Aloha!

Bills to Audit Medicaid, De-Privatize Medicaid, and start the path towards Universal Healthcare have been introduced, but, they need to be scheduled for a hearing.  Please call the Committee chairs listed below for the DePrivatization bill.  This bill will let the state convert Medicaid into the first step towards a unifying all private health insurance in Hawaii.  However, first, the state needs to reclaim Medicaid from private insurors and replace them with a simplified administrative system.  That 'new system' could in theory, via new bills,  then be utilized as the basis for expanding into all private insurance sectors of Hawaii. 

Party affiliation does not matter.  All that matters is that we demand a public hearing on this bill to De-Privatize Medicaid.

Detailed letter follows at the bottom. 

Zoom presentation by Dr. Stephen Kemble Feb 4 @ 6:00 pm

Medicaid De-privatization Outreach (2026)
Bill: HB 2371
Primary Sponsor: Representative Amy Perruso

Referrals: This bill is referred to a triple committee path in the House.

House Human Services (HSH)
Lisa Marten
repmarten@capitol.hawaii.gov
(808) 586-9450
House Health (HLT)
Gregg Takayama
reptakayama@capitol.hawaii.gov
(808) 586-6340
House Consumer Protection (CPC)
Scot Matayoshi   Priority for calling; needs persuasion. 
repmatayoshi@capitol.hawaii.gov
(808) 586-8470
House Finance (FIN)
Chris Todd  Priority for calling; needs persuasion
reptodd@capitol.hawaii.gov
(808) 586-8480
 
Bill: HB 2144
Primary Sponsor: Representative Gregg Takayama

Referrals: Similar to HB 2371, this follows the House triple referral path.

House Human Services (HSH)
Lisa Marten
repmarten@capitol.hawaii.gov
(808) 586-9450
House Health (HLT)
Gregg Takayama
reptakayama@capitol.hawaii.gov
(808) 586-6340
House Consumer Protection (CPC)
Scot Matayoshi  Priority for calling, needs persuasion. 
repmatayoshi@capitol.hawaii.gov
(808) 586-8470
House Finance (FIN)
Chris Todd  Priority for calling; needs persuasion
reptodd@capitol.hawaii.gov
(808) 586-8480
 
Bill: SB 3306 (Senate Companion)
Primary Sponsor: Senator Jarrett Keohokalole

Referrals: The Senate bill currently has a shorter referral path focused on Health and Finance.

Senate Health & Human Services (HHS)
Joy San Buenaventura
sensanbuenaventura@capitol.hawaii.gov
(808) 586-6890
Senate Ways and Means (WAM)
Donovan Dela Cruz  High priority for calling, needs a lot of persuasion
sendelacruz@capitol.hawaii.gov
(808) 586-6090

HEALTH COMMITTEE

TO: Honorable Committee Chairs and Members of the Hawaii State Legislature 

FROM: Health Committee of the Hawaii Democratic Party DATE: January 30, 2026 

RE: URGENT REQUEST TO SCHEDULE HEARINGS: Medicaid De-privatization--HB2371/ SB3306 and (identical) HB2144; Medicaid Audits--HB 2133/SB3304; and Planning for Universal Healthcare--HB1789/SB3243 or HB2143/SB3305

The Crisis: Administrative Waste vs. Patient Care Hawaii’s healthcare infrastructure is at a breaking point.  Hawaii faces impending federal Medicaid funding cuts, and our current Med-QUEST system is leaking millions of dollars in administrative overhead and waste. Our “risk-bearing” model imposes administrative burdens that have driven doctors out of Medicaid; primary care physicians and psychiatrists available to beneficiaries are now almost non-existent, especially on the neighbor islands. Claims of “network adequacy” by insurers are wildly disconnected from reality.

The Solution, Part One: Medicaid De-Privatization (HB2371/SB3306 and HB2144): These bills would end the shell game where private insurance companies misleadingly categorize administrative waste as "healthcare spending" to manipulate Medical Loss Ratio (MLR) figures.

·         Financial Impact: Transitioning to a non-risk Administrative Services Only (ASO) model—mirroring Connecticut’s successful shift—is estimated to save the State Medicaid budget up to $145 million per year.

·         The Human Cost: By removing “HMO hurdles” and complex coding burdens and using some of the savings from non-risk administration to improve primary care pay, this bill would make Medicaid attractive for physician participation again. The Connecticut experience shows that removing the insurer intermediaries will very substantially improve physician-patient relationships. Doctors should spend their time treating patients, not fighting insurance middlemen for "prior authorizations".

The Solution, Part Two: Accountability & Future-Proofing through Medicaid Auditing (HB 2133/SB3304 preferred; or HB1274/SB1180): These bills would confirm the authority of the State Auditor to conduct rigorous management and financial audits of Medicaid contractors. A real audit would expose widespread administrative waste, flagrantly inflated network adequacy reports, and deceptive and misleading financial accounting by the plans, with almost no real oversight attempted by MedQUEST. It should be emphasized that previously Med-QUEST has denied the need for audits, which we strongly believe was unwarranted. Penalties would cover audit costs and would likely result in substantial financial benefits to the State.

The Solution, Part Three: Universal Healthcare Planning (HB1789/ SB3243, or HB2143/ SB3305): Capturing federal money to support a much more cost-effective healthcare system for Hawaii is not likely under the current federal administration, but maybe in 3-5 years we can rebuild. Planning for universal healthcare will take at least 3 years. These bills would start the process now. A well-designed Hawaii universal healthcare system could save 15-20% or more.

Email for more info:  singlepayerhawaii@gmail.com 

Mahalo!

Dennis Miller