SB0147B -1- CSSB 147(L&C)
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CS FOR SENATE BILL NO. 147(L&C)
IN THE LEGISLATURE OF THE STATE OF ALASKA
THIRTY-THIRD LEGISLATURE - SECOND SESSION
BY THE SENATE LABOR AND COMMERCE COMMITTEE
Offered: 2/23/24
Referred: Rules
Sponsor(s): SENATORS KAUFMAN, Bjorkman, Gray-Jackson
A BILL
FOR AN ACT ENTITLED
"An Act relating to reemployment rights and benefits; and providing for an effective 1
date." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 23.30.041(b) is amended to read: 4
(b) The administrator shall 5
(1) enforce regulations adopted by the board to implement this section; 6
(2) recommend regulations for adoption by the board that establish 7
performance and reporting criteria for rehabilitation specialists; 8
(3) enforce the quality and effectiveness of reemployment benefits 9
provided for under this section; 10
(4) review on an annual basis the performance of rehabilitation 11
specialists to determine continued eligibility for delivery of rehabilitation services; 12
(5) submit to the department, on or before October 1 [MAY 1] of each
13
year, a report of reemployment benefits provided under this section for the previous 14 33-LS0799\S
CSSB 147(L&C) -2- SB0147B
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calendar year; the report must include a general section, sections related to each 1
rehabilitation specialist employed under this section, and a statistical summary of all 2
rehabilitation cases, including 3
(A) the estimated and actual cost of each active rehabilitation 4
plan; 5
(B) the estimated and actual time of each rehabilitation plan; 6
(C) a status report on all individuals requesting, waiving, 7
beginning, completing, or terminating a reemployment benefits program 8
including 9
(i) reasons for denial, waiver, suspension, or 10
termination; 11
(ii) dates of completion and return to work; and 12
(iii) other information required by the director; 13
(D) the cost of reemployment benefits; 14
(E) status reports of all individuals who successfully completed 15
a reemployment plan that includes 16
(i) the plan's occupational goal and whether the 17
individual obtained work after completion in the planned or another 18
occupation; and 19
(ii) the individual's employment status six months, one 20
year, and two years after reemployment plan completion; 21
(6) maintain a list of rehabilitation specialists who meet the 22
qualifications established under this section; 23
(7) promote awareness among physicians, adjusters, injured workers, 24
employers, employees, attorneys, training providers, and rehabilitation specialists of 25
the reemployment program established in this subsection. 26
* Sec. 2. AS 23.30.041(c) is amended to read: 27
(c) An employee and an employer may stipulate to the employee's eligibility 28
for reemployment benefits at any time. If an employee suffers a compensable injury 29
and, as a result of the injury, the employee is totally unable, for 45 consecutive days, 30
to return to the employee's employment at the time of injury, the administrator shall 31 33-LS0799\S
SB0147B -3- CSSB 147(L&C)
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notify the employee of the employee's rights under this section within 14 days after the 1
45th day. If the employee is totally unable to return to the employee's employment for 2
60 consecutive days as a result of the injury, the employee or employer may request an 3
eligibility evaluation. The administrator may approve the request if the employee's 4
injury may permanently preclude the employee's return to the employee's occupation 5
at the time of the injury. If the employee is totally unable to return to the 6
employee's employment at the time of the injury for 90 consecutive days as a 7
result of the injury, the administrator may, without a request, order an eligibility 8
evaluation unless a stipulation of eligibility was submitted. If the employee is 9
totally unable to return to the employee's employment at the time of the injury for 120 10
[90] consecutive days as a result of the injury, the administrator shall, without a 11
request, order an eligibility evaluation unless a stipulation of eligibility was submitted. 12
If the administrator approves a request or orders an evaluation, the administrator shall, 13
on a rotating and geographic basis, select a rehabilitation specialist from the list 14
maintained under (b)(6) of this section to perform the eligibility evaluation. If the 15
person that employs a rehabilitation specialist selected by the administrator to perform 16
an eligibility evaluation under this subsection is performing any other work on the 17
same workers' compensation claim involving the injured employee, the administrator 18
shall select a different rehabilitation specialist. 19
* Sec. 3. AS 23.30.041(d) is amended to read: 20
(d) Within 60 [30] days after the referral by the administrator, the 21
rehabilitation specialist shall perform the eligibility evaluation and issue a report of 22
findings. [THE ADMINISTRATOR MAY GRANT UP TO AN ADDITIONAL 30 23
DAYS FOR PERFORMANCE OF THE ELIGIBILITY EVALUATION UPON 24
NOTIFICATION OF UNUSUAL AND EXTENUATING CIRCUMSTANCES AND 25
THE REHABILITATION SPECIALIST'S REQUEST.] Within 14 days after receipt 26
of the report from the rehabilitation specialist, the administrator shall notify the parties 27
of the employee's eligibility for reemployment preparation benefits. Within 10 days 28
after the decision, either party may seek review of the decision by requesting a hearing 29
under AS 23.30.110. The hearing shall be held within 30 days after the hearing [IT] is 30
requested. The board shall uphold the decision of the administrator except for abuse of 31 33-LS0799\S
CSSB 147(L&C) -4- SB0147B
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discretion on the administrator's part. 1
* Sec. 4. AS 23.30.041(e) is amended to read: 2
(e) An employee shall be eligible for benefits under this section upon the 3
employee's written request and by having a physician predict that the employee will 4
