By Armbrister S.B. No. 362
74R5356 PB-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the continuation and functions of the Texas Workers'
1-3 Compensation Commission; providing penalties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 ARTICLE 1. TEXAS WORKERS' COMPENSATION COMMISSION
1-6 SECTION 1.01. Section 401.002, Labor Code, is amended to
1-7 read as follows:
1-8 Sec. 401.002. APPLICATION OF SUNSET ACT. The Texas Workers'
1-9 Compensation Commission is <and the Texas Workers' Compensation
1-10 Research Center are> subject to Chapter 325, Government Code (Texas
1-11 Sunset Act). Unless continued in existence as provided by that
1-12 chapter, the commission is abolished September 1, 2007 <1995, and
1-13 the research center and the legislative oversight committee are
1-14 abolished September 1, 1995>.
1-15 SECTION 1.02. Section 402.001(c), Labor Code, is amended to
1-16 read as follows:
1-17 (c) Three members of the commission must be employers of
1-18 labor and three members of the commission must be wage earners. A
1-19 person is not eligible for appointment as a member of the
1-20 commission if the person provides services subject to regulation by
1-21 the commission or charges fees that are subject to regulation by
1-22 the commission.
1-23 SECTION 1.03. Subchapter A, Chapter 402, Labor Code, is
1-24 amended by adding Section 402.0015 to read as follows:
2-1 Sec. 402.0015. TRAINING PROGRAM FOR COMMISSION MEMBERS. (a)
2-2 Before a member of the commission may assume the member's duties,
2-3 the member must complete the training program established under
2-4 this section.
2-5 (b) A training program established under this section must
2-6 provide information to the member regarding:
2-7 (1) the enabling legislation that created the
2-8 commission;
2-9 (2) the programs operated by the commission;
2-10 (3) the role and functions of the commission;
2-11 (4) the rules of the commission, with an emphasis on
2-12 the rules that relate to disciplinary and investigatory authority;
2-13 (5) the current budget for the commission;
2-14 (6) the results of the most recent formal audit of the
2-15 commission;
2-16 (7) the requirements of:
2-17 (A) the open meetings law, Chapter 551,
2-18 Government Code;
2-19 (B) the open records law, Chapter 552,
2-20 Government Code; and
2-21 (C) the administrative procedure law, Chapter
2-22 2001, Government Code;
2-23 (8) the requirements of the conflict of interest laws
2-24 and other laws relating to public officials; and
2-25 (9) any applicable ethics policies adopted by the
2-26 commission or the Texas Ethics Commission.
2-27 SECTION 1.04. Section 402.003, Labor Code, is amended to
3-1 read as follows:
3-2 Sec. 402.003. EFFECT OF LOBBYING ACTIVITY. A person may not
3-3 serve as a member of the commission or act as the general counsel
3-4 to the commission if the person is required to register as a
3-5 lobbyist under Chapter 305, Government Code, because of the
3-6 person's activities for compensation on behalf of a profession that
3-7 is regulated by or that has fees regulated by the commission <A
3-8 member of the commission may not be a lobbyist required to be
3-9 registered under Chapter 305, Government Code, if the primary
3-10 purpose of the person's employment is to influence the passage of
3-11 legislation>.
3-12 SECTION 1.05. Sections 402.005(a) and (c), Labor Code, are
3-13 amended to read as follows:
3-14 (a) It is a ground for removal from the commission if <that>
3-15 a member:
3-16 (1) does not have at the time of appointment the
3-17 qualifications required for appointment to the commission;
3-18 (2) does not maintain during service on the commission
3-19 the qualifications required for appointment to the commission;
3-20 (3) violates a prohibition established by Section
3-21 402.003 or 402.012;
3-22 (4) cannot <discharge> because of illness or
3-23 incapacity discharge the member's duties for a substantial part of
3-24 the term for which the member is appointed; or
3-25 (5) <(4)> is absent from more than half of the
3-26 regularly scheduled commission meetings that the member is eligible
3-27 to attend during a calendar year <unless the absence is excused by
4-1 a majority vote of the commission>.
