WSR 04-19-106

PROPOSED RULES

DEPARTMENT OF

LABOR AND INDUSTRIES

[ Filed September 21, 2004, 9:27 a.m. ]

     Original Notice.

     Preproposal statement of inquiry was filed as WSR 04-15-103.

     Title of Rule and Other Identifying Information: Employer-worker reemployment incentives, new sections WAC 296-16-100 What is the department's "preferred worker" program?, 296-16-110 Who can be certified as a "preferred worker"?, 296-16-115 How does a worker apply for "preferred worker" certification?, 296-16-120 Who certifies industrially injured or ill workers as "preferred workers"?, 296-16-130 How long does a worker's "preferred worker" certification last?, 296-16-140 Which employers are eligible to benefit from the "preferred worker" program?, 296-16-150 What benefits do eligible employers receive from the "preferred worker" program?, 296-16-160 What must an employer do to qualify for benefits when hiring a "preferred worker"?, and 296-16-170 Where may an employer obtain an Intent to Hire Preferred Worker form?

     Hearing Location(s): Department of Labor and Industries, Rooms S118-S119, 7273 Linderson Way S.W., Tumwater, WA 98501, on November 1, 2004, at 2 to 4:00 p.m.

     Date of Intended Adoption: December 15, 2004.

     Submit Written Comments to: Audrey Pitchford, Department of Labor and Industries, P.O. Box 44208, Olympia, WA 998504-4208 [98504-4208], e-mail pita235@LNI.WA.GOV, fax (360) 902-4960, by November 8, 2004.

     Assistance for Persons with Disabilities: Contact Audrey Pitchford by October 29, 2004, TTY (800) 833-6388 or (360) 902-4583.

     Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The proposed new rules will assist in the implementation of chapter 258, Laws of 2004 (SSB 6615).

     The purpose of the proposed new rules is to:

Redefine the preferred worker program for clarity,
Explain what benefits are available under the preferred worker program,
Clarify which employers and workers may receive preferred worker program benefits, and
Expand the program, in some situations, to grant benefits to the employer at the time of record.
     WAC 296-16-010 will be repealed.

     Reasons Supporting Proposal: The proposed new rules redefine the preferred worker program for clarity, as well as expand the existing program to additional employers. Because of these rules, agency customers will better understand benefits available under the program, and the department will be able to more consistently and fairly respond to requests for preferred worker program benefits.

     Statutory Authority for Adoption: RCW 51.04.010, 51.04.020 and chapter 258, Laws of 2004 (SSB 6615).

     Statute Being Implemented: RCW 51.16.120 and chapter 258, Laws of 2004 (SSB 6615).

     Rule is not necessitated by federal law, federal or state court decision.

     Name of Proponent: Department of Labor and Industries, governmental.

     Name of Agency Personnel Responsible for Drafting: Vickie Kennedy, Tumwater, Washington, (360) 902-4997; Implementation: Sandra Dziedzic (state fund), Tumwater, Washington, (360) 902-4300 and Jean Vanek (self insurance), Olympia, Washington, (360) 902-6907; and Enforcement: Robert Malooly, Tumwater, Washington, (360) 902-4209.

     No small business economic impact statement has been prepared under chapter 19.85 RCW. The proposed new rules are intended to redefine the existing "preferred worker" program authorized by RCW 51.16.120(3), and expand the program as authorized by RCW 51.16.120(4), adopted by the legislature in 2004 in SSB 6615. Upon adoption of these rules, workers with developmental disabilities will have expanded eligibility and employers of record will be eligible to benefit from reemploying preferred workers with developmental disabilities as authorized by RCW 51.16.120(4). As such, these changes impose no costs and no SBEIS need be conducted.

     A cost-benefit analysis is not required under RCW 34.05.328. The proposed new rules are intended to redefine the existing "preferred worker" program authorized by RCW 51.16.120(3), and expand the program as authorized by RCW 51.16.120(4), adopted by the legislature in 2004 in SSB 6615. Upon adoption of these rules, workers with developmental disabilities will have expanded eligibility and employers of record will be eligible to benefit from reemploying preferred workers with developmental disabilities as authorized by RCW 51.16.120(4). As such, these changes impose no costs and no CBA need be conducted.

