SENATE BILL REPORT

SB 5730

BYSenator Smith

Changing the vocational rehabilitation cost limits.

Senate Committee on Economic Development & Labor

Senate Hearing Date(s):February 16, 1989

Senate Staff:David Cheal (786-7576)

AS OF FEBRUARY 15, 1989

BACKGROUND:

When an injured worker covered by industrial insurance cannot return to his or her original job or type of work, the Supervisor of Industrial Insurance can authorize vocational rehabilitation services for that worker.

In addition to temporary total disability payments (time loss), the worker is entitled to reimbursement for certain expenses incurred during the completion of a vocational rehabilitation plan.  The law places a limit of $3,000 on the amount of costs which can be reimbursed for each claimant.

The department is authorized to make grants to employers to modify a job if it will allow a worker to return to work.  A limit of $5,000 per worker is placed on job modification awards.

SUMMARY:

The allowance of vocational rehabilitation benefits is removed.  A claimant would be entitled to benefits as a matter of right if vocational rehabilitation services are both necessary and likely to enable the injured worker to become employable.

When necessary to implement a particularly meritorious plan, the Supervisor of Industrial Insurance may authorize the expenditure of up to $6,000 during a 52-week period.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested February ___, 1989