CSSB 130(L&C): "An Act relating to a special deposit for workers' compensation and employers' liability insurers; relating to assigned risk pools; relating to workers' compensation insurers; stating the intent of the legislature, and setting out limitations, concerning the interpretation, construction, and implementation of workers' compensation laws; relating to the Alaska Workers' Compensation Board; assigning certain Alaska Workers' Compensation Board functions to the division of workers' compensation in the Department of Labor and Workforce Development and to that department, and authorizing the board to delegate administrative and enforcement duties to the division; providing for workers' compensation hearing officers in workers' compensation proceedings; relating to workers' compensation medical benefits and to charges for and payment of fees for the medical benefits; relating to agreements that discharge workers' compensation liability; relating to workers' compensation awards; relating to reemployment benefits and job dislocation benefits; relating to coordination of workers' compensation and certain disability benefits; relating to division of workers' compensation records; relating to release of treatment records; relating to an employer's failure to insure and keep insured or provide security; relating to workers' compensation proceedings; providing for a maximum amount for the cost-of-living adjustment for workers' compensation benefits; relating to attorney fees with respect to workers' compensation; providing for the department to enter into contracts with nonprofit organizations to provide information services and legal representation to injured employees; providing for administrative penalties for employers uninsured or without adequate security for workers' compensation; relating to fraudulent acts or false or misleading statements in workers' compensation and penalties for the acts or statements; providing for members of a limited liability company to be included as an employee for purposes of workers' compensation; establishing a workers' compensation benefits guaranty fund; relating to the second injury fund; making conforming amendments; providing for a study and report by the medical services review committee; and providing for an effective date."
00 CS FOR SENATE BILL NO. 130(L&C) 01 "An Act relating to a special deposit for workers' compensation and employers' liability 02 insurers; relating to assigned risk pools; relating to workers' compensation insurers; 03 stating the intent of the legislature, and setting out limitations, concerning the 04 interpretation, construction, and implementation of workers' compensation laws; 05 relating to the Alaska Workers' Compensation Board; assigning certain Alaska 06 Workers' Compensation Board functions to the division of workers' compensation in the 07 Department of Labor and Workforce Development and to that department, and 08 authorizing the board to delegate administrative and enforcement duties to the division; 09 providing for workers' compensation hearing officers in workers' compensation 10 proceedings; relating to workers' compensation medical benefits and to charges for and 11 payment of fees for the medical benefits; relating to agreements that discharge workers' 12 compensation liability; relating to workers' compensation awards; relating to
01 reemployment benefits and job dislocation benefits; relating to coordination of workers' 02 compensation and certain disability benefits; relating to division of workers' 03 compensation records; relating to release of treatment records; relating to an employer's 04 failure to insure and keep insured or provide security; relating to workers' 05 compensation proceedings; providing for a maximum amount for the cost-of-living 06 adjustment for workers' compensation benefits; relating to attorney fees with respect to 07 workers' compensation; providing for the department to enter into contracts with 08 nonprofit organizations to provide information services and legal representation to 09 injured employees; providing for administrative penalties for employers uninsured or 10 without adequate security for workers' compensation; relating to fraudulent acts or 11 false or misleading statements in workers' compensation and penalties for the acts or 12 statements; providing for members of a limited liability company to be included as an 13 employee for purposes of workers' compensation; establishing a workers' compensation 14 benefits guaranty fund; relating to the second injury fund; making conforming 15 amendments; providing for a study and report by the medical services review 16 committee; and providing for an effective date." 17 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 18 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 19 to read: 20 LEGISLATIVE INTENT. It is the intent of the legislature by secs. 2 - 4 of this Act 21 (1) to reform the workers' compensation system in Alaska to ensure the 22 continued payment of benefits in the event of an insurer insolvency; and 23 (2) to reduce the overall costs of workers' compensation premiums to 24 employers. 25 * Sec. 2. AS 21.09.090 is amended by adding new subsections to read:
01 (e) In addition to and separate from the deposit required under (b) of this 02 section, an insurer that is authorized to transact workers' compensation and employer's 03 liability insurance as defined in AS 21.12.070(a)(3) shall deposit in this state, through 04 the director, for the protection of persons in this state covered by workers' 05 compensation insurance issued by the insurer, an amount not less than the greater of 06 (1) $100,000; or 07 (2) an amount equal to the sum of the following less any credit for 08 reinsurance that the insurer may take under (f) of this section: 09 (A) the aggregate of the present value at four percent interest of 10 the total determined and estimated future loss and loss expense payment upon 11 each claim incurred under a policy written in this state more than three years 12 before the date of computation; and 13 (B) for each of the three years before the date of computation, 14 65 percent of the earned premium for the year less each loss and loss expense 15 payment made upon a claim incurred in the corresponding year, except that the 16 amount for any year may not be less than the present value at four percent 17 interest of the total determined and estimated future loss and loss expense 18 payment upon each claim incurred under a policy written in this state that year. 19 (f) In calculating the deposit amount required under (e)(2) of this section, an 20 insurer may take a credit for reinsurance if the reinsurer has deposited in trust in this 21 state, through the director, an amount at least equal to the credit to be taken, and not 22 less than the aggregate of all credits taken by each insurer under this subsection. 23 * Sec. 3. AS 21.24.130 is amended by adding a new subsection to read: 24 (f) If an insurer is found to be insolvent by a proceeding under AS 21.78 or by 25 a court of competent jurisdiction in another state, the director shall take control of the 26 insurer's deposit made under AS 21.09.090(e). The deposit assets shall be released, at 27 the discretion of the director, to the Alaska Insurance Guaranty Association 28 (AS 21.80) to reimburse for a valid loss and loss expense claim payment made by the 29 association that is within the purpose of the deposit. The director shall pay the 30 remaining deposit assets to the receiver, conservator, rehabilitator, or liquidator of the 31 insurer, or to another properly designated official who succeeds to the management
