Legislature(2007 - 2008)

02/05/2008 01:32 PM Senate L&C


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           SB 117-WORKERS' COMP: DISEASE PRESUMPTION                                                                        
                                                                                                                                
1:32:27 PM                                                                                                                    
CHAIR ELLIS announced SB 117 to be up for consideration.                                                                        
                                                                                                                                
ANDY MODEROW, staff for Senator French, sponsor of SB 117,                                                                      
explained the new CS as follows:                                                                                                
                                                                                                                                
      This legislation will create a workers' compensation                                                                      
    presumption   that   certain   cardiovascular   events,                                                                     
     respiratory diseases and cancers  are work related when                                                                    
     contracted by  firefighters during a  limited timeframe                                                                    
     and within  specific parameters.  The  list of ailments                                                                    
     is limited to diseases  that firefighters contract more                                                                    
     often  than members  of the  general public.  This list                                                                    
     can  be found  on  page  2, lines  2-13,  of the  bill.                                                                    
     Certain  contagious diseases,  such  as meningitis  and                                                                    
     tuberculosis,  are  covered  under  a  presumption  for                                                                    
     firefighters and other first responders.                                                                                   
                                                                                                                                
     In all  instances a preponderance  of the  evidence can                                                                    
     negate this  presumption.  As an  example, someone with                                                                    
     a  history of  tobacco  use  is specifically  prevented                                                                    
     from   the   workers'  compensation   presumption   for                                                                    
     respiratory    and   heart    conditions   under    the                                                                    
     legislation. Other factors  including physical fitness,                                                                    
     work  history  and  non-employment  activities  can  be                                                                    
     considered when a claim is  filed. A qualifying medical                                                                    
     examination  will  ensure  that  the  ailment  was  not                                                                    
     present before the claim is filed.                                                                                         
                                                                                                                                
     The presumption for firefighters  is restricted to only                                                                    
     those  who  have  served  seven   years  or  more,  and                                                                    
     coverage  for qualifying  medical events  extends to  a                                                                    
     maximum of 60  months after employment ends.   I should                                                                    
     also note  that exposure  to a known  carcinogen during                                                                    
     the  course of  employment  must be  established for  a                                                                    
     cancer claim presumption under the legislation.                                                                            
                                                                                                                                
     Alaska  is  only  one  of   nine  states  that  haven't                                                                    
     established  a  workers' compensation  presumption  for                                                                    
     firefighters, and the 41 states  that have similar laws                                                                    
     have  found negligible,  if any,  effects on  actuarial                                                                    
     assumptions for claim  payouts. CALPERS (the California                                                                    
     retirement  system) found  no  noticeable  impact as  a                                                                    
     result  of the  presumption, and  workers' compensation                                                                    
     claims actually  fell in Illinois during  the six years                                                                    
     after a presumption was placed into law.                                                                                   
                                                                                                                                
     The new  CS before you  responds to a concern  that the                                                                    
     qualifying medical examination  would place an unfunded                                                                    
     obligation  on  employers  across the  state.  Page  3,                                                                    
     lines 24-30,  make it clear  that an employer  will not                                                                    
     have an obligation  to cover the costs  of a qualifying                                                                    
     exam.  It  does  provide  that an  individual  has  the                                                                    
     option  to  pay  for  their own  exam  if  an  employer                                                                    
     doesn't  provide  one.  Without  an  exam,  a  workers'                                                                    
     compensation claim can still be made, just as current                                                                      
     law allows, but the presumption would not apply.                                                                           
                                                                                                                                
     In short, when our houses are on fire, we run out and                                                                      
    firefighters   run    in.   This    legislation   gives                                                                     
       firefighters the backup they need when their life-                                                                       
       saving work produces adverse effects to their own                                                                        
     personal health.                                                                                                           
                                                                                                                                
1:37:02 PM                                                                                                                    
SENATOR  BUNDE   asked  if  this   would  cover   volunteer  fire                                                               
departments as well as full-time fire departments.                                                                              
                                                                                                                                
MR. MODEROW replied yes.                                                                                                        
                                                                                                                                
1:37:24 PM                                                                                                                    
JEFF  BRIGGS,   Alaska  Professional   Firefighters  Association,                                                               
supported SB 117 and the CS.  He said all firefighters across the                                                               
state appreciate the work they have done on this bill.                                                                          
                                                                                                                                
MARK JONES, Anchorage Firefighters, supported  SB 117 and said he                                                               
developed  bladder cancer  three  years ago.  This bill  provides                                                               
important  safeguards  for  firefighters  and  emergency  service                                                               
workers.                                                                                                                        
                                                                                                                                
1:39:52 PM                                                                                                                    
SENATOR BUNDE noted that he received  a letter from Dr. Brown, an                                                               
Anchorage physician,  stating concerns that some  diseases listed                                                               
seemed  to be  focused  on  men -  for  instance prostate  versus                                                               
ovarian cancer.                                                                                                                 
                                                                                                                                
CHAIR ELLIS said  that was a good point and  asked Mr. Moderow if                                                               
he received that letter.                                                                                                        
                                                                                                                                
MR. MODEROW replied no.                                                                                                         
                                                                                                                                
SENATOR  BUNDE followed  up  by  asking him  to  take that  under                                                               
consideration.                                                                                                                  
                                                                                                                                
1:40:51 PM                                                                                                                    
CHAIR ELLIS asked Mr. Moderow to go through the CS.                                                                             
                                                                                                                                
MR. MODEROW  said the only change  in the CS from  the last draft                                                               
is on  page 3, lines 24-30,  where the obligation to  pay for the                                                               
qualifying  medical  exam  is  not placed  on  the  employer.  It                                                               
provides that  the employee can  purchase the  qualifying medical                                                               
examination, but removes  the obligation for him to  do so giving                                                               
the employer the option to provide it.                                                                                          
                                                                                                                                
1:41:33 PM                                                                                                                    
SENATOR STEVENS  moved to adopt  CSSB 117(L&C), version  E. There                                                               
were no objections and it was so ordered.                                                                                       
                                                                                                                                
1:42:04 PM                                                                                                                    
SENATOR HOFFMAN joined the committee.                                                                                           
                                                                                                                                
SENATOR  BUNDE  said he  would  object  to  moving the  bill  and                                                               
explained that  Alaska has a unique  workers' compensation system                                                               
already in  place; it's a  very small market with  few providers.                                                               
He  thought passing  this bill  would  put undue  stress on  that                                                               
system. He  also thought the  cost of  premiums would go  up with                                                               
increased coverage which would be burdensome to municipalities.                                                                 
                                                                                                                                
CHAIR  ELLIS  said   he  didn't  expect  anything   more  than  a                                                               
negligible impact and  it could be revisited  if their experience                                                               
is otherwise.                                                                                                                   
                                                                                                                                
1:43:51 PM                                                                                                                    
SENATOR STEVENS moved  to pass CSSB 117(L&C)  from committee with                                                               
individual  recommendations and  attached  fiscal notes.  SENATOR                                                               
BUNDE objected.  A roll  call vote  was taken.  Senators Hoffman,                                                               
Davis, Stevens and Ellis voted  yea; Senator Bunde voted nay; and                                                               
the bill moved from committee.                                                                                                  

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