STAND. COM. REP. NO. 596

Honolulu, Hawaii

, 2023

RE: H.B. No. 786

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 Human Services, to which was referred H.B. No. 786 entitled:

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

begs leave to report as follows:

The purpose of this measure is to appropriate funds to the Med-QUEST Division of the Department of Human Service for non-covered or under-covered behavioral health services for Med-QUEST beneficiaries.

Your Committee received testimony in support of this measure from the Hawaii Disability Rights Center; Hawai‘i Health & Harm Reduction Center; Hawaii Substance Abuse Coalition; Hawai‘i Association for Behavior Analysis; BAYADA Behavioral Health; Behavior Analysis No Ka Oi, Inc.; The Council of Autism Service Providers; Associated Students of the University of Hawai‘i at Mānoa; and thirteen individuals. Your Committee received comments on this measure from the Department of Human Services.

Your Committee finds that although Med-QUEST covers standard behavioral health services for all Medicaid beneficiaries, some services, such as applied behavior analysis, are not covered or are under-covered. Your Committee further finds that the COVID-19 pandemic negatively impacted people's mental health. At the same time, the number of enrollees in Medicaid has increased exponentially. This measure is intended to increase access to mental health services by closing the Medicaid coverage gap, which will benefit low-income patients and the under-resourced health care providers who support them.

Your Committee notes that in 2022, the Med-QUEST Division of the Department of Human Services identified several behavioral health services that Medicaid typically cannot cover. However, the federal Centers for Medicare and Medicaid Services has recently approved several states' 1115 Demonstration Waivers that include certain behavioral health services that previously had never been authorized. Your Committee also notes that the Med-QUEST Division will be starting Hawaii's 1115 Demonstration Waiver renewal process soon and will have the opportunity to request to incorporate some, but not all, of these behavioral health services at that time.

Your Committee has amended this measure by:

(1) Amending the preamble;

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

(3) 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 Human Services that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 786, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 786, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Human Services,

____________________________

JOHN M. MIZUNO, Chair