Bill Text: HI SB1276 | 2012 | Regular Session | Amended
Bill Title: Insurance; Basic Health Program
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2012-07-10 - (S) Act 254, 7/6/2012 (Gov. Msg. No. 1357). [SB1276 Detail]
Download: Hawaii-2012-SB1276-Amended.html
|
THE SENATE |
S.B. NO. |
1276 |
|
TWENTY-SIXTH LEGISLATURE, 2011 |
S.D. 2 |
|
|
STATE OF HAWAII |
H.D. 2 |
|
|
|
|
|
|
|
||
|
|
||
A BILL FOR AN ACT
RELATING TO INSURANCE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that the federal Patient Protection and Affordable Care Act (P.L. 111-148), as amended, permits states to establish a basic health program to provide health benefits to certain low-income individuals who do not qualify for medicaid and who would otherwise be eligible to purchase health insurance through a health insurance exchange. Under the basic health program, states would receive federal subsidies that they must use to finance a portion of the cost of providing health insurance and care for these individuals.
The legislature further finds that, although the intent of the program would be to expand access to health care, there remain a number of unknown factors that may significantly affect the program's ongoing cost to the State and its ability to successfully implement the program. Although federal subsidies are promised to support elements of the basic health program, the amount of moneys available is not clear, nor is it firmly established that the federal government is committed to continuing those subsidies at sustained levels for the long term. To compound the problem further, the federal agency designated to administer the basic health program, to date, has issued no regulations or detailed guidance to the states regarding operation or financing of many aspects of the basic health program.
The implementation of a basic health program in Hawaii
may present opportunities for the State to help provide health insurance for
low-income individuals, but it also may present significant financial risks and
costs to the State both in the short-term and the long-term. The legislature
finds that several other states have already undertaken studies of the
feasibility of implementing a basic health program, and they have reached
inconclusive results due to the many unknown factors involved in operating such
a program. The legislature recognizes that the creation of a basic health
program is an option, not a mandate, for the State. Accordingly, the
legislature finds that the decision to create a basic health program in Hawaii
first deserves careful analysis of the financial costs and benefits to Hawaii, the
effects of the program on other agencies and organizations in the State, and
the delivery of health care as a whole.
The purpose of this Act is to:
(1) Prohibit any state entity from establishing a basic health program, pursuant to the Patient Protection and Affordable Care Act, without legislative authority to do so; and
(2) Authorize the insurance division of the department of commerce and consumer affairs to undertake a study of the feasibility of establishing a basic health program in Hawaii.
SECTION 2. No department, agency, officer, or other entity of the State, administratively or otherwise, shall establish a basic health program, as contemplated by section 1331 of the federal Patient Protection and Affordable Care Act (P.L. 111-148), as amended, without the enactment of state legislation that explicitly authorizes or directs the establishment and operation of such a program.
SECTION 3. (a) The insurance division of the department of commerce and consumer affairs may prepare a comprehensive study on the feasibility of establishing a basic health program in Hawaii that includes but is not limited to an analysis of the:
(1) Financial costs and benefits to the State in the short-term and long-term;
(2) Immediate and ongoing availability of federal funds to support the program;
(3) Options for selecting providers for the program;
(4) Effect of the program on relevant existing health care organizations, programs, and agencies; and
(5) Any other considerations that may affect the overall delivery of health care in Hawaii.
(b) If the insurance division of the department of commerce and consumer affairs chooses to prepare a feasibility study pursuant to subsection (a), it shall submit a report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2013.
SECTION 4. This Act shall take effect upon its approval.
Report Title:
Insurance; Basic health program
Description:
Prohibits any state entity from establishing a basic health program pursuant to the federal Patient Protection and Affordable Care Act without the enactment of authorizing legislation. Authorizes the Insurance Division of DCCA to prepare a feasibility study on the basic health program. (SB1276 HD2)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
