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SF 972

as introduced - 93rd Legislature (2023 - 2024) Posted on 01/31/2023 09:00am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to retirement; Public Employees Retirement Association; modifying
disability application procedures; amending Minnesota Statutes 2022, section
353.031, subdivisions 3, 5, 6, 8, 9.

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

Section 1.

Minnesota Statutes 2022, section 353.031, subdivision 3, is amended to read:


Subd. 3.

Procedure to determine eligibility; generally.

(a) Every claim for a disability
benefit must be initiated in writing on an application form and in the manner prescribed by
the executive director and filed with the executive director. An application for disability
benefits must be made within 18 months following termination of public service as defined
under section 353.01, subdivision 11a.new text begin No later than ten days after receiving the application,
the executive director must provide a copy of the application to the claimant's public
employer.
new text end

(b) All medical reports must support a finding that the disability arose before the employee
was placed on any paid or unpaid leave of absence or terminated public service, as defined
under section 353.01, subdivision 11a.

(c) An applicant for disability shall provide a detailed report signed by a licensed deleted text begin medical
doctor
deleted text end new text begin physician new text end and at least one additional report signed by a deleted text begin medical doctordeleted text end new text begin physiciannew text end ,
psychologist, deleted text begin andeleted text end APRN, or deleted text begin adeleted text end chiropractor. new text begin A physician, psychologist, APRN, or chiropractor
is qualified to sign a report if the medical professional specializes in the treatment of the
injury claimed by the applicant.
new text end The applicant deleted text begin shalldeleted text end new text begin must new text end authorize the release of all medical
and health care evidence, including all medical records and relevant information from any
source, to support the application for initial, or the continuing payment of, disability benefits.new text begin
No later than ten days after receiving the medical reports, the executive director must provide
a copy of the reports to the claimant's public employer.
new text end

(d) All reports must contain an opinion regarding the claimant's new text begin diagnosis, new text end prognosis,
the duration of the disability, and the expectations for improvement. Any report that does
not contain and support a finding that the disability will last for at least one year deleted text begin maydeleted text end new text begin must
new text end not be relied upon to support eligibility for benefits.

(e) Where the medical evidence supports the expectation that at some point in time the
claimant will no longer be disabled, any decision granting disability may provide for a
termination date upon which disability can be expected to no longer exist. In the event a
termination date is made part of the decision granting benefits, prior to the actual termination
of benefits, the claimant shall have the opportunity to show that the disabling condition for
which benefits were initially granted continues. In the event the benefits terminate in
accordance with the original decision, the claimant may petition for a review by the board
of trustees under section 353.03, subdivision 3, or may reapply for disability in accordance
with these procedures and section 353.33, 353.656, or 353E.06, as applicable.

(f) Any claim to disability must be supported by a report from the employer indicating
that there is no available work that the employee can perform in the employee's disabled
condition and that all reasonable accommodations have been considered. Upon request of
the executive director, an employer shall provide evidence of the steps the employer has
taken to attempt to provide reasonable accommodations and continued employment to the
claimant. The employer shall also provide a certification of the member's past public service;
the dates of any paid sick leave, vacation, or any other employer-paid salary continuation
plan beyond the last working day; and whether or not any sick or annual leave has been
allowed.

(g) An employee who is placed on leave of absence without compensation because of
a disability is not barred from receiving a disability benefit.

(h) An applicant for disability benefits may file a retirement annuity application under
section 353.29, subdivision 4, simultaneously with an application for disability benefits. If
the application for disability benefits is approved, the retirement annuity application is
canceled. If disability benefits are denied, the retirement annuity application must be
processed upon the request of the applicant. No member of the deleted text begin publicdeleted text end new text begin general new text end employees
deleted text begin generaldeleted text end new text begin retirement new text end plan, the deleted text begin public employeesdeleted text end police and fire plan, or the local government
correctional service retirement plan may receive a disability benefit and a retirement annuity
simultaneously from the same plan.

new text begin (i) No later than 60 days after receipt of the documentation required to be provided under
paragraphs (a) and (c), the claimant's public employer may submit its own evidence and
information, including a written expert medical report, to the executive director. The
executive director must consider this evidence and information in determining whether to
approve or deny the application for disability benefits.
new text end

Sec. 2.

Minnesota Statutes 2022, section 353.031, subdivision 5, is amended to read:


Subd. 5.

Medical adviser.

The executive director deleted text begin maydeleted text end new text begin must new text end contract with deleted text begin an accredited
independent organization specializing in disability determinations or a licensed
deleted text end new text begin a new text end physician
new text begin who is licensed to practice medicine in the state of Minnesota and specializes in the injury
claimed by the applicant
new text end to deleted text begin be the medical adviser of the association. The medical adviser
shall
deleted text end review all medical reports submitted to the association, including the findings of an
independent medical examination requested under this section, and deleted text begin shalldeleted text end advise the executive
director.

Sec. 3.

Minnesota Statutes 2022, section 353.031, subdivision 6, is amended to read:


Subd. 6.

Independent medical examination.

Any individual applying for deleted text begin or receivingdeleted text end
disability benefits must submit to an independent medical examination deleted text begin if requested by the
executive director
deleted text end new text begin by a physician who is licensed to practice medicine in the state of
Minnesota and specializes in the injury claimed by the applicant
new text end . The medical examination
must be paid for by the association.

Sec. 4.

Minnesota Statutes 2022, section 353.031, subdivision 8, is amended to read:


Subd. 8.

Proof of continuing disability.

(a) A disability benefit payment must not be
made except upon adequate proof furnished to the executive director of the association that
the person remains disabled.

(b) During the time when disability benefits are being paid, the executive director of the
association deleted text begin has the right, at reasonable times, todeleted text end new text begin must new text end require the disabled member to submit
proofnew text begin , no less frequently than annually,new text end of the continuance of the disability claimed.

(c) Adequate proof of a disability must include a written expert report by a deleted text begin licenseddeleted text end
physiciandeleted text begin , an APRN, or a licensed chiropractor, or, with respect to a mental impairment, a
licensed psychologist
deleted text end new text begin who is licensed to practice medicine in the state of Minnesota and
specializes in the injury claimed by the applicant
new text end .

new text begin (d) A copy of the annual report must be provided to any public employer providing
benefits to the disabled member under section 299A.465.
new text end

Sec. 5.

Minnesota Statutes 2022, section 353.031, subdivision 9, is amended to read:


Subd. 9.

Application approval or denial; decision of executive director.

new text begin (a) new text end Any
decision of the executive director is final, except thatnew text begin :
new text end

new text begin (1)new text end a member whose application for disability benefits or whose continuation of disability
benefits is denied may appeal the executive director's decision to the board of trustees within
60 days of receipt of a certified letter notifying the member of the decision to deny the
application or continuation of benefitsnew text begin ; and
new text end

new text begin (2) a public employer of a claimant whose application for disability benefits is approved
may appeal the executive director's decision to the board of trustees within 60 days of receipt
of a certified letter notifying the public employer of the decision to approve the application
new text end .

new text begin (b)new text end In developing the record for review by the board when a decision is appealed, the
executive director may direct that the applicant participate in a fact-finding session conducted
by an administrative law judge assigned by the Office of Administrative Hearings, and, as
applicable, a vocational assessment conducted by the qualified rehabilitation counselor on
contract with the deleted text begin Public Employees Retirementdeleted text end association.

Sec. 6. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 5 are effective July 1, 2023.
new text end