The Hawaii Employees’ Retirement System filed a lawsuit today to block the implementation of the SB2077 override.
On July 20th the State House and Senate voted to override Gov. David Ige’s veto of SB 2077 to preserve the management transfer of three state run Maui hospitals to Kaiser Permanente.
The bill, now a state law, authorizes severance benefits or early retirement incentives for employees who would be directly affected by the impending privatization of state hospital operations on Maui and Lanai.
Last year state lawmakers authorized the privatization of Maui Memorial Medical Center, Kula Hospital & Clinic and Lanai Community Hospital, and the state reached an agreement in January, 2016 to have Kaiser Permanente operate all three.
Lawmakers were concerned that if they did not override the veto, the transfer would be in jeopardy along with the health and safety of Maui residents and visitors.
The hospital transfer would be the largest privatization of public facilities in state history, and Gov. Ige has predicted it will save the state $260 million in hospital subsidies over the next decade.
More information here: http://www.civilbeat.org/2016/08/hawaii-is-suing-itself-over-new-benefits-law/