ENGR. S. B. NO. 1456 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED SENATE BILL NO. 1456 By: Treat of the Senate and Kannady of the House [ Workers’ Compensation Court of Existing Claims - divisions - jurisdiction - costs - duty - appointment - rules - authority - appeal - report - funds - effective date - emergency ] BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 20 O.S. 2021, Section 30.14, is amended to read as follows: Section 30.14. A. 1. In addition to the provisions of Sections 30.1 through 30.12 30.19 of Title 20 of the Oklahoma Statutes, and in addition to the four permanent divisions established by Section 30.2 of Title 20 of the Oklahoma Statutes, the Court of Civil Appeals shall consist of as many additional divisions as the Sup reme Court may deem advisable to convene for prompt disposition of its docket. Each division shall consist of three Judges, at least two of whom shall concur in any decision. In the exercise of its powers granted by Article VII, Section 6 of the Oklahoma Constitution, the Supreme Court shall make temporary assignments of judicial officers, active or retired, and lawyers, ENGR. S. B. NO. 1456 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 having prior to their assignment the qualifications of a district judge, to sit on a division of the Court of Civil Appeals convened under the authority of this act section. Each division of the Court of Civil Appeals shall select its presiding Judge. The Supreme Court may prescribe by rule where the division shall sit and how that Court shall conduct its business and practice before it. 2. The Court of Civil Appeals shall establish a division to be referred to as the Court of Existing Claims (CEC) Division of the Court of Civil Appeals which shall be vested with jurisdiction over all claims filed pursuant to the Workers ’ Compensation Code or previous statute in effect on the date of an injury that occurred before February 1, 2014. In no event does the CEC Division have jurisdiction over any claim arising on or after the effective date of this act. B. Each division of the Court of Civil Appeals convened under the authority of this act section shall have jurisdiction to determine or otherwise dispose of any case assigned to it by the Supreme Court, and its decisions, when final, shall be neither appealable to the Supreme Court nor be subj ect to reexamination by another division of the Court of Civil Appeals or by the Judges of that Court sitting en banc. The Supreme Court may recall a case from the Court of Civil Appeals; it may review a decision of the Court of Civil Appeals when a major ity of its Justices direct that certiorari be granted. In any case assigned to it by the Supreme ENGR. S. B. NO. 1456 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Court, the Court of Civil Appeals shall have the power to issue writs of habeas corpus, mandamus, quo warranto, certiorari, and prohibition. C. The opinions of the Court of Civil Appeals shall be written in the form prescribed by the Supreme Court. No opinion of the Court of Civil Appeals shall be binding or cited as a precedent unless it has been approved by the Supreme Court for publication in the official reporter. The Supreme Court shall prescribe by rule which opinion or decision, if any, of the Court of Civil Appeals shall be published in the unofficial reporter. D. The jurisdiction, powers, duties and procedures of the Court of Civil Appeals shall be as provided by rules of the Supreme Court unless otherwise provided by statute. E. No judicial officer, except as otherwise authorized by law, temporarily assigned to sit on the Court of Civil Appeals shall be entitled to additional compensation for judic ial service on that Court. Expenses of judicial officers and lawyers assigned to the Court of Civil Appeals incurred in performing their duties shall be reimbursed pursuant to the State Travel Reimbursement Act, Section 500.1 et seq. of Title 74 of the Ok lahoma Statutes. F. The Supreme Court shall prescribe by rule the scope of review it will afford when a petition for certiorari to the Court of Civil Appeals is filed. ENGR. S. B. NO. 1456 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 2. AMENDATORY 85A O.S. 2021, Section 122, as amended by Section 1, Chapter 19, 1st Extraordinary Session, O.S.L. 2023 (85A O.S. Supp. 2023, Section 122), is amended to read as follows: Section 122. A. The Workers’ Compensation Commission Revolving Fund established by Section 28.1 of this title shall be use d for the costs of administering the Administrative Workers’ Compensation Act and for other purposes as authorized by law. B. For the purpose of providing funds for the Workers’ Compensation Commission Revolving Fund, for the Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals Administrative Fund created in Section 401.1 of this title, for the Multiple Injury Trust Fund created in Section 28 of this title, and to fund other provisions within this title, the following tax rates shall apply: 1. Each mutual or interinsurance association, stock company, CompSource Mutual Insurance Company or other insurance carrier writing workers’ compensation insurance in this state shall pay to the Oklahoma Tax Commission an assessmen t at a rate of one percent (1%) of all gross direct premiums written during each quarter of the calendar year for workers’ compensation insurance on risks located in this state after deducting from such gross direct premiums, return premiums, unabsorbed po rtions of any deposit premiums, policy dividends, safety refunds, savings and other similar returns paid or ENGR. S. B. NO. 1456 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 credited to policyholders. Such payments