SB 147 — An Act relating to workers' compensation reemployment rights and benefits; establishing a workers' compensation stay-at-work program; relating to the workers' compensation benefits guaranty fund; relating to the presumption of compensability for workers' compensation claims related to post-traumatic stress disorder; relating to the Alaska senior benefits payment program; and providing for an effective date.

IfExcept as provided in AS 23.30.043, if [IF] the employee is totally unable to return to the employee's employment at the time of the injury for 90120 [90] consecutive days as a result of the injury, the administrator may,shall, without a request, order an eligibility evaluation unless a stipulation of eligibility was submitted.

If the employee is totally unable to return to the employee's employment at the time of the injury for 120 [90] consecutive days as a result of the injury, the administrator shall, without a request, order an eligibility evaluation unless a stipulation of eligibility was submitted.

If the person that employs a rehabilitation specialist Enrolled SB 147 -4- selected by the administrator to perform an eligibility evaluation under this subsection is performing any other work on the same workers' compensation claim involving the injured employee, the administrator shall select a different rehabilitation specialist.

3.4.

4.5.

AS 23.30.041(e) is amended to read:

(e) An employee shall be eligible for benefits under this section upon the employee's written request and by having a physician predict that the employee will have permanent physical capacities that are less than the physical demands of the employee's job as described in the job analysis obtained from the most recent version of the Occupational Information Network database published by the United States Department of Labor, Employment and Training Administration, [1993 EDITION OF THE UNITED STATES DEPARTMENT OF LABOR'S "SELECTED CHARACTERISTICS OF OCCUPATIONS DEFINED IN THE REVISED DICTIONARY OF OCCUPATIONAL TITLES"] for (1) the employee's job at the time of injury;

or (2) other jobs that exist in the labor market that the employee has held or received training for within 10 years before the injury or that the employee has held following the injury for a period long enough to obtain the skills to compete in the labor market.

[, ACCORDING TO SPECIFIC VOCATIONAL PREPARATION -5- Enrolled SB 147 CODES AS DESCRIBED IN THE 1993 EDITION OF THE UNITED STATES DEPARTMENT OF LABOR'S "SELECTED CHARACTERISTICS OF OCCUPATIONS DEFINED IN THE REVISED DICTIONARY OF OCCUPATIONAL TITLES."] * Sec.

6.

AS 23.30.041(f) is amended to read:

(f) An employee is not eligible for reemployment benefits if (1) the employer offers employment within the employee's predicted post-injury physical capacities at a wage equivalent to at least the state minimum wage under AS 23.10.065 or 75 percent of the worker's gross hourly wages at the time of injury, whichever is greater, and the employment prepares the employee to be employable in other jobs that exist in the labor market;

(2) the employee previously declined the development of a reemployment benefits plan under (g) of this section, received a job dislocation benefit under (g)(2) of this section, and returned to work in the same or similar occupation in terms of physical demands required of the employee at the time of the previous injury;

(3) the employee has been previously rehabilitated in a former workers' [WORKER'S] compensation claim and returned to work in the same or similar occupation in terms of physical demands required of the employee at the time of the previous injury;

[OR] (4) at the time of medical stability, no permanent impairment is identified or expected;

(5) the employee fails to timely notify the administrator and the employer of the employee's election under (c) of this section, unless the parties submit to the administrator a stipulation to a reemployment benefits eligibility evaluation or to the employee's eligibility for reemployment benefits;

(6) the employee completed a stay-at-work plan under AS 23.30.043;

or (7) the employee has not cooperated with the stay-at-work benefits program under AS 23.30.043(l).

* Sec.

7.

SB0147A(h) -3-Within SB90 147days Newafter Textthe Underlinedrehabilitation [DELETEDspecialist TEXTis BRACKETED]selected 33-LS0799\Aor (h)assigned WithinEnrolled 90SB days147 after-6- the[SPECIALIST'S rehabilitationSELECTION] specialist's selection under (g) of this section, the rehabilitation specialist shall prepare and provide to the employee and employer a complete reemployment plan must[MUST beBE formulatedFORMULATED andAND approved.APPROVED].

(3) a plan to acquire the occoccupational upational skills to be employable,employable; including use of training and employment services offered by the Department of Labor and Workforce Development under AS 23.15;

(4) the costplan estimatemust consider use of training and employment services offered by the reemploymentDepartment plan,of includingLabor providerand fees;Workforce Development under AS 23.15;

and(4) the cost estimate of tuition,the books,reemployment tools,plan, andincluding supplies,(A) transportation,provider temporaryfees; lodging, or job modification devices;

(B) [AND THE COST OF] tuition;

(C) [,] books;

(D) [,] tools [,] and supplies;

(E) [,] transportation;

(F) [,] temporary lodging;

(G) [, OR] job modification devices;

and (H) job search and job placement activities;

(9) a finding by the rehabilitation specialist that the inventory under (2) of this subsection indicates that the employee can be reasonably expected to satisfactorily complete the plan and perform in a new occupation within the time and -7- Enrolled SB 147 cost limitations of the plan;

5.8.

