STAND. COM. REP. NO. 2988

Honolulu, Hawaii

RE: S.B. No. 2088

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committees on Ways and Means and Commerce and Consumer Protection, to which was referred S.B. No. 2088, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HEALTH CARE PLANS FOR WORKERS,"

beg leave to report as follows:

The purpose and intent of this measure is to preserve affordable access to essential medical services for nontraditional workers.

Specifically, this measure:

(1) Requires the Department of Labor and Industrial Relations, in consultation with the Insurance Commissioner, to establish a five-year voluntary Nontraditional Workforce Portable Health Care Benefit Plan Pilot Program to offer high-deductible health plans or catastrophic health plans to workers not covered by the Hawaii Employer-Union Health Benefits Trust Fund or the Prepaid Health Care Act; and

(2) Appropriates moneys to develop and implement the Nontraditional Workforce Portable Health Care Benefit Plan Pilot Program.

Your Committees received written comments in support of this measure from the Hawaii Primary Care Association and Hawaii Medical Association.

Your Committees received written comments on this measure from the Insurance Division of the Department of Commerce and Consumer Affairs, University of Hawaii Professional Assembly, and Hawaii Medical Service Association.

Your Committees find that certain nontraditional workers, including certain part-time employees, independent contractors, and self-employed individuals, who constitute a growing portion of Hawaii's workforce, rely on private or federally subsidized health insurance. Your Committees further find that the passage of the federal "One Big Beautiful Bill Act," Public Law 119-21, may jeopardize the ability of these workers to obtain affordable health insurance through federal programs such as Medicaid. Accordingly, this measure establishes a health insurance framework for these nontraditional workers to continue to have affordable access to essential medical services.

As affirmed by the records of votes of the members of your Committees on Ways and Means and Commerce and Consumer Protection that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2088, S.D. 1, and recommend that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committees on Ways and Means and Commerce and Consumer Protection,

________________________________ JARRETT KEOHOKALOLE, Chair

________________________________ DONOVAN M. DELA CRUZ, Chair