Bill > HB713

This bill aims to address the challenges facing home health services in Hawaii by allocating $250,000 for the Department of Human Services to conduct a comprehensive rate study for Medicaid home health services. The legislation highlights the critical nature of home health services, which provide skilled medical care like physical therapy, wound care, and chronic condition management to homebound patients, and underscores the urgent need for this study due to declining reimbursement rates. The bill cites concerning data from the Healthcare Association of Hawaii, which revealed that home health agencies are experiencing significant financial losses, with Medicare-certified agencies losing an average of $1,186 per Medicaid patient and seeing a drop in Medicaid patient treatment from 25% to 16% between 2020 and 2024. Additionally, the high 39% vacancy rate for healthcare positions in home health settings indicates challenges in workforce recruitment and retention, which the rate study aims to help address. By conducting this study, the legislature hopes to create a foundation for future policy decisions that will support the continued delivery of high-quality, accessible home health services to Medicaid recipients in Hawaii, with the appropriated funds to be used in the fiscal year 2025-2026 and the act taking effect on July 1, 2025.

Budget and Finance, Health and Social Services, Housing and Urban Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=713&year=2025