Connecticut 2021 Regular Session

Connecticut Senate Bill SB00907 Compare Versions

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3+LCO 3455 \\PRDFS1\SCOUSERS\FORZANOF\WS\2021SB-00907-R01-
4+SB.docx
5+1 of 10
6+
7+General Assembly Raised Bill No. 907
8+January Session, 2021
9+LCO No. 3455
10+
11+
12+Referred to Committee on LABOR AND PUBLIC
13+EMPLOYEES
14+
15+
16+Introduced by:
17+(LAB)
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4-Senate Bill No. 907
5-
6-Public Act No. 21-18
7-
8-
9-AN ACT CONCERNING MINOR AND TECHNICAL CHANGES TO
10-THE WORKERS' COMPENSATION ACT.
21+AN ACT CONCERNING MI NOR AND TECHNICAL CHANGES TO THE
22+WORKERS' COMPENSATIO N ACT.
1123 Be it enacted by the Senate and House of Representatives in General
1224 Assembly convened:
1325
14-Section 1. (NEW) (Effective October 1, 2021) (a) (1) Wherever the words
15-"workers' compensation commissioner", "compensation commissioner"
16-or "commissioner" are used to denote a workers' compensation
17-commissioner in the following sections of the general statutes, the
18-words "administrative law judge" shall be substituted in lieu thereof: 4-
19-186, 5-170, 5-192h, 17b-341, 19a-641, 28-14, 29-4a, 31-275, 31-276, 31-277,
20-31-278, 31-279, 31-280, 31-280a, as amended by this act, 31-280b, 31-282,
21-31-283, 31-283d, 31-283e, 31-283f, as amended by this act, 31-284c, 31-
22-286, 31-286a, 31-286b, 31-288, 31-289a, 31-290a, 31-293, 31-294b, 31-294c,
23-31-294d, 31-294e, 31-294f, 31-296, 31-296a, 31-297, 31-297a, 31-298, as
24-amended by this act, 31-299, 31-299a, 31-299b, 31-300, 31-301, 31-301c,
25-31-301d, 31-302, 31-306, 31-306b, 31-307a, 31-308, 31-308a, 31-310, 31-312,
26-31-313, 31-315, 31-316, 31-318, 31-321, 31-323, 31-326, 31-327, 31-329, 31-
27-341, 31-342, 31-343, 31-349, as amended by this act, 31-349b, 31-349c, 31-
28-353, 31-355, 38a-470, 38a-500, 38a-527, 46b-231, 51-49, 51-49a, 51-49b, 51-
29-49c, 51-49d, 51-49g, 51-49h, 51-49i, 51-49j, 51-50, 51-50a, 51-50b, 51-51,
30-51-51h, 51-51i, 51-51k, 51-51l, 51-51m, 51-51n, 51-51o, 51-51p, 51-51q, 51-
31-51r, 51-51s, 51-63 and 52-149a. Senate Bill No. 907
26+Section 1. (NEW) (Effective October 1, 2021) (a) (1) Wherever the words 1
27+"workers' compensation commissioner", "compensation commissioner" 2
28+or "commissioner" are used to denote a workers' compensation 3
29+commissioner in the following sections of the general statutes, the 4
30+words "administrative law judge" shall be substituted in lieu thereof: 4-5
31+186, 5-170, 5-192h, 17b-341, 19a-641, 28-14, 29-4a, 31-275, 31-276, 31-277, 6
32+31-278, 31-279, 31-280, 31-280a, as amended by this act, 31-280b, 31-282, 7
33+31-283, 31-283d, 31-283e, 31-283f, as amended by this act, 31-284c, 31-8
34+286, 31-286a, 31-286b, 31-288, 31-289a, 31-290a, 31-293, 31-294b, 31-294c, 9
35+31-294d, 31-294e, 31-294f, 31-296, 31-296a, 31-297, 31-297a, 31-298, as 10
36+amended by this act, 31-299, 31-299a, 31-299b, 31-300, 31-301, 31-301c, 11
37+31-301d, 31-302, 31-306, 31-306b, 31-307a, 31-308, 31-308a, 31-310, 31-312, 12
38+31-313, 31-315, 31-316, 31-318, 31-321, 31-323, 31-326, 31-327, 31-329, 31-13
39+341, 31-342, 31-343, 31-349, as amended by this act, 31-349b, 31-349c, 31-14
40+353, 31-355, 38a-470, 38a-500, 38a-527, 46b-231, 51-49, 51-49a, 51-49b, 51-15 Raised Bill No. 907
3241
33-Public Act No. 21-18 2 of 10
3442
35-(2) Wherever the words "workers' compensation commissioner",
36-"compensation commissioner" or "commissioner" are used to denote a
37-workers' compensation commissioner in any public act of the 2021
38-session, the words "administrative law judge" shall be substituted in lieu
39-thereof.