01 and control of the insurer's assets, after the director determines that all loss and loss 02 expense liabilities have been paid that were incurred on the insurer's policies written in 03 this state for which the deposit was required. 04 * Sec. 4. AS 21.39.155(a) is amended to read: 05 (a) The director may require insurers, except a reciprocal insurer formed [BY 06 AND INSURING ONLY A GROUP OF MUNICIPALITIES OR NONPROFIT 07 PUBLIC UTILITIES] under AS 21.75 [OR A RECIPROCAL INSURER FORMED 08 UNDER AS 21.75 TO PROVIDE MARINE INSURANCE], as a condition of writing 09 a line of insurance dealing with medical malpractice or workers' compensation, to 10 participate in an assigned risk pool if the director finds that mandatory carrier 11 participation is in the public interest. 12 * Sec. 5. AS 23.05.067(a) is amended to read: 13 (a) Each insurer providing workers' compensation insurance and each 14 employer who is self-insured or uninsured for purposes of AS 23.30 in this state shall 15 pay an annual service fee to the department for the administrative expenses of the state 16 for workers' safety programs under AS 18.60 and the workers' compensation program 17 under AS 23.30 as follows: 18 (1) for each employer, 19 (A) except as provided in (b) of this section, the service fee 20 shall be paid each year to the department at the time that the annual report is 21 required to be filed under AS 23.30.155(m) or (n); and 22 (B) the service fee is 2.9 percent of all payments reported to the 23 Alaska Workers' Compensation Board under AS 23.30.155(m) or (n) [, 24 EXCEPT SECOND INJURY FUND PAYMENTS]; and 25 (2) for each insurer, the director of the division of insurance shall, 26 under (e) of this section, deposit from funds received from the insurer under 27 AS 21.09.210 a service fee of 1.82 percent of the direct premium income for workers' 28 compensation insurance received by the insurer during the year ending on the 29 preceding December 31, subject to all the deductions specified in AS 21.09.210(b). 30 * Sec. 6. AS 23.30 is amended by adding a new section to read: 31 Sec. 23.30.001. Intent of the legislature and construction of chapter. It is
01 the intent of the legislature that 02 (1) this chapter be interpreted so as to ensure the quick, efficient, fair, 03 and predictable delivery of indemnity and medical benefits to injured workers at a 04 reasonable cost to the employers who are subject to the provisions of this chapter; 05 (2) workers' compensation cases shall be decided on their merits 06 except where otherwise provided by statute; 07 (3) this chapter may not be construed by the courts in favor of a party; 08 (4) hearings in workers' compensation cases shall be impartial and fair 09 to all parties and that all parties shall be afforded due process and an opportunity to be 10 heard and for their arguments and evidence to be fairly considered. 11 * Sec. 7. AS 23.30.005(a) is amended to read: 12 (a) The Alaska Workers' Compensation Board consists of a southern panel of 13 three members sitting for the first judicial district, a northern panel of three members 14 sitting for the second and fourth judicial districts, four southcentral panels of three 15 members each sitting for the third judicial district, and one panel of three members 16 that may sit in any judicial district. Each panel must include the commissioner of 17 labor and workforce development or a hearing officer designated to represent [THE 18 DESIGNATED REPRESENTATIVE OF] the commissioner, a representative of 19 industry, and a representative of labor. The latter two members of each panel shall be 20 appointed by the governor and are subject to confirmation by a majority of the 21 members of the legislature in joint session. The board shall by regulation provide 22 procedures to avoid conflicts and the appearance of impropriety in hearings. 23 * Sec. 8. AS 23.30.005(b) is amended to read: 24 (b) The commissioner shall act as chair [CHAIRMAN] and executive officer 25 of the board and chair [CHAIRMAN] of each panel. The commissioner may 26 designate a representative to act for the commissioner as chair and executive 27 officer of the board. The commissioner may designate hearing officers to serve as 28 chairs of panels for hearing claims [IF THE COMMISSIONER DESIGNATES A 29 REPRESENTATIVE TO ACT FOR THE COMMISSIONER, THE 30 REPRESENTATIVE SHALL SERVE IN THAT CAPACITY ON THE BOARD 31 AND ON EACH PANEL].
01 * Sec. 9. AS 23.30.005 is amended by adding new subsections to read: 02 (m) The department may, in its discretion, contract with a nonprofit 03 organization to provide information services and legal representation to employees in 04 proceedings under this chapter. 05 (n) The board may by regulation delegate authority to the director to assist the 06 board in administering and enforcing this chapter. 07 * Sec. 10. AS 23.30.012 is amended to read: 08 Sec. 23.30.012. Agreements in regard to claims. (a) At any time after 09 death, or after 30 days subsequent to the date of the injury, the employer and the 10 employee or the beneficiary or beneficiaries, as the case may be, have the right to 11 reach an agreement in regard to a claim for injury or death under this chapter [IN 12 ACCORDANCE WITH THE APPLICABLE SCHEDULE IN THIS CHAPTER], but 13 a memorandum of the agreement in a form prescribed by the director [BOARD] shall 14 be filed with the division [BOARD]. Otherwise, the agreement is void for any 15 purpose. Except as provided in (b) of this section, an agreement filed with the 16 division discharges the liability of the employer for the compensation, 17 notwithstanding the provisions of AS 23.30.130, 23.30.160, and 23.30.245, and is 18 enforceable as a compensation order. 19 (b) If the claimant or beneficiary is not represented by an attorney 20 licensed to practice in this state or the beneficiary is a minor or incompetent, the 21 agreement shall be reviewed by a panel of the board. If approved by the board, the 22 agreement is enforceable the same as an order or award of the board and discharges 23 the liability of the employer for the compensation notwithstanding the provisions of 24 AS 23.30.130, 23.30.160, and 23.30.245. The agreement shall be approved by the 25 board only when the terms conform to the provisions of this chapter, and, if it involves 26 or is likely to involve permanent disability, the board may require an impartial medical 27 examination and a hearing in order to determine whether or not to approve the 28 agreement. A [THE BOARD MAY APPROVE] lump-sum settlement may be 29 approved [SETTLEMENTS] when it appears to be to the best interest of the 30 employee or beneficiary or beneficiaries. 31 * Sec. 11. AS 23.30.015(e) is amended to read:
01 (e) An amount recovered by the employer under an assignment, whether by 02 action or compromise, shall be distributed as follows: 03 (1) the employer shall retain an amount equal to 04 (A) the expenses incurred by the employer with respect to the 05 action or compromise, including a reasonable attorney fee determined by the 06 board; 07 (B) the cost of all benefits actually furnished by the employer 08 under this chapter; 09 (C) all amounts paid as compensation [AND SECOND- 10 INJURY FUND] payments [,] and, if the employer is self-insured or 11 uninsured, all service fees paid under AS 23.05.067; 12 (D) the present value of all amounts payable later as 13 compensation, computed from a schedule prepared by the board, [;] and the 14 present value of the cost of all benefits to be furnished later under 15 AS 23.30.095 as estimated by the board; the amounts so computed and 16 estimated shall [TO] be retained by the employer as a trust fund to pay 17 compensation and the cost of benefits as they become due and to pay any 18 finally remaining excess sum to the person entitled to compensation or to the 19 representative; and 20 (2) the employer shall pay any excess to the person entitled to 21 compensation or to the representative of that person. 22 * Sec. 12. AS 23.30.041(a) is amended to read: 23 (a) The director [BOARD] shall select and employ a reemployment benefits 24 administrator. The director [BOARD] may authorize the administrator to select and 25 employ additional staff. The administrator is in the partially exempt service under 26 AS 39.25.120. 27 * Sec. 13. AS 23.30.041(b) is amended to read: 28 (b) The administrator shall 29 (1) enforce regulations adopted by the board to implement this section; 30 (2) recommend regulations for adoption by the board that establish 31 performance and reporting criteria for rehabilitation specialists;
01 (3) enforce the quality and effectiveness of reemployment benefits 02 provided for under this section; 03 (4) review on an annual basis the performance of rehabilitation 04 specialists to determine continued eligibility for delivery of rehabilitation services; 05 (5) submit to the department, on or before May 1 of each year, a report 06 of reemployment benefits provided under this section for the previous calendar year; 07 the report must include a general section, sections related to each rehabilitation 08 specialist employed under this section, and a statistical summary of all rehabilitation 09 cases, including 10 (A) the estimated and actual cost of each active rehabilitation 11 plan; 12 (B) the estimated and actual time of each rehabilitation plan; 13 (C) a status report on all individuals requesting, waiving, 14 beginning, completing, or terminating a reemployment benefits program 15 including 16 (i) reasons for denial, waiver, suspension, or 17 termination; 18 (ii) dates of completion and [A] return to work; and 19 (iii) other information required by the director 20 [DATE]; 21 (D) the cost of reemployment benefits; 22 (E) status reports of all individuals who successfully 23 completed a reemployment plan that includes 24 (i) the plan's occupational goal and whether the 25 individual obtained work after completion in the planned or 26 another occupation; and 27 (ii) the individual's employment status six months, 28 one year, and two years after reemployment plan completion; 29 (6) maintain a list of rehabilitation specialists who meet the 30 qualifications established under this section; 31 (7) promote awareness among physicians, adjusters, injured workers,
