Legislature(2023 - 2024)BARNES 124

03/22/2024 03:15 PM House LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 378 ORG. RETAIL THEFT/FUND;MKTPLACE SALES TAX TELECONFERENCED
Heard & Held
+= HB 189 SALE OF ALCOHOL BY PERSONS UNDER 21 TELECONFERENCED
Moved CSHB 189(L&C) Out of Committee
-- Public Testimony --
+= HB 233 RATES: MOTOR VEHICLE WARRANTY WORK TELECONFERENCED
Heard & Held
-- Public Testimony --
+= HB 204 OVERTIME PAY EXEMPTION TELECONFERENCED
<Bill Hearing Canceled>
+ Bills Previously Heard/Scheduled TELECONFERENCED
+ SB 147 REEMPLOYMENT BENEFITS TELECONFERENCED
Heard & Held
+ HB 55 EXTEND WORKFORCE INVEST BOARD ALLOCATIONS TELECONFERENCED
Heard & Held
+= HB 150 RESIDENTIAL BUILDING CODE TELECONFERENCED
Heard & Held
                  SB 147-REEMPLOYMENT BENEFITS                                                                              
                                                                                                                                
3:34:43 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced  that the next order of  business would be                                                               
CS  FOR   SENATE  BILL   NO.  147(L&C),   "An  Act   relating  to                                                               
reemployment rights and benefits;  and providing for an effective                                                               
date."                                                                                                                          
                                                                                                                                
3:35:04 PM                                                                                                                    
                                                                                                                                
SENATOR  JAMES  KAUFMAN,  Alaska   State  Legislature,  as  prime                                                               
sponsor,  presented  CSSB  147(L&C).     He  shared  the  sponsor                                                               
statement [included  in committee packet], which  read as follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     This  bill seeks  to address  critical shortcomings  in                                                                    
     Alaska's Workers' Compensation system.                                                                                     
                                                                                                                                
     Alaska's  worker's compensation  premium rates  are the                                                                    
     4th highest  in the  nation. However, the  maximum plan                                                                    
     cost  of $13,300  set in  the  year 2000  has not  been                                                                    
     adjusted  for   inflation,  making  the   amount  often                                                                    
     insufficient  in  meeting statutory  requirements.  The                                                                    
     current  system  also  limits workers'  flexibility  in                                                                    
     moving to different occupations.                                                                                           
                                                                                                                                
     Alaska's attempts  at ensuring quick,  efficient, fair,                                                                    
     and predictable  compensation to  injured workers  at a                                                                    
     reasonable cost  to employers has not  been working. In                                                                    
     recent years, an average of  140 out of 550 evaluations                                                                    
     performed  each  year  were   found  eligible  for  the                                                                    
     current  systems  rehabilitation   plan,  yet  only  an                                                                    
     average of 13 workers fully finished the plan.                                                                             
                                                                                                                                
     The  Alaska workers'  compensation  plan  has spent  an                                                                    
     average  of   ten  million  dollars   supporting  these                                                                    
     injured workers  over the same period.  This is clearly                                                                    
     not   an   efficient   system.  The   Alaska   Workers'                                                                    
     Compensation Act last was updated  in 2000 and again in                                                                    
     2005 with the addition  of job relocation benefits, but                                                                    
     it  is  long  past  due   that  we  address  the  other                                                                    
     shortcomings of the system.                                                                                                
                                                                                                                                
     The primary objective of this  legislation is to ensure                                                                    
     that injured  workers receive swift and  fair access to                                                                    
     indemnity  and medical  benefits  while also  promoting                                                                    
     efficient   return-to-work  programs.   SB  147   would                                                                    
     transition  from  an  emphasis   on  retraining  to  an                                                                    
     emphasis   on  stay-at-work/early   return-to-work.  By                                                                    
     updating  the  system  to   better  align  with  modern                                                                    
     realities,  we  can  reduce   the  economic  burden  of                                                                    
     workplace injuries  and illnesses on  Alaskans, improve                                                                    
     employment  retention, and  get more  Alaskans back  to                                                                    
     work in our communities.                                                                                                   
                                                                                                                                
