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).