SSB 5992 -
By Committee on Commerce & Labor
NOT ADOPTED 04/14/2005
Strike everything after the enacting clause and insert the following:
"Sec. 1 RCW 51.44.040 and 1982 c 63 s 14 are each amended to read
as follows:
(1) There shall be in the office of the state treasurer, a fund to
be known and designated as the "second injury fund", which shall be
used only for the purpose of defraying charges against it as provided
in RCW 51.16.120 and 51.32.250((, as now or hereafter amended. Said)).
The fund shall be administered by the director. The state treasurer
shall be the custodian of the second injury fund and shall be
authorized to disburse moneys from it only upon written order of the
director.
(2) Payments to the second injury fund from the accident fund shall
be made pursuant to rules ((and regulations promulgated)) adopted by
the director.
(3)(a) Assessments for the second injury fund shall be imposed on
self-insurers pursuant to rules ((and regulations promulgated by the
director to ensure that self-insurers shall pay to such fund)) adopted
by the director. Such rules shall provide for at least the following:
(i) Except as provided in (a)(ii) of this subsection, the amount
assessed each self-insurer must be in the proportion that the payments
made from ((such)) the fund on account of claims made against self-insurers bears to the total sum of payments from ((such)) the fund.
(ii) Beginning with assessments imposed on or after July 1, 2009,
but before July 1, 2012, the department shall experience rate the
amount assessed each self-insurer as long as the aggregate amount
assessed is in the proportion that the payments made from the fund on
account of claims made against self-insurers bears to the total sum of
payments from the fund. The experience rating factor must provide
equal weight to the ratio between expenditures made by the second
injury fund for claims of the self-insurer to the total expenditures
made by the second injury fund for claims of all self-insurers for the
prior three fiscal years and the ratio of workers' compensation claim
payments under this title made by the self-insurer to the total
worker's compensation claim payments made by all self-insurers under
this title for the prior three fiscal years. The weighted average of
these two ratios must be divided by the latter ratio to arrive at the
experience factor.
(b) For purposes of this subsection, "expenditures made by the
second injury fund" mean the costs and charges described under RCW
51.32.250 and 51.16.120 (3) and (4), and the amounts assessed to the
second injury fund as described under RCW 51.16.120(1). Under no
circumstances does "expenditures made by the second injury fund"
include any subsequent payments, assessments, or adjustments for
pensions, where the applicable second injury fund entitlement was
established outside of the three fiscal years.
NEW SECTION. Sec. 2 The department of labor and industries must
report to the appropriate committees of the legislature by December 1,
2011, on the outcomes of workers potentially impacted by the experience
rating program established in RCW 51.44.040(3)(a)(ii). The report must
include a comparison of outcomes for workers of self-insurers whose
industrial insurance claims are closed between July 1, 2003, and June
30, 2005, and have thirty or more days of temporary total disability,
with such workers of self-insurers whose industrial insurance claims
are closed between July 1, 2009, and June 30, 2011. The outcomes to be
compared include, but are not limited to, whether the workers
potentially impacted by the experience rating program have improved
return-to-work outcomes, whether the number of impacted workers found
to be employable increases, whether there is a change in long-term
disability outcomes among the impacted workers, and whether the number
of permanent total disability pensions among impacted workers is
affected and, if so, the nature of the impact. The department must
develop a study methodology, including an assessment tool that must be
provided to the workers' compensation advisory committee for review and
comment. The study methodology will include appropriate controls to
account for economic fluctuations and wage inflation."
Correct the title.