Alaska 2023-2024 Regular Session

Alaska Senate Bill SB206 Compare Versions

Only one version of the bill is available at this time.

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2	2	SB0206A -1- SB 206
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5	5	33-LS1084\A
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11	11	SENATE BILL NO. 206
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13	13	IN THE LEGISLATURE OF THE STATE OF ALASKA
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15	15	THIRTY-THIRD LEGISLATURE - SECOND SESSION
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17	17	BY SENATOR GRAY-JACKSON
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19	19	Introduced: 1/24/24
20	20	Referred: Labor and Commerce, Finance
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22	22
23	23	A BILL
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25	25	FOR AN ACT ENTITLED
26	26
27	27	"An Act relating to workers' compensation reemployment benefits; establishing a 1
28	28	workers' compensation stay-at-work program; and providing for an effective date." 2
29	29	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
30	30	* Section 1. AS 23.30.005(h) is amended to read: 4
31	31	(h) The department shall adopt rules for all panels [,] and procedures for the 5
32	32	periodic selection, retention, and removal of both rehabilitation specialists and 6
33	33	physicians under AS 23.30.041, 23.30.043, and 23.30.095, and shall adopt regulations
34	34	7
35	35	to carry out the provisions of this chapter. The department may by regulation provide 8
36	36	for procedural, discovery, or stipulated matters to be heard and decided by the 9
37	37	commissioner or a hearing officer designated to represent the commissioner rather 10
38	38	than a panel. If a procedural, discovery, or stipulated matter is heard and decided by 11
39	39	the commissioner or a hearing officer designated to represent the commissioner, the 12
40	40	action taken is considered the action of the full board on that aspect of the claim. 13
41	41	Process and procedure under this chapter shall be as summary and simple as possible. 14 33-LS1084\A
42	42	SB 206 -2- SB0206A
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45	45	The department, the board, or a member of it may for the purposes of this chapter 1
46	46	subpoena witnesses, administer or cause to be administered oaths, and [MAY] 2
47	47	examine or cause to have examined the parts of the books and records of the parties to 3
48	48	a proceeding that relate to questions in dispute. The superior court, on application of 4
49	49	the department, the board, or any members of it, shall enforce the attendance and 5
50	50	testimony of witnesses and the production and examination of books, papers, and 6
51	51	records. 7
52	52	* Sec. 2. AS 23.30.041(b) is amended to read: 8
53	53	(b) The administrator shall 9
54	54	(1) enforce regulations adopted by the board to implement this section; 10
55	55	(2) recommend regulations for adoption by the board that establish 11
56	56	performance and reporting criteria for rehabilitation specialists; 12
57	57	(3) enforce the quality and effectiveness of reemployment benefits 13
58	58	provided for under this section; 14
59	59	(4) review on an annual basis the performance of rehabilitation 15
60	60	specialists to determine continued eligibility for delivery of rehabilitation services; 16
61	61	(5) submit to the department, on or before May 1 of each year, a report 17
62	62	of reemployment benefits provided under this section for the previous calendar year; 18
63	63	the report must include a general section, sections related to each rehabilitation 19
64	64	specialist employed under this section, and a statistical summary of all rehabilitation 20
65	65	cases, including 21
66	66	(A) the estimated and actual cost of each active rehabilitation 22
67	67	plan; 23
68	68	(B) the estimated and actual time of each rehabilitation plan; 24
69	69	(C) a status report on all individuals requesting, waiving, 25
70	70	beginning, completing, or terminating a reemployment benefits program 26
71	71	including 27
72	72	(i) reasons for denial, waiver, suspension, or 28
73	73	termination; 29
74	74	(ii) dates of completion and return to work; and 30
75	75	(iii) other information required by the director; 31 33-LS1084\A
76	76	SB0206A -3- SB 206
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79	79	(D) the cost of reemployment benefits; 1
80	80	(E) status reports of all individuals who successfully completed 2
81	81	a reemployment plan that includes 3