01 employers, employees, attorneys, training providers, and rehabilitation specialists of 02 the reemployment program established in this subsection. 03 * Sec. 14. AS 23.30.041(c) is repealed and reenacted to read: 04 (c) An employee and an employer may stipulate to the employee's eligibility 05 for reemployment benefits at any time. If an employee suffers a compensable injury 06 and, as a result of the injury, the employee is totally unable, for 45 consecutive days, 07 to return to the employee's employment at the time of injury, the administrator shall 08 notify the employee of the employee's rights under this section within 14 days after the 09 45th day. If the employee is totally unable to return to the employee's employment for 10 60 consecutive days as a result of the injury, the employee or employer may request an 11 eligibility evaluation. The administrator may approve the request if the employee's 12 injury may permanently preclude the employee's return to the employee's occupation 13 at the time of the injury. If the employee is totally unable to return to the employee's 14 employment at the time of the injury for 90 consecutive days as a result of the injury, 15 the administrator shall, without a request, order an eligibility evaluation unless a 16 stipulation of eligibility was submitted. If the administrator approves a request or 17 orders an evaluation, the administrator shall, on a rotating and geographic basis, select 18 a rehabilitation specialist from the list maintained under (b)(6) of this section to 19 perform the eligibility evaluation. 20 * Sec. 15. AS 23.30.041(f) is amended to read: 21 (f) An employee is not eligible for reemployment benefits if 22 (1) the employer offers employment within the employee's predicted 23 post-injury physical capacities at a wage equivalent to at least the state minimum wage 24 under AS 23.10.065 or 75 percent of the worker's gross hourly wages at the time of 25 injury, whichever is greater, and the employment prepares the employee to be 26 employable in other jobs that exist in the labor market; 27 (2) the employee previously declined the development of a 28 reemployment benefits plan under (g) of this section, received a job dislocation 29 benefit under (g)(2) of this section, and returned to work in the same or similar 30 occupation in terms of physical demands required of the employee at the time of 31 the previous injury;
01 (3) the employee has been previously rehabilitated in a former 02 worker's compensation claim and returned to work in the same or similar occupation 03 in terms of physical demands required of the employee at the time of the previous 04 injury; or 05 (4) [(3)] at the time of medical stability, no permanent impairment is 06 identified or expected. 07 * Sec. 16. AS 23.30.041(g) is amended to read: 08 (g) Within 15 days after the employee receives the administrator's notification 09 of eligibility for benefits, an employee [WHO DESIRES TO USE THESE 10 BENEFITS] shall give written notice under oath, on a form provided by the 11 division, to the administrator and the employer of the employee's election to 12 either use the reemployment benefits or to accept a job dislocation benefit under 13 (2) of this subsection. The following apply to an election under this subsection: 14 (1) an employee who elects to use the reemployment benefits also 15 shall notify the employer of the employee's selection of a rehabilitation specialist who 16 shall provide a complete reemployment benefits plan; failure [. FAILURE] to give 17 notice of selection of a rehabilitation specialist required by this paragraph 18 [SUBSECTION] constitutes noncooperation under (n) of this section; if [. IF] the 19 employer disagrees with the employee's choice of rehabilitation specialist to develop 20 the plan and the disagreement cannot be resolved, then the administrator shall assign a 21 rehabilitation specialist; the [. THE] employer and employee each have one right of 22 refusal of a rehabilitation specialist; 23 (2) an employee who elects to accept a job dislocation benefit in 24 place of reemployment benefits and who has been given a permanent partial 25 impairment rating by a physician shall be paid 26 (A) $5,000 if the employee's permanent partial impairment 27 rating is greater than zero and less than 15 percent; 28 (B) $8,000 if the employee's permanent partial impairment 29 rating is 15 percent or greater but less than 30 percent; or 30 (C) $13,500 if the employee's permanent partial 31 impairment rating is 30 percent or greater;
01 (3) the form provided by the division for election must specify that 02 the employee understands the scope of the benefits and rights being waived by 03 the election; the administrator shall serve a copy of the executed election form on 04 the parties within 10 days after receiving the form from the employee; the 05 election and waiver of unchosen benefits is effective upon service to the parties; a 06 waiver and election effective under this subsection discharges the employer's 07 liability for the benefits or rights under this section that were not elected; a 08 waiver may not be modified under AS 23.30.130. 09 * Sec. 17. AS 23.30.041(j) is amended to read: 10 (j) The employee, rehabilitation specialist, and [THE] employer shall sign the 11 reemployment benefits plan. If the employer and employee fail to agree on a 12 reemployment plan, either party may submit a reemployment plan for approval to the 13 administrator. The [; THE] administrator shall approve or deny a plan within 14 days 14 after the plan is submitted. Within [; WITHIN] 10 days after [OF] the decision, 15 either party may seek review of the decision by requesting a hearing under 16 AS 23.30.110. The [; THE] board shall uphold the decision of the administrator 17 unless evidence is submitted supporting an allegation of abuse of discretion on the part 18 of the administrator. The [; THE] board shall render a decision within 30 days after 19 completion of the hearing. 20 * Sec. 18. AS 23.30.041(p) is amended to read: 21 (p) When the United States Department of Labor publishes a new edition, 22 revision, or replacement for the "Selected Characteristics of Occupations Defined in 23 the Revised Dictionary of Occupational Titles" referred to in (e) of this section, the 24 director [BOARD] shall, not later than 90 days after the last day of the month in 25 which the new edition, revision, or replacement standard is published, hold an open 26 meeting under AS 44.62.310 to select the proposed date on which the new edition, 27 revision, or replacement standard will be implemented to make all eligibility 28 determinations required under (e) of this section. The date selected by the 29 department [BOARD] for implementing the new edition, revision, or replacement 30 standard may not be later than 90 days after the last day of the month in which the new 31 edition, revision, or replacement standard is published. After the meeting, the
