HB 6876 — AN ACT CONCERNING THE ADMINISTRATION OF THE OFFICE OF THE CLAIMS COMMISSIONER.

8526876 sHB6876following Fileis No.substituted in lieu thereof (Effective July 1, 2023):

852(a)Not laterthanfive daysaftertheconveningofeachregularsession and at such other times as the speaker of the House of Representatives and president pro tempore of the Senate may desire, the Office of the Claims Commissioner shall submit to the General Assembly (1) all claims for which the Claims Commissioner, the Deputy Commissioner or a [magistrate] temporary deputy recommended payment of a just claim in an amount exceeding thirty-five thousand dollars pursuant to subdivision (3) of subsection (a) of section 4-158, as amended by this act, and (2) all claims for which a request for review has been filed pursuant to subsection (b) of section 4-158, as amended by this act, together with a copy of the Claims Commissioner's, [the magistrate's] Deputy Commissioner's or [the] temporary deputy's findings and the hearing record, if any, of each claim so reported.

(A)Public ConfirmAct theNo. decision;

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6876 (A) Confirm the decision;

sHB6876(B) /Modify Filethe No.recommendation by ordering that a different amount be paid;

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852 (B) Modify the recommendation by ordering that a different amount be paid;

(c) The General Assembly may grant the claimant permission to sue the state under the provisions of this section when the General Assembly deems it just and equitable and believes the claim to present an issue of law or fact under which the state, were it a private person, couldPublic beAct liable.No.

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6876 could be liable.

(e) The review by the General Assembly of claims submitted to it by the Office of the Claims Commissioner under this section shall be conducted inaccordance withsuchproceduresastheGeneralAssemblywithsuch proceduresastheGeneralAssembly may prescribe.

(a) Whenever the Claims Commissioner deems it just and equitable, the Claims Commissioner, the Deputy Claims Commissioner or a sHB6876temporary /deputy Filemay No.authorize suit against the state on any claim which, in the opinion of the Claims Commissioner, presents an issue of law or fact under which the state, were it a private person, could be liable.

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852 temporary deputy may authorize suit against the state on any claim which, in the opinion of the Claims Commissioner, presents an issue of law or fact under which the state, were it a private person, could be liable.

"I have made a reasonable inquiry, as permitted by the circumstances, which has givenPublic riseAct toNo. a good faith belief that grounds exist for a suit against the state.

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6876 given rise to a good faith belief that grounds exist for a suit against the state.

(c) [On and after July 1, 2022, if] If a claim exclusively requesting permission to sue the state remains pending with the Office of the sHB6876Claims /Commissioner Fileeighteen No.months after the date on which such claim was filed with the office, a claimant may file a notice indicating the passage of such eighteen months with the Attorney General, the Governor and the joint standing committee of the General Assembly having cognizance of matters relating to the judiciary.

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852 Claims Commissioner eighteen months after the date on which such claim was filed with the office, a claimant may file a notice indicating the passage of such eighteen months with the Attorney General, the Governor and the joint standing committee of the General Assembly having cognizance of matters relating to the judiciary.

[, provided no claim may be referred to a temporary deputy on or after July 1, 2023.] The provisions of this subsection shall not apply to a claim in which the parties have [stipulated]Public notAct objectedNo. to an extension of time for the Office of the Claims Commissioner to dispose of the claim.

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6876 [stipulated] not objected to an extension of time for the Office of the Claims Commissioner to dispose of the claim.

The temporary deputy shall sHB6876[deliver] /provide Filea No.copy of such finding and order or authorization to theclaimant andto therepresentative forthestate, whichrepresentative may in appropriate cases be the Attorney General.

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852 [deliver] provide a copy of such finding and order or authorization to theclaimant andto therepresentative forthestate, whichrepresentative may in appropriate cases be the Attorney General.

(f)Public InAct anyNo. claim alleging malpractice against the state, a state hospital or against a physician, surgeon, dentist, podiatrist, chiropractor or other licensed health care provider employed by the state, the attorney or pro se party filing the claim may submit a certificate of good faith to the Office of the Claims Commissioner in accordance with section 52-190a.

