05/01/1998 03:32 PM House L&C

CSSB 336(L&C) - WORKERS' COMP: EXEMPT HOCKEY PLAYERS                           
                                                                               
Number 0528                                                                    
                                                                               
CHAIRMAN ROKEBERG announced the committee's next order of business             
was CSSB 336(L&C), "An Act relating to excluding professional                  
hockey team members from workers' compensation coverage."                      
                                                                               
Number 0545                                                                    
                                                                               
ANNETTE KREITZER, Legislative Assistant to Senator Loren Leman,                
presented SB 336.  She stated Senator Leman, the chair of the                  
Senate Labor and Commerce Standing Committee, was approached by the            
Anchorage Aces about taking the Florida approach to providing                  
coverage for hockey players.  The Anchorage Aces' concern was the              
cost of the workers' compensation program.  Ms. Kreitzer said the              
team was advised to go to the Division of Insurance [Department of             
Commerce and Economic Development] and the Division of Workers'                
Compensation [Department of Labor] to see if this problem could be             
resolved that way.  She noted the Anchorage Aces had gone through              
that process and she said Paul Grossi, the director of the Division            
of Workers' Compensation, was present to speak about the division's            
position.  Ms. Kreitzer reviewed the sponsor statement, explaining             
that the coaches would be covered because they were player coaches             
and she indicated the Anchorage Aces were aware of the liability               
concerns raised by the Division of Insurance.  She indicated the               
Division of Workers' Compensation had also advised the Anchorage               
Aces' ownership of the risks, and the ownership still wished to go             
forward with the idea, believing that it put them in a better                  
financial position.  Ms. Kreitzer said the player representative               
who had testified said the players went along with the idea and                
were willing to move forward.  She noted other committees had been             
concerned about how the players felt.  The sponsor statement read:             
                                                                               
     This bill amends Worker's Compensation provisions by                      
     adding professional hockey teams to the list of persons                   
     not covered under AS 23.30.230.  In exchange for this                     
     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 Worker's                 
     Comp risk category, e.g., coaches, assistant coaches, but                 
     not office personnel) 100% of the time - whether on duty,                 
     travel or their own time.  The owner is responsible for                   
     the cost of the premiums on this coverage.  The idea is                   
     taken from Florida's approach to this problem.                            
                                                                               
     The committee was asked to introduce this legislation by                  
     the sole professional hockey team in the state, the                       
     Anchorage Aces.                                                           
                                                                               
     The Department of Labor, Division of Worker's                             
     Compensation has reviewed the legislation and is neutral                  
     on the bill.                                                              
                                                                               
Number 0623                                                                    
                                                                               
CHAIRMAN ROKEBERG said he had heard the testimony on the bill in a             
Senate committee and indicated he wondered why there wasn't a                  
supporting letter in the bill packet from Mr. Cusack (ph).                     
                                                                               
MS. KREITZER confirmed that a letter from Mr. Cusack (ph) had not              
been omitted from the bill packet.                                             
                                                                               
Number 0653                                                                    
                                                                               
REPRESENTATIVE COWDERY asked if other professional hockey                      
associations had similar coverage for their players.                           
                                                                               
Number 0659                                                                    
                                                                               
MS. KREITZER replied there had been testimony that there was a                 
western hockey association with, apparently, many similarities in              
coverage.  She said this particular idea was taken from Florida,               
which used this approach.  Ms. Kreitzer said she could not say                 
specifically how many of the teams in the western region took the              
same approach.                                                                 
                                                                               
Number 0675                                                                    
                                                                               
REPRESENTATIVE COWDERY asked if this was common with other sporting            
events such as football or basketball.                                         
                                                                               
Number 0681                                                                    
                                                                               
MS. KREITZER said she did not know the answer to that question.                
She noted there had been discussion about it but she did not feel              
competent to answer.                                                           
                                                                               
Number 0689                                                                    
                                                                               
REPRESENTATIVE RYAN commented he had been a paid licensed football             
official 25 or 30 years ago.  He said he practiced that profession             
for some time and was never covered by any insurance or had any                
problem with it.                                                               
                                                                               
Number 0706                                                                    
                                                                               
CHAIRMAN ROKEBERG indicated the bill packet spoke of soccer players            
in the Eastern Indoor Soccer League in the state of Florida.  He               
asked Mr. Grossi if he had any comments.                                       
                                                                               
PAUL GROSSI, Director, Division of Workers' Compensation,                      
Department of Labor, replied he was available for questions.                   
                                                                               
CHAIRMAN ROKEBERG asked Mr. Grossi if he could find out if other               
states had exemptions from workers' compensation for professional              
athletes, indicating the chairman wished the information before the            
legislation reached the House floor.                                           
                                                                               
Mr. GROSSI replied he would try.                                               
                                                                               
Number 0729                                                                    
                                                                               
REPRESENTATIVE COWDERY made a motion to move CSSB 336(L&C) with                
individual recommendations and the attached zero fiscal note.                  
There being no objections, CSSB 336(L&C) was moved out of the House            
Labor and Commerce Standing Committee.