01 director [BOARD] shall issue a public notice announcing the date selected by the 02 department. The requirements of AS 44.62.010 - 44.62.300 do not apply to the 03 selection or announcement of the date under this subsection. 04 * Sec. 19. AS 23.30.041(q) is amended to read: 05 (q) Notwithstanding AS 23.30.012, after medical stability has been determined 06 and a physician has predicted that the employee may have a permanent impairment 07 that may cause the employee to have permanent physical capacities that are less than 08 the physical demands of the employee's job at the time of injury, an employee may 09 waive any benefits or rights under this section, including an eligibility evaluation and 10 benefits related to a reemployment plan. To waive any benefits or rights under this 11 section, an employee must file a statement under oath with the division [BOARD] to 12 notify the parties of the waiver and to specify the scope of benefits or rights that the 13 employee seeks to waive. The statement must be on a form prescribed or approved by 14 the director [BOARD]. The division [BOARD] shall serve the notice of waiver on 15 all parties to the claim within 10 days after filing. The waiver is effective upon service 16 to the party. A waiver effective under this subsection discharges the liability of the 17 employer for the benefits or rights contained in this section. The waiver may not be 18 modified under AS 23.30.130. 19 * Sec. 20. AS 23.30.080(d) is amended to read: 20 (d) If an employer fails to insure or provide security as required by 21 AS 23.30.075, the board may issue a stop order at the request of the division 22 prohibiting the use of employee labor by the employer until the employer insures or 23 provides security as required by AS 23.30.075. The failure of an employer to file 24 evidence of compliance as required by AS 23.30.085 creates a rebuttable presumption 25 that the employer has failed to insure or provide security as required by AS 23.30.075. 26 If an employer fails to comply with a stop order issued under this section, the board 27 shall assess a civil penalty of $1,000 a [PER] day. The employer may not obtain a 28 public contract with the state or a political subdivision of the state for three years 29 following the violation of the stop order. 30 * Sec. 21. AS 23.30.080 is amended by adding new subsections to read: 31 (e) If a representative of the department investigates an employer's failure to
01 file the evidence of compliance required by AS 23.30.085 and, after investigation, 02 there is substantial evidence that the employer failed to insure or provide security as 03 required by AS 23.30.075, the representative shall inform the employer. The 04 representative may request the director to issue a stop order prohibiting the use of 05 employee labor by the employer until the employer insures or provides security as 06 required by AS 23.30.075. The director may issue a stop order, without a hearing, 07 based on the representative's investigation. The director shall dissolve a stop order 08 issued under this subsection upon receipt of substantial evidence that the employer is 09 insured or has provided security as required by AS 23.30.075(a). If an employer fails 10 to comply with a stop order issued under this subsection, the division may petition the 11 board to assess a civil penalty. The board may assess a civil penalty of $1,000 per 12 day. An employer who is assessed a penalty under this subsection may not obtain a 13 public contract with the state or a political subdivision of the state for the three years 14 following violation of the stop order. 15 (f) If an employer fails to insure or provide security as required by 16 AS 23.30.075, the division may petition the board to assess a civil penalty of up to 17 $1,000 for each employee for each day an employee is employed while the employer 18 failed to insure or provide the security required by AS 23.30.075. The failure of an 19 employer to file evidence of compliance as required by AS 23.30.085 creates a 20 rebuttable presumption that the employer failed to insure or provide security as 21 required by AS 23.30.075. 22 (g) If an employer fails to pay a civil penalty order issued under (d), (e), or (f) 23 of this section within seven days after the date of service of the order upon the 24 employer, the director may declare the employer in default. The director shall file a 25 certified copy of the penalty order and declaration of default with the clerk of the 26 superior court. The court shall, upon the filing of the copy of the order and 27 declaration, enter judgment for the amount declared in default if it is in accordance 28 with law. Anytime after a declaration of default, the attorney general shall, when 29 requested to do so by the director, take appropriate action to ensure collection of the 30 defaulted payment. Review of the judgment may be had as provided under the Alaska 31 Rules of Civil Procedure. Final proceedings to execute the judgment may be had by
01 writ of execution. 02 * Sec. 22. AS 23.30 is amended by adding a new section to read: 03 Sec. 23.30.082. Workers' compensation benefits guaranty fund. (a) The 04 workers' compensation benefits guaranty fund is established in the general fund to 05 carry out the purposes of this section. The fund is composed of civil penalty payments 06 made by employers under AS 23.30.080, income earned on investment of the money 07 in the fund, money deposited in the fund by the department, and appropriations to the 08 fund. Money appropriated to the fund does not lapse. Amounts in the fund may be 09 appropriated for claims against the fund, for expenses directly related to fund 10 operations and claims, and for legal expenses. 11 (b) Every three months, the Department of Revenue shall provide the division 12 with a statement of the activities of, balances in, interest earned on, and interest 13 returned to the fund. 14 (c) Subject to the provisions of this section, an employee employed by an 15 employer who fails to meet the requirements of AS 23.30.075 and who fails to pay 16 compensation and benefits due to the employee under this chapter, may file a claim for 17 payment by the fund. In order to be eligible for payment, the claim form must be filed 18 within the same time, and in the same manner, as a workers' compensation claim. The 19 fund may assert the same defenses as an insured employer under this chapter. 20 (d) If the fund pays benefits to an employee under this section, the fund shall 21 be subrogated to all of the rights of the employee to the amount paid, and the 22 employee shall assign all right, title, and interest in that portion of the employee's 23 workers' compensation claim and any recovery under AS 23.30.015 to the fund. 24 Money collected by the division on the claim or recovery shall be deposited in the 25 fund. 26 (e) If the money deposited in the fund is insufficient at a given time to satisfy 27 a duly authorized claim against the fund, the fund shall, when sufficient money has 28 been deposited in the fund and appropriated, satisfy unpaid claims in the order in 29 which the claims were originally filed, without interest. 30 (f) The division may contract under AS 36.30 (State Procurement Code) with 31 a person for the person to adjust claims against the fund. The contract may cover one
01 or more claims. 02 (g) In this section, "fund" means the workers' compensation benefits guaranty 03 fund. 04 * Sec. 23. AS 23.30.095(j) is amended to read: 05 (j) The commissioner shall [BOARD MAY] appoint a medical services 06 review committee, or contract with an existing organization in the state or another 07 state, to assist and advise the department and the board in matters involving the 08 appropriateness, necessity, and cost of medical and related services provided under 09 this chapter. 10 * Sec. 24. AS 23.30.095 is amended by adding new subsections to read: 11 (n) A generic drug product must be used when dispensing a drug product to an 12 employee under this chapter unless the prescribing physician provides justification in 13 writing explaining the medical necessity for the name-brand drug product. The 14 department, by regulation, shall establish a preferred drug list and a procedure for 15 establishing medical necessity to depart from the list and to use a name-brand drug 16 product. In this subsection, "generic drug product" has the meaning given the term 17 "equivalent drug product" in AS 08.80.480. 18 (o) For purposes of this chapter, the medical treatment or service that the 19 nature of the injury or the process of recovery requires under (a) of this section means 20 treatment or service that is within the recommended guidelines set out in the American 21 College of Occupational and Environmental Medicine's Occupational Medicine 22 Practice Guidelines in effect at the time the treatment or service is provided. The 23 American College of Occupational and Environmental Medicine's Occupational 24 Medicine Practice Guidelines shall be presumed correct on the issue of the nature, 25 extent, and scope of medical treatment or services. For an injury not covered by the 26 American College of Occupational and Environmental Medicine's Occupational 27 Medicine Practice Guidelines, the treatment or service shall be in accordance with 28 standards based on other scientific, evidence-based medical treatment guidelines 29 generally recognized by the national medical community and adopted by the board by 30 regulation, and those standards shall also be presumed correct on the issue of the 31 nature, extent, and scope of medical treatment or services.
