RELATING TO THE TRANSITION OF THE OAHU REGIONAL HEALTH CARE SYSTEM FROM THE HAWAII HEALTH SYSTEMS CORPORATION INTO THE DEPARTMENT OF HEALTH.
Summary
HB1122 would repeal the existing statutory requirement that the Oahu Regional Health Care System be transitioned out of the Hawaii Health Systems Corporation and into the Department of Health. The bill also repeals the related 2021 statutory changes that created the transition framework, including provisions that had altered the governance, budget, personnel, working group, and transition conditions for the Oahu system.
In place of the mandated transfer, the bill would amend Hawaii law to allow HHSC regional systems or facilities to transition into a new legal entity in a broader range of forms, including nonprofit, for-profit, municipal, or public benefit entities, subject to approvals and conditions in existing law. It also requires the Oahu Regional Health Care System and the Department of Health to enter into an agreement by December 31, 2025, for the Oahu system to provide care for low-acuity patients in DOH custody.
Impact
The bill would remove the specific statutory pathway that directed the Oahu Regional Health Care System into the Department of Health and would repeal the associated transition provisions in chapter 323F and related session law amendments. As a result, the Oahu system would remain under HHSC unless changed by other legislation or separate action, and the detailed rules governing transfer of employees, assets, liabilities, board authority, and transition planning would no longer apply. The bill would also revise section 323F-7.6 to broaden the kinds of entities HHSC regional systems may transition into, while preserving existing approval and funding conditions.
Sentiment
Based on the bill text and available context, the measure appears to be a corrective or reversal bill rather than a contested policy expansion: it undoes a prior mandate to move the Oahu system into DOH and replaces it with a more flexible framework. There are no recorded committee transcripts or votes in the provided material, so no direct public debate is available. The overall tone of the bill is administrative and structural, focused on restoring flexibility and clarifying the legal status of the Oahu system.
Contention
The main policy tension is between keeping the Oahu Regional Health Care System within HHSC versus completing a state-agency transition into DOH. Supporters of repeal would likely favor preserving HHSC control and avoiding the operational, labor, and liability complications of transfer, while opponents may prefer the original integration into DOH for coordination of care and state oversight. Another likely point of contention is the new requirement for an agreement on low-acuity patients in DOH custody, which could raise questions about capacity, reimbursement, staffing, and responsibility between the two agencies.
Carry Over
Relating To The Transition Of The Oahu Regional Health Care System From The Hawaii Health Systems Corporation Into The Department Of Health.
Supporting The Reactivation Of The Hawaii Health Authority With Statutory Mandates That Specifically Include The Transition Of The State's Health Insurance Payment System Into A Single-payer Health Care System.
Supporting The Reactivation Of The Hawaii Health Authority With Statutory Mandates That Specifically Include The Transition Of The State's Health Insurance Payment System Into A Single-payer Health Care System.
Requesting The Auditor To Conduct A Social And Financial Assessment Of Proposed Mandatory Health Insurance Coverage For Traditional Native Hawaiian Healing And Cultural Practices Offered Through Federally Qualified Health Centers Or Native Hawaiian Health Care Systems.
Requesting The Auditor To Conduct A Social And Financial Assessment Of Proposed Mandatory Health Insurance Coverage For Native Hawaiian Healing And Cultural Practices Offered Through Federally Qualified Health Centers Or Native Hawaiian Health Care Systems.
Requesting The Hawaii Technology Development Corporation To Initiate The Planning Of A Health Care Technology Hub In Kakaako To Accelerate The Adoption Of Health Care Technology And Promote The Development And Growth Of Hawaii's Highly Skilled Health Care Workforce.