(NRS 616A.425) Section 1 of this bill provides that , for widows, widowers, surviving children and surviving dependent parents who are entitled to receive death benefits on account of an industrial injury or a disablement from an occupational disease that occurred before July 1, 2019, money in the Fund may also be used to pay :

and (2) the salary and other expenses of administering the payment of those increased death[compensation benefits.to claimants and dependents of claimants who are entitled to compensation for permanent total disability caused by industrial injuries and disablements from occupational diseases that occurred before January 1, 2004.

Sectionpermanent 4total ofdisability thisto billclaimants provides that, for widows, widowers, surviving children and survivingdependents dependentof parentsclaimants who are entitled to receivesuch deathcompensation benefitsdue onto account of an industrial injury or a disablement fromwhich an occupational disease that occurred before JulyJanuary 1, 2019,2004, assessmentswith againstcompensation employersto whobe provideincreased accidenton benefitsJanuary for1, injured2020, employeesand mayon beJanuary used1 toeach defrayyear thethereafter.] costsdeath of:benefits.

Section 4 of this bill provides that , for widows, widowers, surviving children and surviving dependent parents who are entitled to receive death benefits on account of an industrial injury or a disablement from an occupational disease that occurred before July 1, 2019, assessments against employers who provide accident benefits for injured employees may be used to defray the costs of [compensation payable to claimants and dependents of claimants who are entitled to such compensation due to an industrial injury or disablement which occurred before January 1, 2004.

claimants and their dependents who are entitled to receive compensation for permanent total disability but are not entitled to the 2.3 percent annual increase in that compensation.

Section 2 of this bill eliminates the authority of the Administrator of the Division of Industrial Relations of the Department of Business and Industry to make the annual payments from the Uninsured Employers’ Claim Account in the Fund for Workers’ Compensation and Safety.] :

and death(2) benefits.andthe salary and other expenses of administering the payment of those increased Sections 5 and 6 of this bill set forth the calculation of the base amount of the annual death benefitsbenefits. of a widow, widower, surviving child or surviving dependent parent who is entitled to receive future increases in those death benefits on account of an industrial injury or a disablement from an occupational disease that occurred before January 1, 1994.

80thSections Session5 (2019)and –6 2of –this EXPLANATIONbill –set Matterforth inthe boldedcalculation italicsof the base amount of the annual [compensation] death benefits of a [claimant or a dependent of a claimant] widow, widower, surviving child or surviving dependent parent who is new;entitled to receive future increases in account of an industrial injury or a disablement from an occupational disease that occurred before January 1, 1994.

matter between brackets [omitted material] is material to be omitted.

3.Assembly Amendment No.

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(g) For widows, widowers, surviving children and surviving dependent parents who are entitled to death benefits on account of 80th Session (2019) – 3 – an industrial injury or a disablement from an occupational disease that occurred before July 1, 2019:

and (2) The salary and other expenses of administering the payment of [compensation to claimants and dependents] the increase in death benefits pursuant to subsection [2] 1 of [NRS 616C.473.] section 3.5 of this act.

Income realized from the investment of the assets of the Fund must be credited to the Fund.Fund .

[to defray the compensation payable to claimants and dependents pursuant to subsection 2 of NRS 616C.473.] 6.

Secs.Sec.

22. and 3.

(Deleted[NRS by616A.430 amendment.)is Sec.hereby amended to read as follows:

616A.430 1.

There is hereby established in the State Treasury the Uninsured Employers’ Claim Account in the Fund for Workers’ Compensation and Safety, which may be used only for the purpose of making payments in accordance with the provisions of NRS 616C.220 [, 616C.453] and 617.401.

The Administrator shall administer the Account and shall credit any excess money toward the assessments of the insurers for the succeeding years.

Assembly Amendment No.

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All assessments, penalties, bonds, securities and all other properties received, collected or acquired by the Administrator for the Uninsured Employers’ Claim Account must be delivered to the custody of the State Treasurer.

3.

All money and securities in the Account must be held by the State Treasurer as custodian thereof to be used solely for workers’ compensation.

4.

The State Treasurer may disburse money from the Account only upon written order of the State Controller.

5.

The State Treasurer shall invest money of the Account in the same manner and in the same securities in which the State Treasurer is authorized to invest money of the State General Fund.

Income realized from the investment of the assets of the Account must be credited to the Account.

6.

The Administrator shall assess each insurer, including each employer who provides accident benefits for injured employees pursuant to NRS 616C.265, an amount to be deposited in the Uninsured Employers’ Claim Account.