have permanent physical capacities that are less than the physical demands of the 5
employee's job as described in the job analysis developed by the rehabilitation 6
specialist [1993 EDITION OF THE UNITED STATES DEPARTMENT OF 7
LABOR'S "SELECTED CHARACTERISTICS OF OCCUPATIONS DEFINED IN 8
THE REVISED DICTIONARY OF OCCUPATIONAL TITLES"] for 9
(1) the employee's job at the time of injury; or 10
(2) other jobs that exist in the labor market that the employee has held 11
or received training for within 10 years before the injury or that the employee has held 12
following the injury for a period long enough to obtain the skills to compete in the 13
labor market. [, ACCORDING TO SPECIFIC VOCATIONAL PREPARATION 14
CODES AS DESCRIBED IN THE 1993 EDITION OF THE UNITED STATES 15
DEPARTMENT OF LABOR'S "SELECTED CHARACTERISTICS OF 16
OCCUPATIONS DEFINED IN THE REVISED DICTIONARY OF 17
OCCUPATIONAL TITLES."] 18
* Sec. 5. AS 23.30.041(h) is amended to read: 19
(h) Within 90 days after the rehabilitation specialist is selected or assigned 20
[SPECIALIST'S SELECTION] under (g) of this section, the rehabilitation specialist 21
shall prepare and provide to the employee and employer a comple te 22
reemployment plan [MUST BE FORMULATED AND APPROVED]. The 23
reemployment plan must require continuous participation by the employee and must 24
maximize the usage of the employee's transferrable skills. The reemployment plan 25
must include at least the following: 26
(1) a determination of the occupational goal in the labor market; 27
(2) an inventory of the employee's technical skills, transferrable skills, 28
physical and intellectual capacities, academic achievement, emotional condition, and 29
family support; 30
(3) a plan to acquire the occupational skills to be employable; the plan 31 33-LS0799\S
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must consider use of training and employment services offered by the 1
Department of Labor and Workforce Development under AS 23.15; 2
(4) the cost estimate of the reemployment plan, including 3
(A) provider fees 4
(B) [; AND THE COST OF] tuition; 5
(C) [,] books; 6
(D) [,] tools [,] and supplies; 7
(E) [,] transportation; 8
(F) [,] temporary lodging; 9
(G) [, OR] job modification devices; and 10
(H) job search and job placement activities; 11
(5) the estimated length of time that the plan will take; 12
(6) the date that the plan will commence; 13
(7) the estimated time of medical stability as predicted by a treating 14
physician or by a physician who has examined the employee at the request of the 15
employer or the board, or by referral of the treating physician; 16
(8) a detailed description and plan schedule; 17
(9) a finding by the rehabilitation specialist that the inventory under (2) 18
of this subsection indicates that the employee can be reasonably expected to 19
satisfactorily complete the plan and perform in a new occupation within the time and 20
cost limitations of the plan; and 21
(10) a provision requiring that, after a person has been assigned to 22
perform medical management services for an injured employee, the person shall send 23
written notice to the employee, the employer, and the employee's physician explaining 24
in what capacity the person is employed, whom the person represents, and the scope of 25
the services to be provided. 26
* Sec. 6. AS 23.30.041(j) is amended to read: 27
(j) The rehabilitation specialist shall serve the reemployment plan on the 28
employee and employer. If the employee and employer agree to the plan, the 29
[THE] employee, rehabilitation specialist, and the employer shall sign the 30
reemployment benefits plan. If the employer and employee fail to agree on a 31 33-LS0799\S
CSSB 147(L&C) -6- SB0147B
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reemployment plan, either party may submit a reemployment plan for approval to the 1
administrator not later than 90 days after the date of service of the reemployment 2
plan on the employee and employer. The plan must ensure remunerative 3
employability. The [; THE] administrator shall approve or deny a plan submitted 4
under this subsection within 14 days after the plan is submitted. Within [; WITHIN] 5
10 days after [OF] the decision, either party may seek review of the decision by 6
requesting a hearing under AS 23.30.110. The [; THE] board shall 7
(1) uphold the decision of the administrator unless evidence is 8
submitted supporting an allegation of abuse of discretion on the part of the 9
administrator; and 10
(2) [THE BOARD SHALL] render a decision within 30 days after 11
completion of the hearing. 12
* Sec. 7. AS 23.30.041(l) is amended to read: 13
(l) The cost of the reemployment plan incurred under this section shall be the 14
responsibility of the employer, shall be paid on an expense incurred basis, and may not 15
exceed $22,150. The department shall, by regulation and not less than once every 16
five years, adjust the cost limit set out in this subsection to account for inflation 17
[$13,300]. 18
* Sec. 8. AS 23.30.041 is amended by adding a new subsection to read: 19
(s) In addition to the benefits provided to an employee under a reemployment 20
plan prepared under this section, an employee who elects to use reemployment 21
benefits under this section is entitled to payment by the employer of costs incurred for 22
specialized job modification devices or services and reasonable travel and relocation 23
expenses associated with searching for new employment, returning to work in a new 24
location, and attendance at an on-the-job training program. The employer shall pay the 25
cost of the additional benefits incurred under this subsection on an expense incurred 26
basis. The cost of the additional benefits incurred under this subsection may not 27
exceed $4,000, and may not, when combined with the cost of the reemployment plan 28
incurred under this section, exceed the cost limit set out in (l) of this section. 29
* Sec. 9. AS 23.30.041(p) is repealed. 30
* Sec. 10. This Act takes effect immediately under AS 01.10.070(c). 31