SB 147 -4- SB0147A New Text Underlined [DELETED TEXT BRACKETED] 33-LS0799\A (j) The employee, rehabilitation specialist,specialist andshall serve the employerreemployment shallplan signon the reemploymentemployee benefitsand plan.employer.

If the employeremployee and employeeemployer failagree to agreethe on a reemployment plan, eitherthe party[THE] mayemployee, submitrehabilitation aspecialist, reemploymentand planthe foremployer approvalshall tosign the administrator.reemployment benefits plan.

If the employer and employee fail to agree on a reemployment plan, either party may submit a reemployment plan for approval to the administrator not later than 90 days after the date of service of the reemployment plan on the employee and employer.

THE] administrator shall approve or deny a plan submitted under this subsection within 14 days after the plan is submitted.

6.9.

The department shall, by regulation,regulation and not less than once every five years, adjust the cost limit set out in this subsection totoaccount account for inflation [$13,300].

7.10.

AS 39.25.158(b)23.30.041 is amended by adding a new subsection to read:

(b)(s) IfIn [AFTER]addition anto employeethe whobenefits requestsprovided to returnan toemployee workunder isa notreemployment eligibleEnrolled forSB reemployment147 under-8- (c)plan ofprepared under this section, thean reemploymentemployee benefitswho administratorelects ofto theuse divisionreemployment ofbenefits workers'under compensationthis orsection theis directorentitled ofto vocationalpayment rehabilitationby in the Departmentemployer of Laborcosts andincurred Workforcefor Developmentspecialized shalljob reviewmodification thedevices requestor services and certifyreasonable thattravel theand employeerelocation isexpenses ableassociated towith returnsearching tofor worknew underemployment, [(c),]returning (d),to (e),work orin (f)a ofnew thislocation, section,and orattendance deferat certificationan untilon-the-job thetraining employeeprogram. completes retraining under (f) of this section.

The employer shall pay the cost of the additional benefits incurred under this subsection on an expense incurred basis.

The cost of the additional benefits incurred under this subsection may not exceed $4,000 and may not, when combined with the cost of the reemployment plan incurred under this section, exceed the cost limit set out in (l) of this section.

8.11.

AS 39.25.158(c)23.30 is amended by adding a new section to article 1 to read:

(c)Sec. If a physician [THE REEMPLOYMENT BENEFITS ADMINISTRATOR OR THE DIRECTOR OF VOCATIONAL REHABILITATION] certifies that the employee is able to perform the tasks assigned to the employee's former position, the agency shall reemploy the employee within 30 days after receipt of the certification unless the position no longer exists.

If23.30.043. a permanent, probationary, or provisional employee is currently employed in the position, the agency shall cause a vacancy SB0147A -5- SB 147 New Text Underlined [DELETED TEXT BRACKETED] 33-LS0799\A under the layoff provisions of AS 39.25.150(13).

Stay-at-work benefits program.

(a) The stay-at-work benefits program is established in the division.

The division shall designate a member of the division staff as coordinator of the stay-at-work benefits program.

(b) Within 14 days after an employee's election under AS 23.30.041(c) to participate in the program, the administrator shall, on a rotating and geographic basis, select a rehabilitation specialist from the list maintained under AS 23.30.041(b)(6) to develop a stay-at-work plan and provide services under the plan.

In selecting a rehabilitation specialist, the administrator shall consider the rehabilitation specialist's ability to accept and promptly provide program services and the rehabilitation specialist's expertise and relevant experience relating to the employee's type of injury or challenges specific to returning the employee to work with the employer.

If the person that employs a rehabilitation specialist selected by the administrator is performing any other work on the same workers' compensation claim involving the employee, the administrator shall select a different rehabilitation specialist.

(c) Within 60 days after the administrator selects the rehabilitation specialist, the rehabilitation specialist shall (1) develop a stay-at-work plan and provide the plan, in a format prescribed by the director, to the employee, employer, program coordinator, and employee's attending physician;

or (2) provide the employee, employer, and administrator with a determination and findings supporting the determination, in a format prescribed by the -9- Enrolled SB 147 director, that the rehabilitation specialist is unable to develop a stay-at-work plan.

(d) The board shall establish by regulation the standards and procedures a rehabilitation specialist must use in developing a stay-at-work plan and the contents that the plan must include.

(e) The employee's attending physician shall provide a written opinion of whether the employee has the permanent physical capacities to participate in a stay-at- work plan.

The failure of the employee's attending physician to provide an opinion under this subsection constitutes grounds for a determination that the rehabilitation specialist is unable to develop a stay-at-work plan under (c)(2) of this section.