01 (p) The presumptions established under (o) of this section may be rebutted by 02 an employee's physician's written certification explaining 03 (1) the nature, extent, and scope of provided medical treatment or 04 service that is at variance with the applicable guidelines or standards; and 05 (2) the basis for the physician's conclusion that the provided medical 06 treatment or service at variance was reasonably required by the nature of the injury or 07 process of recovery. 08 * Sec. 25. AS 23.30 is amended by adding a new section to article 2 to read: 09 Sec. 23.30.097. Fees for medical treatment and services; payment of bills. 10 (a) All fees and other charges for medical treatment or service are subject to 11 regulation by the board consistent with this section. A fee or other charge for medical 12 treatment or service may not exceed the lesser of 13 (1) the usual, customary, and reasonable fees for the treatment or 14 service in the community in which it is rendered, not to exceed the fees in the fee 15 schedule specified by the board in its published bulletin dated December 15, 2003; or 16 (2) the payment made by the employer as negotiated by the provider 17 and the employer under (c) of this section. 18 (b) An employer, or group of employers, may establish a list of preferred 19 physicians and treatment service providers to provide medical, surgical, and other 20 attendance or treatment services to the employer's employees under this chapter; 21 however, 22 (1) the employee's right to chose the employee's attending physician 23 under AS 23.30.095(a) is not impaired; 24 (2) when given to the employee, the employer's preferred physician list 25 must clearly state that the list is voluntary, that the employee's choice is not restricted 26 to the list, that the employee's rights under this chapter are not impaired by choosing 27 an attending physician from the list, and that, if the employee chooses an attending 28 physician from the list, the employee may, in the manner provided in AS 23.30.095, 29 make one change of attending physician, from the list or otherwise; and 30 (3) establishment of a list of preferred physicians does not affect the 31 employer's choice of physician for an employer medical examination under
01 AS 23.30.095. 02 (c) An employer or group of employers may negotiate with physicians and 03 other treatment service providers under this chapter to obtain reduced fees and service 04 charges and may take the fees and charges into account when forming a list of 05 preferred physicians and providers. In no event may an employer or group of 06 employers attempt to influence the treatment, medical decisions, or permanent 07 impairment ratings by physicians in the course of the negotiations regarding a 08 preferred physician and provider fee list. 09 (d) An employer shall pay an employee's bills for medical treatment under this 10 chapter, excluding prescription charges or transportation for medical treatment, within 11 30 days after the date that the employer receives the provider's bill or a completed 12 report as required by AS 23.30.095(c), whichever is later. 13 (e) Unless the employer controverts a charge, an employer shall reimburse an 14 employee's prescription charges under this chapter within 30 days after the employer 15 received the health care provider's completed report and an itemization of the 16 prescription charges for the employee. Unless the employer controverts a charge, an 17 employer shall reimburse transportation expenses for medical treatment under this 18 chapter within 30 days after the employer received the health care provider's 19 completed report and an itemization of the date, destination, and transportation 20 expenses for each date of travel for medical treatment. If the employer does not plan 21 to make or does not make payment or reimbursement in full as required by this 22 subsection, the employer shall notify in writing the employee and the employee's 23 health care provider that payment will not be timely made and the reason for the 24 nonpayment. The notification must be provided on or before the date that payment is 25 due under this subsection or (d) of this section. 26 (f) An employee may not be required to pay a fee or charge for medical 27 treatment or service provided under this chapter. 28 * Sec. 26. AS 23.30.100(b) is amended to read: 29 (b) The notice must be in writing, contain the name and address of the 30 employee, [AND] a statement of the time, place, nature, and cause of the injury or 31 death, and authority to release records of medical treatment for the injury or
01 death, and be signed by the employee or by a person on behalf of the employee, or, in 02 case of death, by a person claiming to be entitled to compensation for the death or by a 03 person on behalf of that person. 04 * Sec. 27. AS 23.30.107(b) is amended to read: 05 (b) Medical or rehabilitation records in an employee's file maintained by the 06 division or held by the board are not public records subject to public inspection and 07 copying under AS 40.25. This subsection does not prohibit 08 (1) the reemployment benefits administrator, the division, the board, 09 or the department from releasing medical or rehabilitation records in an employee's 10 file, without the employee's consent, to a physician providing medical services under 11 AS 23.30.095(k) or 23.30.110(g), a party to a claim filed by the employee, or a 12 governmental agency; or 13 (2) the quoting or discussing of medical or rehabilitation records 14 contained in an employee's file during a hearing on a claim for compensation [,] or in 15 a decision and order of the board. 