RELATING TO WORKERS' COMPENSATION.

Healthcare Labor

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: MATAYOSHI, CHUN, KEOHOKAPU-LEE LOY, KITAGAWA, LEE, M., SAYAMA, TARNAS, TODD
Last action: 2026-04-02
Official status: Received notice of the discharge of all House Conferees (Hse. Com. No. 457).
Effective date: Not listed

Plain English Breakdown

The effective date of July 1, 2050 is mentioned in both the official summary and text.

Workers' Compensation Changes

This bill allows doctors to order functional capacity exams without employer permission and lets occupational and physical therapists perform these exams.

What This Bill Does

Doctors can now ask for a functional capacity exam when they think it's needed, even if the boss doesn't agree first.
Occupational and physical therapists are allowed to do these exams too.
The doctor must tell the employer about the exam at least seven days before it happens.
After the exam, the therapist gives a report to both the doctor and the employer within two weeks.
Employers have to pay for the functional capacity exams when doctors order them.

Who It Names or Affects

Injured workers who need these exams
Doctors treating injured workers
Occupational and physical therapists
Employers of injured workers

Terms To Know

Functional Capacity Exam: Tests that check how well an injured worker can do their job tasks after getting better.
Attending Physician: The doctor who is in charge of treating the injured worker.

Limits and Unknowns

This bill will not take effect until July 1, 2050.
It's unclear how many employers and workers this change will affect right away.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HD1

Hawaii published version HD1

Plain English: This amendment allows attending physicians to request functional capacity exams without needing employer approval, speeds up the process for injured workers, and qualifies occupational therapists and physical therapists to perform these exams.

Attending physicians can now request a functional capacity exam without getting permission from the employer first.
Employers must pay for the functional capacity exams requested by attending physicians.
Occupational therapists and physical therapists are now qualified to conduct functional capacity exams.

The amendment specifies an effective date of July 1, 3000, which seems incorrect or a placeholder and is not explained further in the provided text.

SD1

Hawaii published version SD1

Plain English: This amendment allows attending physicians to request functional capacity examinations without needing employer approval, speeds up the examination process, and qualifies certain healthcare providers to perform these exams.

Attending physicians can now request a functional capacity examination for an injured worker without getting permission from the employer first.
Licensed occupational therapists and physical therapists are qualified to conduct functional capacity examinations.
Employers must pay for the fees related to these examinations when requested by attending physicians.

The exact date of implementation is set for July 1, 2050, which seems far in the future and might change before then.