(f) Within 14 days after the program coordinator receives a stay-at-work plan, the program coordinator shall approve or deny the plan and notify the parties of the decision.

Within 30 days after the program coordinator notifies the parties under this subsection, a party may request that the administrator review the plan.

Within 14 days after the administrator receives a request to review the plan, the administrator shall issue a decision approving or denying the plan.

(g) Within 14 days after the administrator receives a determination under (c)(2) of this section, the administrator shall decide whether the information in the board's case file for the employee's workers' compensation claim supports the rehabilitation specialist's determination and findings.

If the administrator decides the case file supports the rehabilitation specialist's determination and findings, the administrator shall, within 10 days after the administrator's decision, notify the employee and employer of the decision and notify the employee that the employee is no longer eligible for stay-at-work benefits and may pursue reemployment benefits in accordance with AS 23.30.041.

If the administrator decides the case file does not support the rehabilitation specialist's determination and findings, the administrator shall, within 10 days after the administrator's decision, notify the employee, employer, and rehabilitation specialist of the decision and (1) notify the employee, employer, and rehabilitation specialist what additional information is needed to develop a stay-at-work plan, who must submit the information, and the date by which the information must be submitted;

or (2) select a different rehabilitation specialist in accordance with (b) of Enrolled SB 147 -10- this section to develop a stay-at-work plan and provide services under the plan.

(h) Within 10 days after the administrator notifies the parties of a decision under (f) or (g) of this section, a party may seek review of the decision by requesting a hearing under AS 23.30.110.

The board shall uphold the decision of the administrator unless evidence is submitted supporting an allegation of abuse of discretion on the part of the administrator.

The board shall render a decision within 30 days after completion of the hearing.

(i) Only a rehabilitation specialist may develop a stay-at-work plan, provide services under the plan, and make a determination and findings under this section.

A person who is not a rehabilitation specialist may perform work related to the stay-at- work plan if the work is performed under the direct supervision of a rehabilitation specialist employed in the same firm and location.

The employer shall pay the fees charged by the rehabilitation specialist or other person described in this subsection for providing services under this section.

(j) The cost of the stay-at-work benefits incurred under this section shall be the responsibility of the employer, shall be paid on an expense incurred basis, and may not exceed $3,000, exclusive of the fees charged by the rehabilitation specialist or other person described in (i) of this section.

(k) Stay-at-work benefits terminate two years from the date the program coordinator, administrator, or board approves the stay-at-work plan, whichever is later.

(l) After the employee has elected to participate in the program, and upon the request of the employer, the administrator shall decide whether the employee has not cooperated in the program.

The administrator shall hold a hearing within 30 days after the administrator receives a request from the employer for a hearing.

The administrator shall issue a decision within 14 days after the hearing.

Within 10 days after the administrator notifies the parties of the decision, either party may seek review of the decision by requesting a hearing under AS 23.30.110.

The board shall uphold the decision of the administrator unless evidence is submitted supporting an allegation of abuse of discretion on the part of the administrator.

The board shall render a decision within 30 days after completion of the hearing.

If the employee is found to have not cooperated with the program, the employer may terminat e stay-at-work -11- Enrolled SB 147 benefits and disability benefits on the date on which a finding of noncooperation is made under this subsection.

Noncooperation means the employee's unreasonable failure to (1) maintain contact with the rehabilitation specialist;

(2) cooperate with the rehabilitation specialist in developing a stay-at- work plan;

(3) comply with the employee's responsibilities outlined in the stay-at- work plan;

or (4) participate in the stay-at-work plan or in a plan activity.

(m) An employee is not eligible for stay-at-work benefits if the employee fails to timely notify the administrator and the employer of the employee's election under AS 23.30.041(c), unless the parties submit to the administrator a stipulation that the employee may participate in the program.

(n) An employer may elect not to participate or continue to participate in a stay-at-work plan at any time before the employee completes the plan.

If an employer elects not to participate under this subsection, the employer shall notify the employee, the program coordinator, and, if applicable, the rehabilitation specialist of the election.

The notice must be in the format prescribed by the director and inform the employee that the employee is no longer eligible for stay-at-work benefits and may pursue reemployment benefits in accordance with AS 23.30.041.

The notice of the election is effective the day after the notice is served on the employee, the program coordinator, or, if applicable, the rehabilitation specialist, whichever is later.

The employer is responsible for the cost of the stay-at-work benefits incurred before the notice becomes effective.

(o) In this section, (1) "administrator" means the reemployment benefits administrator employed under AS 23.30.041(a);

(2) "plan" or "stay-at-work plan" means a plan developed by a rehabilitation specialist under this section to return an employee to work for the employer;

(3) "program" means the stay-at-work benefits program established in Enrolled SB 147 -12- this section;

(4) "program coordinator" means the division staff member designated as the coordinator of the program;

(5) "rehabilitation specialist" has the meaning given in AS 23.30.041(r);

(6) "stay-at-work benefits" means benefits provided under the program.