September 21, 2004

Paul Trause

Director

OTS-7543.1


NEW SECTION
WAC 296-16-100   What is the department's "preferred worker" program?   The department's "preferred worker" program provides eligible employers with financial incentives to hire certified "preferred workers."

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NEW SECTION
WAC 296-16-110   Who can be certified as a "preferred worker"?   Workers can be certified as a "preferred worker" if they have an open claim for an industrial injury or occupational disease that:

     (1) Prevents the worker from returning to work with the employer of record, and substantially impairs the likelihood of the worker's reemployment with a different employer; or

     (2) Has resulted in payment of time-loss compensation benefits for a period of at least fourteen consecutive days, if the worker has a developmental disability as defined by RCW 71A.10.020.

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NEW SECTION
WAC 296-16-115   How does a worker apply for "preferred worker" certification?   Workers and employers may inquire about the "preferred worker" program by contacting the claim manager, vocational counselor, or the department's "preferred worker" section.

     Workers who are unable to return to work with the employer of record must receive assistance applying for "preferred worker" certification from a registered vocational provider.

Exception: Workers with developmental disabilities, who will be reemployed by the employer of record, do not need to apply for "preferred worker" certification. Instead, the department will consider the worker's eligibility for certification after receiving the employer's Intent to Hire Preferred Worker form.

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NEW SECTION
WAC 296-16-120   Who certifies industrially injured or ill workers as "preferred workers"?   Only a department employee with authority to do so may certify a worker as a "preferred worker."

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NEW SECTION
WAC 296-16-130   How long does a worker's "preferred worker" certification last?   A worker's "preferred worker" certification lasts for thirty-six consecutive months, and cannot be extended.

Exception: The department may interrupt the certification period if:
(1) Medical documentation shows that the worker is unable to work or look for work, due to the industrial injury or occupational disease for which the "preferred worker" certification was granted; and
(2) The worker's claim for the same injury or disease is still open.
     When the worker is again able to work or look for work, the certification period will resume. The period of interruption does not count toward the thirty-six month total.

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NEW SECTION
WAC 296-16-140   Which employers are eligible to benefit from the "preferred worker" program?   Employers are eligible to benefit from the "preferred worker" program if:

     (1) They hire or reemploy a certified "preferred worker" with developmental disabilities as defined by RCW 71A.10.020; or

     (2) They were not the "preferred worker's" employer at the job of injury, and they subsequently hire a certified "preferred worker."

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NEW SECTION
WAC 296-16-150   What benefits do eligible employers receive from the "preferred worker" program?   (1) Eligible employers insured with the state fund who hire a certified "preferred worker":

     (a) Do not pay accident fund and medical aid fund premiums for that worker during the "preferred worker" certification period; and

     (b) Will not have the cost of any new claim filed by that worker charged to their experience rating, if the claim is for a new injury sustained or an occupational disease diagnosed during the "preferred worker" certification period.

     (2) Eligible self-insured employers who hire a certified "preferred worker" will receive reimbursement from the second injury fund for all benefits paid on any new claim filed by that worker, if the claim is for a new injury sustained or an occupational disease diagnosed during the "preferred worker's" certification period.

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NEW SECTION
WAC 296-16-160   What must an employer do to qualify for benefits when hiring a "preferred worker"?   An employer must complete an Intent to Hire Preferred Worker form. The employer must return the completed form to the department within sixty days from the "preferred worker's" first day of:

     (1) Employment, if the employer is a subsequent or new employer. In these situations, the employer must also provide the department a description of the job offered to the worker.

     (2) Reemployment, if the employer is the employer of record and the worker has a developmental disability as defined by RCW 71A.10.020. In these situations, if the doctor has released the worker without restrictions and the worker is returning to the job of record, a job description is not needed.

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NEW SECTION
WAC 296-16-170   Where may an employer obtain an Intent to Hire Preferred Worker form?   Employers may obtain an Intent to Hire Preferred Worker form from the department's offices or website.

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REPEALER

     The following section of the Washington Administrative Code is repealed:
WAC 296-16-010 Premium waived for employment of preferred worker.

Legislature Code Reviser 

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