Senate Bill sb1926
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Florida Senate - 2001 SB 1926
By Senator King
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1 A bill to be entitled
2 An act relating to workers' compensation;
3 amending s. 440.02, F.S.; revising a monetary
4 limit in the definition of the term "casual";
5 excluding work done by state prisoners and
6 county inmates from the definition of
7 employment; amending s. 440.09, F.S.; excluding
8 employees covered under the Defense Base Act
9 from payment of benefits; amending s. 440.12,
10 F.S.; providing for electronic payment of
11 compensation payments; amending s. 440.13,
12 F.S.; revising requirements for submission of
13 certain medical reports and bills; granting
14 rehabilitation providers access to medical
15 records; revising provider eligibility
16 requirements; amending s. 440.14, F.S.;
17 requiring the employee to provide information
18 concerning concurrent employment; amending s.
19 440.185, F.S.; authorizing the division to
20 contract with a private entity for collection
21 of certain policy information; providing
22 application; amending s. 440.192, F.S.;
23 revising requirements and procedures for filing
24 petitions for benefits; permitting judges to
25 dismiss portions of a petition; specifying that
26 dismissal of petitions is without prejudice;
27 amending grounds for dismissal; redesignating
28 the notice of denial as the "response to
29 petition"; amending s. 440.20, F.S.; providing
30 for payment of compensation by direct deposit
31 under certain circumstances; authorizing not
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1 holding a hearing under certain circumstances;
2 revising the period for payment; revising
3 lump-sum settlement requirements; amending s.
4 440.22, F.S.; excluding child support and
5 alimony claims from general exemption of
6 workers' compensation benefits from claims of
7 creditors; amending s. 440.25, F.S.; revising
8 mediation procedures; removing the division's
9 participation in indigency proceedings;
10 amending s. 440.271, F.S.; requiring the First
11 District Court of Appeal to establish a
12 specialized division to hear workers'
13 compensation cases; amending s. 440.34, F.S.;
14 providing for a response to petition; amending
15 s. 440.38, F.S.; providing for the type of
16 qualifying security deposit necessary to become
17 a self-insured employer; providing
18 requirements, procedures, and criteria;
19 conforming cross-references; amending s.
20 440.345, F.S.; revising reporting requirements;
21 amending s. 440.44, F.S.; revising record
22 requirements; amending s. 440.45, F.S.;
23 revising reporting requirements; requiring the
24 judicial nominating commission to consider
25 whether judges of compensation claims have met
26 certain requirements; providing procedures;
27 authorizing the Governor to appoint certain
28 judges of compensation claims; amending s.
29 440.59, F.S., eliminating injury report;
30 revising reporting requirements; amending s.
31 440.593, F.S., providing enforcement authority
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1 relating to electronic reporting; amending s.
2 61.14, F.S.; requiring judges of compensation
3 claims to consider the interests of the worker
4 and the worker's family when approving
5 settlements of workers' compensation claims;
6 requiring appropriate recovery of any
7 child-support arrearage from those settlements;
8 amending s. 61.30, F.S.; providing that gross
9 income includes all workers' compensation
10 benefits and settlements; amending ss. 489.114,
11 489.510, F.S.; providing an exception to
12 certain workers' compensation coverage evidence
13 requirements; amending ss. 489.115, 489.515,
14 F.S.; revising certification and registration
15 requirements for initial licensure; amending s.
16 627.311, F.S.; providing for use of
17 policyholder surplus for purposes of funding
18 certain deficits; amending s. 627.914, F.S.;
19 revising the requirements for reports of
20 information by workers' compensation insurers;
21 deleting a reporting requirement for the
22 Division of Workers' Compensation; repealing s.
23 440.45(3), F.S., relating to judges of
24 compensation claims serving as docketing
25 judges; repealing s. 440.49(13), F.S., relating
26 to the Special Disability Trust Fund
27 Privatization Commission; providing effective
28 dates.
29
30 Be It Enacted by the Legislature of the State of Florida:
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1 Section 1. Subsection (4) and paragraph (c) of
2 subsection (16) of section 440.02, Florida Statutes, are
3 amended to read:
4 440.02 Definitions.--When used in this chapter, unless
5 the context clearly requires otherwise, the following terms
6 shall have the following meanings:
7 (4) "Casual" as used in this section refers shall be
8 taken to refer only to employments for when the work that is
9 anticipated contemplated is to be completed in not exceeding
10 10 working days or less, without regard to the number of
11 persons employed, and at a when the total labor cost of such
12 work is less than $500 $100.
13 (16)
14 (c) "Employment" does not include service performed by
15 or as:
16 1. Domestic servants in private homes.
17 2. Agricultural labor performed on a farm in the
18 employ of a bona fide farmer, or association of farmers, that
19 who employs 5 or fewer regular employees and that who employs
20 fewer than 12 other employees at one time for seasonal
21 agricultural labor that is completed in less than 30 days,
22 provided such seasonal employment does not exceed 45 days in
23 the same calendar year. The term "farm" includes stock, dairy,
24 poultry, fruit, fur-bearing animals, fish, and truck farms,
25 ranches, nurseries, and orchards. The term "agricultural
26 labor" includes field foremen, timekeepers, checkers, and
27 other farm labor supervisory personnel.
28 3. Professional athletes, such as professional boxers,
29 wrestlers, baseball, football, basketball, hockey, polo,
30 tennis, jai alai, and similar players, and motorsports teams
31 competing in a motor racing event as defined in s. 549.08.
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1 4. Labor under a sentence of a court to perform
2 community services as provided in s. 316.193.
3 5. State prisoners or county inmates except those
4 performing services for private employers or those enumerated
5 in s. 948.03(8)(a).
6 Section 2. Subsection (2) of section 440.09, Florida
7 Statutes, is amended to read:
8 440.09 Coverage.--
9 (2) Benefits are not payable in respect of the
10 disability or death of any employee covered by the Federal
11 Employer's Liability Act, the Longshoremen's and Harbor
12 Worker's Compensation Act, the Defense Base Act, or the Jones
13 Act.
14 Section 3. Subsection (1) of section 440.12, Florida
15 Statutes, is amended to read:
16 440.12 Time for commencement and limits on weekly rate
17 of compensation.--
18 (1) No compensation shall be allowed for the first 7
19 days of the disability, except benefits provided for in s.
20 440.13. However, if the injury results in disability of more
21 than 21 days, compensation shall be allowed from the
22 commencement of the disability. All weekly compensation
23 payments, except for the first payment, shall be paid by check
24 or, if authorized by the employee, deposited directly into the
25 employee's account at a financial institution. As used in this
26 subsection, the term "financial institution," means a
27 financial institution as defined in s. 655.005(1)(h).
28 Section 4. Paragraph (a) of subsection (3) and
29 paragraphs (b) and (c) of subsection (4) of section 440.13,
30 Florida Statutes, are amended to read:
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1 440.13 Medical services and supplies; penalty for
2 violations; limitations.--
3 (3) PROVIDER ELIGIBILITY; AUTHORIZATION.--
4 (a) As a condition to eligibility for payment under
5 this chapter, a health care provider who renders services must
6 be a certified health care provider and must receive
7 authorization from the carrier before providing treatment.
8 This paragraph does not apply to emergency care. The division
9 shall adopt rules to implement the certification of health
10 care providers. As a one-time prerequisite to obtaining
11 certification, the division shall require each physician to
12 demonstrate proof of completion of a minimum 5-hour course
13 that covers the subject areas of cost containment, utilization
14 control, ergonomics, and the practice parameters adopted by
15 the division governing the physician's field of practice. The
16 division shall coordinate with the Agency for Health Care
17 Administration, the Florida Medical Association, the Florida
18 Osteopathic Medical Association, the Florida Chiropractic
19 Association, the Florida Podiatric Medical Association, the
20 Florida Optometric Association, the Florida Dental
21 Association, and other health professional organizations and
22 their respective boards as deemed necessary by the Agency for
23 Health Care Administration in complying with this subsection.
24 No later than October 1, 1994, the division shall adopt rules
25 regarding the criteria and procedures for approval of courses
26 and the filing of proof of completion by the physicians.