82	82	(i) the plan's occupational goal and whether the 4
83	83	individual obtained work after completion in the planned or another 5
84	84	occupation; and 6
85	85	(ii) the individual's employment status six months, one 7
86	86	year, and two years after reemployment plan completion; 8
87	87	(6) maintain a list of rehabilitation specialists who meet the 9
88	88	qualifications established under this section; 10
89	89	(7) promote awareness among physicians, adjusters, injured workers, 11
90	90	employers, employees, attorneys, training providers, and rehabilitation specialists of 12
91	91	the reemployment program established in this subsection; 13
92	92	(8) submit to the department, on or before October 1 of each year, 14
93	93	a report of stay-at-work benefits provided under AS 23.30.043 for the previous 15
94	94	calendar year; the report must include a general section, sections related to each 16
95	95	rehabilitation specialist employed under AS 23.30.043, and a statistical summary 17
96	96	of all stay-at-work cases, including 18
97	97	(A) the estimated and actual cost of each active stay-at-19
98	98	work plan; 20
99	99	(B) the estimated and actual time of each stay-at-work 21
100	100	plan; 22
101	101	(C) a status report on all individuals requesting, beginning, 23
102	102	completing, or terminating a stay-at-work plan including 24
103	103	(i) reasons for denial or termination; 25
104	104	(ii) dates of completion and return to work; and 26
105	105	(iii) other information required by the director; 27
106	106	(D) the cost of stay-at-work benefits; 28
107	107	(E) status reports of all individuals who successfully 29
108	108	completed a stay-at-work plan that includes 30
109	109	(i) the plan's occupational goal and whether the 31 33-LS1084\A
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113	113	individual returned to work after completion of the stay-at-work 1
114	114	plan; and 2
115	115	(ii) the individual's employment status six months, 3
116	116	one year, and two years after stay-at-work plan completion. 4
117	117	* Sec. 3. AS 23.30.041(c) is amended to read: 5
118	118	(c) An employee and an employer may stipulate to the employee's eligibility 6
119	119	for reemployment benefits at any time. If an employee suffers a compensable injury 7
120	120	and, as a result of the injury, the employee is totally unable, for 25 [45] consecutive 8
121	121	days, to return to the employee's employment at the time of injury, the administrator 9
122	122	shall notify the employee of the employee's rights under this section within 14 days 10
123	123	after the 25th [45TH] day. Within 10 days after the employee receives the 11
124	124	administrator's notification of the employee's rights, the employee shall elect, and 12
125	125	notify the administrator and the employer of the election, whether to participate 13
126	126	in the reemployment benefits process in accordance with this section or the stay-14
127	127	at-work benefits program established under AS 23.30.043. Except as provided in 15
128	128	AS 23.30.043, if [IF] the employee is totally unable to return to the employee's 16
129	129	employment for 90 [60] consecutive days as a result of the injury, the employee or 17
130	130	employer may request an eligibility evaluation. The administrator may approve the 18
131	131	request if the employee's injury may permanently preclude the employee's return to the 19
132	132	employee's occupation at the time of the injury. Except as provided in AS 23.30.043, 20
133	133	if [IF] the employee is totally unable to return to the employee's employment at the 21
134	134	time of the injury for 120 [90] consecutive days as a result of the injury, the 22
135	135	administrator shall, without a request, order an eligibility evaluation unless a 23
136	136	stipulation of eligibility was submitted. If the administrator approves a request or 24
137	137	orders an evaluation, the administrator shall, on a rotating and geographic basis, select 25
138	138	a rehabilitation specialist from the list maintained under (b)(6) of this section to 26
139	139	perform the eligibility evaluation. If the person that employs a rehabilitation specialist 27
140	140	selected by the administrator to perform an eligibility evaluation under this subsection 28
141	141	is performing any other work on the same workers' compensation claim involving the 29
142	142	injured employee, the administrator shall select a different rehabilitation specialist. 30
143	143	* Sec. 4. AS 23.30.041(f) is amended to read: 31 33-LS1084\A
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147	147	(f) An employee is not eligible for reemployment benefits if 1