to the Oklahoma Tax Commission shall be made not later than the fifteenth day of the month following the c lose of each quarter of the calendar year in which such gross direct premium is collected or collectible. Contributions made by insurance carriers and CompSource Mutual Insurance Company, under the provisions of this section, shall be considered for the p urpose of computing workers’ compensation rates; and 2. When an employer is authorized to become a self -insurer, the Commission shall so notify the Oklahoma Tax Commission, giving the effective date of such authorization. The Oklahoma Tax Commission shall then assess and collect from the employers carrying their own risk an assessment at the rate of two percent (2%) of the total compensation for permanent total disability awards, permanent partial disability awards and death benefits paid out during each quarter of the calendar year by the employers. Such assessment shall be payable by the employers and collected by the Oklahoma Tax Commission according to the provisions of this section regarding payment and collection of the assessment created in paragra ph 1 of this subsection. C. It shall be the duty of the Oklahoma Tax Commission to collect the payments provided for in this title. The Oklahoma Tax Commission is hereby authorized to bring an action for the recovery of any delinquent or unpaid payments required in this section. The ENGR. S. B. NO. 1456 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Oklahoma Tax Commission may also enforce payments by proceeding in accordance with the provisions of Section 98 of this title. D. The Oklahoma Tax Commission shall pay monthly to the State Treasurer to the credit of the Mult iple Injury Trust Fund all monies collected under the provisions of this section, less the annual amounts which shall be apportioned by the Oklahoma Tax Commission, as follows; provided, however, if the fund in any one month is insufficient to make the req uired payments, the unpaid portion shall be paid as soon as funds become available: 1. Five Million Five Hundred Thousand Dollars ($5,500,000.00) shall be payable each fiscal year in equal monthly installments to the credit of the Workers’ Compensation Co mmission Revolving Fund established in Section 28.1 of this title to be used to implement the provisions of this title; and 2. One Million Seven Hundred Fifty Thousand Dollars ($1,750,000.00) shall be payable in equal monthly installments to the credit of the Workers' Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals Administrative Fund established in Section 401.1 of this title for the fiscal year ending June 30, 2023, and Two Hundred Fifty Thousand Dollars ($250,000.00) payable in equal monthly installments to such fund for the fiscal year beginning July 1, 2023, and each subsequent fiscal year. ENGR. S. B. NO. 1456 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Monies deposited in the Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals Administrative Fund shall be used by the Workers’ Compensation Court of Existing Claims (CEC) Division to implement provisions provided for in this title. All unencumbered funds remaining in the Workers' Compensation Administration Court of Existing Claims (CEC) Divis ion of the Court of Criminal Appeals Administrative Fund on July 1, 2027, shall be transferred to the State Treasurer to be returned to the Multiple Injury Trust Fund. E. The refund provisions of Sections 227 through 229 of Title 68 of the Oklahoma Statut es shall be applicable to any payments made pursuant to this section. SECTION 3. AMENDATORY 85A O.S. 2021, Section 400, is amended to read as follows: Section 400. A. The Workers’ Compensation Court of Existing Claims (CEC) shall be renamed the Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals as established by Section 30.14 of Title 20 of the Oklahoma Statutes for the purpose of hearing disputes relating to claims that arise arose before February 1, 2014. The Court shall consist of the existing judges for the remainder of his or her term. Each judge of the Court shall continue to serve as the appointment to a designated position on the Court. The terms of the judges by position number shall expire on the following dates: ENGR. S. B. NO. 1456 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Position 4 shall expire 7 -1-20. Position 5 shall expire 7 -1-20. Position 8 shall expire 7 -1-20. Position 9 shall expire 7 -1-20. B. Effective July 1, 2020 July 1, 2024, the Workers’ Compensation Court of Existing Claims CEC Division of the Court of Civil Appeals shall consist of one judge to be appointed by the Governor, with confirmation by the Senate. The judge shall be appointed for a term to expire on July 1, 2022. The Governor shall select the judge from a list of three applicants submitted to the Governor by the Judicial Nominating Commission. If the list is not acceptable to the Governor, the Governor may request from the Judicial Nominating Commission a list of names of three additional applicants. Any present judge of the Court of Existing Claims may apply to the Judicial Nominating Commission for appointment to fill any position authorized by this section who currently serves as a member of the Court of Civil Appeals on a rotational basis as determined by the Chief Justice of the Supreme Court. Such appointment shall be a two-year term to run concurrently with the Chief Justice, and shall be an additional duty requirement . C. A judge may be removed for cause by the Court on the Judiciary prior to the expirat ion of his or her term. D. Each judge shall receive a salary equal to that paid to a district judge of this state, and shall devote full time to his or ENGR. S. B. NO. 