SENATE BILL REPORT

SB 6677

As Reported By Senate Committee On:

Commerce & Trade, January 30, 2004

Title: An act relating to conforming the social security offset provisions of Title 51 RCW to the modified federal social security retirement age.

Brief Description: Conforming the social security offset provisions of Title 51 RCW to the modified federal social security retirement age and continuing to allow the state to implement an offset otherwise imposed by the federal government.

Sponsors: Senators Hewitt, Keiser and Rasmussen; by request of Department of Labor & Industries.

Brief History:

Committee Activity: Commerce & Trade: 1/30/04 [DP].

SENATE COMMITTEE ON COMMERCE & TRADE

Majority Report: Do pass.

      Signed by Senators Honeyford, Chair; Hewitt, Vice Chair; Franklin, Keiser and Mulliken.

Staff: Jennifer Strus (786-7316)

Background: In some situations, federal law requires that the Department of Labor and Industries (L&I) reduce temporary or permanent disability workers' compensation benefits that a person under age 65 is receiving. The compensation must be reduced by an amount equal to the social security benefits. Benefits do not have to be reduced if the combined workers' compensation and social security benefits are less than the total benefits to which the federal reduction would apply.

Summary of Bill: The above rule applies to workers under age 62 whose entitlement to total disability benefits begins before January 2, 1983, workers under age 65 whose entitlement to total disability benefits begins after January 1, 1983, and before the effective date of this act, and workers who will become 65 on or after the effective date of this act. This will conform state law to current federal requirements.

Appropriation: None.

Fiscal Note: Available.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Testimony For: This bill is a technical amendment to align state statutes with new federal law changes.

Testimony Against: None.

Testified: PRO: Mark Johnson, NFIB; Suzanne Mager, Vickie Kennedy, Department of Labor & Industries.