STAND. COM. REP. NO. 3201

Honolulu, Hawaii

RE: H.B. No. 2215

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Health and Human Services, to which was referred H.B. No. 2215, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO MEDICAID,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Appropriate funds to increase the funding of certain Medicaid home and community-based services, including adult day programs and residential services offered in community care foster family homes and expanded adult residential care homes; and

(2) Require the Department of Human Services to obtain matching funds.

Your Committee received testimony in support of this measure from the Department of Human Services; Disability and Communication Access Board; AARP Hawaiʻi; International Longshore & Warehouse Union Local 1000; Home Healthcare Operators, Hawaiʻi; Sebastian's ARCH LLC; Adult Foster Homecare Association of Hawaii; United Community Healthcare of Hawaii; Community Homecare Association of Hawaii; Alliance of Professional Primary Care Administrators; Alliance of Residential Care Administrators; The Primary Care Providers of Hawaii, Inc.; Community Care Foster Family Home; CMC Kafamilya Adult Foster Home; Adult Foster Homecare Association of Hawaii–Big Island Chapter; and thirty-three individuals.

Your Committee received comments on this measure from one individual.

Your Committee finds that maintaining a connection with family and friends and the ability to continue to visit familiar health care providers is much easier when the State's kupuna can be cared for close to their homes, resulting in a strong demand for community-based care options for the State's kupuna. Your Committee further finds that Medicaid home and community-based service providers face significant wage pressures for registered nurses and certified nursing assistants and are competing with facilities, which are reimbursed at higher rates by Medicaid, and private pay services for the same labor force. This measure increases reimbursement rates for home and community-based services to fairly compensate, retain, and attract home and community-based service providers so they can continue to provide the high-quality care for the State's vulnerable populations that reside in home and community-based settings.

Your Committee has amended this measure by:

(1) Making it effective upon its approval; and

(2) Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

Your Committee notes that this measure, as amended, contains an appropriation for an unspecified amount. Your Committee further notes the Department of Human Services' request in the Executive Budget for $5,750,000 would accomplish the same goals as this measure, and that the Department would prefer that the appropriation be included in the Executive Budget measure, as opposed to this measure.

As affirmed by the record of votes of the members of your Committee on Health and Human Services that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2215, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2215, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________

JOY A. SAN BUENAVENTURA, Chair