148	148	(1) the employer offers employment within the employee's predicted 2
149	149	post-injury physical capacities at a wage equivalent to at least the state minimum wage 3
150	150	under AS 23.10.065 or 75 percent of the worker's gross hourly wages at the time of 4
151	151	injury, whichever is greater, and the employment prepares the employee to be 5
152	152	employable in other jobs that exist in the labor market; 6
153	153	(2) the employee previously declined the development of a 7
154	154	reemployment benefits plan under (g) of this section, received a job dislocation benefit 8
155	155	under (g)(2) of this section, and returned to work in the same or similar occupation in 9
156	156	terms of physical demands required of the employee at the time of the previous injury; 10
157	157	(3) the employee has been previously rehabilitated in a former 11
158	158	workers' [WORKER'S] compensation claim and returned to work in the same or 12
159	159	similar occupation in terms of physical demands required of the employee at the time 13
160	160	of the previous injury; [OR] 14
161	161	(4) at the time of medical stability, no permanent impairment is 15
162	162	identified or expected; 16
163	163	(5) the employee fails to timely notify the administrator and the 17
164	164	employer of the employee's election under (c) of this section, unless the parties 18
165	165	submit to the administrator a stipulation to a reemployment benefits eligibility 19
166	166	evaluation or to the employee's eligibility for reemployment benefits; 20
167	167	(6) the employee completed a stay-at-work plan under 21
168	168	AS 23.30.043; or 22
169	169	(7) the employee has not cooperated with the stay-at-work benefits 23
170	170	program under AS 23.30.043(l). 24
171	171	* Sec. 5. AS 23.30 is amended by adding a new section to article 1 to read: 25
172	172	Sec. 23.30.043. Stay-at-work benefits program. (a) The stay-at-work benefits 26
173	173	program is established in the division. The division shall designate a member of the 27
174	174	division staff as coordinator of the stay-at-work benefits program. 28
175	175	(b) Within 14 days after an employee's election under AS 23.30.041(c) to 29
176	176	participate in the program, the administrator shall, on a rotating and geographic basis, 30
177	177	select a rehabilitation specialist from the list maintained under AS 23.30.041(b)(6) to 31 33-LS1084\A
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181	181	develop a stay-at-work plan and provide services under the plan. In selecting a 1
182	182	rehabilitation specialist, the administrator shall consider the rehabilitation specialist's 2
183	183	ability to accept and promptly provide program services and the rehabilitation 3
184	184	specialist's expertise and relevant experience relating to the employee's type of injury 4
185	185	or challenges specific to returning the employee to work with the employer. If the 5
186	186	person that employs a rehabilitation specialist selected by the administrator is 6
187	187	performing any other work on the same workers' compensation claim involving the 7
188	188	employee, the administrator shall select a different rehabilitation specialist. 8
189	189	(c) Within 60 days after the administrator selects the rehabilitation specialist, 9
190	190	the rehabilitation specialist shall 10
191	191	(1) develop a stay-at-work plan and provide the plan, in a format 11
192	192	prescribed by the director, to the employee, employer, program coordinator, and the 12
193	193	employee's attending physician; or 13
194	194	(2) provide the employee, employer, and the administrator with a 14
195	195	determination and findings supporting the determination, in a format prescribed by the 15
196	196	director, that the rehabilitation specialist is unable to develop a stay-at-work plan. 16
197	197	(d) The board shall establish by regulation the standards and procedures a 17
198	198	rehabilitation specialist must use in developing a stay-at-work plan and the contents 18
199	199	that the plan must include. 19
200	200	(e) The employee's attending physician shall provide a written opinion of 20
201	201	whether the employee has the permanent physical capacities to participate in a stay-at-21
202	202	work plan. The failure of the employee's attending physician to provide an opinion 22
203	203	under this subsection constitutes grounds for a determination that the rehabilitation 23
204	204	specialist is unable to develop a stay-at-work plan under (c)(2) of this section. 24
205	205	(f) Within 14 days after the program coordinator receives a stay-at-work plan, 25