9.12.

TheAS uncodified23.30.082(a) law of the State of Alaska is amended by adding a new section to read:

APPLICABILITY.(a) The workers' compensation benefits guaranty fund is established as a separate fund in the state treasury [GENERAL FUND] to carry out the purposes of this section.

The fund is composed of civil penalty payments made by employers under AS 39.25.158(b)23.30.080, andincome (c),earned ason amendedinvestment of the money in the fund, money deposited in the fund by secs.the department, and appropriations to the fund, if any.

7However, andmoney 8appropriated of this Act, apply to a contract or collective bargaining agreement that becomes legally binding on or after the effectivefund datedoes ofnot secs.lapse.

7Amounts in the fund may be appropriated for claims against the fund, for expenses directly related to fund operations and 8claims, ofand thisfor Act.legal expenses.

SB* 147Sec. -6- SB0147A New Text Underlined [DELETED TEXT BRACKETED]

13.

AS 23.30.100(a) is amended to read:

(a) Notice to an employer of an injury or death in respect to which compensation is payable under this chapter shall be given within 15 [30] days after the date of the [SUCH] injury or death [TO THE EMPLOYER].

* Sec.

14.

AS 23.30.105(a) is amended to read:

(a) The right to compensation for disability under this chapter is barred unless a claim for it is filed within two years after the employee has knowledge of the nature of the employee's disability and its relation to the employment and after disablement.

However, the maximum time for filing the claim in any event other than arising out of an occupational disease shall be four years from the date of injury, and the right to compensation for death is barred unless a claim therefor is filed within one year after the death, except that, if payment of compensation has been made without an award on account of the injury or death, a claim may be filed within two years after the date of the last payment of benefits under AS 23.30.041, 23.30.043, 23.30.180, 23.30.185, 23.30.190, 23.30.200, or 23.30.215.

It is additionally provided that, in the case of -13- Enrolled SB 147 latent defects pertinent to and causing compensable disability, the injured employee has full right to claim as shall be determined by the board, time limitations notwithstanding.

* Sec.

15.

AS 23.30 is amended by adding a new section to read:

Sec.

23.30.118.

Presumption of compensability for post-traumatic stress disorder.

(a) There is a presumption that an employee's claim for compensation as a result of post-traumatic stress disorder is within the provisions of this chapter if the employee (1) is employed or was employed in an occupation listed in (b)(2) of this section;

and (2) while employed or within three years after the last date of the employee's employment, receives a diagnosis by a psychiatrist or a psychologist of post-traumatic stress disorder.

(b) The presumption of compensability described in (a) of this section (1) may be rebutted by a preponderance of the evidence that the employee's post-traumatic stress disorder resulted from factors that were not work related;

(2) applies only to the following employees:

(A) correctional officers;

(B) emergency medical technicians;

(C) emergency medical dispatchers;

(D) firefighters;

(E) mobile intensive care paramedics licensed under AS 18.08;

(F) peace officers;

and (G) employees who are certified under state law to perform emergency medical services;

and (3) notwithstanding AS 23.30.100(a), applies for a period of three years following the last date of the employee's employment.

(c) In this section, (1) "correctional officer" has the meaning given in AS 18.65.290;

(2) "emergency medical dispatcher" has the meaning given in Enrolled SB 147 -14- AS 18.08.200;

(3) "emergency medical service" has the meaning given in AS 18.08.200;

(4) "emergency medical technician" has the meaning given in AS 18.08.200;

(5) "firefighter" has the meaning given in AS 23.30.121(f);

(6) "peace officer" has the meaning given in AS 11.81.900(b).

* Sec.

16.

AS 23.30.120(c) is amended to read:

(c) Except as provided in AS 23.30.118, the [THE] presumption of compensability established in (a) of this section does not apply to a mental injury resulting from work-related stress.

* Sec.

17.

AS 23.30.041(p) is repealed.

* Sec.

18.

Section 4, ch.

1, FSSLA 2007, as amended by sec.

5, ch.

6, SLA 2011, sec.

1, ch.

113, SLA 2014, and sec.

1, ch.

8, SLA 2018, is amended to read:

Sec.

4.

AS 09.38.015(a)(11);

AS 47.45.301, 47.45.302, 47.45.304, 47.45.306, 47.45.308, and 47.45.309 are repealed June 30, 2034 [2024].

* Sec.

19.

Section 18 of this Act takes effect immediately under AS 01.10.070(c).

* Sec.

20.

Except as provided in sec.

19 of this Act, this Act takes effect January 1, 2025.

-15- Enrolled SB 147