1456 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 her duties and shall not engage in the private practice of law during the term in office. E. If a vacancy occurs on the Court of Existing Claims, the Governor shall appoint a judge to serve the remainder of the term from a list of three applicants submitted to the Governor by the Judicial Nominating Commission, with confirmation of the State Senate. If the list is not acceptable to the Governor, the Governor may request from the Judicial Nominating Commission a list of the names of three additional applicants. F. 1. Effective January 1, 2020 July 1, 2024, the Governor shall appoint an appointment of the Administrator of the Court of Existing Claims, who shall serve at the pleasure of the Governor. The Administrator shall be appointed by the Governor with the advice and consent of the Senate. The compensation for the Administrator shall be set at ninety percent (90%) of the compensation of a district court judge shall terminate, with all duties to be assumed by the Administrative Director of the Courts . 2. The Administrator Director shall employ and supervise the work of employees of the CEC Division of the Court of Civil Appeals and shall have the authority to expend funds and contract on behalf of the Court CEC Division. The Administrator Director may contract with the Oklahoma Workers’ Compensation Commission to provide support services or personnel n eeds necessary to carry out the purposes of the Court CEC Division and shall supervise the work of ENGR. S. B. NO. 1456 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 any such personnel as necessary to maintain the CEC Division of the Court of Civil Appeals as a Court of Record. G. D. The CEC Division of the Court of Existing Claims Civil Appeals shall contract with the Oklahoma Workers’ Compensation Commission to integrate its case management and records Information Technology System into the system of the Oklahoma Workers’ Compensation Commission with such integration to be completed on or before July 1, 2022 July 1, 2024. The CEC Division shall contract with the Oklahoma Workers’ Compensation Commission to pay for the cost of such integration and costs associated with the maintenance and upgrades to the system. The Court Commission shall be entitled to any fees generated for the retrieval of such data. H. E. The Court CEC Division shall operate by the rules adopted by the Workers’ Compensation Court prior to February 1, 2014. I. F. The Court of Civil Appeals is hereby designated and confirmed as a court of record for any and all cases of the Court of Existing Claims Division, with respect to any matter within the limits of its jurisdiction, and within such limits the judges thereof shall possess the powers and prerogat ives of the judges of the other courts of record of this state including the power to punish for contempt those persons who disobey a subpoena, or refuse to be sworn or to answer as a witness, when lawfully ordered to do so. ENGR. S. B. NO. 1456 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 J. G. The principal office CEC Division of the Court shall be situated in the City of Oklahoma City in quarters assigned by the Office of Management and Enterprise Services. The Court of Civil Appeals may hold hearings in any city of this state. K. H. All county commissioners , and presiding district judges of this state, or institutions of higher education shall make quarters available for the conducting of hearings by a judge of the Court CEC Division upon request by the Court. L. I. Judges The designated judge of the Workers’ Compensation CEC Division of the Court of Existing Claims Civil Appeals may punish for direct contempt pursuant to Sections 565, 565.1 and 566 of Title 21 of the Oklahoma Statutes. M. J. The CEC Division of the Court of Civil Appeals as established by Section 30.14 of Title 20 of the Oklahoma Statutes shall be vested with jurisdiction over all claims filed pursuant to the Workers’ Compensation Code or previous statute in effect on the date of an injury that occurred before February 1, 2014. In no event does the CEC Division have jurisdiction over any claim arising on or after the effective date of this act. All claims so filed shall be heard by the judge sitting without a jury. The Court CEC Division shall have full power and authority to determine all questions in relation to payment of claims for compensation under the provisions of the Workers ’ Compensation Code or previous statute in effect on the date of an injury that occurred before February 1, ENGR. S. B. NO. 1456 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2014. The Court CEC Division, upon application of either p arty, shall order a hearing. Upon a hearing, either party may present evidence and be represented by counsel. The decision of the Court designated judge of the CEC Division shall be final as to all questions of fact and law; provided, the decision of the Court judge may be appealed to the a division of the Court en banc of Civil Appeals of which the judge is not a member, or the Supreme Court as provided by the Workers ’ Compensation Code or previous statute in effect on the date of an injury that occurred before February 1, 2014. In the event that an insufficient number of active judges are available to comprise the three -judge en banc panel, retired or former judges of the district court, Workers ’ Compensation Court or Workers’ Compensation Court of Exis ting Claims may be designated by the Presiding Judge of the Court of Existing Claims as eligible to serve on such panel. The Governor shall provide to the Court of Existing Claims a list of designated judges eligible for service on the Court en banc. The