Hawaii House Bill HB1680

Hawaii 2022 Regular Session

• Introduced: 1/24/22
• Refer: 1/26/22

Caption

Relating To The Hawaii Prepaid Health Care Act's Premium Supplementation Trust Fund.

Impact

The proposed changes would significantly impact the existing laws governing health care benefits for small businesses in Hawaii. By earmarking additional funds from the state’s general revenues to the Premium Supplementation Trust Fund, the bill intends to bolster the financial assistance available. This is crucial as many small business employers struggle to meet health care costs due to their limited size and revenue. Although the fund's historical balance has been minimal, enhancing its appropriations could lead to improved health care access and lower overall costs for employers, thereby fostering a healthier workforce.

Summary

House Bill 1680 addresses the funding mechanisms for the Hawaii Prepaid Health Care Act's Premium Supplementation Trust Fund. The purpose of this bill is to enhance the financial support available to small business employers with less than eight employees who are entitled to benefits under the Hawaii Prepaid Health Care Act. This act was originally established in 1974 and aims to help small businesses provide necessary health care benefits to their employees. By increasing the appropriations to this fund, HB 1680 seeks to ensure sustainability and greater accessibility for small business employers seeking health care reimbursements.

Contention

There may be some contention surrounding the precise funding amounts and long-term viability of the Premium Supplementation Trust Fund. As with any legislative funding initiative, concerns could arise regarding the sustainability of ongoing appropriations from the state's general revenues. Critics of such funding expansions may argue about the implications for other budgetary allocations or the overall state financial health. On the other hand, supporters emphasize the importance of health access for workers in small businesses and urge that without substantial funding, many of these enterprises will struggle to provide adequate health benefits.