16 * Sec. 28. AS 23.30.107 is amended by adding a new subsection to read: 17 (c) The division may not assemble, or provide information respecting, 18 individual records for commercial purposes that are outside the scope of this chapter. 19 * Sec. 29. AS 23.30.122 is repealed and reenacted to read: 20 Sec. 23.30.122. Credibility of witnesses. The board has the sole power to 21 determine the credibility of testimony presented by a witness. When credibility is 22 disputed in a proceeding before the board, the board's determination of credibility 23 must be supported by specific findings. 24 * Sec. 30. AS 23.30.175(b) is amended to read: 25 (b) The following rules apply to benefits payable to recipients not residing in 26 the state at the time compensation benefits are payable: 27 (1) the weekly rate of compensation shall be calculated by multiplying 28 the recipient's weekly compensation rate calculated under AS 23.30.180, 23.30.185, 29 23.30.190, 23.30.200, or 23.30.215 [,] by the ratio of the cost of living of the area in 30 which the recipient resides to the cost of living in this state; 31 (2) the calculation required by (1) of this subsection does not apply if
01 the recipient is absent from the state for medical or rehabilitation services not 02 reasonably available in the state; 03 (3) if the gross weekly earnings of the recipient and the resulting 04 compensation rate are determined under AS 23.30.220(a)(6), (7), or (10), the 05 calculation required by this subsection applies only to the portion of the recipient's 06 weekly compensation rate attributable to wages earned in the state; 07 (4) application of this subsection may not reduce the weekly 08 compensation rate to less than $154 a week, except as provided in (a) of this section; 09 (5) application of (1) - (4) of this subsection may not result in 10 raising a recipient's weekly compensation rate to an amount that exceeds the 11 weekly compensation rate that the recipient would have received if the recipient 12 had been residing in the state. 13 * Sec. 31. AS 23.30.175(c) is amended to read: 14 (c) The department [BOARD] shall provide by regulation for the 15 determination and comparison of living costs for this state and the other areas in which 16 recipients reside and for the [ANNUAL] redetermination and comparison of these 17 costs every three years. 18 * Sec. 32. AS 23.30.205(e) is amended to read: 19 (e) The second injury fund may not be bound as to any question of law or fact 20 by reason of an award or an adjudication to which it was not a party or in relation to 21 which the director [COMMISSIONER] was not notified at least three weeks before 22 the award or adjudication [,] that the fund might be subject to liability for the injury or 23 death. 24 * Sec. 33. AS 23.30.205 is amended by adding a new subsection to read: 25 (g) Claims for reimbursement may not be submitted to the fund after 26 September 1, 2005. The fund shall continue to make reimbursement payments on 27 claims accepted before July 1, 2006, or ordered by the board, until the fund's liabilities 28 for the claim are extinguished. 29 * Sec. 34. AS 23.30 is amended by adding a new section to read: 30 Sec. 23.30.224. Coordination of benefits. (a) Notwithstanding other 31 provisions of this chapter, an employer's liability for payment of weekly compensation
01 under AS 23.30.180 or 23.30.185 to an employee eligible for a disability benefit under 02 AS 14.25.130, AS 39.35.400, or 39.35.410 may not exceed the lesser of 03 (1) the difference between the disability benefit payable to the 04 employee under AS 14.25.130, AS 39.35.400, or 39.35.410, converted to a weekly 05 basis, and 100 percent of the employee's spendable weekly wage as calculated under 06 AS 23.30.220; or 07 (2) the maximum compensation rate calculated under AS 23.30.175. 08 (b) An employer's liability for payment of compensation under 09 AS 23.30.041(k) to an employee eligible for a disability benefit payable under 10 AS 14.25.130, AS 39.35.400, or 39.35.410 may not exceed the lesser of 11 (1) the difference between the disability benefit payable to the 12 employee under AS 14.25.130, AS 39.35.400, or 39.35.410, converted to a weekly 13 basis, and 80 percent of the employee's spendable weekly wage as calculated under 14 AS 23.30.220; or 15 (2) 105 percent of the average weekly wage calculated under 16 AS 23.30.175(d). 17 (c) Notwithstanding other provisions of this chapter, the liability of an 18 employer for payment of compensation for an injury or illness under AS 23.30.180 or 19 23.30.185 to an employee who is covered by a union or group retirement system to 20 which the employer makes contributions under a collective bargaining agreement or 21 by membership in a welfare or pension plan or trust may not exceed the lesser of 22 (1) the difference between 100 percent of the employee's spendable 23 weekly wage and an amount equal to the disability benefit, disability pension, or 24 medical retirement benefit that the employee is eligible to receive as a result of the 25 injury or illness, as calculated on a weekly basis, under the retirement system or 26 welfare or pension plan or trust; or 27 (2) the maximum compensation rate calculated under AS 23.30.175. 28 (d) If the union or group retirement system, pension plan, or trust referred to in 29 (c) of this section provides by its terms that its benefits are precluded or reduced if 30 benefits are awarded under this chapter, the limitation provided in (c)(1) of this section 31 is not applicable to the extent of the amount precluded or reduced.