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6876 (f) In any claim alleging malpractice against the state, a state hospital or against a physician, surgeon, dentist, podiatrist, chiropractor or other licensed health care provider employed by the state, the attorney or pro se party filing the claim may submit a certificate of good faith to the Office of the Claims Commissioner in accordance with section 52-190a.

(g) After completion of discovery in a suit filed in the Superior Court after receiving permission to sue the state on the basis of an affidavit attesting to thevalidity of a claim filed in accordance with subsection (a) sHB6876of /this Filesection, if the court determines that such affidavit was not made in good faith, that no justiciable issue was presented against the state and that the state cooperated in good faith with the claimant by providing informal discovery, the court, upon motion or on its own initiative, shall impose upon the attorney and claimant or pro se claimant who signed such affidavit an appropriate sanction, which may include an order to pay to the state the reasonable expenses incurred by Public Act No.

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8526876 of this section, if the court determines that such affidavit was not made in good faith, that no justiciable issue was presented against the state and that the state cooperated in good faith with the claimant by providing informal discovery, the court, upon motion or on its own initiative, shall impose upon the attorney and claimant or pro se claimant who signed such affidavit an appropriate sanction, which may include an order to pay to the state the reasonable expenses incurred by the state because of the filing of the suit.

The claimant shall bring such action against the state as party defendant in the judicial district in which the claimant resides or, if the claimant is not a resident of this state, in the judicial district of Hartford sHB6876or /in Filethe No.judicial district in which the claim arose.

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852 or in the judicial district in which the claim arose.

(k)Public IssuesAct arisingNo. in such actions shall be tried to the court without a jury.

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6876 (k) Issues arising in such actions shall be tried to the court without a jury.

(p) Not later than five days after the convening of each regular session, the Attorney General shall report to the joint standing committee of the General Assembly having cognizance of matters sHB6876relating /to Filethe judiciary on the status and disposition of all actions authorized pursuant to this section or section 4-159, as amended by this Public Act No.

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8526876 relating to the judiciary on the status and disposition of all actions authorized pursuant to this section or section 4-159, as amended by this act, or brought against the state under any other provision of law and in which the interests of the state are represented by the Attorney General.

A claim exclusively setting forth a request for permission to sue the state may be accompanied by supporting evidence, including, but not limited to, transcripts,Public records,Act documents,No. reports, affidavits or memoranda.

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8526876 sHB6876transcripts, Filerecords, No.documents, reports, affidavits or memoranda.

852A notice of claim, if sent by mail, shall be deemed to have been filed with the Office of the Claims Commissioner on the date such notice of claim is postmarked.

(b) The Attorney General shall notify the Claims Commissioner and thePublic agencyAct or department involved within ninety days of receipt of a claim by the Attorney General in those instances when the Attorney General determines that protection of the state's interest does not sHB6876 / File No.

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8526876 the agency or department involved within ninety days of receipt of a claim by the Attorney General in those instances when the Attorney General determines that protection of the state's interest does not reasonably require representation by the Attorney General before the Claims Commissioner.

If such review discloses to the satisfaction of the Attorney General that protection of the state's interest does not reasonably require representation before the Office of the Claims Commissioner by theAttorney General,theAttorney Generalshallrefer the application to the state agency or department involved in the claim for representation of the state before the Office of the Claims Commissioner not later than ninety days after receipt of the application byPublic theAct AttorneyNo. General.

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6876 by the Attorney General.

Section 4-165b of the general statutes is repealed and the sHB6876following /is Filesubstituted No.in lieu thereof (Effective July 1, 2023):

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852 following is substituted in lieu thereof (Effective July 1, 2023):

(a)Public (1)Act Not later than five days after the convening of each regular session, the Claims Commissioner shall report to the General Assembly on all claims that have been filed with the Office of the Claims Commissioner pursuant to section 4-147, as amended by this act, and have not been disposed of by the Office of the Claims Commissioner within two years of the date of filing or within any extension thereof granted by the General Assembly pursuant to subsection (c) of this sHB6876 / File No.

