Office of the Revisor of Statutes
Minnesota Session Laws - 2001, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 123-S.F.No. 2046
An act relating to workers' compensation; making
technical changes; requiring interest earned on
revenue collected by the special compensation fund to
be deposited into the fund; extending a pilot program;
providing for payment of various penalties to the
commissioner of labor and industry; amending Minnesota
Statutes 2000, sections 176.042, subdivision 2;
176.102, subdivisions 3a, 11, 14; 176.103, subdivision
3; 176.129, subdivisions 10, 13, by adding a
subdivision; 176.1351, subdivision 5; 176.138;
176.1812, subdivision 6; 176.191, subdivision 1a;
176.192; 176.194, subdivision 4; 176.221, subdivisions
1, 3, 3a, 6; 176.231, subdivisions 2, 6, 10; 176.238,
subdivision 10; repealing Minnesota Statutes 2000,
section 176.445.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 2000, section 176.042,
subdivision 2, is amended to read:
Subd. 2. [EXCEPTION.] An independent contractor, as
described in subdivision 1, is not an employee of an employer
for whom the independent contractor performs work or services if
the independent contractor meets all of the following conditions:
(1) maintains a separate business with the independent
contractor's own office, equipment, materials, and other
facilities;
(2) holds or has applied for a federal employer
identification number or has filed business or self-employment
income tax returns with the federal Internal Revenue Service
based on that work or service in the previous year;
(3) operates under contracts to perform specific services
or work for specific amounts of money and under which the
independent contractor controls the means of performing the
services or work;
(4) incurs the main expenses related to the service or work
that the independent contractor performs under contract;
(5) is responsible for the satisfactory completion of work
or services that the independent contractor contracts to perform
and is liable for a failure to complete the work or service;
(6) receives compensation for work or service performed
under a contract on a commission or per-job or competitive bid
basis and not on any other basis;
(7) may realize a profit or suffer a loss under contracts
to perform work or service;
(8) has continuing or recurring business liabilities or
obligations; and
(9) the success or failure of the independent contractor's
business depends on the relationship of business receipts to
expenditures.
Sec. 2. Minnesota Statutes 2000, section 176.102,
subdivision 3a, is amended to read:
Subd. 3a. [DISCIPLINARY ACTIONS.] The panel has authority
to discipline qualified rehabilitation consultants and vendors
and may impose a penalty of up to $3,000 per violation, payable
to the commissioner for deposit in the special compensation
fund, and may suspend or revoke certification. Complaints
against registered qualified rehabilitation consultants and
vendors shall be made to the commissioner who shall investigate
all complaints. If the investigation indicates a violation of
this chapter or rules adopted under this chapter, the
commissioner may initiate a contested case proceeding under the
provisions of chapter 14. In these cases, the rehabilitation
review panel shall make the final decision following receipt of
the report of an administrative law judge. The decision of the
panel is appealable to the workers' compensation court of
appeals in the manner provided by section 176.421. The panel
shall continuously study rehabilitation services and delivery,
develop and recommend rehabilitation rules to the commissioner,
and assist the commissioner in accomplishing public education.
The commissioner may appoint alternates for one-year terms
to serve as a member when a member is unavailable. The number
of alternates shall not exceed one labor member, one employer or
insurer member, and one member representing medicine,
chiropractic, or rehabilitation.
Sec. 3. Minnesota Statutes 2000, section 176.102,
subdivision 11, is amended to read:
Subd. 11. [RETRAINING; COMPENSATION.] (a) Retraining is
limited to 156 weeks. An employee who has been approved for
retraining may petition the commissioner or compensation judge
for additional compensation not to exceed 25 percent of the
compensation otherwise payable. If the commissioner or
compensation judge determines that this additional compensation
is warranted due to unusual or unique circumstances of the
employee's retraining plan, the commissioner may award
additional compensation in an amount not to exceed the
employee's request. This additional compensation shall cease at
any time the commissioner or compensation judge determines the
special circumstances are no longer present.
