SENATE BILL NO. 183                                                                                                           
                                                                                                                                
     "An Act relating to the workers' compensation benefits                                                                     
     guaranty fund; and providing for an effective date.                                                                        
9:37:54 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman  shared  that public  testimony  had  been                                                                    
taken  during the  first hearing  on  the bill  on March  6,                                                                    
2024.                                                                                                                           
                                                                                                                                
Mr. Alper  relayed that  there were  two issues  embedded in                                                                    
the   bill:   injured  workers   and   the   sweep  to   the                                                                    
Constitutional Budget Reserve (CBR).  He stated that the CBR                                                                    
required payback at  the end of each year of  any money left                                                                    
in sub  funds of the  General Fund. Payback could  be halted                                                                    
by a  supermajority vote  of the  legislature. He  said that                                                                    
one of  the funds that  had been   swept  back into  the CBR                                                                    
due  to  lack  of  a supermajority  vote  was  the  Workers                                                                     
Compensation Benefits Guarantee Fund.  He said that the fund                                                                    
brought  in $800,000  per year  and was  generally penalties                                                                    
that were  charged fines  from employers  that did  not have                                                                    
adequate workers  compensation plans.  Those funds then paid                                                                    
benefits to workers who worked  for those companies. He said                                                                    
that in recent years the fund  had been swept and brought to                                                                    
zero at the  beginning of the fiscal year and  when a worker                                                                    
needed compensation  there would  be no  money in  the fund,                                                                    
which meant  they would  have to wait  for penalty  funds to                                                                    
accumulate in order to be compensated.                                                                                          
                                                                                                                                
Mr.  Alper   furthered  that  the  bill   would  change  the                                                                    
statutory description of the underlying  fund, taking it out                                                                    
of the General Fund and placing  it in the State Treasury so                                                                    
it would not be subject to the annual sweep.                                                                                    
                                                                                                                                
Co-Chair  Stedman added  that several  funds had  been swept                                                                    
for   decades  under   the   constitutional  provision.   He                                                                    
explained  that the  legislature  would  normally perform  a                                                                    
"reverse  sweep  which  meant  the starting  balance of  the                                                                    
funds  would be  replaced at  the beginning  of each  fiscal                                                                    
year. He said  that the bill would assure  that the workers                                                                     
compensation account  would have adequate cash  flow to help                                                                    
injured workers.                                                                                                                
                                                                                                                                
9:41:26 AM                                                                                                                    
                                                                                                                                
Senator Bishop                                                                                                                  
                                                                                                                                
9:41:30 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:41:44 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Senator Bishop appreciated  that the intent of  the bill was                                                                    
to assist injured workers.                                                                                                      
                                                                                                                                
Senator Bishop MOVED to report  SB 183 out of Committee with                                                                    
individual  recommendations  and   the  accompanying  fiscal                                                                    
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
SB 183  was REPORTED  out of committee  with four  "do pass"                                                                    
recommendations   and    with   one    "no   recommendation"                                                                    
recommendation,  and  with  one  previously  published  zero                                                                    
fiscal note: FN 1(LWF).