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8526876 (a) (1) Not later than five days after the convening of each regular session, the Claims Commissioner shall report to the General Assembly on all claims that have been filed with the Office of the Claims Commissioner pursuant to section 4-147, as amended by this act, and have not been disposed of by the Office of the Claims Commissioner within two years of the date of filing or within any extension thereof granted by the General Assembly pursuant to subsection (c) of this section, except claims in which the parties have [stipulated] not objected within thirty days to an extension of time sought by the Office of the Claims Commissioner for [the Office of the Claims Commissioner] said office to dispose of the claim.

(c) With respect to any claim that is the subject of areporta report as provided in subsection (a) of this section, the General Assembly may (1) grant the Office of the Claims Commissioner an extension for a period specified by the General Assembly to dispose of such claim, (2) grant the claimant permission to sue the state, (3) grant an award to the claimant, or (4) deny the claim.

ThisApproved actJune shall27, take2023 effectPublic asAct followsNo. and shall amend the following sections:

Section23-131 121 Julyof 1,21 2023 4-142 Sec.

2 July 1, 2023 4-142a Sec.

3 July 1, 2023 4-142b Sec.

4 July 1, 2023 4-151 Sec.

5 July 1, 2023 4-151a Sec.

6 July 1, 2023 4-152 Sec.

7 July 1, 2023 4-154(a) Sec.

8 July 1, 2023 4-158(a) and (b) Sec.

9 July 1, 2023 4-159 Sec.

10 July 1, 2023 4-160 Sec.

11 July 1, 2023 4-147 Sec.

12 July 1, 2023 4-149 sHB6876 / File No.

852 sHB6876 File No.

852 Sec.

13 July 1, 2023 4-156 July 1, 2023 Sec.

14 4-165b Sec.

15 July 1, 2023 4-159a sHB6876 / File No.

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852 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 24 $ FY 25 $ Department of Administrative GF - Revenue 15,000 15,000 Services Loss Department of Administrative GF - Cost 72,000 92,250 Services State Comptroller - Fringe GF - Cost 30,830 39,501 Benefits1 Note:

GF=General Fund Municipal Impact:

None Explanation The bill creates a Deputy Claims Commissioner position within the Department of Administrative Services which is estimated to result in a cost of $102,830 in FY 24 and a fully annualized cost of $131,751 in FY 25.

The bill removes the fee for filing a claim against the state with the Office of the Claims Commissioner which is estimated to result in a revenue loss of approximately $15,000 per year.

The bill makes a number of additional changes which are technical in nature and have no fiscal impact.

House “A” strikes the underlying bill and its associated fiscal impact and replaces it with the fiscal impact described above.

The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

1The fringe benefit costs for most state employees are budgeted centrally in accounts administered by the Comptroller.

The estimated active employee fringe benefit cost associated with most personnel changes is 42.82% of payroll in FY 24.

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852 OLR Bill Analysis sHB 6876 (as amended by House “A”)* AN ACT CONCERNING THE ADMINISTRATION OF THE OFFICE OF THE CLAIMS COMMISSIONER.

SUMMARY This bill makes the following changes in the laws governing the Office of the Claims Commissioner (“the office”):

1.

adds, within available appropriations, a deputy claims commissioner position and sets its duties and term of office (§§ 1 & 2);

2.

specifies that the Department of Administrative Services must provide the office’s temporary deputies and administrative staff within available appropriations (§ 1);

3.

adjusts the current claims commissioner’s and temporary deputy commissioners’ terms of office (§ 2);

4.

removes the option for magistrates to hear claims against the state and instead assigns it to the six temporary deputy commissioners in current law (§§ 1 & 3);

5.

requires that claims be considered as soon as practicable after they are filed, rather than being heard as under current law (§ 4);

6.

extends various duties and powers assigned to the claims commissioner under existing law and magistrates under current law to the deputy commissioner and temporary deputies (§§ 4- 10);

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852 7.

removes the $50,000 threshold requirement for a claimant to request legislative review of a decision by the office ordering the denial, dismissal, or immediate payment of certain claims (§ 8);

and 8.

potentially increases the number of unresolved claims that may be referred to the office’s temporary deputies for review and determination (§ 10).

The bill also makes various technical and conforming changes.