206	206	the program coordinator shall approve or deny the plan and notify the parties of the 26
207	207	decision. Within 30 days after the program coordinator notifies the parties under this 27
208	208	subsection, a party may request that the administrator review the plan. Within 14 days 28
209	209	after the administrator receives a request to review the plan, the administrator shall 29
210	210	issue a decision approving or denying the plan. 30
211	211	(g) Within 14 days after the administrator receives a determination under 31 33-LS1084\A
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215	215	(c)(2) of this section, the administrator shall decide whether the information in the 1
216	216	board's case file for the employee's workers' compensation claim supports the 2
217	217	rehabilitation specialist's determination and findings. If the administrator decides the 3
218	218	case file supports the rehabilitation specialist's determination and findings, the 4
219	219	administrator shall, within 10 days after the administrator's decision, notify the 5
220	220	employee and employer of the decision and notify the employee that the employee is 6
221	221	no longer eligible for stay-at-work benefits and may pursue reemployment benefits in 7
222	222	accordance with AS 23.30.041. If the administrator decides the case file does not 8
223	223	support the rehabilitation specialist's determination and findings, the administrator 9
224	224	shall, within 10 days after the administrator's decision, notify the employee, employer, 10
225	225	and rehabilitation specialist of the decision and 11
226	226	(1) notify the employee, employer, and rehabilitation specialist what 12
227	227	additional information is needed to develop a stay-at-work plan, who must submit the 13
228	228	information, and the date by which the information must be submitted; or 14
229	229	(2) select a different rehabilitation specialist in accordance with (b) of 15
230	230	this section to develop a stay-at-work plan and provide services under the plan. 16
231	231	(h) Within 10 days after the administrator notifies the parties of a decision 17
232	232	under (f) or (g) of this section, a party may seek review of the decision by requesting a 18
233	233	hearing under AS 23.30.110. The board shall uphold the decision of the administrator 19
234	234	unless evidence is submitted supporting an allegation of abuse of discretion on the part 20
235	235	of the administrator. The board shall render a decision within 30 days after completion 21
236	236	of the hearing. 22
237	237	(i) Only a rehabilitation specialist may develop a stay-at-work plan, provide 23
238	238	services under the plan, and make a determination and findings under this section. A 24
239	239	person who is not a rehabilitation specialist may perform work related to the stay-at-25
240	240	work plan if the work is performed under the direct supervision of a rehabilitation 26
241	241	specialist employed in the same firm and location. The employer shall pay the fees 27
242	242	charged by the rehabilitation specialist or other person described in this subsection for 28
243	243	providing services under this section. 29
244	244	(j) The cost of the stay-at-work benefits incurred under this section shall be 30
245	245	the responsibility of the employer, shall be paid on an expense
246	246	incurred basis, and may 31 33-LS1084\A
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250	250	not exceed $3,000, exclusive of the fees charged by the rehabilitation specialist or 1
251	251	other person described in (i) of this section. 2
252	252	(k) Stay-at-work benefits terminate two years from the date the program 3
253	253	coordinator, administrator, or board approves the stay-at-work plan, whichever is later. 4
254	254	(l) After the employee has elected to participate in the program, and upon the 5
255	255	request of the employer, the administrator shall decide whether the employee has not 6
256	256	cooperated in the program. The administrator shall hold a hearing within 30 days after 7
257	257	the administrator receives a request from the employer for a hearing. The 8
258	258	administrator shall issue a decision within 14 days after the hearing. Within 10 days 9
259	259	after the administrator notifies the parties of the decision, either party may seek review 10
260	260	of the decision by requesting a hearing under AS 23.30.110. The board shall uphold 11
261	261	the decision of the administrator unless evidence is submitted supporting an allegation 12