To establish the amount of the assessment, the Administrator shall determine the amount of money necessary to maintain an appropriate balance in the Account for each fiscal year and shall allocate a portion of that amount to be payable by private carriers, a portion to be payable by self-insured employers, a portion to be payable by associations of self-insured public or private employers and a portion to be payable by the employers who provide accident benefits pursuant to NRS 616C.265, based upon the expected annual expenditures for claims of each group of insurers.

After allocating the amounts payable, the Administrator shall apply an assessment rate to the:

(a) Private carriers that reflects the relative hazard of the employments covered by the private carriers, results in an equitable distribution of costs among the private carriers and is based upon expected annual premiums to be received;

(b) Self-insured employers that results in an equitable distribution of costs among the self-insured employers and is based upon expected annual expenditures for claims;

(c) Associations of self-insured public or private employers that results in an equitable distribution of costs among the associations of self-insured public or private employers and is based upon expected annual expenditures for claims;

and (d) Employers who provide accident benefits pursuant to NRS 616C.265 that reflects the relative hazard of the employments covered by those employers, results in an equitable distribution of costs among the employers and is based upon expected annual expenditures for claims.

 The Administrator shall adopt regulations for the establishment and administration of the assessment rates, payments and any penalties that the Administrator determines are necessary to carry out the provisions of this subsection.

As used in this subsection, the term “group of insurers” includes the group of employers who provide accident benefits for injured employees pursuant to NRS 616C.265.

7.

The Commissioner shall assign an actuary to review the establishment of assessment rates.

The rates must be filed with the Commissioner 30 days before their effective date.

Any insurer who wishes to appeal the rate so filed must do so pursuant to NRS 679B.310.] (Deleted by amendment.) Sec.

3.

[NRS 616C.473 is hereby amended to read as follows:

616C.473 1.

If a claimant or a dependent of a claimant is entitled to receive compensation pursuant to chapters 616A to 617, inclusive, of NRS for a permanent total disability caused by an industrial injury or a disablement from an occupational disease that occurs on or after January 1, 2004, the claimant or dependent is entitled to an annual increase in that compensation in the amount of 2.3 percent.

The compensation must be increased pursuant to this [section:] subsection:

Assembly Amendment No.

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370 Page 7 (a) On January 1 of the year immediately after the year in which the claimant or dependent becomes entitled to receive that compensation;

and (b) On January 1 of each successive year after the year specified in paragraph (a) in which the claimant or dependent is entitled to receive that compensation.

2.

If a claimant or a dependent of a claimant is entitled to receive compensation pursuant to chapters 616A to 617, inclusive, of NRS for a permanent total disability caused by an industrial injury or a disablement from an occupational disease that occurred before January 1, 2004, the claimant or dependent is entitled to an annual increase in that compensation in the amount of 2.3 percent.

The compensation must be increased pursuant to this subsection:

(a) On January 1, 2020;

and (b) On January 1 of each year thereafter.

3.

Any increase in compensation provided pursuant to this section is in addition to any increase in compensation to which a claimant or a dependent of a claimant is otherwise entitled by law.] (Deleted by amendment.) Sec.

Any increase in death benefits provided pursuant to this section is in addition to any increase in death benefits to which a 80th Session (2019) – 4 – widow, widower, surviving child or surviving dependent parent is otherwise entitled by law.

(e)Assembly TheAmendment amountNo. of the death benefit to which the widow, widower, surviving child or surviving dependent parent was entitled as of December 31, 2019.

510 to Assembly Bill No.

370 Page 8 (e) The amount of the death benefit to which the widow, widower, surviving child or surviving dependent parent was entitled as of December 31, 2019.

80th Session (2019) – 5 – 3.

80th Session (2019) – 6 – (c) Associations of self-insured public or private employers that results in an equitable distribution of costs among the associations of self-insured public or private employers and is based upon expected annual expenditures for claims;

 The Administrator shall adopt regulations that establish the formula for the assessment and for the administration of payment, and any penalties that the Administrator determines are necessary to carry out the provisions of this subsection.Assembly Amendment No.

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If the Division refunds any part of an assessment, the Division shall include in that refund any interest earned by the Division from the refunded part of the assessment.] 80th Session (2019) – 7 – (g) For widows, widowers, surviving children and surviving dependent parents who are entitled to death benefits on account of an industrial injury or a disablement from an occupational disease pursuant to section 3.5 of this act that occurred before July 1, 2019:

and (2) The [compensation payable to claimants and dependents of the claimants] salary and other expenses of administering the payment of the increase in death benefits pursuant to subsection [2] 1 of [NRS 616C.473.] section 3.5 of this act.