*HouseAmendment“A”makesthefollowingchanges:(1)revisesthe effective dates of all the sections in the underlying bill so that they occur sooner (July 1, rather than October 1, 2023);

(2) limits appointments to certain office positions to within available appropriations;

(3) requires that claims be considered, rather than heard, as soon as practicable after they are filed (§ 4);

(4) removes the dollar amount threshold for legislative review of certain claims (§ 8);

and (5) adds provisions on filing claims notices, filings in duplicate, inmate claims, and claims that are not disposed of in a timely manner (§§ 11-15).

EFFECTIVE DATE:

July 1, 2023 §§ 1 & 2 — DEPUTY COMMISSIONER The bill requires the claims commissioner, within available appropriations, to appoint a deputy commissioner who is an attorney with the training and experience suitable for the office’s duties.

This position is exempt from the state employee classified service.

Under thebill,thedeputy commissioner hearsanddeterminesclaims against the state, except for the claims specifically exempted in statute.

Additionally, the bill requires the deputy commissioner to perform all of the claims commissioner’s functions when he or she is absent, disabled, or disqualified and gives the deputy commissioner all of the claims commissioner’s powers and duties.

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852 The bill specifies that the deputy commissioner’s term is not coterminous with the claims commissioner’s.

It allows any newly appointed claims commissioner to replace a sitting deputy commissioner uponappointment.

The deputy commissioner must serve until the claims commissioner appoints a successor.

§ 2 — CLAIMS COMMISSIONER Under current law, the governor appoints and the General Assembly confirms a claims commissioner to serve a four-year term.

The bill specifies that the governor nominates, rather than appoints, the commissioner.

It also removes the option for the claims commissioner who is serving as of June 28, 2021, to continue to serve until his or her term expires.

§§ 1 & 3 — MAGISTRATES Currentlawallowstheclaims commissionertodesignateoneormore magistrates from a list maintained by the chief court administrator to hear claims against the state and issue a decision about their final disposition.

The bill eliminates this option and instead allows temporary deputies to partially fulfill this role (see § 3 below).

§§ 1-3 — TEMPORARY DEPUTIES Current law requires the governor to appoint six temporary deputies to serve in the office.

The bill allows for fewer temporary deputies by instead allowing the governor to appoint up to six of them.

By law, each temporary deputy serves at the governor’s pleasure for a coterminous term.

Current law terminates the appointment and service of any temporary deputy on and after October 1, 2023.

The bill extends the termination date to March 1, 2026.

The bill also requires the claims commissioner to assign a temporary deputy to hear claims or make recommendations to the claims commissioner or deputy claims commissioner about their final disposition.

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852 §§ 4-10 — DUTIES EXTENDED TO DEPUTY COMMISSIONER AND TEMPORARY DEPUTIES The bill extends the following duties and powers assigned to the claims commissioner under existing law and to magistrates under current law to both the deputy commissioner and temporary deputies:

1.

determining a suitable location for claims hearings (§ 4);

2.

calling, examining, and cross-examining any witnesses;

requiring information not offered by the claimant;

and stipulating matters to be argued (§ 4);

3.

being exempt fromanylawor rule ofevidence, but not theclaims commissioner’s rules (§ 4);

4.

administering oaths;

requiring depositions;

issuing subpoenas;

andordering inspectionand disclosure ofbooks,papers,records, and documents (§ 4);

5.

quashing any order or subpoena upon good cause shown (§ 4);

6.

issuing a capias (i.e., warrant) directed to a state marshal to arrest any person who fails to respond to a subpoena and bring him or her to testify (§ 4);

7.

certifying to the attorney general that a person refuses to testify or produce any relevant, unprivileged book, paper, record, or document so that the attorney general may apply to the superior court for an order compelling compliance (§ 4);

8.

dismissing a claim due to the claimant’s failure to testify or produce relevant material (§ 4);

9.

waiving the hearing of any claim for $10,000 or less and proceeding upon the claimant’s and concerned state agency’s filed affidavits (§ 5);

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852 10.

excluding any person from further participation in a hearing due to misbehavior that obstructs the proceeding (§ 6);

11.

summarily terminating a proceeding and terminating the claim when the claimant’s misbehavior obstructs the proceeding (§ 6);

12.

rendering a decisionwithin90daysafter hearing aclaim, making a finding of fact for each claim, and filing each finding with the order, recommendation, or authorization disposing the claim (§ 7);

13.

ordering that a claim be denied or dismissed or, if it does not exceed $35,000, be immediately paid (§ 8);

14.

recommending to the General Assembly that a claim exceeding $35,000 be paid (§ 8);

and 15.

authorizing a claimant to sue the state (§§ 8 & 10).