40-(b) The Legislative Commissioners' Office shall, in codifying said
41-sections of the general statutes pursuant to subdivision (1) of subsection
42-(a) of this section or any public act of the 2021 session pursuant to
43-subdivision (2) of subsection (a) of this section, make such technical,
44-grammatical and punctuation changes as are necessary to carry out the
45-purposes of this section.
46-Sec. 2. Subsection (c) of section 31-280a of the general statutes is
47-repealed and the following is substituted in lieu thereof (Effective October
48-1, 2021):
49-(c) The advisory board shall meet at least [twice] once in each
50-calendar quarter and at such other times as the chairman or the
51-chairman of the Workers' Compensation Commission deem necessary.
52-All actions of the advisory board shall require the affirmative vote of six
53-members of the advisory board. The advisory board may bring any
54-matter related to the operation of the workers' compensation system to
55-the attention of the chairman of the Workers' Compensation
56-Commission. The advisory board may adopt any rules of procedure that
57-the board deems necessary to carry out its duties under this chapter.
58-Sec. 3. Subsection (a) of section 31-283f of the general statutes is
59-repealed and the following is substituted in lieu thereof (Effective October
60-1, 2021):
61-(a) A Statistical Division shall be established within the Workers'
62-Compensation Commission. The division shall compile and maintain
63-statistics concerning occupational injuries and diseases, voluntary Senate Bill No. 907
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65-Public Act No. 21-18 3 of 10
47+49c, 51-49d, 51-49g, 51-49h, 51-49i, 51-49j, 51-50, 51-50a, 51-50b, 51-51, 16
48+51-51h, 51-51i, 51-51k, 51-51l, 51-51m, 51-51n, 51-51o, 51-51p, 51-51q, 51-17
49+51r, 51-51s, 51-63 and 52-149a. 18
50+(2) Wherever the words "workers' compensation commissioner", 19
51+"compensation commissioner" or "commissioner" are used to denote a 20
52+workers' compensation commissioner in any public act of the 2021 21
53+session, the words "administrative law judge" shall be substituted in lieu 22
54+thereof. 23
55+(b) The Legislative Commissioners' Office shall, in codifying said 24
56+sections of the general statutes pursuant to subdivision (1) of subsection 25
57+(a) of this section or any public act of the 2021 session pursuant to 26
58+subdivision (2) of subsection (a) of this section, make such technical, 27
59+grammatical and punctuation changes as are necessary to carry out the 28
60+purposes of this section. 29
61+Sec. 2. Subsection (c) of section 31-280a of the general statutes is 30
62+repealed and the following is substituted in lieu thereof (Effective October 31
63+1, 2021): 32
64+(c) The advisory board shall meet at least [twice] once in each 33
65+calendar quarter and at such other times as the chairman or the 34
66+chairman of the Workers' Compensation Commission deem necessary. 35
67+All actions of the advisory board shall require the affirmative vote of six 36
68+members of the advisory board. The advisory board may bring any 37
69+matter related to the operation of the workers' compensation system to 38
70+the attention of the chairman of the Workers' Compensation 39
71+Commission. The advisory board may adopt any rules of procedure that 40
72+the board deems necessary to carry out its duties under this chapter. 41
73+Sec. 3. Subsection (a) of section 31-283f of the general statutes is 42
74+repealed and the following is substituted in lieu thereof (Effective October 43
75+1, 2021): 44
76+(a) A Statistical Division shall be established within the Workers' 45
77+Compensation Commission. The division shall compile and maintain 46 Raised Bill No. 907
6678
67-agreements, status of claims and commissioners' dockets. [The division
68-shall be administered by a full-time salaried director who shall be
69-appointed by the chairman of the Workers' Compensation Commission
70-under the provisions of chapter 67. The director shall report to the
71-chairman.]
72-Sec. 4. Section 31-298 of the general statutes is repealed and the
73-following is substituted in lieu thereof (Effective October 1, 2021):
74-Both parties may appear at any hearing, either in person or by
75-attorney or other accredited representative, and no formal pleadings
76-shall be required, beyond any informal notices that the commission
77-approves. In all cases and hearings under the provisions of this chapter,
78-the commissioner shall proceed, so far as possible, in accordance with
79-the rules of equity. He shall not be bound by the ordinary common law
80-or statutory rules of evidence or procedure, but shall make inquiry,
81-through oral testimony, deposition testimony or written and printed
82-records, in a manner that is best calculated to ascertain the substantial
83-rights of the parties and carry out the provisions and intent of this
84-chapter. No fees shall be charged to either party by the commissioner in
85-connection with any hearing or other procedure, but the commissioner
86-shall furnish at cost (1) certified copies of any testimony, award or other
87-matter which may be of record in his office, and (2) duplicates of audio
88-[cassette] recordings of any formal hearings. Witnesses subpoenaed by
89-the commissioner shall be allowed the fees and traveling expenses that
90-are allowed in civil actions, to be paid by the party in whose interest the
91-witnesses are subpoenaed. When liability or extent of disability is
92-contested by formal hearing before the commissioner, the claimant shall
93-be entitled, if he prevails on final judgment, to payment for oral
94-testimony or deposition testimony rendered on his behalf by a
95-competent physician, surgeon or other medical provider, including the
96-stenographic and videotape recording costs thereof, in connection with
97-the claim, the commissioner to determine the reasonableness of such Senate Bill No. 907
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101-charges.
102-Sec. 5. Section 31-349 of the general statutes is repealed and the
103-following is substituted in lieu thereof (Effective October 1, 2021):
104-[(a)] The fact that an employee has suffered a previous disability,
105-shall not preclude him from compensation for a second injury, nor
106-preclude compensation for death resulting from the second injury. If an
107-employee having a previous disability incurs a second disability from a
108-second injury resulting in a permanent disability caused by both the
109-previous disability and the second injury which is materially and
110-substantially greater than the disability that would have resulted from
111-the second injury alone, he shall receive compensation for (1) the entire
112-amount of disability, including total disability, less any compensation
113-payable or paid with respect to the previous disability, and (2) necessary
114-medical care, as provided in this chapter, notwithstanding the fact that
115-part of the disability was due to a previous disability. For purposes of
116-this [subsection] section, "compensation payable or paid with respect to
117-the previous disability" includes compensation payable or paid
118-pursuant to the provisions of this chapter, as well as any other
119-compensation payable or paid in connection with the previous
120-disability, regardless of the source of such compensation.
121-[(b) As a condition precedent to the liability of the Second Injury
122-Fund, the employer or its insurer shall: (1) Notify the custodian of the
123-fund by certified mail no later than three calendar years after the date of
124-injury or no later than ninety days after completion of payments for the
125-first one hundred and four weeks of disability, whichever is earlier, of
126-its intent to transfer liability for the claim to the Second Injury Fund; (2)
127-include with the notification (A) copies of all medical reports, (B) an
128-accounting of all benefits paid, (C) copies of all findings, awards and
129-approved voluntary agreements, (D) the employer's or insurer's
130-estimate of the reserve amount to ultimate value for the claim, (E) a two-
131-thousand-dollar notification fee payable to the custodian to cover the Senate Bill No. 907
84+statistics concerning occupational injuries and diseases, voluntary 47
85+agreements, status of claims and commissioners' dockets. [The division 48
86+shall be administered by a full-time salaried director who shall be 49
87+appointed by the chairman of the Workers' Compensation Commission 50
88+under the provisions of chapter 67. The director shall report to the 51
89+chairman.] 52
90+Sec. 4. Section 31-298 of the general statutes is repealed and the 53
91+following is substituted in lieu thereof (Effective October 1, 2021): 54
92+Both parties may appear at any hearing, either in person or by 55
93+attorney or other accredited representative, and no formal pleadings 56
94+shall be required, beyond any informal notices that the commission 57
95+approves. In all cases and hearings under the provisions of this chapter, 58
96+the commissioner shall proceed, so far as possible, in accordance with 59
97+the rules of equity. He shall not be bound by the ordinary common law 60
98+or statutory rules of evidence or procedure, but shall make inquiry, 61
99+through oral testimony, deposition testimony or written and printed 62
100+records, in a manner that is best calculated to ascertain the substantial 63
101+rights of the parties and carry out the provisions and intent of this 64
102+chapter. No fees shall be charged to either party by the commissioner in 65
103+connection with any hearing or other procedure, but the commissioner 66
104+shall furnish at cost (1) certified copies of any testimony, award or other 67
105+matter which may be of record in his office, and (2) duplicates of audio 68
106+[cassette] recordings of any formal hearings. Witnesses subpoenaed by 69
107+the commissioner shall be allowed the fees and traveling expenses that 70
108+are allowed in civil actions, to be paid by the party in whose interest the 71
109+witnesses are subpoenaed. When liability or extent of disability is 72
110+contested by formal hearing before the commissioner, the claimant shall 73
111+be entitled, if he prevails on final judgment, to payment for oral 74
112+testimony or deposition testimony rendered on his behalf by a 75
113+competent physician, surgeon or other medical provider, including the 76
114+stenographic and videotape recording costs thereof, in connection with 77
115+the claim, the commissioner to determine the reasonableness of such 78
116+charges. 79 Raised Bill No. 907
132117
133-Public Act No. 21-18 5 of 10
134118
135-fund's costs in evaluating the claim proposed to be transferred and (F)
136-such other material as the custodian may require. The employer by
137-whom the employee is employed at the time of the second injury, or its
138-insurer, shall in the first instance pay all awards of compensation and
139-all medical expenses provided by this chapter for the first one hundred
140-four weeks of disability. Failure on the part of the employer or an insurer
141-to comply does not relieve the employer or insurer of its obligation to
142-continue furnishing compensation under the provisions of this chapter.
143-The custodian of the fund shall, by certified mail, notify a self-insured
144-employer or an insurer, as applicable, of the rejection of the claim within
145-ninety days after receiving the completed notification. Any claim which
146-is not rejected pursuant to this section shall be deemed accepted, unless
147-the custodian notifies the self-insured employer or the insurer within
148-the ninety-day period that up to an additional ninety days is necessary
149-to determine if the claim for transfer will be accepted. If the claim is
150-accepted for transfer, the custodian shall file with the workers'
151-compensation commissioner for the district in which the claim was filed,
152-a form indicating that the claim has been transferred to the Second
153-Injury Fund and the date that such claim was transferred and shall
154-refund fifteen hundred dollars of the notification fee to the self-insured
155-employer or the insurer, as applicable. A copy of the form shall be
156-mailed to the self-insured employer or the insurer and to the claimant.
157-No further action by the commissioner shall be required to transfer said
158-claim. If the custodian rejects the claim of the employer or its insurer,
159-the question shall be submitted by certified mail within thirty days of
160-the receipt of the notice of rejection by the employer or its insurer to the
161-commissioner having jurisdiction, and the employer or insurer shall
162-continue furnishing compensation until the outcome is finally decided.
163-Claims not submitted to the commissioner within said time period shall
164-be deemed withdrawn with prejudice. If the employer or insurer
165-prevails, or if the custodian accepts the claim all payments made beyond
166-the one-hundred-four-week period shall be reimbursed to the employer
167-or insurer by the Second Injury Fund. Senate Bill No. 907
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169-Public Act No. 21-18 6 of 10
123+Sec. 5. Section 31-349 of the general statutes is repealed and the 80
124+following is substituted in lieu thereof (Effective October 1, 2021): 81
125+[(a)] The fact that an employee has suffered a previous disability, 82
126+shall not preclude him from compensation for a second injury, nor 83
127+preclude compensation for death resulting from the second injury. If an 84
128+employee having a previous disability incurs a second disability from a 85
129+second injury resulting in a permanent disability caused by both the 86
130+previous disability and the second injury which is materially and 87
131+substantially greater than the disability that would have resulted from 88
132+the second injury alone, he shall receive compensation for (1) the entire 89
133+amount of disability, including total disability, less any compensation 90
134+payable or paid with respect to the previous disability, and (2) necessary 91
135+medical care, as provided in this chapter, notwithstanding the fact that 92
136+part of the disability was due to a previous disability. For purposes of 93
137+this [subsection,] section, "compensation payable or paid with respect to 94
138+the previous disability" includes compensation payable or paid 95
139+pursuant to the provisions of this chapter, as well as any other 96
140+compensation payable or paid in connection with the previous 97
141+disability, regardless of the source of such compensation. 98
142+[(b) As a condition precedent to the liability of the Second Injury 99
143+Fund, the employer or its insurer shall: (1) Notify the custodian of the 100
144+fund by certified mail no later than three calendar years after the date of 101
145+injury or no later than ninety days after completion of payments for the 102
146+first one hundred and four weeks of disability, whichever is earlier, of 103
147+its intent to transfer liability for the claim to the Second Injury Fund; (2) 104
148+include with the notification (A) copies of all medical reports, (B) an 105
149+accounting of all benefits paid, (C) copies of all findings, awards and 106
150+approved voluntary agreements, (D) the employer's or insurer's 107
151+estimate of the reserve amount to ultimate value for the claim, (E) a two-108
152+thousand-dollar notification fee payable to the custodian to cover the 109
153+fund's costs in evaluating the claim proposed to be transferred and (F) 110
154+such other material as the custodian may require. The employer by 111
155+whom the employee is employed at the time of the second injury, or its 112 Raised Bill No. 907
170156
171-(c) If the second injury of an employee results in the death of the
172-employee, and it is determined that the death would not have occurred
173-except for a preexisting permanent physical impairment, the employer
174-or its insurer shall, in the first instance, pay the funeral expense
175-described in this chapter, and shall pay death benefits as may be due for
176-the first one hundred four weeks. The employer or its insurer may
177-thereafter transfer liability for the death benefits to the Second Injury
178-Fund in accordance with the procedures set forth in subsection (b) of
179-this section.
180-(d) Notwithstanding the provisions of this section, no injury which
181-occurs on or after July 1, 1995, shall serve as a basis for transfer of a claim
182-to the Second Injury Fund under this section. All such claims shall
183-remain the responsibility of the employer or its insurer under the
184-provisions of this section.
185-(e) All claims for transfer of injuries for which the fund has been
186-notified prior to July 1, 1995, shall be deemed withdrawn with prejudice,
187-unless the employer or its insurer notifies the custodian of the fund by
188-certified mail prior to October 1, 1995, of its intention to pursue transfer
189-pursuant to the provisions of this section. No notification fee shall be
190-required for notices submitted pursuant to this subsection. This
191-subsection shall not apply to notices submitted prior to July 1, 1995, in
192-response to the custodian's request, issued on March 15, 1995, for
193-voluntary resubmission of notices.
194-(f) No claim, where the custodian of the Second Injury Fund was
195-served with a valid notice of intent to transfer under this section, shall
196-be eligible for transfer to the Second Injury Fund unless all requirements
197-for transfer, including payment of the one hundred and four weeks of
198-benefits by the employer or its insurer, have been completed prior to
199-July 1, 1999. All claims, pursuant to this section, not eligible for transfer
200-to the fund on or before July 1, 1999, will remain the responsibility of the
201-employer or its insurer.] Senate Bill No. 907
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205-Sec. 6. Subsection (a) of section 31-354 of the general statutes is
206-repealed and the following is substituted in lieu thereof (Effective October
207-1, 2021):
208-(a) There shall be a fund to be known as the Second Injury Fund. Each
209-employer, other than the state, shall, within thirty days after notice
210-given by the State Treasurer, pay to the State Treasurer for the use of the
211-state a sum in payment of his liability under this chapter which shall be
212-calculated in accordance with the Second Injury Fund surcharge base,
213-as defined in section 31-349g, [and shall be assessed in accordance with
214-subsection (f) of section 31-349,] sections 31-349g, 31-349h and 31-349i,
215-this section, section 31-354b and sections 8 and 9 of public act 96-242.
216-Such sum shall be an amount sufficient to (1) pay the debt service on
217-state revenue bond obligations authorized to be issued under and for
218-the purposes set forth in section 31-354b including reserve and covenant
219-coverage requirements, (2) provide for costs and expenses of operating
220-the Second Injury Fund, and (3) pay Second Injury Fund stipulations on
221-claims settled by the custodian or other benefits payable out of the
222-Second Injury Fund and not funded through state revenue bond
223-obligations and shall be determined in accordance with the regulations
224-adopted pursuant to the provisions of section 31-349g. The custodian
225-shall establish a factor for the annual surcharge that caps such surcharge
226-for the fiscal years ending June 30, 1996, 1997 and 1998. In determining
227-such factor the custodian shall consider the funding mechanism
228-authorized by [subsection (f) of section 31-349,] sections 31-349g, 31-
229-349h and 31-349i, this section, section 31-354b and sections 8 and 9 of
230-public act 96-242, recognize that an acceptable level of employer
231-assessment is important to the vitality of the economy of the state and
232-nevertheless shall assure provision of services to injured workers that
233-enhances their ability to return to work and improve their quality of life.
234-In any event, such factor shall not exceed, with respect to insured
235-employers, a rate of fifteen per cent on the Second Injury Fund
236-surcharge base with respect to workers' compensation and employers' Senate Bill No. 907
162+insurer, shall in the first instance pay all awards of compensation and 113
163+all medical expenses provided by this chapter for the first one hundred 114
164+four weeks of disability. Failure on the part of the employer or an insurer 115
165+to comply does not relieve the employer or insurer of its obligation to 116
166+continue furnishing compensation under the provisions of this chapter. 117
167+The custodian of the fund shall, by certified mail, notify a self-insured 118
168+employer or an insurer, as applicable, of the rejection of the claim within 119
169+ninety days after receiving the completed notification. Any claim which 120
170+is not rejected pursuant to this section shall be deemed accepted, unless 121
171+the custodian notifies the self-insured employer or the insurer within 122
172+the ninety-day period that up to an additional ninety days is necessary 123
173+to determine if the claim for transfer will be accepted. If the claim is 124
174+accepted for transfer, the custodian shall file with the workers' 125
175+compensation commissioner for the district in which the claim was filed, 126
176+a form indicating that the claim has been transferred to the Second 127
177+Injury Fund and the date that such claim was transferred and shall 128
178+refund fifteen hundred dollars of the notification fee to the self-insured 129
179+employer or the insurer, as applicable. A copy of the form shall be 130
180+mailed to the self-insured employer or the insurer and to the claimant. 131
181+No further action by the commissioner shall be required to transfer said 132
182+claim. If the custodian rejects the claim of the employer or its insurer, 133
183+the question shall be submitted by certified mail within thirty days of 134
184+the receipt of the notice of rejection by the employer or its insurer to the 135
185+commissioner having jurisdiction, and the employer or insurer shall 136
186+continue furnishing compensation until the outcome is finally decided. 137
187+Claims not submitted to the commissioner within said time period shall 138
188+be deemed withdrawn with prejudice. If the employer or insurer 139
189+prevails, or if the custodian accepts the claim all payments made beyond 140
190+the one-hundred-four-week period shall be reimbursed to the employer 141
191+or insurer by the Second Injury Fund. 142
192+(c) If the second injury of an employee results in the death of the 143
193+employee, and it is determined that the death would not have occurred 144
194+except for a preexisting permanent physical impairment, the employer 145
195+or its insurer shall, in the first instance, pay the funeral expense 146 Raised Bill No. 907
237196
238-Public Act No. 21-18 8 of 10
239197
240-liability policies and, with respect to self-insured employers, a
241-comparable percentage limitation representing their pro rata share of
242-any assessment. Any employer or any insurance company acting as
243-collection agent for the custodian of the Second Injury Fund who fails to
244-pay in accordance with such regulations shall pay a penalty to the State
245-Treasurer of fifteen per cent on the unpaid assessment or surcharge or
246-fifty dollars, whichever is greater. Interest at the rate of six per cent per
247-annum shall be charged on any amounts owed on assessment audits or
248-surcharge audits. For self-insured employers interest shall accrue thirty
249-days after notice from the Second Injury Fund of the unpaid audit
250-assessment. For insurance companies, the interest shall accrue from the
251-date of the notice of audit errors or deficiencies as determined by the
252-date postmarked by the United States Postal Service. The State Treasurer
253-shall notify each employer of the penalty or interest provision with the
254-notice of assessment. Any partial payments made to the fund shall be
255-first applied to any unpaid penalty, then to any unpaid interest and the
256-remainder, if any, to the unpaid assessment or surcharge. Interest or
257-penalties shall be applied if assessment or surcharge reports or
258-payments are postmarked by the United States Postal Service after the
259-designated due date. The sums received shall be accounted for
260-separately and apart from all other state moneys and the faith and credit
261-of the state of Connecticut is pledged for their safekeeping. The State
262-Treasurer shall be the custodian of the fund and all disbursements from
263-the fund shall be made by the Treasurer or the Treasurer's deputies. The
264-moneys of the fund shall be invested by the Treasurer in accordance
265-with applicable law and section 8 of public act 96-242. Interest, income
266-and dividends from the investments shall be credited to the fund. Each
267-employer, each private insurance carrier acting on behalf of any
268-employer and each interlocal risk management agency acting on behalf
269-of any employer shall annually, on or before April first, report to the
270-State Treasurer, in the form prescribed by the State Treasurer, the
271-amount of money expended by or on behalf of the employer in
272-payments for the preceding calendar year. Each private insurance Senate Bill No. 907
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202+described in this chapter, and shall pay death benefits as may be due for 147
203+the first one hundred four weeks. The employer or its insurer may 148
204+thereafter transfer liability for the death benefits to the Second Injury 149
205+Fund in accordance with the procedures set forth in subsection (b) of 150
206+this section. 151
207+(d) Notwithstanding the provisions of this section, no injury which 152
208+occurs on or after July 1, 1995, shall serve as a basis for transfer of a claim 153
209+to the Second Injury Fund under this section. All such claims shall 154
210+remain the responsibility of the employer or its insurer under the 155
211+provisions of this section. 156
212+(e) All claims for transfer of injuries for which the fund has been 157
213+notified prior to July 1, 1995, shall be deemed withdrawn with prejudice, 158
214+unless the employer or its insurer notifies the custodian of the fund by 159
215+certified mail prior to October 1, 1995, of its intention to pursue transfer 160
216+pursuant to the provisions of this section. No notification fee shall be 161
217+required for notices submitted pursuant to this subsection. This 162
218+subsection shall not apply to notices submitted prior to July 1, 1995, in 163
219+response to the custodian's request, issued on March 15, 1995, for 164
220+voluntary resubmission of notices. 165
221+(f) No claim, where the custodian of the Second Injury Fund was 166
222+served with a valid notice of intent to transfer under this section, shall 167
223+be eligible for transfer to the Second Injury Fund unless all requirements 168
224+for transfer, including payment of the one hundred and four weeks of 169
225+benefits by the employer or its insurer, have been completed prior to 170
226+July 1, 1999. All claims, pursuant to this section, not eligible for transfer 171
227+to the fund on or before July 1, 1999, will remain the responsibility of the 172
228+employer or its insurer.] 173
229+Sec. 6. Subsection (a) of section 31-354 of the general statutes is 174
230+repealed and the following is substituted in lieu thereof (Effective October 175
231+1, 2021): 176
232+(a) There shall be a fund to be known as the Second Injury Fund. Each 177 Raised Bill No. 907
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276-carrier, each self-insurance group and each interlocal risk management
277-agency shall submit annually, on or before April first, to the State
278-Treasurer, in the form prescribed by the State Treasurer, a report of the
279-total Second Injury Fund surcharge base collected in the preceding
280-calendar year and a report of the projected total Second Injury Fund
281-surcharge base for the current calendar year. The fund shall be used to
282-provide the benefits set forth in section 31-306 for adjustments in the
283-compensation rate and payment of certain death benefits, in section 31-
284-307b for adjustments where there are relapses after a return to work, in
285-section 31-307c for totally disabled persons injured prior to October 1,
286-1953, in section 31-349, as amended by this act, for disabled or
287-handicapped employees and in section 31-355 for the payment of
288-benefits due injured employees whose employers or insurance carriers
289-have failed to pay the compensation, and medical expenses required by
290-this chapter, or any other compensation payable from the fund as may
291-be required by any provision contained in this chapter or any other
292-statute and to reimburse employers or insurance carriers for payments
293-made under subsection (b) of section 31-307a. The assessment required
294-by this section is a condition of doing business in this state and failure
295-to pay the assessment, when due, shall result in the denial of the
296-privilege of doing business in this state or to self-insure under section
297-31-284. Any administrative or other costs or expenses incurred by the
298-State Treasurer in connection with carrying out the provisions of this
299-part, including the hiring of necessary employees, shall be paid from the
300-fund. The State Treasurer may adopt regulations, in accordance with the
301-provisions of chapter 54, prescribing the practices, policies and
302-procedures to be followed in the administration of the Second Injury
303-Fund.
304-Sec. 7. Subsection (a) of section 31-355a of the general statutes is
305-repealed and the following is substituted in lieu thereof (Effective October
306-1, 2021): Senate Bill No. 907
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310-(a) Whenever the Second Injury Fund is required, pursuant to section
311-31-355, [or subsection (c) of section 31-349,] to pay benefits or
312-compensation mandated by the provisions of this chapter for any
313-employer or insurer who fails or is unable to make such payments, the
314-amount so paid by the fund shall be collectible by any means provided
315-by law for the collection of any tax due the state of Connecticut or any
316-subdivision thereof, including any means provided by section 12-35.
317-Tax warrants referred to in said section 12-35 may be signed by the State
318-Treasurer.
319-Sec. 8. Sections 31-276a, 31-298a and 31-304 of the general statutes are
320-repealed. (Effective October 1, 2021)
239+employer, other than the state, shall, within thirty days after notice 178
240+given by the State Treasurer, pay to the State Treasurer for the use of the 179
241+state a sum in payment of his liability under this chapter which shall be 180
242+calculated in accordance with the Second Injury Fund surcharge base, 181
243+as defined in section 31-349g, [and shall be assessed in accordance with 182
244+subsection (f) of section 31-349,] sections 31-349g, 31-349h and 31-349i, 183
245+this section, section 31-354b and sections 8 and 9 of public act 96-242. 184
246+Such sum shall be an amount sufficient to (1) pay the debt service on 185
247+state revenue bond obligations authorized to be issued under and for 186
248+the purposes set forth in section 31-354b including reserve and covenant 187
249+coverage requirements, (2) provide for costs and expenses of operating 188
250+the Second Injury Fund, and (3) pay Second Injury Fund stipulations on 189
251+claims settled by the custodian or other benefits payable out of the 190
252+Second Injury Fund and not funded through state revenue bond 191
253+obligations and shall be determined in accordance with the regulations 192
254+adopted pursuant to the provisions of section 31-349g. The custodian 193
255+shall establish a factor for the annual surcharge that caps such surcharge 194
256+for the fiscal years ending June 30, 1996, 1997 and 1998. In determining 195
257+such factor the custodian shall consider the funding mechanism 196
258+authorized by [subsection (f) of section 31-349,] sections 31-349g, 31-197
259+349h and 31-349i, this section, section 31-354b and sections 8 and 9 of 198
260+public act 96-242, recognize that an acceptable level of employer 199
261+assessment is important to the vitality of the economy of the state and 200
262+nevertheless shall assure provision of services to injured workers that 201
263+enhances their ability to return to work and improve their quality of life. 202
264+In any event, such factor shall not exceed, with respect to insured 203
265+employers, a rate of fifteen per cent on the Second Injury Fund 204
266+surcharge base with respect to workers' compensation and employers' 205
267+liability policies and, with respect to self-insured employers, a 206
268+comparable percentage limitation representing their pro rata share of 207
269+any assessment. Any employer or any insurance company acting as 208
270+collection agent for the custodian of the Second Injury Fund who fails to 209
271+pay in accordance with such regulations shall pay a penalty to the State 210
272+Treasurer of fifteen per cent on the unpaid assessment or surcharge or 211
273+fifty dollars, whichever is greater. Interest at the rate of six per cent per 212 Raised Bill No. 907
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280+annum shall be charged on any amounts owed on assessment audits or 213
281+surcharge audits. For self-insured employers interest shall accrue thirty 214
282+days after notice from the Second Injury Fund of the unpaid audit 215
283+assessment. For insurance companies, the interest shall accrue from the 216
284+date of the notice of audit errors or deficiencies as determined by the 217
285+date postmarked by the United States Postal Service. The State Treasurer 218
286+shall notify each employer of the penalty or interest provision with the 219
287+notice of assessment. Any partial payments made to the fund shall be 220
288+first applied to any unpaid penalty, then to any unpaid interest and the 221
289+remainder, if any, to the unpaid assessment or surcharge. Interest or 222
290+penalties shall be applied if assessment or surcharge reports or 223
291+payments are postmarked by the United States Postal Service after the 224
292+designated due date. The sums received shall be accounted for 225
293+separately and apart from all other state moneys and the faith and credit 226
294+of the state of Connecticut is pledged for their safekeeping. The State 227
295+Treasurer shall be the custodian of the fund and all disbursements from 228
296+the fund shall be made by the Treasurer or the Treasurer's deputies. The 229
297+moneys of the fund shall be invested by the Treasurer in accordance 230
298+with applicable law and section 8 of public act 96-242. Interest, income 231
299+and dividends from the investments shall be credited to the fund. Each 232
300+employer, each private insurance carrier acting on behalf of any 233
301+employer and each interlocal risk management agency acting on behalf 234
302+of any employer shall annually, on or before April first, report to the 235
303+State Treasurer, in the form prescribed by the State Treasurer, the 236
304+amount of money expended by or on behalf of the employer in 237
305+payments for the preceding calendar year. Each private insurance 238
306+carrier, each self-insurance group and each interlocal risk management 239
307+agency shall submit annually, on or before April first, to the State 240
308+Treasurer, in the form prescribed by the State Treasurer, a report of the 241
309+total Second Injury Fund surcharge base collected in the preceding 242
310+calendar year and a report of the projected total Second Injury Fund 243
311+surcharge base for the current calendar year. The fund shall be used to 244
312+provide the benefits set forth in section 31-306 for adjustments in the 245
313+compensation rate and payment of certain death benefits, in section 31-246
314+307b for adjustments where there are relapses after a return to work, in 247 Raised Bill No. 907
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321+section 31-307c for totally disabled persons injured prior to October 1, 248
322+1953, in section 31-349, as amended by this act, for disabled or 249
323+handicapped employees and in section 31-355 for the payment of 250
324+benefits due injured employees whose employers or insurance carriers 251
325+have failed to pay the compensation, and medical expenses required by 252
326+this chapter, or any other compensation payable from the fund as may 253
327+be required by any provision contained in this chapter or any other 254
328+statute and to reimburse employers or insurance carriers for payments 255
329+made under subsection (b) of section 31-307a. The assessment required 256
330+by this section is a condition of doing business in this state and failure 257
331+to pay the assessment, when due, shall result in the denial of the 258
332+privilege of doing business in this state or to self-insure under section 259
333+31-284. Any administrative or other costs or expenses incurred by the 260
334+State Treasurer in connection with carrying out the provisions of this 261
335+part, including the hiring of necessary employees, shall be paid from the 262
336+fund. The State Treasurer may adopt regulations, in accordance with the 263
337+provisions of chapter 54, prescribing the practices, policies and 264
338+procedures to be followed in the administration of the Second Injury 265
339+Fund. 266
340+Sec. 7. Subsection (a) of section 31-355a of the general statutes is 267
341+repealed and the following is substituted in lieu thereof (Effective October 268
342+1, 2021): 269
343+(a) Whenever the Second Injury Fund is required, pursuant to section 270
344+31-355, [or subsection (c) of section 31-349,] to pay benefits or 271
345+compensation mandated by the provisions of this chapter for any 272
346+employer or insurer who fails or is unable to make such payments, the 273
347+amount so paid by the fund shall be collectible by any means provided 274
348+by law for the collection of any tax due the state of Connecticut or any 275
349+subdivision thereof, including any means provided by section 12-35. 276
350+Tax warrants referred to in said section 12-35 may be signed by the State 277
351+Treasurer. 278
352+Sec. 8. Sections 31-276a, 31-298a and 31-304 of the general statutes are 279
353+repealed. (Effective October 1, 2021) 280 Raised Bill No. 907
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360+This act shall take effect as follows and shall amend the following
361+sections:
362+
363+Section 1 October 1, 2021 New section
364+Sec. 2 October 1, 2021 31-280a(c)
365+Sec. 3 October 1, 2021 31-283f(a)
366+Sec. 4 October 1, 2021 31-298
367+Sec. 5 October 1, 2021 31-349
368+Sec. 6 October 1, 2021 31-354(a)
369+Sec. 7 October 1, 2021 31-355a(a)
370+Sec. 8 October 1, 2021 Repealer section
371+
372+LAB Joint Favorable
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