(b) If the employee is not employed during a retraining
plan that has been specifically approved under this section,
temporary total compensation is payable for up to 90 days after
the end of the retraining plan; except that, payment during the
90-day period is subject to cessation in accordance with section
176.101. If the employee is employed during the retraining plan
but earning less than at the time of injury, temporary partial
compensation is payable at the rate of 66-2/3 percent of the
difference between the employee's weekly wage at the time of
injury and the weekly wage the employee is able to earn in the
employee's partially disabled condition, subject to the maximum
rate for temporary total compensation. Temporary partial
compensation is not subject to the 225-week or 450-week
limitations provided by section 176.101, subdivision 2, during
the retraining plan, but is subject to those limitations before
and after the plan.
(c) Any request for retraining shall be filed with the
commissioner before 156 weeks of any combination of temporary
total or temporary partial compensation have been paid.
Retraining shall not be available after 156 weeks of any
combination of temporary total or temporary partial compensation
benefits have been paid unless the request for the retraining
has been filed with the commissioner prior to the time the 156
weeks of compensation have been paid.
(d) The employer or insurer must notify the employee in
writing of the 156-week limitation for filing a request for
retraining with the commissioner. This notice must be given
before 80 weeks of temporary total disability or temporary
partial disability compensation have been paid, regardless of
the number of weeks that have elapsed since the date of injury.
If the notice is not given before the 80 weeks, the period of
time within which to file a request for retraining is extended
by the number of days the notice is late, but in no event may a
request be filed later than 225 weeks after any combination of
temporary total disability or temporary partial disability
compensation have been paid. The commissioner may assess a
penalty of $25 per day that the notice is late, up to a maximum
penalty of $2,000, against an employer or insurer for failure to
provide the notice. The penalty is payable to the commissioner
for deposit in the assigned risk safety account.
Sec. 4. Minnesota Statutes 2000, section 176.102,
subdivision 14, is amended to read:
Subd. 14. [FEES.] The commissioner shall impose fees
sufficient to cover the cost of approving and monitoring
qualified rehabilitation consultants, consultant firms, and
vendors of rehabilitation services. These fees are payable to
the commissioner for deposit in the special compensation fund.
Sec. 5. Minnesota Statutes 2000, section 176.103,
subdivision 3, is amended to read:
Subd. 3. [MEDICAL SERVICES REVIEW BOARD; SELECTION;
POWERS.] (a) There is created a medical services review board
composed of the commissioner or the commissioner's designee as
an ex officio member, two persons representing chiropractic, one
person representing hospital administrators, one physical
therapist, one registered nurse, and six physicians representing
different specialties which the commissioner determines are the
most frequently utilized by injured employees. The board shall
also have one person representing employees, one person
representing employers or insurers, and one person representing
the general public. The members shall be appointed by the
commissioner and shall be governed by section 15.0575. Terms of
the board's members may be renewed. The board may appoint from
its members whatever subcommittees it deems appropriate.
The commissioner may appoint alternates for one-year terms
to serve as a member when a member is unavailable. The number
of alternates shall not exceed one chiropractor, one physical
therapist, one registered nurse, one hospital administrator,
three physicians, one employee representative, one employer or
insurer representative, and one representative of the general
public.
The board shall review clinical results for adequacy and
recommend to the commissioner scales for disabilities and
apportionment.
The board shall review and recommend to the commissioner
rates for individual clinical procedures and aggregate costs.
The board shall assist the commissioner in accomplishing public
education.
In evaluating the clinical consequences of the services
provided to an employee by a clinical health care provider, the
board shall consider the following factors in the priority
listed:
(1) the clinical effectiveness of the treatment;
(2) the clinical cost of the treatment; and
(3) the length of time of treatment.
The board shall advise the commissioner on the adoption of
rules regarding all aspects of medical care and services
provided to injured employees.