4-2 (c) If the executive director of the commission knows that a
4-3 potential ground for removal exists, the executive director shall
4-4 notify the chairman of the commission of the potential ground. The
4-5 chairman shall then notify the governor and the attorney general
4-6 that a potential ground for removal exists. If the potential
4-7 ground for removal involves the chairman, the executive director
4-8 shall notify the next highest officer of the commission, who shall
4-9 notify the governor and the attorney general that a potential
4-10 ground for removal exists.
4-11 SECTION 1.06. Section 402.008(a), Labor Code, is amended to
4-12 read as follows:
4-13 (a) The governor shall designate a member of the commission
4-14 as the chairman of the commission <The commission shall elect one
4-15 of its members> to serve in that capacity <as chairman> for a
4-16 two-year term expiring February 1 of each odd-numbered year. The
4-17 governor shall alternate the chairmanship between the members who
4-18 are employers and the members who are wage earners.
4-19 SECTION 1.07. Subchapter A, Chapter 402, Labor Code, is
4-20 amended by adding Section 402.012 to read as follows:
4-21 Sec. 402.012. CONFLICT OF INTEREST. (a) An officer,
4-22 employee, or paid consultant of a Texas trade association whose
4-23 members provide services subject to regulation by the commission or
4-24 provide services whose fees are subject to regulation by the
4-25 commission may not be a member of the commission or an employee of
4-26 the commission who is exempt from the state's position
4-27 classification plan or is compensated at or above the amount
5-1 prescribed by the General Appropriations Act for step 1, salary
5-2 group 17, of the position classification salary schedule.
5-3 (b) On acceptance of appointment to the commission, an
5-4 appointee who is an officer, employee, or paid consultant of a
5-5 Texas trade association described by Subsection (a) must resign the
5-6 position or terminate the contract with the trade association.
5-7 (c) For the purposes of this section, "Texas trade
5-8 association" means a nonprofit, cooperative, and voluntarily joined
5-9 association of business or professional competitors in this state
5-10 designed to assist its members and its industry or profession in
5-11 dealing with mutual business or professional problems and in
5-12 promoting their common interest. The term does not include a labor
5-13 union or an employees' association.
5-14 SECTION 1.08. Section 402.023, Labor Code, is amended to
5-15 read as follows:
5-16 Sec. 402.023. COMPLAINT INFORMATION. (a) The executive
5-17 director shall keep an information file about each written
5-18 complaint filed with the commission that is unrelated to a specific
5-19 workers' compensation claim. The information must include:
5-20 (1) the date the complaint is received;
5-21 (2) the name of the complainant;
5-22 (3) the subject matter of the complaint;
5-23 (4) a record of all persons contacted in relation to
5-24 the complaint;
5-25 (5) a summary of the results of the review or
5-26 investigation of the complaint; and
5-27 (6) for complaints for which the commission took no
6-1 action, an explanation of the reason the complaint was closed
6-2 without action.
6-3 (b) For each written <The commission shall notify the
6-4 parties to a> complaint that is unrelated to a specific workers'
6-5 compensation claim that the commission has authority to resolve,
6-6 the executive director shall provide to the person filing the
6-7 complaint and the person about whom the complaint is made
6-8 information about the commission's policies and procedures relating
6-9 to complaint investigation and resolution. The commission, <of the
6-10 status of the complaint> at least quarterly and until final
6-11 disposition of the complaint, shall notify those persons about the
6-12 status of the complaint unless the notice would jeopardize an
6-13 undercover investigation.
6-14 SECTION 1.09. Section 402.024, Labor Code, is amended to
6-15 read as follows:
6-16 Sec. 402.024. PUBLIC PARTICIPATION. (a) The commission
6-17 shall develop and implement policies that provide the public with a
6-18 reasonable opportunity to appear before the commission and to speak
6-19 on issues under the general jurisdiction of the commission.
6-20 (b) The commission shall comply with federal and state laws
6-21 related to program and facility accessibility.