01 (e) Notwithstanding other provisions of this chapter, the liability of an 02 employer for payment of compensation for an injury or illness under AS 23.30.041(k) 03 to an employee who is covered by a union or group retirement system to which the 04 employer makes contributions under a collective bargaining agreement or by 05 membership in a welfare or pension plan or trust may not exceed the lesser of 06 (1) the difference between 80 percent of the employee's spendable 07 weekly wage and an amount equal to the disability benefit, disability pension, or 08 medical retirement benefit that the employee is eligible to receive as a result of the 09 injury or illness, calculated on a weekly basis, under the retirement system or welfare 10 or pension plan or trust; or 11 (2) 105 percent of the average weekly wage calculated under 12 AS 23.30.175(d). 13 (f) If the union or group retirement system, pension plan, or trust referred to in 14 (e) of this section provides by its terms that its benefits are precluded or reduced if 15 benefits are awarded under this chapter, the limitation provided in (e)(1) of this section 16 is not applicable to the extent of the amount precluded or reduced. 17 (g) If the employee receives a lump sum distribution of disability benefits, 18 disability pension, or medical retirement benefits, the combined workers' 19 compensation and weekly disability or medical retirement benefit specified in this 20 section shall be calculated by assuming that the employee received weekly disability 21 or medical retirement payments under the applicable plan from the date of eligibility 22 for the disability benefit or medical retirement until the total of the weekly payments 23 equals the amount of the lump sum, exclusive of that portion of the lump sum 24 specifically set aside under the applicable plan for retraining expenses, medical and 25 transportation expenses, and attorney fees or other legal costs. 26 * Sec. 35. AS 23.30.240 is amended to read: 27 Sec. 23.30.240. Officers of corporations, municipal corporations and 28 nonprofit corporations and members of limited liability companies as employees. 29 An executive officer elected or appointed and empowered in accordance with the 30 charter and bylaws of a corporation, other than an official of a municipal corporation 31 or a charitable, religious, educational, or other nonprofit corporation, is an employee
01 of the corporation under this chapter. However, an executive officer of a corporation 02 may waive coverage under this chapter, subject to the approval of the director 03 [COMMISSIONER OF LABOR AND WORKFORCE DEVELOPMENT], 04 notwithstanding AS 23.30.245(b). Notwithstanding any other provision of this 05 chapter, an executive officer of a municipal corporation or of a charitable, religious, 06 educational, or other nonprofit corporation may be brought within the coverage of its 07 insurance contract by the corporation by specifically including the officer in the 08 contract of insurance. The election to bring an executive officer within the coverage 09 continues in force for the period the contract of insurance is in effect. During that 10 period, an executive officer brought within the coverage of the insurance contract is an 11 employee of the corporation under this chapter. 12 * Sec. 36. AS 23.30.240 is amended by adding a new subsection to read: 13 (b) Except as provided in this subsection, a member of a limited liability 14 company organized under AS 10.50 is not an employee of the company under this 15 chapter. Notwithstanding any other provision of this chapter, a limited liability 16 company may bring a member of the company within the coverage of the company's 17 insurance contract by specifically including the member in the contract of insurance. 18 The election to bring the member within the company's coverage continues in force 19 for the period the contract of insurance is in effect. During that period, a member 20 brought within the coverage of the insurance contract is an employee of the company 21 under this chapter. 22 * Sec. 37. AS 23.30.247(c) is amended to read: 23 (c) This section may not be construed to prohibit an employer from requiring a 24 prospective employee to fill out a preemployment questionnaire or application 25 regarding the person's prior health or disability history as long as it is meant to 26 [EITHER DOCUMENT WRITTEN NOTICE FOR SECOND INJURY FUND 27 REIMBURSEMENT UNDER AS 23.30.205(c) OR] determine whether the employee 28 has the physical or mental capacity to meet the documented physical or mental 29 demands of the work. 30 * Sec. 38. AS 23.30 is amended by adding a new section to read: 31 Sec. 23.30.249. Fraudulent acts and false or misleading statements. (a)
01 An employer, insurer, or other person may petition for an order to reimburse a 02 payment and the cost of compensation, medical treatment, or other benefit provided 03 under this chapter obtained by a fraudulent act or false or misleading statement or 04 representation. If the board, after a hearing as provided by AS 23.30.110, finds by a 05 preponderance of the evidence that a person has obtained a payment, compensation, 06 medical treatment, or another benefit provided under this chapter by a fraudulent act 07 or by knowingly making a false or misleading statement or representation for the 08 purpose of obtaining that benefit or payment, the board shall order that person to make 09 full reimbursement of the payment or cost of all benefits obtained. Upon entry of an 10 order authorized under this subsection, the board shall also order that person to pay all 11 reasonable costs and attorney fees incurred in obtaining an order under this section and 12 in defending a fraudulent claim made for benefits under this chapter. If a person fails 13 to comply with an order requiring reimbursement of payment or cost of benefits and 14 payment of costs and attorney fees, the employer, insurer, or other party may declare 15 the person in default and proceed to collect any sum due in the same manner as 16 provided under AS 23.30.170(b) and (c). 17 (b) Except as provided in (c) of this section, a person is not liable for civil 18 damages for filing a report concerning a suspected, anticipated, or completed 19 fraudulent act or a false or misleading statement or representation with, or for 20 furnishing other information, whether written or oral, concerning a suspected, 21 anticipated, or completed fraudulent act or false or misleading statements or 22 representation to 23 (1) law enforcement officials or their agents and employees; 24 (2) the division of workers' compensation, the division of insurance in 25 the Department of Commerce, Community, and Economic Development, or an agency 26 in another state that regulates insurance or workers' compensation; 27 (3) an insurer or adjuster or its agents, employees, or designees, or the 28 risk manager of a self-insured employer under this chapter. 29 (c) The provisions of (b) of this section do not preclude liability for civil 30 damages as described in (b) of this section if the liability arose as a result of reckless, 31 wilful, or intentional misconduct.
01 (d) An insurer, an adjuster, or a risk manager of a self-insured employer that 02 has reason to believe that a fraudulent workers' compensation demand or claim has 03 been made against it shall send the director a report disclosing information that the 04 director may require. An insurer or an adjuster or its employee or agent, or a risk 05 manager of a self-employed employer, or another person acting in good faith is not 06 civilly liable for damages resulting from the filing of the report or the furnishing of 07 information required by this section or by the director. 08 (e) The director may investigate facts reported under this section and may 09 refer facts indicating a possible violation of law to the appropriate prosecutor or 10 agency. If the director determines that there is credible evidence that a person 11 obtained a payment, compensation, medical treatment, or other benefit provided under 12 this chapter by a fraudulent act or false or misleading statement or representation as 13 provided in (a) of this section, the director shall notify the affected employer, insurer, 14 and adjuster upon conclusion of the investigation. If the fraudulent act or false or 15 misleading statement or representation was perpetrated against the division, the 16 director may file a petition as provided in AS 23.30.110 for an order of forfeiture 17 against the person, precluding, in whole or in part, the person from future payment, 18 compensation, medical treatment, or other benefit provided under this chapter. 19 (f) The papers, reports, documents, and evidence received under this section or 20 in an investigation arising from information received under this section are not subject 21 to public inspection for so long as the director considers confidentiality to be in the 22 public interest or reasonably necessary to complete an investigation or protect the 23 person investigated from unwarranted injury. Papers, reports, documents, and 24 evidence relative to an investigation under this section are confidential and not subject 25 to subpoena unless, after notice to the director and a hearing, a court determines that 26 the director would not be unduly hindered by public inspection. 27 (g) If the material that the director seeks to obtain is located outside the state, 28 the material may be made available to the director to examine at the place where the 29 material is located. The director may designate representatives, including officials of 30 the state in which the material is located, to inspect the material on behalf of the 31 director. The director may respond to a request from an official of another state for