     Employees and employers  have a shared desire  to get a                                                                    
     worker  rehabilitated and  back to  work as  quickly as                                                                    
     possible  after  an  injury  occurs.  This  legislation                                                                    
     intends   to  facilitate   this   by  setting   clearer                                                                    
     guidelines  regarding   the  responsibilities   of  all                                                                    
     stakeholders.                                                                                                              
                                                                                                                                
     Alaska can  be a tough  place to work, and  injuries do                                                                    
     occur.  It  is  important  we as  a  state  help  these                                                                    
     injured workers rehabilitate  with fair and predictable                                                                    
     compensation.  That way,  we can  hopefully keep  these                                                                    
     workers in  our state and  do our duty as  a government                                                                    
     of  protecting its  citizens. I  hope you  will support                                                                    
     this important legislation.                                                                                                
                                                                                                                                
CHAIR SUMNER opened invited testimony.                                                                                          
                                                                                                                                
3:37:44 PM                                                                                                                    
                                                                                                                                
CHUCK  COLLINS,  Director,  Division  of  Workers'  Compensation,                                                               
Department of Labor & Workforce  Development (DLWD), gave invited                                                               
testimony during the  hearing on CSSB 147(L&C).   He referenced a                                                               
resolution that  was sent to  the House that requested  an update                                                               
to  AS  23.30.041,  which covers  rehabilitation  benefits.    He                                                               
stated  that  the  plan  amount of  $13,300  is  insufficient  to                                                               
rehabilitate injured workers who qualify  for the benefit.  After                                                               
90  days,  injured  workers  must  receive  an  evaluation  under                                                               
current law.   He proposed  increasing that 90-day period  to 120                                                               
days  and  increasing  the  maximum plan  cost  from  $13,300  to                                                               
$22,300, per the inflation index.                                                                                               
                                                                                                                                
3:42:38 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that CSSB 147(L&C) was held over.                                                                        
                                                                                                                                
3:42:44 PM                                                                                                                    
                                                                                                                                
SENATOR KAUFMAN  reported that Alaska  employers spend  in excess                                                               
of  $600,000 annually  for  13  completed plans.    He urged  the                                                               
committee  to  think  about  turning  that  potential  into  more                                                               
beneficial results.                                                                                                             
                                                                                                                                
[CSSB 147(L&C) was held over.]                                                                                                  
                                                                                                                                

Document Name Date/Time Subjects
2024 AK H233 GM Opposition Memo.docx HL&C 3/22/2024 3:15:00 PM
HB 233
AK SB 144-HB 233 Opposition Letter (03.13.24).pdf HL&C 3/22/2024 3:15:00 PM
HB 233
SB 144
Nissan AK letter of opposition HB 233_.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
Opposition Letter HB 233 AK.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
AKHB233_TMNA_OppositionHLCC-Final.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
Grover Gaming Testimony in Support of AK HB 200.pdf HL&C 3/22/2024 3:15:00 PM
HB 200
AK SB147 NCCI analysis.pdf HL&C 3/22/2024 3:15:00 PM
SB 147
HB 378 - Organized Retail Crime Bill Presentation.pdf HL&C 3/22/2024 3:15:00 PM
HB 378
2024 Support for HB 189, permitting restaurant staff 18 and older to serve alcohol.pdf HL&C 3/22/2024 3:15:00 PM
HB 189
APCIA Letter SB 147 S LaborCommerce 3-26-24.pdf HL&C 3/22/2024 3:15:00 PM
SB 147
HB233 support letter.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
Honda explanation of flat rate times.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
Labor Times.pdf HL&C 3/22/2024 3:15:00 PM
HB 233
Opposition to HB150 - Maxwell Sumner.pdf HL&C 3/22/2024 3:15:00 PM
HB 150
Fiscal Note HB189 UPDATED.pdf HL&C 3/22/2024 3:15:00 PM
HB 189