6-22 (c) In addition to compliance with Subsection (a), the
6-23 <The> executive director shall prepare and maintain a written plan
6-24 that describes how a person who does not speak English <or who has
6-25 a physical, mental, or developmental disability> may be provided
6-26 reasonable access to the commission's programs and services
6-27 <workers' compensation proceedings>.
7-1 <(c) Section 401.011(16) does not apply to the use of
7-2 "disability" in Subsection (b).>
7-3 SECTION 1.10. Section 402.041, Labor Code, is amended by
7-4 adding Subsection (d) to read as follows:
7-5 (d) The commission shall develop and implement policies that
7-6 clearly separate the policymaking responsibilities of the
7-7 commission and the management responsibilities of the executive
7-8 director and the staff of the commission.
7-9 SECTION 1.11. Section 402.044, Labor Code, is amended to
7-10 read as follows:
7-11 Sec. 402.044. CAREER LADDER; ANNUAL PERFORMANCE EVALUATIONS.
7-12 (a) The executive director shall develop an intra-agency career
7-13 ladder program that addresses opportunities for mobility and
7-14 advancement for employees within the commission. The program shall
7-15 require intra-agency postings of all <nonentry level> positions
7-16 concurrently with any public posting.
7-17 (b) The executive director shall develop a system of annual
7-18 performance evaluations that are based on documented employee
7-19 performance. All merit pay for commission employees must be based
7-20 on the system established under this subsection.
7-21 SECTION 1.12. Section 402.045, Labor Code, is amended to
7-22 read as follows:
7-23 Sec. 402.045. EQUAL EMPLOYMENT OPPORTUNITY POLICY STATEMENT.
7-24 (a) The executive director shall prepare and maintain a written
7-25 policy statement <approved by the commission> to ensure
7-26 implementation of a program of equal employment opportunity under
7-27 which all personnel transactions are made without regard to race,
8-1 color, disability, sex, religion, age, or national origin. The
8-2 policy statement must include:
8-3 (1) personnel policies, including policies related to
8-4 recruitment, evaluation, selection, appointment, training, and
8-5 promotion of personnel that are in compliance with the requirements
8-6 of Chapter 21;
8-7 (2) a comprehensive analysis of the commission work
8-8 force that meets federal and state guidelines <of the commission's
8-9 work force>;
8-10 (3) procedures by which a determination can be made of
8-11 significant underuse in the commission <commission's> work force of
8-12 all persons for whom federal or state guidelines encourage a more
8-13 equitable balance; and
8-14 (4) reasonable methods to appropriately address those
8-15 areas of <significant> underuse <appropriately>.
8-16 (b) A policy statement prepared under this section must:
8-17 (1) cover an annual period;
8-18 (2) be updated <at least> annually; <and>
8-19 (3) be reviewed by the Commission on Human Rights for
8-20 compliance with Subsection (a)(1); and
8-21 (4) be filed with the governor's office.
8-22 (c) The governor's office shall deliver a biennial report to
8-23 the legislature based on the information received under Subsection
8-24 (b) <this section>. The report may be made separately or as part
8-25 of other biennial reports made to the legislature.
8-26 SECTION 1.13. Section 402.068, Labor Code, is amended to
8-27 read as follows:
9-1 Sec. 402.068. DELEGATION OF RIGHTS AND DUTIES <PROHIBITED>.
9-2 Except as expressly provided by this subchapter <Section 402.065>,
9-3 the commission may not delegate rights and duties imposed on it by
9-4 this subchapter.
9-5 SECTION 1.14. Section 402.069, Labor Code, is amended to
9-6 read as follows:
9-7 Sec. 402.069. QUALIFICATIONS AND STANDARDS OF CONDUCT
9-8 INFORMATION. The executive director <commission> shall provide to
9-9 <its> members of the commission and commission employees, as often
9-10 as necessary, information regarding their:
9-11 (1) qualifications for office or employment under this
9-12 subtitle; and
9-13 (2) responsibilities under applicable law relating to
9-14 standards of conduct for state officers or employees.
