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SB 147: "An Act relating to reemployment rights and benefits."

00 SENATE BILL NO. 147 01 "An Act relating to reemployment rights and benefits." 02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 03 * Section 1. AS 23.30.041(b) is amended to read: 04 (b) The administrator shall 05 (1) enforce regulations adopted by the board to implement this section; 06 (2) recommend regulations for adoption by the board that establish 07 performance and reporting criteria for rehabilitation specialists; 08 (3) enforce the quality and effectiveness of reemployment benefits 09 provided for under this section; 10 (4) review on an annual basis the performance of rehabilitation 11 specialists to determine continued eligibility for delivery of rehabilitation services; 12 (5) submit to the department, on or before October 1 [MAY 1] of each 13 year, a report of reemployment benefits provided under this section for the previous 14 calendar year; the report must include a general section, sections related to each 15 rehabilitation specialist employed under this section, and a statistical summary of all

01 rehabilitation cases, including 02 (A) the estimated and actual cost of each active rehabilitation 03 plan; 04 (B) the estimated and actual time of each rehabilitation plan; 05 (C) a status report on all individuals requesting, waiving, 06 beginning, completing, or terminating a reemployment benefits program 07 including 08 (i) reasons for denial, waiver, suspension, or 09 termination; 10 (ii) dates of completion and return to work; and 11 (iii) other information required by the director; 12 (D) the cost of reemployment benefits; 13 (E) status reports of all individuals who successfully completed 14 a reemployment plan that includes 15 (i) the plan's occupational goal and whether the 16 individual obtained work after completion in the planned or another 17 occupation; and 18 (ii) the individual's employment status six months, one 19 year, and two years after reemployment plan completion; 20 (6) maintain a list of rehabilitation specialists who meet the 21 qualifications established under this section; 22 (7) promote awareness among physicians, adjusters, injured workers, 23 employers, employees, attorneys, training providers, and rehabilitation specialists of 24 the reemployment program established in this subsection. 25 * Sec. 2. AS 23.30.041(c) is amended to read: 26 (c) An employee and an employer may stipulate to the employee's eligibility 27 for reemployment benefits at any time. If an employee suffers a compensable injury 28 and, as a result of the injury, the employee is totally unable, for 45 consecutive days, 29 to return to the employee's employment at the time of injury, the administrator shall 30 notify the employee of the employee's rights under this section within 14 days after the 31 45th day. If the employee is totally unable to return to the employee's employment for

01 60 consecutive days as a result of the injury, the employee or employer may request an 02 eligibility evaluation. The administrator may approve the request if the employee's 03 injury may permanently preclude the employee's return to the employee's occupation 04 at the time of the injury. If the employee is totally unable to return to the 05 employee's employment at the time of the injury for 90 consecutive days as a 06 result of the injury, the administrator may, without a request, order an eligibility 07 evaluation unless a stipulation of eligibility was submitted. If the employee is 08 totally unable to return to the employee's employment at the time of the injury for 120 09 [90] consecutive days as a result of the injury, the administrator shall, without a 10 request, order an eligibility evaluation unless a stipulation of eligibility was submitted. 11 If the administrator approves a request or orders an evaluation, the administrator shall, 12 on a rotating and geographic basis, select a rehabilitation specialist from the list 13 maintained under (b)(6) of this section to perform the eligibility evaluation. If the 14 person that employs a rehabilitation specialist selected by the administrator to perform 15 an eligibility evaluation under this subsection is performing any other work on the 16 same workers' compensation claim involving the injured employee, the administrator 17 shall select a different rehabilitation specialist. 18 * Sec. 3. AS 23.30.041(d) is amended to read: 19 (d) Within 60 [30] days after the referral by the administrator, the 20 rehabilitation specialist shall perform the eligibility evaluation and issue a report of 21 findings. [THE ADMINISTRATOR MAY GRANT UP TO AN ADDITIONAL 30 22 DAYS FOR PERFORMANCE OF THE ELIGIBILITY EVALUATION UPON 23 NOTIFICATION OF UNUSUAL AND EXTENUATING CIRCUMSTANCES AND 24 THE REHABILITATION SPECIALIST'S REQUEST.] Within 14 days after receipt 25 of the report from the rehabilitation specialist, the administrator shall notify the parties 26 of the employee's eligibility for reemployment preparation benefits. Within 10 days 27 after the decision, either party may seek review of the decision by requesting a hearing 28 under AS 23.30.110. The hearing shall be held within 30 days after the hearing [IT] is 29 requested. The board shall uphold the decision of the administrator except for abuse of 30 discretion on the administrator's part. 31 * Sec. 4. AS 23.30.041(h) is amended to read:

