STAND. COM. REP. NO. 1297-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 2837

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 2837, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE OAHU REGIONAL HEALTH CARE SYSTEM, HAWAII HEALTH SYSTEMS CORPORATION,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Temporarily authorize the Oahu Regional Health Care System to oversee the operations and management agreement of the proposed Maui State Veterans Home; and

(2) Establish a timeline and process whereby the permanent ownership and oversight of the operations and management agreement of the proposed Maui State Veterans Home is reassigned to the Maui Regional Health Care System.

Your Committee received testimony in support of this measure from the Department of Defense; Maui Regional Health Care System of the Hawaii Health Systems Corporation; Oahu Region Health Care System of the Hawaii Health Systems Corporation; Hawaii Health Systems Corporation Corporate Board of Directors; Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO; Oahu Veterans Council; and three individuals. Your Committee received comments on this measure from the Department of the Attorney General.

Your Committee finds that veterans have served the country and State with honor, courage, and at great personal sacrifice and family cost. There are approximately one hundred thousand veterans in the State, of which forty-one thousand are aged sixty-five and older.

Your Committee further finds that State Veterans Homes are long-term care facilities that provide nursing home, domiciliary, or adult day care and are owned, operated, and managed by state governments. The United States Department of Veterans Affairs authorized two hundred sixty-eight beds for State Veterans Homes in Hawaii. The Yukio Okutsu State Veterans Home in Hilo, Hawaii has ninety-five beds. The Daniel K. Akaka State Veterans Home on Oahu is under construction and will have one hundred twenty beds. At this time, there is not a State Veterans Home to serve the seven thousand five hundred veterans on Maui.

Your Committee also finds that the Department of Defense is in the process of constructing a State Veterans Home on Maui. However, the Department of Defense does not have the medical expertise for continued operational oversight of a long-term care facility. Accordingly, this measure temporarily transfers the oversight of the State Veterans Home on Maui to the Oahu Regional Health Care System and then permanently transfers the oversight to the Maui Regional Health Care System.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2837, S.D. 2, H.D. 1, and recommends that it be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

MARK M. NAKASHIMA, Chair