9-15 SECTION 1.15. Section 402.070, Labor Code, is amended to
9-16 read as follows:
9-17 Sec. 402.070. ANNUAL REPORT. (a) The commission shall
9-18 prepare <file> annually <with the governor and the presiding
9-19 officer of each house of the legislature> a complete and detailed
9-20 written report accounting for all funds received and disbursed by
9-21 the commission during the preceding fiscal year.
9-22 (b) The report required under this section must meet the
9-23 reporting requirements applicable to financial reporting that are
9-24 <be in the form and reported in the time> provided by the General
9-25 Appropriations Act.
9-26 SECTION 1.16. Subchapter D, Chapter 402, Labor Code, is
9-27 amended by adding Section 402.073 to read as follows:
10-1 Sec. 402.073. COOPERATION WITH STATE OFFICE OF
10-2 ADMINISTRATIVE HEARINGS. (a) The commission and the chief
10-3 administrative law judge of the State Office of Administrative
10-4 Hearings by rule shall adopt a memorandum of understanding
10-5 governing administrative procedure law hearings under this subtitle
10-6 conducted by the State Office of Administrative Hearings in the
10-7 manner provided for a contested case hearing under Chapter 2001,
10-8 Government Code (the administrative procedure law).
10-9 (b) In a case in which a hearing is conducted by the State
10-10 Office of Administrative Hearings under Section 411.049, 413.031,
10-11 or 415.034, the administrative law judge who conducts the hearing
10-12 for the State Office of Administrative Hearings shall enter the
10-13 final decision in the case after completion of the hearing.
10-14 (c) In a case in which a hearing is conducted in conjunction
10-15 with Section 402.072, 407.046, or 408.023, and in other cases under
10-16 this subtitle that are not subject to Subsection (b), the
10-17 administrative law judge who conducts the hearing for the State
10-18 Office of Administrative Hearings shall propose a decision to the
10-19 commission for final consideration and decision by the commission.
10-20 SECTION 1.17. Section 402.091(d), Labor Code, is amended to
10-21 read as follows:
10-22 (d) An offense under this section may be prosecuted in a
10-23 court in<:>
10-24 <(1) Travis County; or>
10-25 <(2)> the county where the information was unlawfully
10-26 received, published, disclosed, or distributed.
10-27 SECTION 1.18. Subchapter E, Chapter 402, Labor Code, is
11-1 amended by adding Section 402.092 to read as follows:
11-2 Sec. 402.092. INVESTIGATION FILES CONFIDENTIAL. (a)
11-3 Information maintained in the investigation files of the commission
11-4 is confidential and may not be disclosed except:
11-5 (1) in a criminal proceeding;
11-6 (2) in a hearing conducted by the commission;
11-7 (3) on a judicial determination of good cause; or
11-8 (4) to a governmental agency, political subdivision,
11-9 or regulatory body if the disclosure is necessary or proper for the
11-10 enforcement of the laws of this or another state or of the United
11-11 States.
11-12 (b) Commission investigation files are not open records for
11-13 purposes of Chapter 552, Government Code.
11-14 (c) Information in an investigation file that is information
11-15 in or derived from a claim file, or an employer injury report or
11-16 occupational disease report, is governed by the confidentiality
11-17 provisions relating to that information.
11-18 (d) For purposes of this section, "investigation file" means
11-19 any information compiled or maintained by the commission with
11-20 respect to a commission investigation authorized by law.
11-21 SECTION 1.19. Subchapter E, Chapter 406, Labor Code, is
11-22 amended by adding Section 406.097 to read as follows:
11-23 Sec. 406.097. EXECUTIVE EMPLOYEES OF CERTAIN BUSINESS
11-24 ENTITIES. A sole proprietor, partner, or corporate executive
11-25 officer of a business entity that elects to provide workers'
11-26 compensation insurance coverage is entitled to benefits under that
11-27 coverage as an employee unless the sole proprietor, partner, or
12-1 corporate executive officer is specifically excluded from coverage
12-2 through an endorsement to the insurance policy or certificate of
12-3 authority to self-insure.