Bill History

2026-04-02 S
Received notice of the discharge of all House Conferees (Hse. Com. No. 457).
2026-04-01 H
House Conferee(s) discharged.
2026-03-20 H
Received notice of all Senate conferees being discharged (Sen. Com. No. 409).
2026-03-20 S
Senate Conferee(s) discharged.
2025-12-08 D
Carried over to 2026 Regular Session.
2025-04-25 H
Conference Committee Meeting will reconvene on Friday, 04-25-25 at 5:29PM in Conference Room 325.
2025-04-25 H
Conference Committee Meeting will reconvene on Friday, 04-25-25 at 4:30PM in Conference Room 325.
2025-04-25 H
Conference Committee Meeting will reconvene on Friday, 04-25-25 at 2:30PM in Conference Room 016.
2025-04-24 H
Conference Committee Meeting will reconvene on Friday 04-25-25 10:00AM in conference room 016.
2025-04-23 H
Conference Committee Meeting will reconvene on Thursday 04-24-25 10:00AM in conference room 016.
2025-04-22 H
Conference Committee Meeting will reconvene on Wednesday 04-23-25 10:01AM in conference room 016.
2025-04-21 H
Conference Committee Meeting will reconvene on Tuesday 04-22-25 10:01AM in conference room 016.
2025-04-17 H
Bill scheduled for Conference Committee Meeting on Monday, 04-21-25 10:00AM in conference room 016.
2025-04-15 H
Received notice of Senate conferees (Sen. Com. No. 790).
2025-04-15 S
Senate Conferees Appointed: Aquino Chair; Keohokalole, Kanuha Co-Chairs; Fevella.
2025-04-15 S
Received notice of appointment of House conferees (Hse. Com. No. 732).
2025-04-14 H
House Conferees Appointed: Sayama, Matayoshi, Lee, M. Co-Chairs; Kapela, Reyes Oda.
2025-04-11 S
Received notice of disagreement (Hse. Com. No. 704).
2025-04-10 H
House disagrees with Senate amendment (s).
2025-04-08 H
Returned from Senate (Sen. Com. No. 646) in amended form (SD 1).
2025-04-08 S
Report adopted; Passed Third Reading. Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House.
2025-04-04 S
One Day Notice 04-08-25.
2025-04-04 S
Reported from CPN/WAM (Stand. Com. Rep. No. 1798) with recommendation of passage on Third Reading.
2025-04-02 S
The committee(s) on WAM recommend(s) that the measure be PASSED, UNAMENDED. The votes in WAM were as follows: 13 Aye(s): Senator(s) Dela Cruz, Moriwaki, Aquino, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Lee, C., Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.
2025-04-02 S
The committee(s) on CPN recommend(s) that the measure be PASSED, UNAMENDED. The votes in CPN were as follows: 5 Aye(s): Senator(s) Keohokalole, Fukunaga, McKelvey, Richards, Awa; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.
2025-03-27 S
The committee(s) on CPN/WAM will hold a public decision making on 04-02-25 10:00AM; Conference Room 211 & Videoconference.
2025-03-18 S
Report adopted; Passed Second Reading, as amended (SD 1) and referred to CPN/WAM.
2025-03-18 S
Reported from LBT (Stand. Com. Rep. No. 1100) with recommendation of passage on Second Reading, as amended (SD 1) and referral to CPN/WAM.
2025-03-12 S
The committee(s) on LBT recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in LBT were as follows: 4 Aye(s): Senator(s) Aquino, Lee, C., Ihara, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Moriwaki.
2025-03-10 S
The committee(s) on LBT deferred the measure until 03-12-25 3:01PM; Conference Room 224 & Videoconference.
2025-03-07 S
The committee(s) on LBT has scheduled a public hearing on 03-10-25 3:00PM; Conference Room 224 & Videoconference.
2025-03-04 S
Referred to LBT, CPN/WAM.
2025-03-04 S
Passed First Reading.
2025-03-04 S
Received from House (Hse. Com. No. 107).
2025-02-28 H
Passed Third Reading with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Pierick, Templo, Ward excused (4). Transmitted to Senate.
2025-02-28 H
Reported from FIN (Stand. Com. Rep. No. 911), recommending passage on Third Reading.
2025-02-21 H
The committee on FIN recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 12 Ayes: Representative(s) Yamashita, Takenouchi, Grandinetti, Holt, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lamosao, Miyake, Templo, Reyes Oda; Ayes with reservations: none; 0 Noes: none; and 4 Excused: Representative(s) Lee, M., Morikawa, Alcos, Ward.
2025-02-19 H
Bill scheduled to be heard by FIN on Friday, 02-21-25 10:00AM in House conference room 308 VIA VIDEOCONFERENCE.
2025-02-12 H
Report adopted; referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Sayama, Ward excused (3).
2025-02-12 H
Reported from CPC (Stand. Com. Rep. No. 525), recommending referral to FIN.
2025-02-06 H
The committee on CPC recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 10 Ayes: Representative(s) Matayoshi, Chun, Ilagan, Ichiyama, Iwamoto, Kong, Lowen, Marten, Tam, Pierick; Ayes with reservations: none; Noes: none; and Excused: none.
2025-02-04 H
Bill scheduled to be heard by CPC on Thursday, 02-06-25 2:00PM in House conference room 329 VIA VIDEOCONFERENCE.
2025-01-30 H
Passed Second Reading as amended in HD 1 and referred to the committee(s) on CPC with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Ward excused (2).
2025-01-30 H
Reported from LAB (Stand. Com. Rep. No. 11) as amended in HD 1, recommending passage on Second Reading and referral to CPC.
2025-01-28 H
The committee on LAB recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 6 Ayes: Representative(s) Sayama, Lee, M., Garrett, Kapela, Kong, Reyes Oda; Ayes with reservations: none; Noes: none; and Excused: none.
2025-01-24 H
Bill scheduled to be heard by LAB on Tuesday, 01-28-25 9:00AM in House conference room 309 VIA VIDEOCONFERENCE.
2025-01-21 H
Referred to LAB, CPC, FIN, referral sheet 2
2025-01-21 H
Introduced and Pass First Reading.
2025-01-17 H
Pending introduction.