For the purposes of [paragraph (a) of] subsection [2] 1 of [NRS 616C.473, as amended by] section [3] 3.5 of this act, the amount of [compensation] death benefits which is to be increased by 2.3 percent on January 1, 2020, for a [claimant or a dependent of a claimant] widow, widower, surviving child or surviving dependent parent who is entitled to receive [compensation for a permanent total disability caused by] death benefits on account of an industrial injury or a disablement from an occupational disease that occurred before January 1, 1989, shall be deemed to be the amount of annual [compensation] death benefits the [claimant or dependent] widow, widower, surviving child or surviving dependent parent was entitled to receive before the effective date of this act, compounded 3 times at 2.3 percent.

The intent of this section is to put the [claimant or dependent] widow, widower, surviving child or surviving dependent parent in the same position on January 1, 2020, with regard to the amount of deathAssembly benefitsAmendment toNo. be increased by 2.3 percent pursuant to paragraph (a) of subsection 1 of section 3.5 of this act, as if the widow, widower, surviving child or surviving dependent parent had been receiving an annual increase of 2.3 percent of his or her annual death benefits on January 1 of each year beginning on January 1, 2017.

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370 Page 10 [compensation] death benefits to be increased by 2.3 percent pursuant to paragraph (a) of subsection [2] 1 of [NRS 616C.473, as amended by] section [3] 3.5 of this act, as if the [claimant or dependent] widow, widower, surviving child or surviving dependent parent had been receiving an annual increase of 2.3 percent of his or her annual [compensation] death benefits on January 1 of each year beginning on January 1, 2017.

For the purposes of [paragraph (a) of] subsection [2] 1 of [NRS 616C.473, as amended by] section [3] 3.5 of this act, the amount of [compensation] death benefits which is to be increased by 2.3 percent on January 1, 2020, for a [claimant or a dependent of a claimant] widow, widower, surviving child or surviving dependent parent who is entitled to receive [compensation for a permanent total disability caused by] death benefits on account of an industrial injury or a disablement from an occupational disease that occurred on or after January 1, 1989, and before January 1, 1994, shall be deemed to be the amount of annual [compensation] death benefits the [claimant or dependent] widow, widower, surviving child or surviving dependent parent was entitled to receive before the effective date of this act, compounded 2 times at 2.3 percent.

The intent of this 80th Session (2019) – 8 – section is to put the [claimant or dependent] widow, widower, surviving child or surviving dependent parent in the same position on January 1, 2020, with regard to the amount of [compensation] death benefits to be increased by 2.3 percent pursuant to paragraph (a) of subsection [2] 1 of [NRS 616C.473, as amended by] section [3] 3.5 of this act, as if the [claimant or dependent] widow, widower, surviving child or surviving dependent parent had been receiving an annual increase of 2.3 percent of his or her annual [compensation] death benefits on January 1 of each year beginning on January 1, 2018.

[NRS 616C.453 is hereby repealed.] (Deleted by amendment.) Sec.

~~~~~[ 19TEXT 80thOF SessionREPEALED (2019)SECTION 616C.453 Additional annual payment to certain claimants and dependents of claimants who are entitled to receive compensation for permanent total disability;

adoption of regulations to determine amount of payment.

1.

If a claimant or a dependent of a claimant is entitled to receive compensation pursuant to chapters 616A to 617, inclusive, of NRS for a permanent total disability and the claimant or dependent is not entitled to an annual increase in that compensation pursuant to NRS 616C.473, the claimant or dependent is entitled to an annual payment for that permanent total disability in an amount determined by the Administrator pursuant to subsection 3, but such annual payments may not exceed $1,200 per claimant or dependent.

Except as otherwise provided in subsection 5, the total payments made pursuant to this section may not exceed $500,000 per year.

2.

Each year, the Administrator shall withdraw from the Uninsured Employers’ Claim Account established pursuant to NRS 616A.430 an amount of the income realized from the investment of the assets in the Account that is necessary to fund the payments calculated pursuant to subsection 3.

3.

The Administrator shall adopt regulations establishing a method for the equitable distribution of the money withdrawn from the Account pursuant to subsection 2.

The regulations must provide for payments that result in the largest proportional share of the money being paid to claimants and dependents who Assembly Amendment No.

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370 Page 11 receive the lowest amount of compensation pursuant to chapters 616A to 617, inclusive, of NRS for the permanent total disability.

The Administrator may adopt any other regulations that are necessary to carry out the provisions of this section.

4.

Except as otherwise provided in subsection 5, the Administrator shall make the payment required by this section to each claimant and dependent of the claimant who is entitled to the payment not later than October 1 of each year.

Any payment received by the claimant or dependent of the claimant pursuant to this section is in addition to any compensation to which the claimant or dependent of the claimant is otherwise entitled by law.

5.

The Administrator may make a payment from the Account to a claimant or a dependent of a claimant that would have been payable in a prior year pursuant to subsection 3 if the Administrator determines that the claimant or dependent was entitled to the payment pursuant to subsection 1.]