01 (h) Within 90 days after the rehabilitation specialist's selection under (g) of 02 this section, the reemployment plan must be formulated and approved. The 03 reemployment plan must require continuous participation by the employee and must 04 maximize the usage of the employee's transferrable skills. The reemployment plan 05 must include at least the following: 06 (1) a determination of the occupational goal in the labor market; 07 (2) an inventory of the employee's technical skills, transferrable skills, 08 physical and intellectual capacities, academic achievement, emotional condition, and 09 family support; 10 (3) a plan to acquire the occupational skills to be employable, 11 including use of training and employment services offered by the Department of 12 Labor and Workforce Development under AS 23.15; 13 (4) the cost estimate of the reemployment plan, including provider 14 fees; and the cost of tuition, books, tools, and supplies, transportation, temporary 15 lodging, or job modification devices; 16 (5) the estimated length of time that the plan will take; 17 (6) the date that the plan will commence; 18 (7) the estimated time of medical stability as predicted by a treating 19 physician or by a physician who has examined the employee at the request of the 20 employer or the board, or by referral of the treating physician; 21 (8) a detailed description and plan schedule; 22 (9) a finding by the rehabilitation specialist that the inventory under (2) 23 of this subsection indicates that the employee can be reasonably expected to 24 satisfactorily complete the plan and perform in a new occupation within the time and 25 cost limitations of the plan; and 26 (10) a provision requiring that, after a person has been assigned to 27 perform medical management services for an injured employee, the person shall send 28 written notice to the employee, the employer, and the employee's physician explaining 29 in what capacity the person is employed, whom the person represents, and the scope of 30 the services to be provided. 31 * Sec. 5. AS 23.30.041(j) is amended to read:

01 (j) The employee, rehabilitation specialist, and the employer shall sign the 02 reemployment benefits plan. If the employer and employee fail to agree on a 03 reemployment plan, either party may submit a reemployment plan for approval to the 04 administrator. The plan must ensure remunerative employability. The [; THE] 05 administrator shall approve or deny a plan within 14 days after the plan is submitted. 06 Within [; WITHIN] 10 days after [OF] the decision, either party may seek review of 07 the decision by requesting a hearing under AS 23.30.110. The [; THE] board shall 08 (1) uphold the decision of the administrator unless evidence is 09 submitted supporting an allegation of abuse of discretion on the part of the 10 administrator; and 11 (2) [THE BOARD SHALL] render a decision within 30 days after 12 completion of the hearing. 13 * Sec. 6. AS 23.30.041(l) is amended to read: 14 (l) The cost of the reemployment plan incurred under this section shall be the 15 responsibility of the employer, shall be paid on an expense incurred basis, and may not 16 exceed $22,150. The department shall, by regulation, adjust the cost limit set out 17 in this subsection to account for inflation [$13,300]. 18 * Sec. 7. AS 39.25.158(b) is amended to read: 19 (b) If [AFTER] an employee who requests to return to work is not eligible for 20 reemployment under (c) of this section, the reemployment benefits administrator of 21 the division of workers' compensation or the director of vocational rehabilitation in the 22 Department of Labor and Workforce Development shall review the request and certify 23 that the employee is able to return to work under [(c),] (d), (e), or (f) of this section, or 24 defer certification until the employee completes retraining under (f) of this section. 25 * Sec. 8. AS 39.25.158(c) is amended to read: 26 (c) If a physician [THE REEMPLOYMENT BENEFITS ADMINISTRATOR 27 OR THE DIRECTOR OF VOCATIONAL REHABILITATION] certifies that the 28 employee is able to perform the tasks assigned to the employee's former position, the 29 agency shall reemploy the employee within 30 days after receipt of the certification 30 unless the position no longer exists. If a permanent, probationary, or provisional 31 employee is currently employed in the position, the agency shall cause a vacancy

01 under the layoff provisions of AS 39.25.150(13). 02 * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section to 03 read: 04 APPLICABILITY. AS 39.25.158(b) and (c), as amended by secs. 7 and 8 of this Act, 05 apply to a contract or collective bargaining agreement that becomes legally binding on or after 06 the effective date of secs. 7 and 8 of this Act.