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AN ACT relating to workers' compensation. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 342.213 is amended to read as follows: 3
(1) The Governor shall make all appointments to the board, and appoint the 4
administrative law judges of the Department of Workers' Claims, subject to the 5
consent of the Senate in accordance with KRS 11.160, and in accordance with this 6
section and KRS 342.215 and 342.230 by choosing from names presented to him or 7
her by the Workers' Compensation Nominating Committee. 8
(2) The Workers' Compensation Nominating Committee shall consist of five (5) 9
members appointed by the Governor as follows: 10
(a) 1. One (1) member of the political party having the largest number of 11
registered voters and one (1) member of the political party having the 12
second largest number of registered voters shall serve a term of two (2) 13
years; 14
2. One (1) member of the political party having the largest number of 15
registered voters shall serve a term of three (3) years; and 16
3. Thereafter, upon the expiration of a term, the vacancy created shall be 17
filled by an appointee from the same political party for a term of four (4) 18
years; 19
(b) 1. Two (2) members who shall be attorneys with experience in the practice 20
of workers' compensation, one (1) who customarily represents claimants 21
and one (1) who customarily represents employers, each of whom shall 22
serve a term of four (4) years; and 23
2. Thereafter, upon expiration of a term, the vacancy shall be filled by an 24
appointee who meets the same required qualifications or criteria and 25
who shall serve a term of four (4) years; 26
(c) Appointments to fill the unexpired term of a member due to the resignation of 27 UNOFFICIAL COPY 25 RS BR 1542
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a member, removal of a member pursuant to KRS 63.080, or any other reason 1
shall be for the remainder of the term, and the new appointee shall meet the 2
same required qualifications or criteria as stated in this section; and 3
(d) At the first meeting of each calendar year, the members shall select a 4
chairman of the nominating committee who shall serve as chairman for the 5
duration of that calendar year. 6
(3) Notwithstanding the provisions of subsection (2) of this section, at least two (2) 7
members of the Workers' Compensation Nominating Committee shall be 8
individuals who directly derive no earned income from the workers' compensation 9
program. In order to satisfy the requirement of this subsection, the Governor shall 10
remove any existing member of the Workers' Compensation Nominating 11
Committee who directly derives earned income from the workers' compensation 12
program and replace that member with an individual who does not derive earned 13
income from the workers' compensation program. 14
(4) The commissioner shall monitor the workload of the administrative law judges and, 15
whenever a vacancy occurs, determine whether filling the position is necessary to 16
expeditious resolution of claims brought under this chapter. One hundred fifty 17
(150) days[One hundred twenty (120) days] prior to the expiration of the terms of 18
the administrative law judges, and when a vacancy occurs under other 19
circumstances, the commissioner shall certify to the Workers' Compensation 20
Nominating Committee that filling the position is necessary and the Workers' 21
Compensation Nominating Committee shall act to fill only such positions as have 22
been certified as necessary by the commissioner. 23
(5) (a) The Workers' Compensation Nominating Committee shall consult with the 24
commissioner, chief administrative law judge, and a member of the Workers' 25
Compensation Board as to the performance in office of the administrative law 26
judges. The Workers' Compensation Nominating Committee may recommend 27 UNOFFICIAL COPY 25 RS BR 1542
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retention of any sitting administrative law judge or board member, or present 1
to the Governor the names of three (3) qualified individuals nominated for the 2
position. The Workers' Compensation Nominating Committee shall report its 3
recommendation for retention to the Governor no later than thirty (30) days 4
after receipt from the commissioner of certification of the necessity to fill the 5
position and shall render to the Governor its list of nominees to fill vacancies 6
within sixty (60) days of receipt of the commissioner's certification. The name 7
of an individual who has been rejected by the Governor when recommended 8
for retention shall not be presented thereafter as a nominee for the same 9
position. No sitting administrative law judge shall be nominated to fill more 10
than one (1) vacancy except for separate vacancies as an administrative law 11
judge. 12
(b) Within thirty (30) days of receipt of the recommendation, the Governor may 13
reject recommendations of retention, in which event the Workers' 14
Compensation Nominating Committee shall, within thirty (30) days, 15
reconvene and present a list of the names of three (3) nominees for each 16
position for which a recommendation for retention has been rejected by the 17
Governor. 18
(6) The commissioner shall be subject to Senate confirmation in accordance with KRS 19
11.160. 20
(7) (a) The Governor shall appoint the members of the Workers' Compensation 21
Board. If a sitting board member is not retained, the[The] nominating 22
committee shall present to the Governor a list of three (3) candidates for 23
appointment to the board no later than thirty (30) days prior to the expiration 24
of a board member's term. For the purpose of filling vacancies on the board 25
which occur for reasons other than an expiration of term, the nominating 26
