SENATE BILL REPORT

                   SB 6112

              As Reported By Senate Committee On:

           Labor, Commerce & Trade, January 24, 1996

Title:  An act relating to costs allowed for vocational rehabilitation benefits.

Brief Description:  Increasing allowable costs for vocational rehabilitation.

Sponsors:  Senator Wojahn.

Brief History:

Committee Activity:  Labor, Commerce & Trade:  1/15/96, 1/24/96 [DPS].

SENATE COMMITTEE ON LABOR, COMMERCE & TRADE

Majority Report:  That Substitute Senate Bill No. 6112 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Pelz, Chair; Heavey, Vice Chair; Franklin, Fraser and Wojahn.

Staff:  Jack Brummel (786-7428)

Background:   Under the state workers compensation system, vocational rehabilitation expenditures may not exceed $3,000 in any 52-week period.  An additional 52-week period may be granted with the approval of the Director of the Department of Labor and Industries.

Summary of Substitute Bill: Vocational rehabilitation benefits are increased to $10,000 in any 104-week period.  An additional 52-week period may be granted with the approval of the Director of the Department of Labor and Industries.

Substitute Bill Compared to Original Bill:  The original bill was not considered.

Appropriation:  None.

Fiscal Note:  Requested on January 10, 1996.

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

Testimony For:  The state payment for vocational rehabilitation has not kept up with inflation.  Time-loss expenses can be cut through use of vocational services.

Testimony Against:  We should hold off on this until we get claims management under control.

Testified:  PRO:  Senator Wojahn, prime sponsor; Julie Grant, Grant Co.; Robby Stern, WA State Labor Council; CON:  Clif Finch, AWB; Dave Ducharme, WA Self-Insurers Association.