STAND. COM. REP. NO. 3528

Honolulu, Hawaii

RE: S.C.R. No. 109

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Commerce and Consumer Protection, to which was referred S.C.R. No. 109 entitled:

"SENATE CONCURRENT RESOLUTION URGING THE INSURANCE COMMISSIONER TO STUDY THE POTENTIAL BENEFITS OF EXPANDING THE USE OF MAIL-ORDER PHARMACY IN THE STATE,"

begs leave to report as follows:

The purpose and intent of this measure is to urge the Insurance Commissioner to study the potential benefits of expanding the use of mail-order pharmacy in the State.

Your Committee received testimony in support of this measure from the Insurance Division of the Department of Commerce and Consumer Affairs, Hawaii Medical Service Association, and Hawaii Association of Health Plans.

Your Committee received testimony in opposition to this measure from the Hawaii Pharmacists Association; National Community Pharmacists Association; Molokaʻi Drugs, Inc.; and one individual.

Your Committee received comments on this measure from Walgreens Company.

Your Committee finds that mail-order pharmacy utilization can decrease out of pocket costs for consumers, improve medication adherence, and support health outcomes. Your Committee further finds that many residents of the State face challenges accessing affordable and timely medications, particularly kūpuna, individuals with chronic conditions, and those living in rural or neighbor island communities. This measure would expand access and choice for individuals in the State to obtain medications.

Your Committee has amended this measure by:

(1) Inserting language that urges the Insurance Commissioner to evaluate:

(A) The impact of mail-order pharmacy on community pharmacy sustainability; and

(B) The impact of mail-order pharmacy on rural access to local pharmacies;

(2) Inserting language that urges all applicable state and county agencies to cooperate with requests for data and other assistance from the Insurance Commissioner; and

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

As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 109, as amended herein, and recommends its adoption in the form attached hereto as S.C.R. No. 109, S.D. 1.

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

________________________________

JARRETT KEOHOKALOLE, Chair