(b) The medical services review board may upon petition
from the commissioner and after hearing, issue a warning, a
penalty of $200 per violation, a restriction on providing
treatment that requires preauthorization by the board,
commissioner, or compensation judge for a plan of treatment,
disqualify, or suspend a provider from receiving payment for
services rendered under this chapter if a provider has violated
any part of this chapter or rule adopted under this chapter, or
where there has been a pattern of, or an egregious case of,
inappropriate, unnecessary, or excessive treatment by a provider.
The hearings are initiated by the commissioner under the
contested case procedures of chapter 14. The board shall make
the final decision following receipt of the recommendation of
the administrative law judge. The board's decision is
appealable to the workers' compensation court of appeals in the
manner provided by section 176.421.
(c) The board may adopt rules of procedure. The rules may
be joint rules with the rehabilitation review panel.
Sec. 6. Minnesota Statutes 2000, section 176.129, is
amended by adding a subdivision to read:
Subd. 1a. [INTEREST.] Interest earned on revenue collected
by the special compensation fund shall be deposited into the
special compensation fund.
Sec. 7. Minnesota Statutes 2000, section 176.129,
subdivision 10, is amended to read:
Subd. 10. [PENALTY.] Sums paid to the commissioner
pursuant to this section shall be in the manner prescribed by
the commissioner. The commissioner may impose a penalty payable
to the commissioner for deposit in the assigned risk safety
account of up to 15 percent of the amount due under this section
but not less than $1,000 in the event payment is not made in the
manner prescribed.
Sec. 8. Minnesota Statutes 2000, section 176.129,
subdivision 13, is amended to read:
Subd. 13. [EMPLOYER REPORTS.] All employers and insurers
shall make reports to the commissioner as required for the
proper administration of this section and Minnesota Statutes
1990, section 176.131, and Minnesota Statutes 1994, section
176.132. Employers and insurers may not be reimbursed from the
special compensation fund for any periods for which the employer
has not properly filed reports as required by this section and
made all payments due unless the employer or insurer is up to
date with all past due and currently due assessments, penalties,
and reports to the special compensation fund under subdivision 3.
Sec. 9. Minnesota Statutes 2000, section 176.1351,
subdivision 5, is amended to read:
Subd. 5. [REVOCATION, SUSPENSION, AND REFUSAL TO CERTIFY;
PENALTIES AND ENFORCEMENT.] (a) The commissioner shall refuse to
certify or shall revoke or suspend the certification of a
managed care plan if the commissioner finds that the plan for
providing medical or health care services fails to meet the
requirements of this section, or service under the plan is not
being provided in accordance with the terms of a certified plan.
(b) In lieu of or in addition to suspension or revocation
under paragraph (a), the commissioner may, for any noncompliance
with the managed care plan as certified or any violation of a
statute or rule applicable to a managed care plan, assess an
administrative penalty payable to the commissioner for deposit
in the special compensation fund in an amount up to $25,000 for
each violation or incidence of noncompliance. The commissioner
may adopt rules necessary to implement this subdivision. In
determining the level of an administrative penalty, the
commissioner shall consider the following factors:
(1) the number of workers affected or potentially affected
by the violation or noncompliance;
(2) the effect or potential effect of the violation or
noncompliance on workers' health, access to health services, or
workers' compensation benefits;
(3) the effect or potential effect of the violation or
noncompliance on workers' understanding of their rights and
obligations under the workers' compensation law and rules;
(4) whether the violation or noncompliance is an isolated
incident or part of a pattern of violations; and
(5) the potential or actual economic benefits derived by
the managed care plan or a participating provider by virtue of
the violation or noncompliance.
The commissioner shall give written notice to the managed
care plan of the penalty assessment and the reasons for the
penalty. The managed care plan has 30 days from the date the
penalty notice is issued within which to file a written request
for an administrative hearing and review of the commissioner's
determination pursuant to section 176.85, subdivision 1.