The bill makes conforming changes to extend provisions on legislative review of decisions by the claims commissioner to include those by the deputy commissioner and temporary deputies (§§ 8-9).

§ 10 — UNRESOLVED CLAIM REQUESTS The bill potentially increases the number of unresolved claims that may be referred to the office’s temporary deputies for review and determination.

Under current law, claims exclusively requesting to sue the state filed before June 28, 2018, must be referred to a temporary deputy for review and determination if the office has not disposed of them.

The bill extendsthisrequirement to claims filed before July 1,2020.

Existing law, unchanged by the bill, allows the claimant to have his or her claim remain before the claims commissioner, however, if the claimant expressly states this desire.

The law also allows claimants to file a notice with the attorney general, governor, and Judiciary Committee on claims exclusively sHB6876 / File No.

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852 requesting permission to sue the state that remain pending with the office beginning 18 months after it was filed.

The claims commissioner mustthenissueadecisionontheclaimwithin90days.Ifstillunresolved after 90 days, the claim must be referred to a temporary deputy for review and determination.

The bill removes the provision that sunsets these referrals beginning on July 1, 2023, allowing them to continue.

Under current law, a claim in which the parties have stipulated for an extension of time for the office to dispose of the claim is not eligible for the above process.

The bill instead applies this exclusion to claims in which the parties have not objected to an extension.

In both of the above scenarios, when unresolved claims are referred to a temporary deputy, he or she must review it and make a determination to deny or dismiss it within 90 days after the referral (CGS § 4-160(d)).

§§ 11 & 14 — FILING NOTICE OF CLAIMS AND FILING FEES By law, anyone who wants to bring a claim against the state must file with the office a notice of claim, in duplicate.

Among other information, current law requires the notice to state the amount requested in the claim.

The bill specifies that this statement must at least indicate whether the amount is less than, equal to, or greater than $35,000.

Additionally, the bill removes from current law the filing fee requirement that claims notices be accompanied by a check or money order payable to “Treasurer, state of Connecticut” in the following amounts:

(1) $50 for claims exceeding $5,000 or (2) $25 for claims for $5,000 or less.

It also makes conforming changes by removing obsolete provisions authorizing the claims commissioner to waive these fees.

§§ 12 & 13 — FILINGS IN DUPLICATE State Notice of Opposition (§ 12) By law, when either the attorney general or a state agency providing representation for the state before the claims commissioner wishes to oppose a claim against the state, that representative must file with the office a notice ofoppositioncontaining aconcise statement ofobjections.

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852 The bill removes current law’s requirement that the state’s representative file this notice in duplicate.

Rehearing Application (§ 13) By law, an aggrieved claimant whose claim was rejected or recommended for rejection, in whole or in part, by the claims commissioner may apply for a rehearing if new evidence is discovered.

The bill removes current law’s requirement that the claimant file the application in duplicate with the office.

§ 15 — CLAIMS NOT TIMELY DISPOSED OF Under existing law, the claims commissioner must report to the General Assembly, within five days after the regular legislative session begins, on all claims that have been filed with the office but have not yet been disposed of within (1) two years after the date they were filed or (2) any extension granted by the General Assembly.

Current law does not require the commissioner to report on claims for which the parties agreed to an extension of time for the office to dispose of the claim.

The bill modifies this reporting exemption, instead allowing it for claims for which the office sought an extension to dispose of the claim and the parties have not objected within 30 days.

(Presumably, the 30-day window begins on the day when the office seeks the extension, but the bill does not specify how the parties will be notified of this day.) COMMITTEE ACTION Judiciary Committee Joint Favorable Substitute Yea 37 Nay 0 (03/31/2023) Appropriations Committee Joint Favorable Yea 53 Nay 0 (05/01/2023) sHB6876 / File No.

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