12-4 SECTION 1.20. Sections 407.046(b) and (c), Labor Code, are
12-5 amended to read as follows:
12-6 (b) If the commission believes that a ground exists to
12-7 revoke a certificate of authority to self-insure, the commission
12-8 shall refer the matter to the State Office of Administrative
12-9 Hearings. That office shall hold a hearing to determine if the
12-10 certificate should be revoked. The hearing shall be conducted in
12-11 the manner provided for a contested case hearing under Chapter
12-12 2001, Government Code (the administrative procedure law
12-13 <Administrative Procedure and Texas Register Act (Article 6252-13a,
12-14 Vernon's Texas Civil Statutes>).
12-15 (c) The State Office of Administrative Hearings <commission>
12-16 shall notify the certified self-insurer of the hearing and the
12-17 grounds not later than the 30th day before the scheduled hearing
12-18 date.
12-19 SECTION 1.21. Section 407.122, Labor Code, is amended by
12-20 amending Subsections (b) and (c) and by adding Subsection (d) to
12-21 read as follows:
12-22 (b) The board of directors is composed of the following
12-23 voting members:
12-24 (1) three <two> certified self-insurers;
12-25 (2) one commission member representing wage earners;
12-26 (3) one commission member representing employers; and
12-27 (4) <the executive director of the commission; and>
13-1 <(5)> the public counsel of the office of public
13-2 insurance counsel.
13-3 (c) The executive director of the commission and the
13-4 director of the division of self-insurance regulation serve
13-5 <serves> as <a> nonvoting members <member> of the board of
13-6 directors.
13-7 (d) A member of the board of directors or a member of the
13-8 staff of the board of directors is not liable in a civil action for
13-9 an act performed in good faith in the execution of that person's
13-10 powers or duties.
13-11 SECTION 1.22. Section 407.126, Labor Code, is amended to
13-12 read as follows:
13-13 Sec. 407.126. Trust Fund; Fee; SCHEDULE. (a) Each member
13-14 of the association shall be assessed a fee, based on total amount
13-15 of income benefits payments made in this state for the preceding
13-16 reported calendar year, to create, over a period of 10 <five> years
13-17 beginning January 1, 1993, a Texas certified self-insurer guaranty
13-18 trust fund of at least $1 million for the emergency payment of the
13-19 compensation liabilities of an impaired employer. The fund may not
13-20 exceed $2 million.
13-21 (b) The board of directors shall adopt a year-by-year
13-22 schedule of assessments to meet the 10-year funding goal of the
13-23 trust fund.
13-24 (c) The assessment for the first year after an employer is
13-25 issued a certificate of authority to self-insure shall be based on
13-26 the income benefit payments paid by the employer's insurance
13-27 carrier on the employer's policy in the year before the certificate
14-1 was issued.
14-2 (d) <(c)> The board of directors shall administer the trust
14-3 fund in accordance with rules adopted by the commission.
14-4 SECTION 1.23. Section 408.023(b), Labor Code, is amended to
14-5 read as follows:
14-6 (b) The commission shall establish criteria for deleting a
14-7 doctor from the list of approved doctors. The criteria may include
14-8 anything the commission considers relevant, including:
14-9 (1) sanctions of the doctor by the commission for
14-10 violations of Chapter 413 or Chapter 415;
14-11 (2) sanctions by the Medicare or Medicaid program for:
14-12 (A) substandard medical care;
14-13 (B) overcharging; or
14-14 (C) overutilization of medical services;
14-15 (3) evidence from the commission's medical records
14-16 that the doctor's charges, fees, diagnoses, or treatments are
14-17 substantially different from those the commission finds to be fair
14-18 and reasonable; and
14-19 (4) suspension of the doctor's license by the
14-20 appropriate licensing authority.
14-21 SECTION 1.24. Section 408.083, Labor Code, is amended to
14-22 read as follows:
14-23 Sec. 408.083. Termination of Right to Temporary Income,
14-24 Impairment Income, and Supplemental Income Benefits. (a) Except
14-25 as provided by Subsection (b), an <An> employee's eligibility for
14-26 temporary income benefits, impairment income benefits, and
14-27 supplemental income benefits terminates on the expiration of 401
15-1 weeks after the date of injury.