(c) If the commissioner, for any reason, has cause to
believe that a managed care plan has or may violate a statute or
rule or a provision of the managed care plan as certified, the
commissioner may, before commencing action under paragraph (a)
or (b), call a conference with the managed care plan and other
persons who may be involved in the suspected violation or
noncompliance for the purpose of ascertaining the facts relating
to the suspected violation or noncompliance and arriving at an
adequate and effective means of correcting or preventing the
violation or noncompliance. The commissioner may enter into
stipulated consent agreements with the managed care plan for
corrective or preventive action or the amount of the penalty to
be paid. Proceedings under this paragraph shall not be governed
by any formal procedural requirements, and may be conducted in a
manner the commissioner deems appropriate under the
circumstances.
(d) The commissioner may issue an order directing a managed
care plan or a representative of a managed care plan to cease
and desist from engaging in any act or practice that is not in
compliance with the managed care plan as certified, or that it
is in violation of an applicable statute or rule. Within 30
days of service of the order, the managed care plan may request
review of the cease and desist order by an administrative law
judge pursuant to chapter 14. The decision of the
administrative law judge shall include findings of fact,
conclusions of law and appropriate orders, which shall be the
final decision of the commissioner. In the event of
noncompliance with a cease and desist order, the commissioner
may institute a proceeding in district court to obtain
injunctive or other appropriate relief.
(e) A managed care plan, participating health care
provider, or an employer or insurer that receives services from
the managed care plan, shall cooperate fully with an
investigation by the commissioner. For purposes of this
section, cooperation includes, but is not limited to, attending
a conference called by the commissioner under paragraph (c),
responding fully and promptly to any questions relating to the
subject of the investigation, and providing copies of records,
reports, logs, data, and other information requested by the
commissioner to assist in the investigation.
(f) Any person acting on behalf of a managed care plan who
knowingly submits false information in any report required to be
filed by a managed care plan is guilty of a misdemeanor.
Sec. 10. Minnesota Statutes 2000, section 176.138, is
amended to read:
176.138 [MEDICAL DATA; ACCESS.]
(a) Notwithstanding any other state laws related to the
privacy of medical data or any private agreements to the
contrary, the release in writing, by telephone discussion, or
otherwise of medical data related to a current claim for
compensation under this chapter to the employee, employer, or
insurer who are parties to the claim, or to the department of
labor and industry, shall not require prior approval of any
party to the claim. This section does not preclude the release
of medical data under section 175.10 or 176.231, subdivision 9.
Requests for pertinent data shall be made, and the date of
discussions with medical providers about medical data shall be
confirmed, in writing to the person or organization that
collected or currently possesses the data. Written medical data
that exists at the time the request is made shall be provided by
the collector or possessor within seven working days of
receiving the request. Nonwritten medical data may be provided,
but is not required to be provided, by the collector or
possessor. In all cases of a request for the data or discussion
with a medical provider about the data, except when it is the
employee who is making the request, the employee shall be sent
written notification of the request by the party requesting the
data at the same time the request is made or a written
confirmation of the discussion. This data shall be treated as
private data by the party who requests or receives the data and
the party receiving the data shall provide the employee or the
employee's attorney with a copy of all data requested by the
requester.
(b) Medical data which is not directly related to a current
injury or disability shall not be released without prior
authorization of the employee.
(c) The commissioner may impose a penalty of up to $600
payable to the commissioner for deposit in the assigned risk
safety account against a party who does not timely release data
as required in this section. A party who does not treat this
data as private pursuant to this section is guilty of a
misdemeanor. This paragraph applies only to written medical
data which exists at the time the request is made.
(d) Workers' compensation insurers and self-insured
employers may, for the sole purpose of identifying duplicate
billings submitted to more than one insurer, disclose to health
insurers, including all insurers writing insurance described in
section 60A.06, subdivision 1, clause (5)(a), nonprofit health
service plan corporations subject to chapter 62C, health
maintenance organizations subject to chapter 62D, and joint
self-insurance employee health plans subject to chapter 62H,
computerized information about dates, coded items, and charges
for medical treatment of employees and other medical billing
information submitted to them by an employee, employer, health
care provider, or other insurer in connection with a current
claim for compensation under this chapter, without prior
approval of any party to the claim. The data may not be used by
the health insurer for any other purpose whatsoever and must be
destroyed after verification that there has been no duplicative
billing. Any person who is the subject of the data which is
used in a manner not allowed by this paragraph has a cause of
action for actual damages and punitive damages for a minimum of
$5,000.