Official Summary Text

RELATING TO WORKERS' COMPENSATION.
Workers' Compensation; Functional Capacity Examination; Occupational Therapy; Physical Therapy
Authorizes an attending physician to request a functional capacity examination and refer an injured employee for the examination without first obtaining permission from the employee's employer. Allows licensed occupational and physical therapists to be deemed qualified to perform functional capacity examinations. Effective 7/1/2050. (SD1)

Current Bill Text

Read the full stored bill text

HB480

HOUSE OF REPRESENTATIVES

H.B. NO.

480

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to workers' compensation
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

����
SECTION 1.
�
The legislature finds that timely and
accurate determination of an injured worker's physical abilities and functional
restrictions is essential to ensure their fair treatment under the workers'
compensation system.
�
Functional capacity
exams play a critical role in assessing whether an injured worker can return to
work, with or without accommodations, or proceed with vocational rehabilitation
when returning to full duty is not possible.
�

However, the current system often delays functional capacity exams due
to denials or pending approvals from insurers or adjusters, which prolongs the
injured worker's path to recovery and return to work.
�
These delays can exacerbate financial and
emotional strain on workers, increase administrative inefficiencies, and impede
the progress of vocational rehabilitation programs.

����
The
purpose of this Act is to streamline the approval process for functional
capacity exams, ensuring automatic approval of such exams when requested by the
attending physician under certain conditions, thereby reducing unnecessary
delays and improving outcomes for injured workers.

����
SECTION 2.
�
Chapter 386, Hawaii Revised Statutes, is
amended by adding a new section to part II to be appropriately designated and
to read as follows:

����
"
�386-
�
Functional
capacity exam.
�
(a)
�

When an injured employee's attending physician has determined that the
employee has reached medical stabilization, the physician may request a
functional capacity exam to be performed by a qualified health care provider
whose opinion or advice is necessary in the evaluation and treatment of the
injured employee's injury; provided that:

����
(1)
�
The qualified
health care provider shall be trained to perform a functional capacity exam; and

����
(2)
�
The attending
physician shall not be required to obtain permission from the employer before
requesting a functional capacity exam or referring the employee for a
functional capacity exam.

����
(b)
�
The
name, business address, discipline, and specialty of the qualified health care
provider and reasons for the functional capacity exam shall be submitted in
writing to the employer at least seven calendar days prior to the referral.

����
(c)
�
The
qualified health care provider performing the functional capacity exam shall
provide a copy of the exam report to the attending physician and employer
within fourteen calendar days of the date of the exam.

����
(d)
�
Fees
for functional capacity exams requested by the attending physician pursuant to
this section shall be paid by the employer.

����
(e)
�

For the purposes of this section:

����
"Functional capacity exam" means a
set of tests that are used to identify an injured employee's physical skills,
functional capabilities, activity endurance, and work
tolerances after
reaching medical stabilization and provide recommendations regarding the
employee's ability to return to work or return to work with restrictions or the
need for accommodations to safely return to work
.

����
"Qualified health care provider"
means a health care provider who meets the qualifications under section 386-27
to render health care and services under this chapter.
"

����
SECTION
3
.
�
Section 386-27,
Hawaii Revised Statutes, is amended by amending subsection (a) to read as
follows:

����
"(a)
�
All health care providers rendering health
care and services under this chapter shall be qualified by the director and
shall remain qualified by satisfying the requirements established in this
section.
�
The director shall qualify any
person initially who has a license for the practice of:

����
(1)
�
Medicine or
osteopathy under chapter 453;

����
(2)
�
Dentistry under
chapter 448;

����
(3)
�
Chiropractic under
chapter 442;

����
(4)
�
Naturopathic
medicine under chapter 455;

����
(5)
�
Optometry under
chapter 459;

����
(6)
�
Podiatry under
chapter 463E;

����
(7)
�
Psychology under
chapter 465; [
and
]

����
(8)
�
Advanced practice
registered nurses under chapter 457[
.
]
; and

����
(9)
�
O
ccupational
therapy under chapter 457G or physical therapy under chapter 461J; provided
that occupational therapists and physical therapists qualified under this
section shall be qualified for the limited purpose of performing functional
capacity exams pursuant to section 386‑ .
"

����
SECTION 4.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.

����
SECTION 5.
�
This Act shall take effect on July 1, 2025.

INTRODUCED BY:

_____________________________

Report Title:

Workers'
Compensation; Functional Capacity Exam; Occupational Therapy; Physical Therapy

Description:

Authorizes
an attending physician to request a functional capacity exam and refer an
injured employee for the exam without first obtaining permission from the
employee's employer.
�
Allows licensed
occupational and physical therapists to be deemed qualified to perform
functional capacity exams.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.