, to encourage further discussion; and

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

Your Committees respectfully request your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $30,210,000.

As affirmed by the records of votes of the members of your Committees on Human Services and Health & Homelessness that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1341, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1341, H.D. 1, and be referred to your Committee on Finance.

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

____________________________ DELLA AU BELATTI, Chair

____________________________ JOHN M. MIZUNO, Chair