Sec. 11. Minnesota Statutes 2000, section 176.1812,
subdivision 6, is amended to read:
Subd. 6. [PILOT PROGRAM.] The commissioner shall establish
a pilot program ending December 31, 2001 2004, in which up
to ten 20 private and up to ten 20 public employers shall be
authorized to enter into valid agreements under this section
with their employees. The agreements shall be recognized and
enforced as provided by this section. Employers shall
participate in the pilot program through collectively bargained
agreements with the certified and exclusive representatives of
their employees and without regard to the dollar insurance
premium limitations in subdivision 1. A group of employers
engaged in workers' compensation group self-insurance complying
with chapter 79A, or a group of employers who purchase workers'
compensation insurance as a group, may not participate in any
pilot program under this subdivision.
Sec. 12. Minnesota Statutes 2000, section 176.191,
subdivision 1a, is amended to read:
Subd. 1a. [EQUITABLE APPORTIONMENT.] Equitable
apportionment of liability for an injury under this chapter is
not allowed except that apportionment among employers and
insurers is allowed in a settlement agreement filed pursuant to
section 176.521, and an employer or insurer may request
equitable apportionment of liability for workers' compensation
benefits among employer and insurers by arbitration pursuant to
subdivision 5. For purposes of this subdivision, the term
"equitable apportionment of liability" shall include all
attempts to obtain contribution and/or reimbursement from other
employers or insurers. To the same extent limited by this
subdivision, contribution and reimbursement actions based on
equitable apportionment are not allowed under this chapter. If
the insurers choose to arbitrate apportionment, contribution, or
reimbursement issues pursuant to subdivision 5, the arbitration
proceeding is for the limited purpose of apportioning liability
for workers' compensation benefits payable among employers and
insurers. This subdivision applies without regard to whether
one or more of the injuries results from cumulative trauma or a
specific injury, but does not apply to an occupational disease.
In the case of an occupational disease, section 176.66 applies.
In the arbitration of equitable apportionment under subdivision
5, the parties and the arbitrator must be guided by general
rules of arbitrator selection and presumptive apportionment
among employers and insurers that are developed and approved by
the commissioner of the department of labor and industry.
Apportionment against preexisting disability is allowed only for
permanent partial disability as provided in section 176.101,
subdivision 4a. Nothing in this subdivision shall be
interpreted to repeal or in any way affect the law with respect
to special compensation fund statutory liability or benefits.
Sec. 13. Minnesota Statutes 2000, section 176.192, is
amended to read:
176.192 [BOMB DISPOSAL UNIT EMPLOYEES.]
For purposes of this chapter, a member of a bomb disposal
unit approved by the commissioner of public safety and employed
by a municipality defined in section 466.01, is considered an
employee of the department of public safety solely for the
purposes of this chapter when disposing of or neutralizing bombs
or other similar hazardous explosives, as defined in section
299C.063, for another municipality or otherwise outside the
jurisdiction of the employer-municipality but within the state.
Sec. 14. Minnesota Statutes 2000, section 176.194,
subdivision 4, is amended to read:
Subd. 4. [PENALTIES.] The penalties for violations of
subdivision 3, clauses (1) through (6), are as follows:
1st through 5th violation
of each paragraph written warning
6th through 10th violation $3,000 per
of each paragraph violation
in excess of five
11 or more violations $6,000 per violation
of each paragraph in excess of ten
For violations of subdivision 3, clauses (7) and (8), the
penalties are:
1st through 5th violation
of each paragraph $3,000 per violation
6 or more violations $6,000 per violation
of each paragraph in excess of five
The penalties under this section may be imposed in addition
to other penalties under this chapter that might apply for the
same violation. The penalties under this section are assessed
by the commissioner and are payable to the commissioner for
deposit in the assigned risk safety account. A party may object
to the penalty and request a formal hearing under section
176.85. If an entity has more than 30 violations within any
12-month period, in addition to the monetary penalties provided,
the commissioner may refer the matter to the commissioner of
commerce with recommendation for suspension or revocation of the
entity's (a) license to write workers' compensation insurance;
(b) license to administer claims on behalf of a self-insured,
the assigned risk plan, or the Minnesota insurance guaranty
association; (c) authority to self-insure; or (d) license to
adjust claims. The commissioner of commerce shall follow the
procedures specified in section 176.195.
