HI HB827

Requires the director of finance to deposit all medicaid program funds (program ID HMS401) into interest-bearing accounts operated by credit union depositories, effective after June 30, 2020.

Specifies that medicaid accounts may contain only funds appropriated for HMS401 or interest accrued on those funds.

Allows the director to transfer accrued interest between medicaid accounts at credit unions, but prohibits transferring interest to accounts not containing HMS401 funds.

Defines "credit union depository" as a credit union with shares insured by the National Credit Union Share Insurance Fund and maintaining a principal office or branch in Hawaii.

Requires the department to adopt rules by January 1, 2020 to implement this policy.