Senate Bill 2196
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 1999 SB 2196
By Senator Thomas
3-1309-99
1 A bill to be entitled
2 An act relating to workers' compensation;
3 amending s. 440.49, F.S.; deleting the
4 prohibition against the administrator
5 contracted to review claims of the Special
6 Disability Trust Fund and the qualified entity
7 assuming obligations of the fund being
8 affiliates of one another or having agreements;
9 providing an effective date.
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11 Be It Enacted by the Legislature of the State of Florida:
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13 Section 1. Paragraph (b) of subsection (13) of section
14 440.49, Florida Statutes, 1998 Supplement, is amended to read:
15 440.49 Limitation of liability for subsequent injury
16 through Special Disability Trust Fund.--
17 (13) SPECIAL DISABILITY TRUST FUND PRIVATIZATION
18 COMMISSION.--
19 (b) Consistent with the closing of the fund provided
20 in subsection (11), the Special Disability Trust Fund
21 Privatization Commission is authorized to contract with an
22 administrator to review, allow, deny, compromise, controvert,
23 and litigate claims of the Special Disability Trust Fund under
24 this section. The commission, in consultation with the
25 division, is authorized to contract with a qualified entity to
26 assume the reimbursement obligations of the Special Disability
27 Trust Fund for claims which have previously been accepted for
28 reimbursement by the Special Disability Trust Fund and claims
29 which are determined to be reimbursable by the Special
30 Disability Trust Fund. The qualified entity and the
31 administrator shall not be affiliates of the other, and shall
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CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 1999 SB 2196
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1 not establish or maintain a financial or contractual agreement
2 with each other for purposes of this section. On or before
3 July 1, 1999, the commission, in consultation with the
4 division, may develop and issue a request for proposal for the
5 transfer and assumption of liabilities, and administration of
6 certain functions related to claims of the Special Disability
7 Trust Fund. The administrator shall have experience in
8 workers' compensation claims management of sufficient scope
9 and size to undertake the duties and responsibilities of this
10 section and shall demonstrate the ability to meet the criteria
11 established by the commission, which shall include the ability
12 to substantially reduce the overall costs of reviewing and
13 reimbursing claims, and to settle and extinguish the
14 liabilities of the Special Disability Trust Fund in a more
15 cost-efficient and more timely manner than presently provided
16 by the division. In the event liabilities on the Special
17 Disabilities Trust Fund are transferred to and assumed by a
18 qualified entity, such entity shall provide the state with
19 financial assurance as to the satisfaction of any such
20 liabilities or claims and the state and the Special Disability
21 Trust Fund shall have no further liability with respect to
22 those liabilities and claims. The financial assurances may
23 include, but are not limited to, cash reserves, reinsurance,
24 guarantees, or letters of credit.
25 Section 2. This act shall take effect upon becoming a
26 law.
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CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 1999 SB 2196
3-1309-99
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2 SENATE SUMMARY
3 Deletes the prohibition against the administrator that
contracts with the Special Disability Trust Fund
4 Privatization Commission to review, allow, deny,
compromise, controvert, or litigate claims of the fund
5 being affiliated with or a participant in a financial or
contractual agreement with the qualified entity that
6 contracts with the commission to assume certain
obligations of the fund.
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