27 (4) NOTICE OF TREATMENT TO CARRIER; FILING WITH
28 DIVISION.--
29 (b) Upon the request of the Division of Workers'
30 Compensation, each medical report or bill obtained or received
31 by the employer, the carrier, or the injured employee, or the
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1 attorney for the employer, carrier, or injured employee, with
2 respect to the remedial treatment, or care, and attendance of
3 the injured employee, including any report of an examination,
4 diagnosis, or disability evaluation, must be filed with the
5 Division of Workers' Compensation pursuant to rules adopted by
6 the division. The health care provider shall also furnish to
7 the injured employee or to his or her attorney, on demand, a
8 copy of his or her office chart, records, and reports, and may
9 charge the injured employee an amount authorized by the
10 division for the copies. Each such health care provider shall
11 provide to the division any additional information about the
12 remedial treatment, care, and attendance which that the
13 division reasonably requests.
14 (c) It is the policy for the administration of the
15 workers' compensation system that there be reasonable access
16 to medical information by all parties to facilitate the
17 self-executing features of the law. Notwithstanding the
18 limitations in s. 456.057 and subject to the limitations in s.
19 381.004, upon the request of the employer, the carrier, an
20 authorized qualified rehabilitation provider, or the attorney
21 for the employer or carrier either of them, the medical
22 records of an injured employee must be furnished to those
23 persons and the medical condition of the injured employee must
24 be discussed with those persons, if the records and the
25 discussions are restricted to conditions relating to the
26 workplace injury. Any such discussions may be held before or
27 after the filing of a claim without the knowledge, consent, or
28 presence of any other party or his or her agent or
29 representative. A health care provider who willfully refuses
30 to provide medical records or to discuss the medical condition
31 of the injured employee, after a reasonable request is made
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1 for such information pursuant to this subsection, shall be
2 subject by the division to one or more of the penalties set
3 forth in paragraph (8)(b).
4 Section 5. Subsection (5) is added to section 440.14,
5 Florida Statutes, to read:
6 440.14 Determination of pay.--
7 (5)(a) If the lost wages from concurrent employment
8 are used in calculating the average weekly wage, the employee
9 is responsible for providing information concerning the loss
10 of earnings from the concurrent employment.
11 (b) The employee waives any entitlement to interest,
12 penalties, and attorney's fees during the period in which the
13 employee has not provided information concerning the loss of
14 earnings from concurrent employment. Carriers are not subject
15 to penalties by the division under s. 440.20(8)(b) and (c) for
16 unpaid compensation related to concurrent employment during
17 the period in which the employee has not provided information
18 concerning the loss of earnings from concurrent employment.
19 Section 6. Subsection (7) of section 440.185, Florida
20 Statutes, is amended to read:
21 440.185 Notice of injury or death; reports; penalties
22 for violations.--
23 (7) Every carrier shall file with the division within
24 21 days after the issuance of a policy or contract of
25 insurance such policy information as the division requires may
26 require, including notice of whether the policy is a minimum
27 premium policy. Notice of cancellation or expiration of a
28 policy as set out in s. 440.42(3) shall be mailed to the
29 division in accordance with rules adopted promulgated by the
30 division under chapter 120. The division may contract with a
31 private entity for the collection of policy information
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1 required to be filed by carriers under this subsection and the
2 receipt of notices of cancellation or expiration of a policy
3 required to be filed by carriers under s. 440.42(3). The
4 submission of policy information or notices of cancellation or
5 expiration to the contracted private entity satisfies the
6 filing requirements of this subsection and s. 440.42(3).
7 Section 7. Subsections (1), (2), (5), and (8) of
8 section 440.192, Florida Statutes, are amended to read:
9 440.192 Procedure for resolving benefit disputes.--
10 (1) Subject to s. 440.191, any employee who has not
11 received a benefit to which the employee believes she or he is
12 entitled under this chapter shall file by certified mail, or
13 by electronic means approved by the Chief Judge, with the
14 Office of the Judges of Compensation Claims a petition for
15 benefits which meets the requirements of this section. The
16 division shall inform employees of the location of the Office
17 of the Judges of Compensation Claims for purposes of filing a
18 petition for benefits. The employee shall also serve copies
19 of the petition for benefits by certified mail, or by
20 electronic means approved by the Chief Judge, upon the
21 employer and, the employer's carrier, and the division in
22 Tallahassee a petition for benefits that meets the
23 requirements of this section. The division shall refer the
24 petition to the Office of the Judges of Compensation Claims.
25 (2) Upon receipt, the Office of the Judges of
26 Compensation Claims shall review each petition and shall
27 dismiss each petition or any portion of such a petition, upon
28 the judge's its own motion or upon the motion of any party,
29 that does not on its face specifically identify or itemize the
30 following:
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1 (a) Name, address, telephone number, and social
2 security number of the employee.
3 (b) Name, address, and telephone number of the
4 employer.
5 (c) A detailed description of the injury and cause of
6 the injury, including the location of the occurrence and the
7 date or dates of accident.
8 (d) A detailed description of the employee's job, work
9 responsibilities, and work the employee was performing when
10 the injury occurred.
11 (e) The time period for which compensation and the
12 specific classification of compensation were was not timely
13 provided.
14 (f) Date of maximum medical improvement, character of
15 disability, and specific statement of all benefits or
16 compensation that the employee is seeking.
17 (g) All specific travel costs to which the employee
18 believes she or he is entitled, including dates of travel and
19 purpose of travel, means of transportation, and mileage and
20 including the date the request for mileage was filed with the
21 carrier and a copy of the request filed with the carrier.
22 (h) Specific listing of all medical charges alleged
23 unpaid, including the name and address of the medical
24 provider, the amounts due, and the specific dates of
25 treatment.
26 (i) The type or nature of treatment care or attendance
27 sought and the justification for such treatment.
28 (j) Specific explanation of any other disputed issue
29 that a judge of compensation claims will be called to rule
30 upon.
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1 The dismissal of any petition or any portion of such a
2 petition under this section must be without prejudice and does
3 not require a hearing.
4 (5) All motions to dismiss must state with
5 particularity the basis for the motion. The judge of
6 compensation claims shall enter an order upon such motions
7 without hearing, unless good cause for hearing is shown. When
8 any petition or portion of a petition is dismissed for lack of
9 specificity under this subsection, the claimant must be
10 allowed 20 days after the date of the order of dismissal in
11 which to file an amended petition. Any grounds for dismissal
12 for lack of specificity under this section which are not
13 asserted within 30 days after receipt of the petition for
14 benefits are thereby waived.
15 (8) Within 14 days after receipt of a petition for
16 benefits by certified mail, the carrier must either pay the
17 requested benefits without prejudice to its right to deny
18 within 120 days from receipt of the petition or file a
19 response to petition notice of denial with the Office of the
20 Judges of Compensation Claims division. The carrier must list
21 all benefits requested but not paid and explain its
22 justification for nonpayment in the response to petition
23 notice of denial. A carrier that does not deny compensability
24 in accordance with s. 440.20(4) is deemed to have accepted the
25 employee's injuries as compensable, unless it can establish
26 material facts relevant to the issue of compensability that
27 could not have been discovered through reasonable
28 investigation within the 120-day period. The carrier shall
29 provide copies of the response notice to the filing party,
30 employer, and claimant by certified mail.
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1 Section 8. Paragraph (a) of subsection (1), subsection
2 (6), and paragraph (a) of subsection (11) of section 440.20,
3 Florida Statutes, are amended and paragraph (d) is added to
4 subsection (11) of that section, to read:
5 440.20 Time for payment of compensation; penalties for
6 late payment.--
7 (1)(a) Unless it denies compensability or entitlement
8 to benefits, the carrier shall pay compensation directly to
9 the employee as required by ss. 440.14, 440.15, and 440.16, in
10 accordance with the obligations set forth in those such
11 sections. If authorized by the employee, the carrier's
12 obligation to pay compensation directly to the employee is
13 satisfied when the carrier directly deposits, by electronic
14 transfer or other means, compensation into the employee's
15 account at a financial institution. As used in this paragraph,
16 the term "financial institution" means a financial institution
17 as defined in s. 655.005(1)(h). Compensation by direct deposit
18 is considered paid on the date the funds become available for
19 withdrawal by the employee.
20 (6) If any installment of compensation for death or
21 dependency benefits, disability, permanent impairment, or wage
22 loss payable without an award is not paid within 7 days after
23 it becomes due, as provided in subsection (2), subsection (3),
24 or subsection (4), there shall be added to such unpaid
25 installment a punitive penalty of an amount equal to 20
26 percent of the unpaid installment or $5, which shall be paid
27 at the same time as, but in addition to, such installment of
28 compensation, unless notice is filed under subsection (4) or
29 unless such nonpayment results from conditions over which the
30 employer or carrier had no control. When any installment of
31 compensation payable without an award has not been paid within
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1 7 days after it became due and the claimant concludes the
2 prosecution of the claim before a judge of compensation claims
3 without having specifically claimed additional compensation in
4 the nature of a penalty under this section, the claimant will
5 be deemed to have acknowledged that, owing to conditions over
6 which the employer or carrier had no control, such installment
7 could not be paid within the period prescribed for payment and
8 to have waived the right to claim such penalty. However,
9 during the course of a hearing, the judge of compensation
10 claims shall on her or his own motion raise the question of
11 whether such penalty should be awarded or excused. The
12 division may assess without a hearing the punitive penalty
13 against either the employer or the insurance carrier,
14 depending upon who was at fault in causing the delay. The
15 insurance policy cannot provide that this sum will be paid by
16 the carrier if the division or the judge of compensation
17 claims determines that the punitive penalty should be made by
18 the employer rather than the carrier. Any additional
19 installment of compensation paid by the carrier pursuant to
20 this section shall be paid directly to the employee by check
21 or, if authorized by the employee, by direct deposit into the
22 employee's account at a financial institution. As used in this
23 subsection, the term "financial institution" means a financial
24 institution as defined in s. 655.005(1)(h).
25 (11)(a) Upon joint petition of all interested parties,
26 a lump-sum payment in exchange for the employer's or carrier's
27 release from liability for future medical expenses, as well as
28 future payments of compensation expenses and any other
29 benefits provided under this chapter, shall be allowed at any
30 time in any case in which the employer or carrier has filed a
31 written notice of denial within 120 days after the employer
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1 receives notice date of the injury, and the judge of
2 compensation claims at a hearing to consider the settlement
3 proposal finds a justiciable controversy as to legal or
4 medical compensability of the claimed injury or the alleged
5 accident. A judge of compensation claims is not required to
6 hold a hearing if the claimant is represented by an attorney
7 and all parties stipulate that a hearing is unnecessary. The
8 employer or carrier may not pay any attorney's fees on behalf
9 of the claimant for any settlement under this section unless
10 expressly authorized elsewhere in this chapter. Upon the joint
11 petition of all interested parties and after giving due
12 consideration to the interests of all interested parties, the
13 judge of compensation claims may enter a compensation order
14 approving and authorizing the discharge of the liability of
15 the employer for compensation and remedial treatment, care,
16 and attendance, as well as rehabilitation expenses, by the
17 payment of a lump sum. Such a compensation order so entered
18 upon joint petition of all interested parties is not subject
19 to modification or review under s. 440.28. If the settlement
20 proposal together with supporting evidence is not approved by
21 the judge of compensation claims, it shall be considered void.
22 Upon approval of a lump-sum settlement under this subsection,
23 the judge of compensation claims shall send a report to the
24 Chief Judge of the amount of the settlement and a statement of
25 the nature of the controversy. The Chief Judge shall keep a
26 record of all such reports filed by each judge of compensation
27 claims and shall submit to the Legislature a summary of all
28 such reports filed under this subsection annually by September
29 15.
30 (d) When reviewing and approving any lump-sum
31 settlement under this subsection, a judge of compensation
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1 claims must consider whether the settlement serves the
2 interests of the worker and the worker's family, including,
3 but not limited to, whether the settlement provides for
4 appropriate recovery of any child-support arrearage.
5 Section 9. Section 440.22, Florida Statutes, is
6 amended to read:
7 440.22 Assignment and exemption from claims of
8 creditors.--No assignment, release, or commutation of
9 compensation or benefits due or payable under this chapter
10 except as provided by this chapter shall be valid, and such
11 compensation and benefits shall be exempt from all claims of
12 creditors, and from levy, execution and attachments or other
13 remedy for recovery or collection of a debt, which exemption
14 may not be waived. However, the exemption of workers'
15 compensation claims from creditors does not extend to claims
16 based on an award of child support or alimony.
17 Section 10. Subsection (1), paragraph (e) of
18 subsection (4), and paragraph (b) of subsection (5) of section
19 440.25, Florida Statutes, are amended to read:
20 440.25 Procedures for mediation and hearings.--
21 (1) Within 21 days after a petition for benefits is
22 filed under s. 440.192, a mediation conference concerning such
23 petition shall be held. Within 7 days after such petition is
24 filed, the judge of compensation claims shall notify the
25 interested parties that a mediation conference concerning such
26 petition will be held. Such notice shall give the date, time,
27 and location of the mediation conference. Such notice may be
28 served personally upon the interested parties or may be sent
29 to the interested parties by mail. The claimant, or the
30 adjuster of the employer or carrier, may, at the mediator's
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1 discretion, attend the mediation conference by telephone or,
2 if agreed to by the parties, other electronic means.
3 (4)
4 (e) The order making an award or rejecting the claim,
5 referred to in this chapter as a "compensation order," shall
6 set forth the findings of ultimate facts and the mandate; and
7 the order need not include any other reason or justification
8 for such mandate. The compensation order shall be filed in the
9 Office of the Judges of Compensation Claims office of the
10 division at Tallahassee. A copy of such compensation order
11 shall be sent by mail to the parties and attorneys of record
12 at the last known address of each, with the date of mailing
13 noted thereon.
14 (5)
15 (b) An appellant may be relieved of any necessary
16 filing fee by filing a verified petition of indigency for
17 approval as provided in s. 57.081(1) and may be relieved in
18 whole or in part from the costs for preparation of the record
19 on appeal if, within 15 days after the date notice of the
20 estimated costs for the preparation is served, the appellant
21 files with the judge of compensation claims a copy of the
22 designation of the record on appeal, and a verified petition
23 to be relieved of costs. A verified petition filed prior to
24 the date of service of the notice of the estimated costs shall
25 be deemed not timely filed. The verified petition relating to
26 record costs shall contain a sworn statement that the
27 appellant is insolvent and a complete, detailed, and sworn
28 financial affidavit showing all the appellant's assets,
29 liabilities, and income. Failure to state in the affidavit all
30 assets and income, including marital assets and income, shall
31 be grounds for denying the petition with prejudice. The
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1 division shall promulgate rules as may be required pursuant to
2 this subsection, including forms for use in all petitions
3 brought under this subsection. The appellant's attorney, or
4 the appellant if she or he is not represented by an attorney,
5 shall include as a part of the verified petition relating to
6 record costs an affidavit or affirmation that, in her or his
7 opinion, the notice of appeal was filed in good faith and that
8 there is a probable basis for the District Court of Appeal,
9 First District, to find reversible error, and shall state with
10 particularity the specific legal and factual grounds for the
11 opinion. Failure to so affirm shall be grounds for denying the
12 petition. A copy of the verified petition relating to record
13 costs shall be served upon all interested parties, including
14 the division and the Office of the General Counsel, Department
15 of Labor and Employment Security, in Tallahassee. The judge of
16 compensation claims shall promptly conduct a hearing on the
17 verified petition relating to record costs, giving at least 15
18 days' notice to the appellant, the division, and all other
19 interested parties, all of whom shall be parties to the
20 proceedings. The judge of compensation claims may enter an
21 order without such hearing if no objection is filed by an
22 interested party within 20 days from the service date of the
23 verified petition relating to record costs. Such proceedings
24 shall be conducted in accordance with the provisions of this
25 section and with the workers' compensation rules of procedure,
26 to the extent applicable. In the event an insolvency petition
27 is granted, the judge of compensation claims shall direct the
28 division to pay record costs and filing fees from the Workers'
29 Compensation Trust Fund pending final disposition of the costs
30 of appeal. The division may transcribe or arrange for the
31 transcription of the record in any proceeding for which it is
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1 ordered to pay the cost of the record. In the event the
2 insolvency petition is denied, the judge of compensation
3 claims may enter an order requiring the petitioner to
4 reimburse the division for costs incurred in opposing the
5 petition, including investigation and travel expenses.
6 Section 11. Section 440.271, Florida Statutes, is
7 amended to read:
8 440.271 Appeal of order of judge of compensation
9 claims.--Review of any order of a judge of compensation claims
10 entered pursuant to this chapter shall be by appeal to the
11 District Court of Appeal, First District. To promote
12 consistency and uniformity in the application of this chapter,
13 the District Court of Appeal, First District, shall establish
14 a specialized division to hear all appeals of orders of judges
15 of compensation claims. The court may structure the division
16 to hear workers' compensation cases exclusively or in addition
17 to other appeals. Appeals shall be filed in accordance with
18 rules of procedure prescribed by the Supreme Court for review
19 of such orders. The division shall be given notice of any
20 proceedings pertaining to s. 440.25, regarding indigency, or
21 s. 440.49, regarding the Special Disability Trust Fund, and
22 shall have the right to intervene in any proceedings.
23 Section 12. Subsection (3) of section 440.34, Florida
24 Statutes, is amended to read:
25 440.34 Attorney's fees; costs.--
26 (3) If the claimant should prevail in any proceedings
27 before a judge of compensation claims or court, there shall be
28 taxed against the employer the reasonable costs of such
29 proceedings, not to include the attorney's fees of the
30 claimant. A claimant shall be responsible for the payment of
31 her or his own attorney's fees, except that a claimant shall
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1 be entitled to recover a reasonable attorney's fee from a
2 carrier or employer:
3 (a) Against whom she or he successfully asserts a
4 claim for medical benefits only, if the claimant has not filed
5 or is not entitled to file at such time a claim for
6 disability, permanent impairment, wage-loss, or death
7 benefits, arising out of the same accident; or
8 (b) In any case in which the employer or carrier files
9 a notice of denial or a response to petition with the division
10 and the injured person has employed an attorney in the
11 successful prosecution of the claim; or
12 (c) In a proceeding in which a carrier or employer
13 denies that an injury occurred for which compensation benefits
14 are payable, and the claimant prevails on the issue of
15 compensability; or
16 (d) In cases where the claimant successfully prevails
17 in proceedings filed under s. 440.24 or s. 440.28.
18
19 In applying the factors set forth in subsection (1) to cases
20 arising under paragraphs (a), (b), (c), and (d), the judge of
21 compensation claims must only consider only such benefits and
22 the time reasonably spent in obtaining them as were secured
23 for the claimant within the scope of paragraphs (a), (b), (c),
24 and (d).
25 Section 13. Section 440.345, Florida Statutes, is
26 amended to read:
27 440.345 Reporting of attorney's fees.--All fees paid
28 to attorneys for services rendered under this chapter shall be
29 reported to the Office of the Judges of Compensation Claims
30 division as the Office of the Judges of Compensation Claims
31 division requires by rule. The Office of the Judges of
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1 Compensation Claims division shall annually summarize such
2 data in a report to the Workers' Compensation Oversight Board.
3 Section 14. Subsection (1) of section 440.38, Florida
4 Statutes, is amended to read:
5 440.38 Security for compensation; insurance carriers
6 and self-insurers.--
7 (1) Every employer shall secure the payment of
8 compensation under this chapter:
9 (a) By insuring and keeping insured the payment of
10 such compensation with any stock company or mutual company or
11 association or exchange, authorized to do business in the
12 state;
13 (b) By furnishing satisfactory proof to the division
14 of its financial ability to pay such compensation individually
15 and on behalf of its subsidiary and affiliated companies with
16 employees in this state and receiving an authorization from
17 the division to pay such compensation directly in accordance
18 with the following provisions:
19 1. The division may, as a condition to such
20 authorization, require an such employer to deposit with in a
21 depository designated by the division a qualifying security
22 deposit. The division shall determine the type and amount of
23 the qualifying security deposit and shall either an indemnity
24 bond or securities, at the option of the employer, of a kind
25 and in an amount determined by the division and subject to
26 such conditions as the division may prescribe conditions for
27 the qualifying security deposit, which shall include
28 authorization for to the division to call the qualifying
29 security deposit in the case of default to sell any such
30 securities sufficient to pay compensation awards or to bring
31 suit upon such bonds, to procure prompt payment of
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1 compensation under this chapter. In addition, the division
2 shall require, as a condition to authorization to self-insure,
3 proof that the employer has provided for competent personnel
4 with whom to deliver benefits and to provide a safe working
5 environment. Further, the division shall require such
6 employer to carry reinsurance at levels that will ensure the
7 actuarial soundness of such employer in accordance with rules
8 promulgated by the division. The division may by rule require
9 that, in the event of an individual self-insurer's insolvency,
10 such qualifying security deposits indemnity bonds, securities,
11 and reinsurance policies are shall be payable to the Florida
12 Self-Insurers Guaranty Association, Incorporated, created
13 pursuant to s. 440.385. Any employer securing compensation in
14 accordance with the provisions of this paragraph shall be
15 known as a self-insurer and shall be classed as a carrier of
16 her or his own insurance.
17 2. If the employer fails to maintain the foregoing
18 requirements, the division shall revoke the employer's
19 authority to self-insure, unless the employer provides to the
20 division the certified opinion of an independent actuary who
21 is a member of the American Society of Actuaries as to the
22 actuarial present value of the employer's determined and
23 estimated future compensation payments based on cash reserves,
24 using a 4-percent discount rate, and a qualifying security
25 deposit equal to 1.5 times the value so certified. The
26 employer shall thereafter annually provide such a certified
27 opinion until such time as the employer meets the requirements
28 of subparagraph 1. The qualifying security deposit shall be
29 adjusted at the time of each such annual report. Upon the
30 failure of the employer to timely provide such opinion or to
31 timely provide a security deposit in an amount equal to 1.5
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1 times the value certified in the latest opinion, the division
2 shall then revoke such employer's authorization to
3 self-insure, and such failure shall be deemed to constitute an
4 immediate serious danger to the public health, safety, or
5 welfare sufficient to justify the summary suspension of the
6 employer's authorization to self-insure pursuant to s. 120.68.
7 3. Upon the suspension or revocation of the employer's
8 authorization to self-insure, the employer shall provide to
9 the division and to the Florida Self-Insurers Guaranty
10 Association, Incorporated, created pursuant to s. 440.385 the
11 certified opinion of an independent actuary who is a member of
12 the American Society of Actuaries of the actuarial present
13 value of the determined and estimated future compensation
14 payments of the employer for claims incurred while the member
15 exercised the privilege of self-insurance, using a discount
16 rate of 4 percent. The employer shall provide such an opinion
17 at 6-month intervals thereafter until such time as the latest
18 opinion shows no remaining value of claims. With each such
19 opinion, the employer shall deposit with the division a
20 qualifying security deposit in an amount equal to the value
21 certified by the actuary. The association has a cause of
22 action against an employer, and against any successor of the
23 employer, who fails to timely provide such opinion or who
24 fails to timely maintain the required security deposit with
25 the division. The association shall recover a judgment in the
26 amount of the actuarial present value of the determined and
27 estimated future compensation payments of the employer for
28 claims incurred while the employer exercised the privilege of
29 self-insurance, together with attorney's fees. For purposes
30 of this section, the successor of an employer means any
31 person, business entity, or group of persons or business
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1 entities, which holds or acquires legal or beneficial title to
2 the majority of the assets or the majority of the shares of
3 the employer.
4 4. A qualifying security deposit shall consist, at the
5 option of the employer, of:
6 a. Surety bonds, in a form and containing such terms
7 as prescribed by the division, issued by a corporation surety
8 authorized to transact surety business by the Department of
9 Insurance, and whose policyholders' and financial ratings, as
10 reported in A.M. Best's Insurance Reports, Property-Liability,
11 are not less than "A" and "V", respectively.
12 b. Certificates of deposit with financial
13 institutions, the deposits of which are insured through the
14 Federal Deposit Insurance Corporation or the Federal Savings
15 and Loan Insurance Corporation.
16 b.c. Irrevocable letters of credit in favor of the
17 division issued by financial institutions located within this
18 state, the deposits of which are insured through the Federal
19 Deposit Insurance Corporation described in sub-subparagraph b.
20 d. Direct obligations of the United States Treasury
21 backed by the full faith and credit of the United States.
22 e. Securities issued by this state and backed by the
23 full faith and credit of this state.
24 5. The qualifying security deposit shall be held by
25 the division, or by a depository authorized by the division,
26 exclusively for the benefit of workers' compensation
27 claimants. The security shall not be subject to assignment,
28 execution, attachment, or any legal process whatsoever, except
29 as necessary to guarantee the payment of compensation under
30 this chapter. No surety bond may be terminated, and no letter
31 of credit other qualifying security may be allowed to expire
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1 lapse, without 90 days' prior notice to the division and
2 deposit by the self-insuring employer of some other qualifying
3 security deposit of equal value within 10 business days after
4 such notice. Failure to provide such notice or failure to
5 timely provide qualifying replacement security after such
6 notice shall constitute grounds for the division to call or
7 sue upon the surety bond, or to act with respect to other
8 pledged security in any manner necessary to preserve its value
9 for the purposes intended by this section, including the
10 exercise its of rights under a letter of credit. Current
11 self-insured employers must comply with this section on or
12 before December 31, 2001, or upon the maturity of existing
13 security deposits, whichever occurs later, the sale of any
14 security at then prevailing market rates, or the withdrawal of
15 any funds represented by any certificate of deposit forming
16 part of the qualifying security deposit. The division may
17 specify by rule the amount of the qualifying security deposit
18 required prior to authorizing an employer to self-insure and
19 the amount of net worth required for an employer to qualify
20 for authorization to self-insure;
21 (c) By entering into a contract with a public utility
22 under an approved utility-provided self-insurance program as
23 set forth in s. 624.46225 s. 440.571 in effect as of July 1,
24 1983. The division shall adopt rules to implement this
25 paragraph;
26 (d) By entering into an interlocal agreement with
27 other local governmental entities to create a local government
28 pool pursuant to s. 624.4622;
29 (e) In accordance with s. 440.135, an employer, other
30 than a local government unit, may elect coverage under the
31 Workers' Compensation Law and retain the benefit of the
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1 exclusiveness of liability provided in s. 440.11 by obtaining
2 a 24-hour health insurance policy from an authorized property
3 and casualty insurance carrier or an authorized life and
4 health insurance carrier, or by participating in a fully or
5 partially self-insured 24-hour health plan that is established
6 or maintained by or for two or more employers, so long as the
7 law of this state is not preempted by the Employee Retirement
8 Income Security Act of 1974, Pub. L. No. 93-406, or any
9 amendment to that law, which policy or plan must provide, for
10 at least occupational injuries and illnesses, medical benefits
11 that are comparable to those required by this chapter. A local
12 government unit, as a single employer, in accordance with s.
13 440.135, may participate in the 24-hour health insurance
14 coverage plan referenced in this paragraph. Disputes and
15 remedies arising under policies issued under this section are
16 governed by the terms and conditions of the policies and under
17 the applicable provisions of the Florida Insurance Code and
18 rules adopted under the insurance code and other applicable
19 laws of this state. The 24-hour health insurance policy may
20 provide for health care by a health maintenance organization
21 or a preferred provider organization. The premium for such
22 24-hour health insurance policy shall be paid entirely by the
23 employer. The 24-hour health insurance policy may use
24 deductibles and coinsurance provisions that require the
25 employee to pay a portion of the actual medical care received
26 by the employee. If an employer obtains a 24-hour health
27 insurance policy or self-insured plan to secure payment of
28 compensation as to medical benefits, the employer must also
29 obtain an insurance policy or policies that provide indemnity
30 benefits as follows:
31
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1 1. If indemnity benefits are provided only for
2 occupational-related disability, such benefits must be
3 comparable to those required by this chapter.
4 2. If indemnity benefits are provided for both
5 occupational-related and nonoccupational-related disability,
6 such benefits must be comparable to those required by this
7 chapter, except that they must be based on 60 percent of the
8 average weekly wages.
9 3. The employer shall provide for each of its
10 employees life insurance with a death benefit of $100,000.
11 4. Policies providing coverage under this subsection
12 must use prescribed and acceptable underwriting standards,
13 forms, and policies approved by the Department of Insurance.
14 If any insurance policy that provides coverage under this
15 section is canceled, terminated, or nonrenewed for any reason,
16 the cancellation, termination, or nonrenewal is ineffective
17 until the self-insured employer or insurance carrier or
18 carriers notify the division and the Department of Insurance
19 of the cancellation, termination, or nonrenewal, and until the
20 division has actually received the notification. The division
21 must be notified of replacement coverage under a workers'
22 compensation and employer's liability insurance policy or plan
23 by the employer prior to the effective date of the
24 cancellation, termination, or nonrenewal; or
25 (f) By entering into a contract with an individual
26 self-insurer under an approved individual
27 self-insurer-provided self-insurance program as set forth in
28 s. 624.46225. The division may adopt rules to administer
29 implement this subsection.
30 Section 15. Subsections (6) and (7) of section 440.44,
31 Florida Statutes, are amended to read:
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1 440.44 Workers' compensation; staff organization.--
2 (6) SEAL.--The division, the judges of compensation
3 claims, and the Chief Judge shall have a seal upon which shall
4 be inscribed the words "State of Florida Department of
5 Insurance--Seal" and "Division of Administrative
6 Hearings--Seal." "State of Florida Department of Labor and
7 Employment Security--Seal."
8 (7) DESTRUCTION OF OBSOLETE RECORDS.--The division is
9 expressly authorized to provide by regulation for and to
10 destroy obsolete records of the division and commission. The
11 Division of Administrative Hearings is expressly authorized to
12 provide by regulation for and to destroy records of the Office
13 of the Judges of Compensation Claims.
14 Section 16. Subsections (2), (4), (5), and (6) of
15 section 440.45, Florida Statutes, are amended to read:
16 440.45 Office of the Judges of Compensation Claims.--
17 (2)(a) The Governor shall appoint full-time judges of
18 compensation claims to conduct proceedings as required by this
19 chapter or other law. No person may be nominated to serve as a
20 judge of compensation claims unless he or she has been a
21 member of The Florida Bar in good standing and is
22 knowledgeable in the practice of law of workers' compensation.
23 No judge of compensation claims shall engage in the private
24 practice of law during a term of office.
25 (b) Except as provided in paragraph (c), the Governor
26 shall appoint a judge of compensation claims from a list of
27 three persons nominated by a statewide nominating commission.
28 The statewide nominating commission shall be composed of the
29 following:
30 1. Five members, at least one of whom must be a member
31 of a minority group as defined in s. 288.703(3), one of each
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1 who resides in each of the territorial jurisdictions of the
2 district courts of appeal, appointed by the Board of Governors
3 of The Florida Bar from among The Florida Bar members who are
4 engaged in the practice of law. On July 1, 1999, the term of
5 office of each person appointed by the Board of Governors of
6 The Florida Bar to the commission expires. The Board of
7 Governors shall appoint members who reside in the odd-numbered
8 district court of appeal jurisdictions to 4-year terms each,
9 beginning July 1, 1999, and members who reside in the
10 even-numbered district court of appeal jurisdictions to 2-year
11 terms each, beginning July 1, 1999. Thereafter, each member
12 shall be appointed for a 4-year term;
13 2. Five electors, at least one of whom must be a
14 member of a minority group as defined in s. 288.703(3), one of
15 each who resides in each of the territorial jurisdictions of
16 the district courts of appeal, appointed by the Governor. On
17 July 1, 1999, the term of office of each person appointed by
18 the Governor to the commission expires. The Governor shall
19 appoint members who reside in the odd-numbered district court
20 of appeal jurisdictions to 2-year terms each, beginning July
21 1, 1999, and members who reside in the even-numbered district
22 court of appeal jurisdictions to 4-year terms each, beginning
23 July 1, 1999. Thereafter, each member shall be appointed for a
24 4-year term; and
25 3. Five electors, at least one of whom must be a
26 member of a minority group as defined in s. 288.703(3), one of
27 each who resides in the territorial jurisdictions of the
28 district courts of appeal, selected and appointed by a
29 majority vote of the other 10 members of the commission. On
30 October 1, 1999, the term of office of each person appointed
31 to the commission by its other members expires. A majority of
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1 the other members of the commission shall appoint members who
2 reside in the odd-numbered district court of appeal
3 jurisdictions to 2-year terms each, beginning October 1, 1999,
4 and members who reside in the even-numbered district court of
5 appeal jurisdictions to 4-year terms each, beginning October
6 1, 1999. Thereafter, each member shall be appointed for a
7 4-year term.
8
9 A vacancy occurring on the commission shall be filled by the
10 original appointing authority for the unexpired balance of the
11 term. No attorney who appears before any judge of compensation
12 claims more than four times a year is eligible to serve on the
13 statewide nominating commission. The meetings and
14 determinations of the nominating commission as to the judges
15 of compensation claims shall be open to the public.
16 (c) Each judge of compensation claims shall be
17 appointed for a term of 4 years, but during the term of office
18 may be removed by the Governor for cause. Prior to the
19 expiration of a judge's term of office, the statewide
20 nominating commission shall review the judge's conduct and
21 determine whether the judge's performance is satisfactory.
22 Effective July 1, 2002, in determining whether a judge's
23 performance is satisfactory, the commission shall consider the
24 extent to which the judge has met the requirements of this
25 chapter, including, but not limited to, the requirements of
26 ss. 440.192(2), 440.25(1), 440.25(4)(a)-(f), 440.34(2), and
27 440.442. If the commission finds that judges generally are
28 unable to meet a particular statutory requirement for reasons
29 beyond their control, the commission shall request the
30 Legislature to review that particular requirement. If the
31 judge's performance is deemed satisfactory, the commission
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1 shall report its finding to the Governor no later than 6
2 months prior to the expiration of the judge's term of office.
3 The Governor shall review the commission's report and may
4 reappoint the judge for an additional 4-year term. If the
5 Governor does not reappoint the judge, the Governor shall
6 inform the commission. The judge shall remain in office until
7 the Governor has appointed a successor judge in accordance
8 with paragraphs (a) and (b). If a vacancy occurs during a
9 judge's unexpired term, the statewide nominating commission
10 does not find the judge's performance is satisfactory, or the
11 Governor does not reappoint the judge, the Governor shall
12 appoint a successor judge for a term of 4 years in accordance
13 with paragraph (b).
14 (d) The Governor may appoint any attorney who has at
15 least 5 years of experience in the practice of law in this
16 state to serve as a judge of compensation claims pro hac vice
17 in the absence or disqualification of any full-time judge of
18 compensation claims or to serve temporarily as an additional
19 judge of compensation claims in any area of the state in which
20 the Governor determines that a need exists for such an
21 additional judge. However, an attorney who is so appointed by
22 the Governor may not serve for a period of more than 120
23 successive days.
24 (4) The Chief Judge shall have the discretion to
25 require mediation and to designate qualified persons to act as
26 mediators in any dispute pending before the judges of
27 compensation claims and the division. The Chief Judge shall
28 coordinate with the Director of the Division of Workers'
29 Compensation to establish a mandatory mediation program to
30 facilitate early and efficient resolution of disputes arising
31
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1 under this chapter and to establish training and continuing
2 education for new and sitting judges.
3 (5) The Office of the Judges of Compensation Claims
4 shall adopt promulgate rules to effect the purposes of this
5 section. Such rules shall include procedural rules applicable
6 to workers' compensation claim resolution and uniform criteria
7 for measuring the performance of the office, including, but
8 not limited to, the number of cases assigned and disposed, the
9 age of pending and disposed cases, timeliness of
10 decisionmaking, extraordinary fee awards, and the data
11 necessary for the judicial nominating commission to review the
12 performance of judges as required in paragraph (2)(c) and
13 other performance indicators. The workers' compensation rules
14 of procedure approved by the Supreme Court shall apply until
15 the rules adopted promulgated by the Office of the Judges of
16 Compensation Claims pursuant to this section become effective.
17 (6) Not later than December 1 of each year, the Office
18 of the Judges of Compensation Claims and the Division of
19 Workers' Compensation shall jointly issue a written report to
20 the Governor, the House of Representatives, and the Senate,
21 The Florida Bar, and the statewide nominating commission
22 summarizing the amount, cost, and outcome of all litigation
23 resolved in the previous fiscal prior year, summarizing the
24 disposition of mediation conferences, the number of mediation
25 conferences held, the number of continuances granted for
26 mediations and final hearings, the number and outcome of
27 litigated cases, the amount of attorney's fees paid in each
28 case, and the number of final orders not issued within 30 days
29 after the final hearing or closure of the hearing record
30 applications and motions for mediation conferences and
31
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1 recommending changes or improvements to the dispute resolution
2 elements of the Workers' Compensation Law and regulations.
3 Section 17. Section 440.59, Florida Statutes, is
4 amended to read:
5 440.59 Reporting requirements.--
6 (1) The Department of Labor and Employment Security
7 shall annually prepare a report of the administration of this
8 chapter for the preceding calendar year, including a detailed
9 statement of the receipts of and expenditures from the fund
10 established in s. 440.50 and a statement of the causes of the
11 accidents leading to the injuries for which the awards were
12 made, together with such recommendations as the department
13 considers advisable. On or before September 15 of each year,
14 the department shall submit a copy of the report to the
15 Governor, the President of the Senate, the Speaker of the
16 House of Representatives, the Democratic and Republican
17 Leaders of the Senate and the House of Representatives, and
18 the chairs of the legislative committees having jurisdiction
19 over workers' compensation.
20 (2) The Division of Workers' Compensation of the
21 Department of Labor and Employment Security shall complete on
22 a quarterly basis an analysis of the previous quarter's
23 injuries which resulted in workers' compensation claims. The
24 analysis shall be broken down by risk classification, shall
25 show for each such risk classification the frequency and
26 severity for the various types of injury, and shall include an
27 analysis of the causes of such injuries. The division shall
28 distribute to each employer and self-insurer in the state
29 covered by the Workers' Compensation Law the data relevant to
30 its workforce. The report shall also be distributed to the
31
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1 insurers authorized to write workers' compensation insurance
2 in the state.
3 (2)(3) The division shall annually prepare a closed
4 claim report for all claims for which the employee lost more
5 than 7 days from work and shall submit a copy of the report to
6 the Governor, the President of the Senate, the Speaker of the
7 House of Representatives, the Democratic and Republican
8 Leaders of the Senate and the House of Representatives, and
9 the chairs of the legislative committees having jurisdiction
10 over workers' compensation on or before September 15 of each
11 year. The closed claim report shall include, but not be
12 limited to, an analysis of all claims closed during the
13 preceding year as to the date of accident, age of the injured
14 employee, occupation of the injured employee, type of injury,
15 body part affected, type and duration of indemnity benefits
16 paid, permanent impairment rating, medical benefits identified
17 by type of health care provider, and type and cost of any
18 rehabilitation benefits provided.
19 (3)(4) The division shall prepare an annual report for
20 all claims for which the employee lost more than 7 days from
21 work and shall submit a copy of the report to the Governor,
22 the President of the Senate, the Speaker of the House of
23 Representatives, the Democratic and Republican Leaders of the
24 Senate and the House of Representatives, and the chairs of the
25 legislative committees having jurisdiction over workers'
26 compensation, on or before September 15 of each year. The
27 annual report shall include a status report on all cases
28 involving work-related injuries in the previous 10 years. The
29 annual report shall include, but not be limited to, the number
30 of open and closed cases, the number of cases receiving
31 various types of benefits, the cash and medical benefits paid
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1 between the date of injury and the evaluation date, the number
2 of litigated cases, and the amount of attorney's fees paid in
3 each case.
4 (5) The Chief Judge must prepare an annual report
5 summarizing the disposition of mediation conferences and must
6 submit the report to the Governor, the President of the
7 Senate, the Speaker of the House of Representatives, the
8 Democratic and Republican Leaders of the Senate and the House
9 of Representatives, and the chairs of the legislative
10 committees having jurisdiction over workers' compensation, on
11 or before September 15 of each year.
12 Section 18. Section 440.593, Florida Statutes, is
13 amended to read:
14 440.593 Electronic reporting.--
15 (1) The division may establish by rule an electronic
16 reporting system requiring or authorizing whereby an employer
17 or carrier is required to submit required forms, reports, or
18 other information electronically rather than by other means
19 filing otherwise required forms or reports. The division may
20 by rule establish different deadlines for submitting forms,
21 reports, or reporting information to the division, or to its
22 authorized agent, via the electronic reporting system than are
23 otherwise required when reporting information by other means.
24 (2) The division may require any carrier to submit
25 data electronically, either directly or through a third-party
26 vendor, and may require any carrier or vendor submitting data
27 to the division electronically to be certified by the
28 division. The division may specify performance requirements
29 for any carrier or vendor submitting data electronically.
30 (3) The division may revoke the certification of any
31 carrier or vendor determined by the division to be in
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1 noncompliance with performance standards prescribed by rule
2 for electronic submissions.
3 (4) The division may assess a civil penalty, not to
4 exceed $500 for each violation, as prescribed by rule.
5 (5) The division is authorized to adopt rules
6 necessary to administer this section.
7 Section 19. Subsection (8) of section 61.14, Florida
8 Statutes, is amended to read:
9 61.14 Enforcement and modification of support,
10 maintenance, or alimony agreements or orders.--
11 (8)(a) When reviewing and approving any lump-sum
12 settlement under s. 440.20(11)(a) and (b), a judge of
13 compensation claims must consider whether the settlement
14 serves the interests of the worker and the worker's family,
15 including, but not limited to, whether the settlement provides
16 for appropriate recovery of any child-support arrearage.
17 (b) In accordance with Notwithstanding the provisions
18 of s. 440.22, any compensation due or that may become due an
19 employee under chapter 440 is exempt from garnishment,
20 attachment, execution, and assignment of income, except for
21 the purposes of enforcing child or spousal support
22 obligations.
23 Section 20. Paragraph (a) of subsection (2) of section
24 61.30, Florida Statutes, is amended to read:
25 61.30 Child support guidelines; retroactive child
26 support.--
27 (2) Income shall be determined on a monthly basis for
28 the obligor and for the obligee as follows:
29 (a) Gross income shall include, but is not limited to,
30 the following items:
31 1. Salary or wages.
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1 2. Bonuses, commissions, allowances, overtime, tips,
2 and other similar payments.
3 3. Business income from sources such as
4 self-employment, partnership, close corporations, and
5 independent contracts. "Business income" means gross receipts
6 minus ordinary and necessary expenses required to produce
7 income.
8 4. Disability benefits.
9 5. All worker's compensation benefits and settlements.
10 6. Unemployment compensation.
11 7. Pension, retirement, or annuity payments.
12 8. Social security benefits.
13 9. Spousal support received from a previous marriage
14 or court ordered in the marriage before the court.
15 10. Interest and dividends.
16 11. Rental income, which is gross receipts minus
17 ordinary and necessary expenses required to produce the
18 income.
19 12. Income from royalties, trusts, or estates.
20 13. Reimbursed expenses or in kind payments to the
21 extent that they reduce living expenses.
22 14. Gains derived from dealings in property, unless
23 the gain is nonrecurring.
24 Section 21. Section 489.114, Florida Statutes, is
25 amended to read:
26 489.114 Evidence of workers' compensation
27 coverage.--Except as provided in s. 489.115(5)(d), any person,
28 business organization, or qualifying agent engaged in the
29 business of contracting in this state and certified or
30 registered under this part shall, as a condition precedent to
31 the issuance or renewal of a certificate, registration, or
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1 certificate of authority of the contractor, provide to the
2 Construction Industry Licensing Board, as provided by board
3 rule, evidence of workers' compensation coverage pursuant to
4 chapter 440. In the event that the Division of Workers'
5 Compensation of the Department of Labor and Employment
6 Security receives notice of the cancellation of a policy of
7 workers' compensation insurance insuring a person or entity
8 governed by this section, the Division of Workers'
9 Compensation shall certify and identify all persons or
10 entities by certification or registration license number to
11 the department after verification is made by the Division of
12 Workers' Compensation that such cancellation has occurred or
13 that persons or entities governed by this section are no
14 longer covered by workers' compensation insurance. Such
15 certification and verification by the Division of Workers'
16 Compensation shall result solely from records furnished to the
17 Division of Workers' Compensation by the persons or entities
18 governed by this section. The department shall notify the
19 persons or entities governed by this section who have been
20 determined to be in noncompliance with chapter 440, and the
21 persons or entities notified shall provide certification of
22 compliance with chapter 440 to the department and pay an
23 administrative fine as provided by rule. The failure to
24 maintain workers' compensation coverage as required by law
25 shall be grounds for the board to revoke, suspend, or deny the
26 issuance or renewal of a certificate, registration, or
27 certificate of authority of the contractor under the
28 provisions of s. 489.129.
29 Section 22. Paragraph (d) is added to subsection (5)
30 of section 489.115, Florida Statutes, to read:
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1 489.115 Certification and registration; endorsement;
2 reciprocity; renewals; continuing education.--
3 (5)
4 (d) An applicant for initial issuance of a certificate
5 or registration shall submit, as a prerequisite to qualifying
6 for an exemption from workers' compensation coverage
7 requirements under s. 440.05, an affidavit attesting to the
8 fact that the applicant will obtain an exemption within 30
9 days after the date the initial certificate or registration is
10 issued by the board.
11 Section 23. Section 489.510, Florida Statutes, is
12 amended to read:
13 489.510 Evidence of workers' compensation
14 coverage.--Except as provided in s. 489.515(3)(b), any person,
15 business organization, or qualifying agent engaged in the
16 business of contracting in this state and certified or
17 registered under this part shall, as a condition precedent to
18 the issuance or renewal of a certificate or registration of
19 the contractor, provide to the Electrical Contractors'
20 Licensing Board, as provided by board rule, evidence of
21 workers' compensation coverage pursuant to chapter 440. In
22 the event that the Division of Workers' Compensation of the
23 Department of Labor and Employment Security receives notice of
24 the cancellation of a policy of workers' compensation
25 insurance insuring a person or entity governed by this
26 section, the Division of Workers' Compensation shall certify
27 and identify all persons or entities by certification or
28 registration license number to the department after
29 verification is made by the Division of Workers' Compensation
30 that such cancellation has occurred or that persons or
31 entities governed by this section are no longer covered by
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1 workers' compensation insurance. Such certification and
2 verification by the Division of Workers' Compensation shall
3 result solely from records furnished to the Division of
4 Workers' Compensation by the persons or entities governed by
5 this section. The department shall notify the persons or
6 entities governed by this section who have been determined to
7 be in noncompliance with chapter 440, and the persons or
8 entities notified shall provide certification of compliance
9 with chapter 440 to the department and pay an administrative
10 fine as provided by rule. The failure to maintain workers'
11 compensation coverage as required by law shall be grounds for
12 the board to revoke, suspend, or deny the issuance or renewal
13 of a certificate or registration of the contractor under the
14 provisions of s. 489.533.
15 Section 24. Subsection (3) of section 489.515, Florida
16 Statutes, is amended to read:
17 489.515 Issuance of certificates; registrations.--
18 (3)(a) As a prerequisite to the initial issuance or
19 the renewal of a certificate or registration, the applicant
20 shall submit an affidavit on a form provided by the board
21 attesting to the fact that the applicant has obtained both
22 workers' compensation insurance or an acceptable exemption
23 certificate issued by the department and public liability and
24 property damage insurance for the health, safety, and welfare
25 of the public in amounts determined by rule of the board. The
26 board shall by rule establish a procedure to verify the
27 accuracy of such affidavits based upon a random audit method.
28 (b) An applicant for initial issuance of a certificate
29 or registration shall submit, as a prerequisite to qualifying
30 for an exemption from workers' compensation coverage
31 requirements under s. 440.05, an affidavit attesting to the
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1 fact that the applicant will obtain an exemption within 30
2 days after the date the initial certificate or registration is
3 issued by the board.
4 Section 25. Paragraph (p) of subsection (4) of section
5 627.311, Florida Statutes, is amended to read:
6 627.311 Joint underwriters and joint reinsurers.--
7 (4)
8 (p) Neither the plan nor any member of the board of
9 governors is liable for monetary damages to any person for any
10 statement, vote, decision, or failure to act, regarding the
11 management or policies of the plan, unless:
12 1. The member breached or failed to perform her or his
13 duties as a member; and
14 2. The member's breach of, or failure to perform,
15 duties constitutes:
16 a. A violation of the criminal law, unless the member
17 had reasonable cause to believe her or his conduct was not
18 unlawful. A judgment or other final adjudication against a
19 member in any criminal proceeding for violation of the
20 criminal law estops that member from contesting the fact that
21 her or his breach, or failure to perform, constitutes a
22 violation of the criminal law; but does not estop the member
23 from establishing that she or he had reasonable cause to
24 believe that her or his conduct was lawful or had no
25 reasonable cause to believe that her or his conduct was
26 unlawful;
27 b. A transaction from which the member derived an
28 improper personal benefit, either directly or indirectly; or
29 c. Recklessness or any act or omission that was
30 committed in bad faith or with malicious purpose or in a
31 manner exhibiting wanton and willful disregard of human
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1 rights, safety, or property. For purposes of this
2 sub-subparagraph, the term "recklessness" means the acting, or
3 omission to act, in conscious disregard of a risk:
4 (I) Known, or so obvious that it should have been
5 known, to the member; and
6 (II) Known to the member, or so obvious that it should
7 have been known, to be so great as to make it highly probable
8 that harm would follow from such act or omission.
9 Section 26. Effective July 1, 2001, section 627.914,
10 Florida Statutes, is amended to read:
11 627.914 Reports of information by workers'
12 compensation insurers required.--
13 (1) The department shall adopt promulgate rules and
14 statistical plans that must which shall thereafter be used by
15 each insurer and self-insurance fund as defined in s. 624.461
16 in the recording and reporting of loss, expense, and claims
17 experience, in order that the experience of all insurers and
18 self-insurance funds self-insurers may be made available at
19 least annually in such form and detail as may be necessary to
20 aid the department in determining whether Florida experience
21 for workers' compensation insurance is sufficient for
22 establishing rates.
23 (2) Any insurer authorized to write a policy of
24 workers' compensation insurance shall transmit the following
25 information to the department each year with its annual
26 report, and such information shall be reported on a net basis
27 with respect to reinsurance for nationwide experience and on a
28 direct basis for Florida experience:
29 (a) Premiums written;
30 (b) Premiums earned;
31 (c) Dividends paid or credited to policyholders;
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1 (d) Losses paid;
2 (e) Allocated loss adjustment expenses;
3 (f) The ratio of allocated loss adjustment expenses to
4 losses paid;
5 (g) Unallocated loss adjustment expenses;
6 (h) The ratio of unallocated loss adjustment expenses
7 to losses paid;
8 (i) The total of losses paid and unallocated and
9 allocated loss adjustment expenses;
10 (j) The ratio of losses paid and unallocated and
11 allocated loss adjustment expenses to premiums earned;
12 (k) The number of claims outstanding as of December 31
13 of each year;
14 (l) The total amount of losses unpaid as of December
15 31 of each year;
16 (m) The total amount of allocated and unallocated loss
17 adjustment expenses unpaid as of December 31 of each year; and
18 (n) The total of losses paid and allocated loss
19 adjustment expenses and unallocated loss adjustment expenses,
20 plus the total of losses unpaid as of December 31 of each year
21 and loss adjustment expenses unpaid as of December 31 of each
22 year.
23 (3) A report of the information required in subsection
24 (2) shall be filed no later than April 1 of each year and
25 shall include the information for the preceding year ending
26 December 31. All reports shall be on a calendar-accident year
27 basis, and each calendar-accident year shall be reported at
28 eight stages of development.
29 (2)(4) Each insurer and self-insurance fund authorized
30 to write a policy of workers' compensation insurance shall
31 transmit the information for paragraphs (a), (b), (c), (d),
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1 and (e) annually on both Florida experience and nationwide
2 experience separately:
3 (a) Payrolls by classification.
4 (b) Manual premiums by classification.
5 (c) Standard premiums by classification.
6 (d) Losses by classification and injury type.
7 (e) Expenses.
8
9 A report of this information shall be filed no later than July
10 April 1 of each year. All reports shall be filed in
11 accordance with standard reporting procedures for insurers,
12 which procedures have received approval by the department, and
13 shall contain data for the most recent policy period
14 available. A statistical or rating organization may be used
15 by insurers and self-insurance funds to report the data
16 required by this section. The statistical or rating
17 organization shall report each data element in the aggregate
18 only for insurers and self-insurance funds required to report
19 under this section who elect to have the rating organization
20 report on their behalf. Such insurers and self-insurance funds
21 shall be named in the report.
22 (3)(5) Individual self-insurers as defined authorized
23 to transact workers' compensation insurance as provided in s.
24 440.02 shall report only Florida data as prescribed in
25 paragraphs (a) through (e) of subsection (2) (4) to the
26 Division of Workers' Compensation of the Department of Labor
27 and Employment Security.
28 (a) The Division of Workers' Compensation shall
29 publish the dates and forms necessary to enable individual
30 self-insurers to comply with this section.
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1 (b) The Division of Workers' Compensation shall report
2 the information collected under this section to the Department
3 of Insurance in a manner prescribed by the department.
4 (b)(c) A statistical or rating organization may be
5 used by individual self-insurers for the purposes of reporting
6 the data required by this section and calculating experience
7 ratings.
8 (4)(6) The department shall provide a summary of
9 information provided pursuant to subsection subsections (2)
10 and (4) in its annual report.
11 Section 27. Subsection (3) of section 440.45, Florida
12 Statutes, is repealed.
13 Section 28. Effective January 1, 2002, subsection (13)
14 of section 440.49, Florida Statutes, is repealed.
15 Section 29. Except as otherwise expressly provided in
16 this act, this act shall take effect October 1, 2001.
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2 SENATE SUMMARY
3 Revises provisions relating to workers' compensation.
Raises the monetary limit for the total maximum cost of
4 labor provided in the definition of "casual" employment.
Excludes work done by state prisoners and county inmates
5 from the definition of employment. Excludes employees who
are covered under the Defense Base Act from receiving
6 workers' compensation benefits. Provides for the
electronic payment of compensation payments. Revises
7 requirements for submission of certain medical reports
and bills. Grants rehabilitation providers access to
8 medical records. Revises provider eligibility
requirements. Revises the definition of the term
9 "grievance." Requires certain insurers to provide
medically necessary remedial treatment, care, and
10 attendance in certain circumstances. Requires the
employee to provide information concerning concurrent
11 employment. Authorizes the Division of Workers'
Compensation to contract with a private entity for
12 collection of certain policy information. Revises
requirements and procedures for filing petitions for
13 benefits. Allows judges to dismiss portions of a
petition. Specifies that dismissal of petitions is
14 without prejudice. Amends grounds for dismissal.
Redesignates the notice of denial as the "response to
15 petition." Provides for the payment of compensation by
direct deposit in certain circumstances. Authorizes not
16 holding a hearing in certain circumstances. Revises the
period for payment. Revises requirements relating to
17 lump-sum settlements. Excludes child support and alimony
claims from the general exemption of workers'
18 compensation benefits from claims of creditors. Revises
mediation procedures. Removes the division from
19 participation in indigency proceedings. Requires the
First District Court of Appeal to establish a specialized
20 division to hear workers' compensation cases. Provides
for a response to petition. Prescribes the type of
21 qualifying security deposit necessary to become a
self-insured employer. Provides requirements, procedures,
22 and criteria. Revises requirements pertaining to
reporting and records. Requires the judicial nominating
23 commission to consider whether judges of compensation
claims have met certain requirements. Provides
24 procedures. Authorizes the Governor to appoint certain
judges of compensation claims. Eliminates injury reports.
25 Requires judges of compensation claims to consider the
interests of the worker and the worker's family when
26 approving settlements of workers' compensation claims.
Requires appropriate recovery of any child-support
27 arrearage from those settlements. Provides that gross
income includes all workers' compensation benefits and
28 settlements. Provides an exception to certain workers'
compensation coverage evidence requirements. Revises
29 certification and registration requirements for initial
licensure. Provides for the use of policyholder surplus
30 for purposes of funding certain deficits. Revises the
requirements for reports of information by workers'
31 compensation insurers. Deletes a reporting requirement
for the division. Repeals s. 440.45(3), F.S., relating to
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1 judges of compensation claims serving as docketing
judges. Repeals s. 440.49(13), F.S., relating to the
2 Special Disability Trust Fund Privatization Commission.
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