STAND. COM. REP. NO. 635-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 2323

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 Labor, to which was referred H.B. No. 2323 entitled:

"A BILL FOR AN ACT RELATING TO THE WORKERS' COMPENSATION LAW,"

begs leave to report as follows:

The purpose of this measure is to amend the workers' compensation law to:

(1) Repeal outdated mail and triplicate form requirements;

(2) Clarify how physicians may transmit treatment plans to employers; and

(3) Require electronic submission of various reports to the Director of Labor and Industrial Relations.

Your Committee received testimony in support of this measure from the Department of Labor and Industrial Relations; Department of Human Resources Development; Hawaii Insurers Council; University of Hawaii Professional Assembly; Hawaii Medical Association; American Property Casualty Insurance Association; Aloha Billing Company; and Work Injury Medical Association of Hawaii.

Your Committee finds that the Department of Labor and Industrial Relations' Disability Compensation Division now operates a modern cloud-based platform that provides users with immediate access to claims information and real‑time status updates. Your Committee further finds that moving all filings to electronic submission is necessary to ensure that the workers' compensation system functions efficiently, supports timely decision‑making, and upholds consistent and transparent service for injured workers and employers. Your Committee believes that requiring employers to submit documents electronically will streamline claims handling, reduce delays, and strengthen the Department's ability to deliver prompt medical care and benefits.

Your Committee has amended this measure by:

(1) Deleting the provisions related to how physicians may transmit treatment plans to employers;

(2) Deleting provisions related to when a treatment plan is deemed received by an employer;

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

(4) 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 Labor that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2323, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2323, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

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

____________________________

JACKSON D. SAYAMA, Chair