HB7,SD1,CD1 - Single Payer Universal Health Insurance.doc

HOUSE OF REPRESENTATIVES

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HAWAII SILVER LEGISLATURE, 2005

S.D. 1

STATE OF HAWAII

C.D. 1

H.B. NO.

A BILL FOR AN ACT

RELATING TO THE ESTABLISHMENT OF A SINGLE PAYER UNIVERSAL HEALTH

INSURANCE SYSTEM.

BE IT ENACTED BY THE SILVER LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The Silver Legislature finds that it is in the

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best interest of the State for every individual to have high

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quality and affordable healthcare insurance coverage.

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Healthcare is more than just medical insurance pay-outs; it

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includes cost-saving preventive and early intervention measures

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to prohibit medical conditions from becoming chronic.

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Hawaii’s current healthcare industry is a costly,

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inefficient, and unnecessarily complex multi-payer private

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medical insurance model that is profit-driven, adversarial (with

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constant cost-shifting and reluctant healthcare delivery,) and

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economically irrational. Additionally, healthcare rates are

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skyrocketing at double-digit levels and are creating an

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affordability and accessibility crisis for Hawaii’s residents.

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The Silver Legislature further finds that Canada has a

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universal healthcare social insurance model with one pay-out

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agency. This system is beneficial for the following reasons:

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(1)

For union members it means taking healthcare off the

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negotiating table.

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(2)

For patients it means significant reductions in costs,

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increases in benefits, and reductions in inflation.

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(3)

For businesses, large and small, it reduces

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significant overhead expenses.

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HB7,SD1,CD1 - Single Payer Universal Health Insurance.doc

(4)

For the local economy and government it means keeping

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almost all healthcare dollars in the State.

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(5)

For physicians it means less paperwork and much more

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time with patients.

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(6)

For hospitals and community health clinics it means

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sufficient and dependable annual financing through

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global budgets.

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(7)

For the general public it means accessible and

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affordable healthcare.

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The purpose of this Act is to create a unified, single-

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payer universal healthcare system covering all Hawaii of

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residents, similar to that of Canada.

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SECTION 2. There is established a single-payer universal

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healthcare system. An elected 7-member semi-independent Hawaii

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Healthcare Financing Board (HHFB) shall be established to set

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policy and oversee the planning, financing, and accounting for

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the pay-outs from Hawaii’s single-payer healthcare-for-all

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system.

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The HHFB shall have the authority to:

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(1)

Receive all federal, state, and other appropriate

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healthcare revenue.

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(2)

Assess a temporary progressive income surtax for

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HHFB start-up and emergency costs as necessary.

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(3)

Be the single-payer of universal healthcare

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financing (the one payout agency) for Hawaii.

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(4)

Hire a chief executive officer who will be

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accountable for the development and success of

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the single-payer universal healthcare system.

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SECTION 3. There is appropriated out the General Revenues

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$2,925,000 for the purposes of this Act.

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SECTION 4. This Act shall take effect on July 1, 2006.

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