01 similar material. 02 (h) In this section, "fraudulent act" includes 03 (1) to knowingly pretend injury or disability with intent to defraud or 04 obtain a benefit under this chapter; 05 (2) to knowingly conceal, suppress, destroy, remove, or alter records 06 with intent to defraud or obtain a benefit under this chapter; 07 (3) to knowingly assist or prepare another person to submit a false or 08 misleading statement in support of a claim for benefits under this chapter with reckless 09 disregard that the person is not entitled to benefits under this chapter; 10 (4) to use force against a person, damage the property of a person, or 11 threaten a person with intent to improperly influence the opinion of a witness, a 12 physician, or other health care provider; 13 (5) except as otherwise authorized under this chapter, to knowingly 14 confer, offer to confer, solicit, agree to accept, or accept property, services, or a 15 benefit 16 (A) to refer an employee to a physician or other health care 17 provider; or 18 (B) for providing medical treatment, services, medicines, or 19 supplies to an employee if the property, services, or benefit is in addition to 20 payment by the employer, insurer, or adjuster allowed under this chapter. 21 * Sec. 39. AS 23.30.250 is amended to read: 22 Sec. 23.30.250. Penalties for fraudulent or misleading acts. (a) A person, 23 including an employee, employer, physician, medical provider, or the 24 representative of a person who (1) knowingly makes a false or misleading statement, 25 representation, or submission related to a benefit under this chapter; (2) knowingly 26 assists, abets, solicits, or conspires in making a false or misleading submission 27 affecting the payment, coverage, or other benefit under this chapter; (3) knowingly 28 misclassifies employees or engages in deceptive leasing practices for the purpose of 29 evading full payment of workers' compensation insurance premiums; or (4) employs 30 or contracts with a person or firm to coerce or encourage an individual to file a 31 fraudulent compensation claim is civilly liable to a person adversely affected by the
01 conduct, is guilty of theft by deception as defined in AS 11.46.180, and may be 02 punished as provided by AS 11.46.120 - 11.46.150. 03 (b) If the board, after a hearing, finds that a person has obtained compensation, 04 medical treatment, or another benefit provided under this chapter, or that a provider 05 has received a payment, by knowingly making a false or misleading statement or 06 representation for the purpose of obtaining that benefit or payment, the board shall 07 order that person to make full reimbursement of the cost of all benefits and payments 08 obtained. Upon entry of an order authorized under this subsection, the board shall also 09 order that person to pay all reasonable costs and attorney fees incurred by the 10 employer and the employer's carrier in obtaining an order under this section and in 11 defending any claim made for benefits under this chapter. If a person fails to comply 12 with an order of the board requiring reimbursement of compensation and payment of 13 costs and attorney fees, the employer may declare the person in default and proceed to 14 collect any sum due as provided under AS 23.30.170(b) and (c). 15 * Sec. 40. AS 23.30.250 is amended by adding a new subsection to read: 16 (c) A court may provide compensatory and punitive damages and attorney 17 fees to a prevailing party in a civil action under (a) or (b) of this section. 18 * Sec. 41. AS 23.30.260 is amended by adding a new subsection to read: 19 (b) Notwithstanding AS 23.30.145 and (a) of this section, approval of a fee is 20 not required if the fee does not exceed $300 and is a one-time-only charge to an 21 employee by an attorney licensed in this state who performed legal services with 22 respect to the employee's claim but did not enter an appearance. 23 * Sec. 42. AS 23.30.395 is amended by adding new paragraphs to read: 24 (35) "commissioner" means the commissioner of labor and workforce 25 development; 26 (36) "department" means the Department of Labor and Workforce 27 Development; 28 (37) "director" means the director of the division of workers' 29 compensation in the department; 30 (38) "division" means the division of workers' compensation in the 31 department.
01 * Sec. 43. AS 37.05.146(c) is amended by adding a new paragraph to read: 02 (78) workers' compensation benefits guaranty fund (AS 23.30.082). 03 * Sec. 44. AS 39.25.120(c)(14) is amended to read: 04 (14) the rehabilitation administrator of the division of workers' 05 compensation [WORKERS' COMPENSATION BOARD]; 06 * Sec. 45. AS 23.30.095(f), 23.30.095(l), and 23.30.095(m) are repealed. 07 * Sec. 46. AS 23.30.015(c), 23.30.040, 23.30.205, 23.30.395(27); and AS 37.05.146(c)(12) 08 are repealed. 09 * Sec. 47. The uncodified law of the State of Alaska is amended by adding a new section to 10 read: 11 APPLICABILITY. The amendment to AS 23.30.175(b) made by sec. 30 of this Act 12 applies to an injury occurring on or after the effective date of sec. 30 of this Act. 13 * Sec. 48. The uncodified law of the State of Alaska is amended by adding a new section to 14 read: 15 TRANSITIONAL PROVISIONS. (a) Litigation, investigations, and other 16 proceedings pending under a law amended or repealed by this Act or in connection with 17 functions transferred by this Act continue in effect and may be continued and completed, 18 notwithstanding a transfer or amendment or repeal provided for in this Act. 19 (b) Certificates, decisions, and orders issued under authority of a law amended or 20 repealed by this Act remain in effect for the term issued, or until revoked, vacated, or 21 otherwise modified under the provisions of this Act. Contracts, rights, liabilities, and 22 obligations created by or under a law amended or repealed by this Act and in effect on the day 23 before the effective date of this section remain in effect, notwithstanding this Act's taking 24 effect. 25 * Sec. 49. The uncodified law of the State of Alaska is amended by adding a new section to 26 read: 27 TRANSITION: REGULATIONS. The Department of Labor and Workforce 28 Development and the director of insurance in the Department of Commerce, Community, and 29 Economic Development each may proceed to adopt regulations necessary to implement their 30 respective provisions of this Act. The regulations take effect under AS 44.62 (Administrative 31 Procedure Act), but not before the effective date of the statutory changes.
01 * Sec. 50. The uncodified law of the State of Alaska is amended by adding a new section to 02 read: 03 IMPLEMENTATION OF REPEAL OF SECOND INJURY FUND. The balance of 04 the second injury fund created by former AS 23.30.040 is transferred to the general fund on 05 the effective date of this section. 06 * Sec. 51. The uncodified law of the State of Alaska is amended by adding a new section to 07 read: 08 TRANSITION: MEDICAL SERVICES REVIEW COMMITTEE STUDY AND 09 REPORT. The medical services review committee appointed by the commissioner of labor 10 and workforce development under AS 23.30.095(j), as amended by sec. 23 of this Act, shall 11 proceed to study medical and related benefits provided under AS 23.30 to determine the 12 appropriateness, necessity, and cost of the benefits and shall, by March 1, 2007, provide to the 13 commissioner of labor and workforce development a report of the results of the study. 14 * Sec. 52. Section 49 of this Act takes effect immediately under AS 01.10.070(c). 15 * Sec. 53. Sections 1 - 4, 30, and 51 of this Act take effect September 1, 2005. 16 * Sec. 54. Sections 5, 11, 37, 46, and 50 of this Act take effect on the date that the 17 commissioner of labor and workforce development certifies to the revisor of statutes and the 18 lieutenant governor that all liability for previously accepted claims to the second injury fund 19 created by former AS 23.30.040, and claims ordered to be paid from that fund, have been 20 satisfied. 21 * Sec. 55. Except as provided in secs. 52 - 54 of this Act, this Act takes effect August 1, 22 2005.