Gov. David Ige on Tuesday intervened in legislation that would allow Maui hospitals to enter public-private partnerships — an initiative that could break the waves for a similar partnership at Kona Community Hospital.
Gov. David Ige on Tuesday intervened in legislation that would allow Maui hospitals to enter public-private partnerships — an initiative that could break the waves for a similar partnership at Kona Community Hospital.
Ige said in a press conference in Honolulu Tuesday that the House and Senate had agreed to his request that they take up House Bill 1075 in conference — an unusual move on the part of the governor that came as the House of Representatives was poised to approve Senate changes, and final approval of the bill was pending. Ige asked to meet with the bill’s sponsor, House Speaker Joseph Souki of Maui, but was vague about his concerns while emphasizing the importance of moving forward with privatization.
“We agreed we need to move forward with a public-private partnership in order to move our hospitals forward,” Ige said, flanked by Senate and House leadership. “We have agreed to work together to get the best product for Hawaii.”
Pressed by reporters to reveal his concerns with the bill, Ige repeatedly turned aside questions about specifics of how the bill would be executed and how it would effect lay-offs, saying all those issues would be discussed going forward.
Souki and Senate President Donna Mercado Kim said they welcomed Ige’s involvement.
The bill would allow Maui hospitals to enter a partnership with Hawaii Pacific Health, an initiative that is designed to staunch $43 million in annual losses at Maui Memorial Medical Center alone. If passed, the initiative is sure to be closely watched by other hospitals within the state’s public safety net that are also bleeding red.
Asked by reporters why the bill seemed to favor Hawaii Pacific Health, Souki said there is nothing in the bill that limits the partnership opportunity to a particular vendor.
“No bidders are precluded,” Souki said. “The bill merely sets a framework for the transition.”
Senate President Donna Mercado Kim acknowledged that legal challenges by labor unions are possible, which is why lawmakers are working to craft a strong bill, she said.
The Hawaii Government Employees Association is the chief opponent of the measure.
“HGEA believes it is bad public policy to privatize the state’s safety net hospital system. We continue to call for financial and management audits to improve the system from within,” HGEA executive director Randy Perreira said in an email statement to West Hawaii Today.
“We are deeply concerned about what will happen to the approximately 900 HGEA nurses and other staff who work in the Maui region along with several hundred other public workers if the system is turned over to a private operator,” Perreira said.
Sen. Josh Green, D-Kona, Ka‘u, plans to introduce legislation next session urging Big Island hospitals to enter similar discussions for partnerships.