decision of the Court judge of the CEC Division shall be issued within thirty (30) days following the submission of the case by the parties. The power and jurisdiction of the Court over each case shall be continuing and it may, from time to time, make su ch modifications or changes with respect to former findings or orders relating thereto if, in its opinion, it may be justified. ENGR. S. B. NO. 1456 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 N. K. For an injury occurring before February 1, 2014, all benefits and procedures to obtain benefits shall be determined by the workers’ compensation law of this state in effect on the date of the injury. O. L. All accrued rights and penalties incurred pursuant to a final order of the Workers ’ Compensation Court or the CEC Division of the Court of Civil Appeals shall be preserved. No accrued right, penalty incurred, or proceeding begun by virtue of a statute repealed by this act shall be abrogated by the terms of this act. P. M. Annually, on or before the first day of July, commencing with July 2019, the Administrator Administrative Director of the Courts shall prepare and submit electronically a report for the prior calendar year to the Governor, the Chief Justice of the Supreme Court, the President Pro Tempore of the Senate and the Speaker of the House of Representatives which shall include a statement of the number of awards made and the causes of the accidents leading to the injuries for which the awards were made, total work load data of the CEC Division of the Court of Civil Appeals, a detailed report of the work load of th e judges of the CEC Division of the Court, a detailed statement of the expenses of the office of the Administrator of Workers ’ Compensation Court of Existing Claims CEC Division, together with any other matter which the Administrator Director deems proper to report to the Governor including any recommendations he or she may desire to make. ENGR. S. B. NO. 1456 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Q. Subject to the availability of funds, the Judge of the Court of Existing Claims may employ one at -will full- or part-time special workers’ compensation judge with jur isdiction to hear cases as set forth in subsection M of this section and as may be assigned by the Judge. The special workers ’ compensation judge shall receive compensation for such services in accordance with the provisions of Section 92.1A of Title 20 o f the Oklahoma Statutes. SECTION 4. AMENDATORY 85A O.S. 2021, Section 401, is amended to read as follows: Section 401. There is hereby created in the State Treasury a revolving fund for the Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals to be designated the “Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals Revolving Fund”. The fund shall be a continuing fund, not subject to fiscal year limitat ions, and shall consist of all monies received by the Workers’ Compensation CEC Division of the Court of Existing Claims Civil Appeals from all fees, penalties and fines imposed by the Workers’ Compensation CEC Division of the Court of Existing Claims Civil Appeals or its Administrator the Administrative Director of the Courts . All monies accruing to the credit of said such fund are hereby appropriated and may be budgeted and expended by the Workers’ Compensation CEC Division of the Court of Existing Claims Civil Appeals for the purpose of defraying necessary expenses of the Workers’ Compensation ENGR. S. B. NO. 1456 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Court of Existing Claims CEC Division in performance of its duties. Expenditures from said such fund shall be made upon warrants issued by the State Treasurer aga inst claims filed as prescribed by law with the Director of the Office of Management and Enterprise Services for approval and payment. SECTION 5. AMENDATORY 85A O.S. 2021, Section 401.1, is amended to read as follows: Section 401.1. There is hereby created in the State Treasury a revolving fund for the Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals to be designated the “Workers’ Compensation Court of Existing Claims (CEC) Division of the Court of Civil Appeals Administrative Fund”. The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Workers ’ Compensation Court of Existing Claims from revenues apportioned pursuant t o Section 122 of Title 85A of the Oklahoma Statutes. All monies accruing to the credit of said such fund are hereby appropriated and may be budgeted and expended by the Workers’ Compensation CEC Division of the Court of Existing Claims Civil Appeals for the purpose of funding the operations of the Court, for administering the provisions of Titles 85 and 85A of the Oklahoma Statutes, contracting with the Oklahoma Workers’ Compensation Commission to provide support services or personnel needs necessary to ca rry out the purposes of the CEC Division of the Court of Civil Appeals, and ENGR. S. B. NO. 1456 Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 for any other purpose related to the Administrative Workers ’ Compensation Act that the Court deems appropriate. Expenditures from said such fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of the Office of Management and Enterprise Services for approval and payment. SECTION 6. This act shall become effective July 1, 2024. SECTION 7. It being immediately necessary for the preservation of the public peace, health or safety, an emergency is hereby declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage and approval. Passed the Senate the 11th day of March, 2024. Presiding Officer of the Senate Passed the House of Representatives the ____ day of __________, 2024. Presiding Officer of the House of Representatives