SF 22

as introduced - 91st Legislature, 2020 2nd Special Session (2020 - 2020) Posted on 07/14/2020 07:54am

A bill for an act
relating to workers' compensation; reimbursing reinsurance members for certain
losses related to COVID-19 claims; extending the date of a CAMPUS plan
submission; amending Minnesota Statutes 2019 Supplement, section 176.2612,
subdivision 2.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

WORKERS' COMPENSATION COVID-19 REIMBURSEMENT; COORDINATION
OF BENEFITS

Section 1. new text begin WORKERS' COMPENSATION REINSURANCE ASSOCIATION
REIMBURSEMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the terms defined in this
subdivision have the meanings given.
new text end

new text begin (b) "Member" means a member of the reinsurance association as described in Minnesota
Statutes, section 79.34, subdivision1, but does not include a political subdivision, or a pool
of two or more political subdivisions, created to self-insure for workers' compensation under
Minnesota Statutes, sections 471.59 and 471.981; or the state under Minnesota Statutes,
section 176.541 or 176.591
new text end

new text begin (c) "Reinsurance association" means the workers' compensation reinsurance association
established under Minnesota Statutes, section 79.34, subdivision 1.
new text end

new text begin Subd. 2. new text end

new text begin Loss aggregation of COVID-19 claims. new text end

new text begin (a) Notwithstanding Minnesota
Statutes, section 79.34, subdivision 2, a member shall be reimbursed by the reinsurance
association under Minnesota Statutes, chapter 79, for losses as provided in paragraphs (b)
to (d).
new text end

new text begin (b) Losses for the member's COVID-19 workers' compensation claims with dates of
injury from April 8, 2020, to May 1, 2021, under Laws 2020, chapter 72, shall be aggregated
to count toward the member's retention limit under Minnesota Statutes, section 79.34,
subdivision 2, subject to this paragraph and paragraph (c).
new text end

new text begin (c) Any loss that has been reimbursed from, or is eligible for reimbursement from, the
coronavirus relief fund in the federal CARES Act, or any other government or third-party
source, shall not be included in the aggregated loss amount under paragraph (b) and shall
not be reimbursed by the Workers' Compensation Reinsurance Association.
new text end

new text begin (d) The retention limit elected by the member under Minnesota Statutes, section 79.34,
subdivision 2, in effect in 2020 shall apply to the member's COVID-19 claims with dates
of injury from April 8, 2020, to May 1, 2021, under Laws 2020, chapter 72.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for compensable workers' compensation
COVID-19 occupational disease claims paid to employees with dates of injury from April
8, 2020, to May 1, 2021, under Laws 2020, chapter 72.
new text end

Sec. 2. new text begin WORKERS' COMPENSATION BENEFITS; PAID LEAVE RELATED TO
COVID-19.
new text end

new text begin Notwithstanding other options for coordination of workers' compensation wage-loss
benefits, wages, and paid leave under Minnesota Statutes, sections 176.021 and 176.221,
subdivision 9, if an employer provides paid leave in response to COVID-19 that is in addition
to the paid leave the employee is regularly entitled to accrue or receive, the employer may
deduct the net amount of the additional leave paid to the employee from any temporary total
or temporary partial disability benefits that the employee is entitled to receive under this
chapter, subject to the following requirements:
new text end

new text begin (1) paid leave in response to COVID-19 provided by state or federal law is not considered
additional paid leave under this paragraph and is governed by the state or federal law;
new text end

new text begin (2) the additional paid leave must not reduce or adversely affect the use of any paid
leave that the employee has received or accumulated, or is entitled to receive or accumulate,
under the employer's regular paid leave program;
new text end

new text begin (3) the net payment to the employee for the additional paid leave and temporary total
or temporary partial disability benefit combined, after all deductions, must not be less than
the amount the employee would have received for temporary total or temporary partial
disability benefits payable under this chapter;
new text end

new text begin (4) the additional paid leave must be paid within the same time frames that temporary
total or temporary partial disability benefits, or the employee's regular employment payments,
are made; and
new text end

new text begin (5) an employer or insurer who deducts the additional paid leave from temporary total
or temporary partial disability benefits owed to an employee must report the injury and
make a liability determination within the time frames specified in this chapter. The employer
or insurer must report to the commissioner the portion of the payment that is temporary
total compensation for purposes of administering this chapter and special compensation
fund assessments. The employer or insurer must also make appropriate adjustments to the
employee's payroll records to ensure that the employee's regular paid leave is not
inappropriately charged against the employee, and to ensure the proper income tax treatment
for the payments.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for employees with COVID-19 dates of
injury from April 8, 2020, to May 1, 2021, under Laws 2020, chapter 72.
new text end

ARTICLE 2

IMPROVEMENTS TO CAMPUS AND OFFICE OF ADMINISTRATIVE HEARINGS
CASE MANAGEMENT SYSTEM

Section 1.

Minnesota Statutes 2019 Supplement, section 176.2612, subdivision 2, is
amended to read:

Subd. 2.

Plan and proposal for improvement.

By January deleted text begin 11, 2021 deleted text end new text begin 17, 2022 new text end , the
commissioner must recommend to the Workers' Compensation Advisory Council a plan
and proposed statutory amendments for the most effective means, based on an assessment
of benefits and value, to implement improvements to CAMPUS and the case management
system at the office, including ensuring a single calendaring system and a single filing
system. The filing requirements in section 176.2611, subdivisions 3 and 4, remain in effect
until further amendments related to a single filing system in CAMPUS are enacted pursuant
to the recommendations of the Workers' Compensation Advisory Council.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end