Sec. 15. Minnesota Statutes 2000, section 176.221,
subdivision 1, is amended to read:
Subdivision 1. [COMMENCEMENT OF PAYMENT.] Within 14 days
of notice to or knowledge by the employer of an injury
compensable under this chapter the payment of temporary total
compensation shall commence. Within 14 days of notice to or
knowledge by an employer of a new period of temporary total
disability which is caused by an old injury compensable under
this chapter, the payment of temporary total compensation shall
commence; provided that the employer or insurer may file for an
extension with the commissioner within this 14-day period, in
which case the compensation need not commence within the 14-day
period but shall commence no later than 30 days from the date of
the notice to or knowledge by the employer of the new period of
disability. Commencement of payment by an employer or insurer
does not waive any rights to any defense the employer has on any
claim or incident either with respect to the compensability of
the claim under this chapter or the amount of the compensation
due. Where there are multiple employers, the first employer
shall pay, unless it is shown that the injury has arisen out of
employment with the second or subsequent employer. Liability
for compensation under this chapter may be denied by the
employer or insurer by giving the employee written notice of the
denial of liability. If liability is denied for an injury which
is required to be reported to the commissioner under section
176.231, subdivision 1, the denial of liability must be filed
with the commissioner and served on the employee within 14 days
after notice to or knowledge by the employer of an injury which
is alleged to be compensable under this chapter. If the
employer or insurer has commenced payment of compensation under
this subdivision but determines within 60 days of notice to or
knowledge by the employer of the injury that the disability is
not a result of a personal injury, payment of compensation may
be terminated upon the filing of a notice of denial of liability
within 60 days of notice or knowledge. After the 60-day period,
payment may be terminated only by the filing of a notice as
provided under section 176.239. Upon the termination, payments
made may be recovered by the employer if the commissioner or
compensation judge finds that the employee's claim of work
related disability was not made in good faith. A notice of
denial of liability must state in detail the facts forming the
basis for the denial and specific reasons explaining why the
claimed injury or occupational disease was determined not to be
within the scope and course of employment and shall include the
name and telephone number of the person making this
determination.
Sec. 16. Minnesota Statutes 2000, section 176.221,
subdivision 3, is amended to read:
Subd. 3. [PENALTY.] If the employer or insurer does not
begin payment of compensation within the time limit prescribed
under subdivision 1 or 8, the commissioner may assess a penalty,
payable to the commissioner for deposit in the assigned risk
safety account, which shall be a percentage of the amount of
compensation to which the employee is entitled to receive up to
the date compensation payment is made.
The amount of penalty shall be determined as follows:
Numbers of days late Penalty
1 - 15 30 percent of
compensation due,
not to exceed $500,
16 - 30 55 percent of
compensation due,
not to exceed $1,500,
31 - 60 80 percent of
compensation due,
not to exceed $3,500,
61 or more 105 percent of
compensation due,
not to exceed $5,000.
The penalty under this section is in addition to any
penalty otherwise provided by statute.
Sec. 17. Minnesota Statutes 2000, section 176.221,
subdivision 3a, is amended to read:
Subd. 3a. [PENALTY.] In lieu of any other penalty under
this section, the commissioner may assess a penalty of up to
$2,000 payable to the commissioner for deposit in the assigned
risk safety account for each instance in which an employer or
insurer does not pay benefits or file a notice of denial of
liability within the time limits prescribed under this section.
