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CSSB 147(L&C): "An Act relating to reemployment rights and benefits; and providing for an effective date."

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

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

01 notify the employee of the employee's rights under this section within 14 days after the 02 45th day. If the employee is totally unable to return to the employee's employment for 03 60 consecutive days as a result of the injury, the employee or employer may request an 04 eligibility evaluation. The administrator may approve the request if the employee's 05 injury may permanently preclude the employee's return to the employee's occupation 06 at the time of the injury. If the employee is totally unable to return to the 07 employee's employment at the time of the injury for 90 consecutive days as a 08 result of the injury, the administrator may, without a request, order an eligibility 09 evaluation unless a stipulation of eligibility was submitted. If the employee is 10 totally unable to return to the employee's employment at the time of the injury for 120 11 [90] consecutive days as a result of the injury, the administrator shall, without a 12 request, order an eligibility evaluation unless a stipulation of eligibility was submitted. 13 If the administrator approves a request or orders an evaluation, the administrator shall, 14 on a rotating and geographic basis, select a rehabilitation specialist from the list 15 maintained under (b)(6) of this section to perform the eligibility evaluation. If the 16 person that employs a rehabilitation specialist selected by the administrator to perform 17 an eligibility evaluation under this subsection is performing any other work on the 18 same workers' compensation claim involving the injured employee, the administrator 19 shall select a different rehabilitation specialist. 20 * Sec. 3. AS 23.30.041(d) is amended to read: 21 (d) Within 60 [30] days after the referral by the administrator, the 22 rehabilitation specialist shall perform the eligibility evaluation and issue a report of 23 findings. [THE ADMINISTRATOR MAY GRANT UP TO AN ADDITIONAL 30 24 DAYS FOR PERFORMANCE OF THE ELIGIBILITY EVALUATION UPON 25 NOTIFICATION OF UNUSUAL AND EXTENUATING CIRCUMSTANCES AND 26 THE REHABILITATION SPECIALIST'S REQUEST.] Within 14 days after receipt 27 of the report from the rehabilitation specialist, the administrator shall notify the parties 28 of the employee's eligibility for reemployment preparation benefits. Within 10 days 29 after the decision, either party may seek review of the decision by requesting a hearing 30 under AS 23.30.110. The hearing shall be held within 30 days after the hearing [IT] is 31 requested. The board shall uphold the decision of the administrator except for abuse of

01 discretion on the administrator's part. 02 * Sec. 4. AS 23.30.041(e) is amended to read: 03 (e) An employee shall be eligible for benefits under this section upon the 04 employee's written request and by having a physician predict that the employee will 05 have permanent physical capacities that are less than the physical demands of the 06 employee's job as described in the job analysis developed by the rehabilitation 07 specialist [1993 EDITION OF THE UNITED STATES DEPARTMENT OF 08 LABOR'S "SELECTED CHARACTERISTICS OF OCCUPATIONS DEFINED IN 09 THE REVISED DICTIONARY OF OCCUPATIONAL TITLES"] for 10 (1) the employee's job at the time of injury; or 11 (2) other jobs that exist in the labor market that the employee has held 12 or received training for within 10 years before the injury or that the employee has held 13 following the injury for a period long enough to obtain the skills to compete in the 14 labor market. [, ACCORDING TO SPECIFIC VOCATIONAL PREPARATION 15 CODES AS DESCRIBED IN THE 1993 EDITION OF THE UNITED STATES 16 DEPARTMENT OF LABOR'S "SELECTED CHARACTERISTICS OF 17 OCCUPATIONS DEFINED IN THE REVISED DICTIONARY OF 18 OCCUPATIONAL TITLES."] 19 * Sec. 5. AS 23.30.041(h) is amended to read: 20 (h) Within 90 days after the rehabilitation specialist is selected or assigned 21 [SPECIALIST'S SELECTION] under (g) of this section, the rehabilitation specialist 22 shall prepare and provide to the employee and employer a complete 23 reemployment plan [MUST BE FORMULATED AND APPROVED]. The 24 reemployment plan must require continuous participation by the employee and must 25 maximize the usage of the employee's transferrable skills. The reemployment plan 26 must include at least the following: 27 (1) a determination of the occupational goal in the labor market; 28 (2) an inventory of the employee's technical skills, transferrable skills, 29 physical and intellectual capacities, academic achievement, emotional condition, and 30 family support; 31 (3) a plan to acquire the occupational skills to be employable; the plan

01 must consider use of training and employment services offered by the 02 Department of Labor and Workforce Development under AS 23.15; 03 (4) the cost estimate of the reemployment plan, including 04 (A) provider fees 05 (B) [; AND THE COST OF] tuition; 06 (C) [,] books; 07 (D) [,] tools [,] and supplies; 08 (E) [,] transportation; 09 (F) [,] temporary lodging; 10 (G) [, OR] job modification devices; and 11 (H) job search and job placement activities; 12 (5) the estimated length of time that the plan will take; 13 (6) the date that the plan will commence; 14 (7) the estimated time of medical stability as predicted by a treating 15 physician or by a physician who has examined the employee at the request of the 16 employer or the board, or by referral of the treating physician; 17 (8) a detailed description and plan schedule; 18 (9) a finding by the rehabilitation specialist that the inventory under (2) 19 of this subsection indicates that the employee can be reasonably expected to 20 satisfactorily complete the plan and perform in a new occupation within the time and 21 cost limitations of the plan; and 22 (10) a provision requiring that, after a person has been assigned to 23 perform medical management services for an injured employee, the person shall send 24 written notice to the employee, the employer, and the employee's physician explaining 25 in what capacity the person is employed, whom the person represents, and the scope of 26 the services to be provided. 27 * Sec. 6. AS 23.30.041(j) is amended to read: 28 (j) The rehabilitation specialist shall serve the reemployment plan on the 29 employee and employer. If the employee and employer agree to the plan, the 30 [THE] employee, rehabilitation specialist, and the employer shall sign the 31 reemployment benefits plan. If the employer and employee fail to agree on a

01 reemployment plan, either party may submit a reemployment plan for approval to the 02 administrator not later than 90 days after the date of service of the reemployment 03 plan on the employee and employer. The plan must ensure remunerative 04 employability. The [; THE] administrator shall approve or deny a plan submitted 05 under this subsection within 14 days after the plan is submitted. Within [; WITHIN] 06 10 days after [OF] the decision, either party may seek review of the decision by 07 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. 7. 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 and not less than once every 17 five years, adjust the cost limit set out in this subsection to account for inflation 18 [$13,300]. 19 * Sec. 8. AS 23.30.041 is amended by adding a new subsection to read: 20 (s) In addition to the benefits provided to an employee under a reemployment 21 plan prepared under this section, an employee who elects to use reemployment 22 benefits under this section is entitled to payment by the employer of costs incurred for 23 specialized job modification devices or services and reasonable travel and relocation 24 expenses associated with searching for new employment, returning to work in a new 25 location, and attendance at an on-the-job training program. The employer shall pay the 26 cost of the additional benefits incurred under this subsection on an expense incurred 27 basis. The cost of the additional benefits incurred under this subsection may not 28 exceed $4,000, and may not, when combined with the cost of the reemployment plan 29 incurred under this section, exceed the cost limit set out in (l) of this section. 30 * Sec. 9. AS 23.30.041(p) is repealed. 31 * Sec. 10. This Act takes effect immediately under AS 01.10.070(c).