STAND. COM. REP. NO. 350-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1854

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Health, to which was referred H.B. No. 1854 entitled:

"A BILL FOR AN ACT RELATING TO COMMUNITY BEHAVIORAL HEALTH CLINICS,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Establish the Community Behavioral Health Clinics Certifying Office to certify community behavioral health clinics and provide technical assistance for clinics seeking certification;

(2) Establish the Certified Community Behavioral Health Clinics Oversight Board;

(3) Establish the Certified Community Behavioral Health Clinics Special Fund; and

(4) Amend the composition of the Advisory Commission on Drug Abuse and Controlled Substances and State Council on Mental Health to include a member from the Community Behavioral Health Clinics Certifying Office.

Your Committee received testimony in support of this measure from the Department of Health; Department of Human Services; State Council on Mental Health; and two individuals. Your Committee received comments on this measure from the Department of the Attorney General.

Your Committee finds that establishing a statewide certification and oversight framework for certified community behavioral health clinics will strengthen the delivery, coordination, and accountability of mental health and substance use services. Your Committee further finds that creating a certifying office, prospective payment system, and an oversight board will promote consistency, ensure federal compliance, and support equitable access to behavioral health care across the State. This measure will address gaps in services, improve coordination among providers, and support long‑term system sustainability.

Your Committee has amended this measure by:

(1) Clarifying that the criteria for certifying a community behavioral health clinic shall be no less stringent than that required by the federal Substance Abuse and Mental Health Services Administration;

(2) Amending the composition of the Certified Community Behavioral Health Clinics Oversight Board to include a representative from each of the counties who have a lived experience of mental health or substance use issues;

(3) Deleting the Special Fund;

(4) Changing the appropriation to an unspecified amount;

(5) Changing the effective date to July 1, 3000, to encourage further discussion; and

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

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $800,000.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1854, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1854, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

GREGG TAKAYAMA, Chair