Sec. 18. Minnesota Statutes 2000, section 176.221,
subdivision 6, is amended to read:
Subd. 6. [ASSESSMENT OF PENALTIES.] The division or
compensation judge shall assess the penalty payments provided
for by subdivision 3 or 3a and any increase in benefit payments
provided by section 176.225, subdivision 5, against the insurer.
The insurer is liable for a penalty payment assessed against it
even if the delay is attributable to the employer.
An insurer who has paid a penalty under this section may
recover from the employer the portion of the penalty
attributable to the acts of the employer which resulted in the
delay. A penalty paid by an insurer under this section which is
attributable to the fault of the employer shall be treated as a
loss in an experience rated plan, retrospective rating plan, or
dividend calculation where appropriate.
Sec. 19. Minnesota Statutes 2000, section 176.231,
subdivision 2, is amended to read:
Subd. 2. [INITIAL REPORT, WRITTEN REPORT.] Where
subdivision 1 requires an injury to be reported within 48 hours,
the employer may make an initial report by telephone, telegraph,
or personal notice, and file a written report of the injury
within seven days from its occurrence or within such time as the
commissioner of labor and industry designates. All written
reports of injuries required by subdivision 1 shall include the
date of injury, amounts of payments made, if any, and the date
of the first payment. The reports shall be on a form designed
by the commissioner, with a clear copy suitable for imaging to
the commissioner, one copy to the insurer, and one copy to the
employee.
The employer must give the employee the "Minnesota Workers'
Compensation System Employee Information Sheet" at the time the
employee is given a copy of the first report of injury.
If an insurer or self-insurer repeatedly fails to pay
benefits within three days of the due date, pursuant to section
176.221, the insurer or self-insurer shall be ordered by the
commissioner to explain, in person, the failure to pay benefits
due in a reasonable time. If prompt payments are not thereafter
made, the commissioner shall refer the insurer or self-insurer
to the commissioner of commerce for action pursuant to section
176.225, subdivision 4.
Sec. 20. Minnesota Statutes 2000, section 176.231,
subdivision 6, is amended to read:
Subd. 6. [COMMISSIONER OF THE DEPARTMENT OF LABOR AND
INDUSTRY; DUTY TO KEEP INFORMED.] The commissioner of the
department of labor and industry shall keep fully informed of
the nature and extent of all injuries compensable under this
chapter, their resultant disabilities, and of the rights of
employees to compensation. The insurer or self-insured employer
must keep the department advised of all payments of
compensation, the amounts of payments made, and the date of the
first payment. Where a physician or surgeon has examined,
treated, or has special knowledge relating to an injury which
may be compensable under this chapter, the commissioner of the
department of labor and industry or any member or employee
thereof shall request in writing a report from such person of
the attendant facts.
Sec. 21. Minnesota Statutes 2000, section 176.231,
subdivision 10, is amended to read:
Subd. 10. [FAILURE TO FILE REQUIRED REPORT, PENALTY.] If
an employer, insurer, physician, chiropractor, or other health
provider fails to file with the commissioner any report required
by this section in the manner and within the time limitations
prescribed, or otherwise fails to provide a report required by
this section in the manner provided by this section, the
commissioner may impose a penalty of up to $500 for each failure.
The imposition of a penalty may be appealed to a
compensation judge within 30 days of notice of the penalty.
Penalties collected by the state under this subdivision
shall be paid payable to the commissioner for deposit into the
assigned risk safety account.
Sec. 22. Minnesota Statutes 2000, section 176.238,
subdivision 10, is amended to read:
Subd. 10. [FINES; VIOLATION.] An employer who violates
requirements set forth in this section or section 176.239 is
subject to a fine of up to $1,000 for each violation payable to
the commissioner for deposit in the special compensation fund.
Sec. 23. [REPEALER.]
Minnesota Statutes 2000, section 176.445, is repealed.
Sec. 24. [EFFECTIVE DATE.]
Section 23 is effective the day following final enactment.
Presented to the governor May 16, 2001
Signed by the governor May 18, 2001, 12:20 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes