L.R. NO. 2994-01
BILL NO. SB 641
SUBJECT: Workers' Compensation: Second Injury Fund
TYPE: Original
DATE: January 18, 2000
Net Effect on All State Funds
FUND AFFECTED
FY 2001
FY 2002
FY 2003 None
$0
$0
$0
Total Estimated
$0
$0
$0
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 3 pages.
ASSUMPTION
Officials from the Department of Labor and Industrial Relations, Department of Transportation and the Department of Insurance assume this proposal would not fiscally impact their agencies.
Officials of the Office of the Attorney General (AGO) estimated they would request additional staff (i.e., 5 assistant attorney generals, 1 paralegal and 2 secretaries). The AGO assumes that the proposal would mainly affect partial disability claims filed against the Second Injury Fund (SIF). If SIF cases were allowed to be submitted on medical reports cases previously settled or dismissed would be taken to hearing, resulting in an additional 800 to 1,200 cases. Along with this increase appeals would increase. In order to adequately defend these cases, SIF attorneys would have to cross-examine the claimant's doctor. Costs are estimated at $381,415 in FY01; $384,752 in FY02; and $394,867 in FY03.
The Attorney General's Office also estimated a loss to the Second Injury Fund of $5.0 million annually, due to an increase in claims.
Based on an Oversight Subcommittee decision on March 30, 1998, the financial impact of this proposal is assumed to be zero.
FISCAL IMPACT - State Government FY 2000 FY 2001 FY 2002
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Local Government FY 2000 FY 2001 FY 2002
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Small Business
No direct fiscal impact to small businesses would be expected as a result of this proposal.
DESCRIPTION
The proposal would require an injured employee to submit to a reasonable medical examination at the request of the state if the claim is a second injury fund claim. The proposal would also allow certain medical reports into evidence in second injury fund cases. The current subsection 7 of Section 287.210, RSMo, allows testimony by a treating or examining physician, introduction of medical reports, physician interrogatories and other records. The second injury fund is currently excluded from the applicability of subsection 7.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Labor and Industrial Relations
Department of Insurance
Department of Transportation
Office of Attorney General
Jeanne Jarrett, CPA
Director
January 18, 2000