Legislature(1997 - 1998)
04/22/1998 09:22 AM Senate FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATE BILL NO. 336 "An Act relating to excluding professional hockey team members from worker's compensation coverage." ANNETTE KREITZER, staff to Senator Loren Leman and the Senate Labor and Commerce Committee was invited to join the committee. She explained that the bill would amend the Workers' Compensation provisions by adding professional hockey teams to the list of persons not covered under AS 23.30.230. In exchange for the exemption a team owner would have to provide a medical and disability program to cover the players and anyone else associated with the team who is in the same workers' comp risk category. This would include coaches and assistant coaches but not office personnel. The owner would be responsible for the premium on the cost of the coverage. This was the same approach taken by the State of Florida. She further explained that the team members were now paying $200,000 in workers' comp for the season, which runs fifty-two games. The average salary for the players is about $300 to $500 per week. Senator Phillips asked if this would also cover officials? Ms. Kreitzer said anyone in the category of coaches and assistant coaches were covered. He asked how the players felt about this bill. Ms. Kreitzer said the testimony in Senate Labor and Commerce indicated that the players were in favor of this bill. They had concern that the cost of the workmen's' comp they were now paying would affect the ability of the team to continue. DWIGHT PERKINS, Special Assistant to the Commissioner, Department of Labor was invited to join the committee. He said there was no opposition by the department to this legislation. The department had notified the employer association that they would be liable for any damages and it would not prevent the employee from going to Court in order to seek damages. He further noted a zero fiscal note to the Department of Labor. Senator Donley asked why coaches were included in the coverage? Ms. Kreitzer explained that they were in the same workers' comp risk category so they were lumped in with the players. Senator Phillips indicated that sometimes the coaches were the players. Senator Donley said then it should be indicated as "player-coach". Otherwise a coach is an employee just like anyone else and they should be in the workers' comp program. Further, a coach who sits on the sidelines should not be rated the same as a hockey player. The solution, therefore, he felt would be to go to the Division of Insurance and get the rating changed. Ms. Kreitzer suggested the committee hear from Paul Grossi as to how the coaches were included in the rating. Senator Donley further commented that as a professional business, the coaches were being paid a salary to do a job. They were not actual players nor were they involved in a contact sport. They were administrators and it was a different situation. Everyone thinks they should be exempt from Workmen's' Compensation, however, they do not think it is so great when problems occur because of the exemption and then they are all tied up in Court and there is no reasonable compensation available to one who suffers a reasonable injury. He did not feel this bill was reasonable. PAUL GROSSI, Director, Division of Workers' Compensation, Department of Labor was invited to join the committee. He said he did not have an answer as to why coaches were included. The Division of Workers' Compensation did not oppose the bill, however. Perhaps the Division of Insurance would be able to provide an answer. Ms. Kreitzer further commented that they had met extensively with the Anchorage hockey team and had asked them to speak with the Division of Insurance and the Division of Workmen's' Compensation. She noted that after their discussions only office personnel should be exempt. (Tape #135 switched to Side B at log #593.) Ms. Kreitzer continued that the coaches and assistant coaches were actually playing and therefore exposed. Therefore they fit the description of those to be covered. However, office personnel did not. It would also cover them in their travels with the team. Senator Phillips said in this sport coaches were much more involved physically than other sports. Senator Donley asked if the coaches actually went out and played during practices? Senator Phillips indicated they did. Senator Donley then concurred that the bill made sense. Senator Phillips MOVED SB 336 with individual recommendations and one accompanying fiscal notes. WITHOUT OBJECTION it was REPORTED OUT with individual recommendations and zero fiscal note from the Department of Labor. Co-chair Sharp called HB 231.
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