262	262	of abuse of discretion on the part of the administrator. The board shall render a 13
263	263	decision within 30 days after completion of the hearing. If the employee is found to 14
264	264	have not cooperated with the program, the employer may terminate stay-at-work 15
265	265	benefits and disability benefits on the date on which a finding of noncooperation is 16
266	266	made under this subsection. Noncooperation means the employee's unreasonable 17
267	267	failure to 18
268	268	(1) maintain contact with the rehabilitation specialist; 19
269	269	(2) cooperate with the rehabilitation specialist in developing a stay-at-20
270	270	work plan; 21
271	271	(3) comply with the employee's responsibilities outlined in the stay-at-22
272	272	work plan; or 23
273	273	(4) participate in the stay-at-work plan or in a plan activity. 24
274	274	(m) An employee is not eligible for stay-at-work benefits if the employee fails 25
275	275	to timely notify the administrator and the employer of the employee's election under 26
276	276	AS 23.30.041(c), unless the parties submit to the administrator a stipulation that the 27
277	277	employee may participate in the program. 28
278	278	(n) An employer may elect not to participate or continue to participate in a 29
279	279	stay-at-work plan at any time before the employee completes the plan. If an employer 30
280	280	elects not to participate under this subsection, the employer shall notify the employee, 31 33-LS1084\A
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284	284	the program coordinator, and, if applicable, the rehabilitation specialist of the election. 1
285	285	The notice must be in the format prescribed by the director and inform the employee 2
286	286	that the employee is no longer eligible for stay-at-work benefits and may pursue 3
287	287	reemployment benefits in accordance with AS 23.30.041. The notice of the election is 4
288	288	effective the day after the notice is served on the employee, the program coordinator, 5
289	289	or, if applicable, the rehabilitation specialist, whichever is later. The employer is 6
290	290	responsible for the cost of the stay-at-work benefits incurred before the notice 7
291	291	becomes effective. 8
292	292	(o) In this section, 9
293	293	(1) "administrator" means the reemployment benefits administrator 10
294	294	employed under AS 23.30.041(a); 11
295	295	(2) "plan" or "stay-at-work plan" means a plan developed by a 12
296	296	rehabilitation specialist under this section to return an employee to work for the 13
297	297	employer; 14
298	298	(3) "program" means the stay-at-work benefits program established in 15
299	299	this section; 16
300	300	(4) "program coordinator" means the division staff member designated 17
301	301	as the coordinator of the program; 18
302	302	(5) "rehabilitation specialist" has the meaning given in 19
303	303	AS 23.30.041(r); 20
304	304	(6) "stay-at-work benefits" means benefits provided under the 21
305	305	program. 22
306	306	* Sec. 6. AS 23.30.100(a) is amended to read: 23
307	307	(a) Notice to an employer of an injury or death in respect to which 24
308	308	compensation is payable under this chapter shall be given within 15 [30] days after the 25
309	309	date of the [SUCH] injury or death [TO THE EMPLOYER]. 26
310	310	* Sec. 7. AS 23.30.105(a) is amended to read: 27
311	311	(a) The right to compensation for disability under this chapter is barred unless 28
312	312	a claim for it is filed within two years after the employee has knowledge of the nature 29
313	313	of the employee's disability and its relation to the employment and after disablement. 30
314	314	However, the maximum time for filing the claim in any event other than arising out of 31 33-LS1084\A
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318	318	an occupational disease shall be four years from the date of injury, and the right to 1
319	319	compensation for death is barred unless a claim therefor is filed within one year after 2
320	320	the death, except that, if payment of compensation has been made without an award on 3
321	321	account of the injury or death, a claim may be filed within two years after the date of 4
322	322	the last payment of benefits under AS 23.30.041, 23.30.043, 23.30.180, 23.30.185, 5
323	323	23.30.190, 23.30.200, or 23.30.215. It is additionally provided that, in the case of 6
324	324	latent defects pertinent to and causing compensable disability, the injured employee 7
325	325	has full right to claim as shall be determined by the board, time limitations 8
326	326	notwithstanding. 9
327	327	* Sec. 8. This Act takes effect January 1, 2025. 10