Bill Summary for Bill Number SB09-243

Date: 03/11/2009

Final
BILL SUMMARY for SB09-243

SENATE COMMITTEE ON BUSINESS, LABOR AND TECHNOLOGY

Votes: View-->	Action Taken:
Moved prepared Amendment L.001 (Attachment A). Th Moved to refer Senate Bill 09-243, as amended, to	Pass Without Objection PASS

01:47 PM -- Senate Bill 09-243

Senator Boyd presented Senate Bill 09-243. The bill makes changes to workers' compensation insurance benefit procedures. The fee schedule for payment of benefits is extended to services delivered after any final order, final admission, or full or partial settlement of a claim. When determining the maximum amount of temporary and permanent partial disability payments a claimant is eligible to receive, the claimant's mental impairment rating must be combined with the physical impairment rating. Finally, payment for health care services is authorized for claims that are found to be compensable after initially being denied. Senator Boyd distributed prepared Amendment L.001 (Attachment A).

The following individuals testified:

01:53 PM -- James Buck and John Berry, representing the Workers' Compensation Coalition, testified in opposition to the bill. Mr. Buck discussed current procedures pertaining to workers' compensation insurance benefits. He stated that medical impairment claims are the easiest claims to falsify and are difficult to prove. He noted that, in general, there are fewer mental health claims now than in the past. He discussed the changes made by the bill, and predicted that mental health claims would rise if the bill were to pass. He said that increased mental health claims would increase litigation needs and would therefore increase costs.

02:03 PM

Senator Foster discussed her experience with workers' compensation claimants. She stated that mental impairment is harder to measure than physical impairment and that mental illnesses should be treated with caution and respect. Mr. Buck clarified that he was not opposed to treatment for deserving claimants, but added that the present law does not deny benefits to those who are entitled to them.

02:07 PM

Senator Veiga discussed the current law pertaining to mental impairment claims. Mr. Buck stated that the current law recognized the inherent problems in quantifying and validating mental health claims. Discussion continued between Senator Veiga and Mr. Buck. Senator Harvey made additional comments regarding mental health claimants who are denied the ability to receive additional benefits. He asked Mr. Buck to suggest an alternative procedure to rate claimants who have multiple impairments. Mr. Buck explained the current procedure for determining workers' compensation benefits. Discussion continued between Senator Harvey and Mr. Buck. Mr. Buck said that the workers' compensation system is not necessarily a fair system, and suggested that a better way to fix the system would be to extend the time period in which mental health claimants are provided.

02:20 PM

Senator Veiga discussed the argument that the bill would result in an increase in mental impairment claims. Buck agreed that a legitimate injury would be a prerequisite for any type of rating, but reiterated that mental health impairments are harder to quantify. Mr. Buck stated that true mental impairment claims have always been in the system, but the bill may result in increased mental impairment claims that would not otherwise have been reported. Senator Foster described mental health impairments that can be treated and evaluated.

02:25 PM

Senator Scheffel asked for clarification on the limits applicable to impairment claims. Mr. Buck explained the range of ratings for physical and mental impairments.

02:28 PM

Mr. Berry discussed past legislation concerning mental impairment benefits. He discussed language in the bill that would change the existing standard for medical treatment. He added that he had been authorized to state that Tony Gagliardi, the Colorado State Director for the National Federation of Independent Businesses, was opposed to the bill. Senator Tochtrop, Mr. Berry, and Senator Boyd discussed language in Amendment L.001 that addressed one of Mr. Berry's concerns.

02:32 PM -- Bob Summers, the Director of the Division of Workers' Compensation within the Colorado Department of Labor and Employment, testified regarding the bill. He stated that the division is neutral on the bill and offered to answer questions. He described concerns regarding certain sections of the bill.

02:35 PM -- Janet Frickey, representing the Workers' Compensation Education Association (WCEA), testified in favor of the bill. She discussed her experience on the Medical Care Accreditation Board. She stated that the type of case that would be addressed by the bill is very limited in scope. She discussed the training a doctor is required to complete in order to provide an impairment rating.

02:40 PM -- Dan O'Neil, representing Pinnacol Insurance, testified in favor of the bill. He stated that the number of claimants who would be affected would be small, and added that such claimants would be helped by the bill. Mr. O'Neil responded to Senator Harvey's request to address Mr. Berry's concerns regarding the language of the bill. He also responded to a question from Senator Scheffel concerning whether the bill would increase the number of impairment claims. Discussion continued between Mr. O'Neil, Senator Scheffel, and Senator Harvey regarding increased premium costs.

02:43 PM -- Doug Kotarek, representing the Colorado Self-Insurers' Association, testified in favor of the bill.

02:45 PM -- John Sbarbaro, representing the WCEA, testified in favor of the bill. He stated that the bill was fundamentally fair.

02:48 PM -- Robert Ferm, representing the American Insurance Association and the National Council on Compensation Insurance (NCCI), testified regarding the bill. He discussed pricing information that the NCCI would soon make available.

02:50 PM -- Paula Rhoads, representing herself, testified regarding the bill. She discussed her experience as the victim of a traumatic brain injury suffered while on the job. She stated that she would be in favor of any legislation that would help individuals in a situation similar to her own.

02:55 PM -- Sheryle Hutter, representing herself, testified in favor of the bill.

02:56 PM

Senator Boyd provided closing remarks. Senator Heath made additional comments.


BILL:	SB09-243
TIME:	02:57:07 PM
MOVED:	Tochtrop
MOTION:	Moved prepared Amendment L.001 (Attachment A). The motion passed without objection.
SECONDED:
		VOTE
	Foster
	Harvey
	Mitchell
	Scheffel
	Tochtrop
	Heath
	Veiga

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

02:57 PM

Senator Mitchell and Senator Scheffel discussed their positions on the bill.


BILL:	SB09-243
TIME:	02:57:49 PM
MOVED:	Tochtrop
MOTION:	Moved to refer Senate Bill 09-243, as amended, to the Committee on Appropriations. The motion passed on a 4-3 roll call vote.
SECONDED:
		VOTE
	Foster	Yes
	Harvey	No
	Mitchell	No
	Scheffel	No
	Tochtrop	Yes
	Heath	Yes
	Veiga	Yes

Final YES: 4 NO: 3 EXC: 0 ABS: 0 FINAL ACTION: PASS