committee shall present a list of three (3) names to the Governor no later than 27 UNOFFICIAL COPY 25 RS BR 1542
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sixty (60) days after a vacancy occurs. 1
(b) If the Governor fails to appoint a member of the board within thirty (30) days 2
following receipt of a list of names from the nominating committee, the 3
previous appointee may remain in the position until adjournment of the 4
Senate the year following the expiration of his or her term[the ninetieth day 5
following the date the nominating committee provided the Governor with its 6
list of names], at which time he or she shall vacate the position. 7
(c) Each newly appointed member of the board shall not assume his or her 8
office until thirty (30) days after confirmation by the Senate. Members who 9
are reappointed shall continue to serve in their capacity until the 10
reappointment is confirmed by the Senate or the Senate adjourns without 11
confirming the appointment. 12
(8) (a) The nominating committee shall meet as often as necessary to perform its 13
statutory responsibilities, including but not limited to the mandates 14
enumerated in this section, and a majority of the members shall constitute a 15
quorum for the transaction of business; and 16
(b) The members shall be reimbursed from funds collected pursuant to KRS 17
342.122 for necessary expenses in the manner and amounts prescribed for 18
state employees by KRS 45.101 and the administrative regulations 19
promulgated under the authority of that statute. Members of the nominating 20
committee shall not be paid for their attendance at any meeting. 21
Section 2. KRS 342.215 is amended to read as follows: 22
(1) The Workers' Compensation Board is hereby created and established. The board 23
shall rule on appeals of decisions rendered by administrative law judges under this 24
chapter. The board shall rule on an appeal of a decision of an administrative law 25
judge no later than sixty (60) days following the date on which the last appeal brief 26
was filed. 27 UNOFFICIAL COPY 25 RS BR 1542
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(2) The Workers' Compensation Board shall consist of three (3) members appointed by 1
the Governor. Each member shall hold no other public office and shall devote his or 2
her full time to the duties of his or her office. Each member shall be exempt from 3
the classified service, and his or her support staff may be exempt from the classified 4
service. 5
(3) Of the members of the board appointed under this section, any member appointed 6
to fill an unexpired term shall immediately assume the office subject to the 7
confirmation by the Senate in accordance with KRS 11.160 for the remainder of 8
the term. Any member not currently pending reappointment by the Senate with a 9
term expiring on or before: 10
(a) December 1, 2025, shall continue serving a term that shall expire on June 11
1, 2026; 12
(b) December 1, 2026, shall continue serving a term that shall expire on June 13
1, 2027; or 14
(c) December 1, 2027, shall continue serving a term that shall expire on June 15
1, 2028[one (1) shall serve a term that shall expire on January 4, 2002; one (1) 16
shall serve a term that shall expire on January 4, 2003; and one (1) shall serve 17
a term that shall expire on January 4, 2004, as designated by the Governor at 18
the time of appointment]. 19
Thereafter, each term of a board member shall run for four (4) years from the date 20
of expiration of the term for which the member's predecessor was appointed, except 21
that a person appointed to fill a vacancy prior to the expiration of a term shall be 22
appointed for the remainder of the term. The Governor shall not appoint a member 23
of the board to fill the unexpired term of another board member, nor shall the 24
Governor reappoint a member of the board who has been removed from his or her 25
position prior to the expiration of his or her term. The members of the board shall 26
have the qualifications required of appeals court judges, except for residence in a 27 UNOFFICIAL COPY 25 RS BR 1542
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district, and shall receive the same salary and shall be subject to the same standards 1
of conduct. The Governor shall designate a member of the board to serve as 2
chairman. Any vacancy in the chairmanship shall be filled by the Governor. The 3
Governor may at any time remove any member for cause after furnishing the 4
member with a written copy of the charges against him or her and giving the 5
member a public hearing if he or she requests it. 6
(4) A decision concurred in by any two (2) of the three (3) members shall constitute a 7
decision of the board. 8
(5) Members of the Workers' Compensation Board and the administrative law judges 9
shall be members of the Kentucky Employees Retirement System. 10
(6) The Workers' Compensation Board shall be attached to the Department of Workers' 11
Claims in the Education and Labor Cabinet. 12
Section 3. KRS 342.230 is amended to read as follows: 13
(1) The commissioner with the assistance of the board shall train and instruct the 14
administrative law judges on an ongoing basis; assign cases; and monitor the 15
caseloads of the administrative law judges and the Workers' Compensation Board to 16
ensure timely disposition of cases; keep and be the custodian of the records of the 17
board and the administrative law judges; annually report the activities of the board 18
and the administrative law judges to the Governor; and devote his or her full time to 19
the duties of his or her office. The commissioner shall be paid a salary not less than 20
the salary of a member of the board. 21
(2) The Governor shall appoint, with the consent of the Senate in accordance with KRS 22
11.160 for a term of four (4) years, not more than nineteen (19) administrative law 23
judges, each of whom shall be an attorney and shall have five (5) years' experience 24
in the Commonwealth in the practice of workers' compensation law or a related 25
field, and extensive knowledge of workers' compensation law, and shall be paid the 26
same salary as a Circuit Judge. Each newly appointed administrative law judge 27 UNOFFICIAL COPY 25 RS BR 1542
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shall not assume his or her office until June 1 following confirmation by the 1
Senate. Administrative law judges who are reappointed shall continue to serve in 2
their capacity until the reappointment is confirmed by the Senate or the Senate 3
adjourns without confirming the appointment. Each administrative law judge shall 4
be exempt from the classified service, and his or her support staff may be exempt 5
from the classified service. Each administrative law judge may be employed for 6
additional terms with the consent of the Senate in accordance with KRS 11.160. 7
The Governor, at least thirty (30) days prior to the expiration of a term of an 8
administrative law judge, shall provide the name of the individual whom he or she 9
intends to appoint to the position to the chairman of the Senate Standing 10
Committee on Economic Development, Tourism, and Labor[Senate Economic 11
Development and Workforce Investment Committee]. These administrative law 12
judges shall conduct hearings, and otherwise supervise the presentation of evidence 13
and perform any other duties assigned to them by statute and shall render final 14
decisions, orders, or awards. Administrative law judges may, in receiving evidence, 15
make rulings affecting the competency, relevancy, and materiality of the evidence 16
about to be presented and upon motions presented during the taking of evidence as 17
will expedite the preparation of the case. 18
(3) To ensure that the administrative law judges perform their responsibilities 19
competently and issue decisions consistent with this chapter, the commissioner 20
shall, at least twice annually, conduct training and education seminars in workers' 21
compensation law; administrative law; and methods and procedures for writing 22
well-reasoned, clear, correct, and concise opinions, orders, or awards. 23
(4) The Governor may at any time remove the commissioner or any member of the 24
board. The commissioner may remove any administrative law judge. A member of 25
the board or an administrative law judge may be removed for good cause, including 26
violation of the code of judicial ethics or the code of ethics applicable to the 27 UNOFFICIAL COPY 25 RS BR 1542
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executive branch of the Commonwealth. In addition, an administrative law judge or 1
a member of the board may be removed for the persistent or repeated failure to 2
perform satisfactorily the specific duties assigned in this chapter, including the 3
requirement of timely disposition of cases, review of attorney's fees, and failure to 4
attend training and continuing education programs required by this section. 5
(5) Any vacancy in the term of an administrative law judge, which occurs prior to the 6
expiration of the term, shall be filled if necessary by appointment of the Governor 7
in accordance with subsection (2) of this section within sixty (60) days from the 8
date the vacancy occurs, with the consent of the Senate in accordance with KRS 9
11.160, for the remainder of the term. An administrative law judge appointed to fill 10
an unexpired term shall immediately assume the office subject to the 11
confirmation by the Senate in accordance with KRS 11.160 for the remainder of 12
the term. 13
(6) Any administrative law judge not currently pending reappointment by the Senate 14
with a term expiring on or before: 15
(a) December 1, 2025, shall continue serving a term that shall expire on June 16
1, 2026; 17
(b) December 1, 2026, shall continue serving a term that shall expire on June 18
1, 2027; 19
(c) December 1, 2027, shall continue serving a term that shall expire on June 20
1, 2028, or 21
(d) December 1, 2028, shall continue serving a term that shall expire on June 22
1, 2029[(a) On January 1, 1998, the Governor shall make four (4) year 23
appointments to fill as many of these positions as are necessary to fulfill the 24
duties assigned to administrative law judges under this chapter. 25
(b) On January 1, 2000, the Governor shall make four (4) year appointments to 26
fill as many of these positions as are necessary to fulfill the duties assigned to 27 UNOFFICIAL COPY 25 RS BR 1542
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administrative law judges under this chapter]. 1
(7) One (1) of the administrative law judges appointed pursuant to this section shall be 2
appointed as a chief administrative law judge, to have the same qualifications, 3
powers, duties, and requirements as those of other administrative law judges. The 4
chief administrative law judge shall not be assigned regular dockets but shall 5
instead assist the commissioner by doing all scheduling of the administrative law 6
judges, handling dockets assigned to the administrative law judges in case of an 7
emergency, providing supervision of the administrative law judges, and providing 8
educational opportunities for the administrative law judges. The chief 9
administrative law judge shall be paid at the same rate as the administrative law 10
judges plus an additional three thousand dollars ($3,000) per year. At any time the 11
commissioner may replace the chief administrative law judge with one (1) of the 12
other administrative law judges at which time the former chief administrative law 13
judge shall resume the duties assigned to the other administrative law judges 14
pursuant to this chapter. On January 1, 1998, the commissioner shall employ a 15
person in this position for a four (4) year term. 16