15-2 (b) If an employee incurs an occupational disease, the
15-3 employee's eligibility for temporary income benefits, impairment
15-4 income benefits, and supplemental income benefits terminates on the
15-5 expiration of 401 weeks after the date on which benefits began to
15-6 accrue.
15-7 SECTION 1.25. Section 408.122, Labor Code, is amended to
15-8 read as follows:
15-9 Sec. 408.122. Eligibility for Impairment Income Benefits;
15-10 DESIGNATED DOCTOR. (a) A claimant may not recover impairment
15-11 income benefits unless evidence of impairment based on an objective
15-12 clinical or laboratory finding exists. If the finding of
15-13 impairment is made by a doctor chosen by the claimant and the
15-14 finding is contested, a designated doctor or a doctor selected by
15-15 the insurance carrier must be able to confirm the objective
15-16 clinical or laboratory finding on which the finding of impairment
15-17 is based.
15-18 (b) To be eligible to serve as a designated doctor, a doctor
15-19 must meet specific qualifications, including training in the
15-20 determination of impairment ratings. The executive director shall
15-21 develop qualification standards and administrative policies to
15-22 implement this subsection, and the commission may adopt rules as
15-23 necessary.
15-24 (c) If a dispute exists as to whether the employee has
15-25 reached maximum medical improvement, the commission shall direct
15-26 the employee to be examined by a designated doctor chosen by mutual
15-27 agreement of the parties. If the parties are unable to agree on a
16-1 designated doctor, the commission shall direct the employee to be
16-2 examined by a designated doctor chosen by the commission. The
16-3 designated doctor shall report to the commission. The report of
16-4 the designated doctor has presumptive weight, and the commission
16-5 shall base its determination of whether the employee has reached
16-6 maximum medical improvement on the report unless the great weight
16-7 of the other medical evidence is to the contrary.
16-8 SECTION 1.26. Section 408.125, Labor Code, is amended by
16-9 adding Subsection (f) to read as follows:
16-10 (f) To avoid undue influence on a person selected as a
16-11 designated doctor under this section, only the injured employee or
16-12 an appropriate member of the staff of the commission may
16-13 communicate with the designated doctor about the case regarding the
16-14 injured employee's medical condition or history before the
16-15 examination of the injured employee by the designated doctor.
16-16 After that examination is completed, communication with the
16-17 designated doctor regarding the injured employee's medical
16-18 condition or history may be made only through appropriate
16-19 commission staff members. The designated doctor may initiate
16-20 communication with any doctor who has previously treated or
16-21 examined the injured employee for the work-related injury.
16-22 SECTION 1.27. Section 409.005, Labor Code, is amended to
16-23 read as follows:
16-24 Sec. 409.005. <Employer> Report of Injury; Administrative
16-25 Violation. (a) An employer shall <file a written> report to
16-26 <with> the <commission and the> employer's insurance carrier if:
16-27 (1) an injury results in the absence of an employee of
17-1 that employer from work for more than one day; or
17-2 (2) an employee of the employer notifies that employer
17-3 of an occupational disease under Section 409.001.
17-4 (b) The report under Subsection (a) must be made <mailed or
17-5 delivered to the commission and the insurance carrier> not later
17-6 than the eighth day after:
17-7 (1) the employee's absence from work for more than one
17-8 day due to an injury; or
17-9 (2) the day on which the employer receives notice
17-10 under Section 409.001 that the employee has contracted an
17-11 occupational disease.
17-12 (c) The <A report required under this section may not be
17-13 considered to be an admission by or evidence against an> employer
17-14 shall deliver a written copy of the report under Subsection (a) to
17-15 the injured employee at the time that the report is made to the <or
17-16 an> insurance carrier <in a proceeding before the commission or a
17-17 court in which the facts set out in the report are contradicted by
17-18 the employer or insurance carrier>.
17-19 (d) The insurance carrier shall file the report of the
17-20 injury on behalf of the policyholder. Except as provided by
17-21 Subsection (e), the insurance carrier must electronically file the
17-22 report with the commission not later than the seventh day after the
17-23 date on which the carrier receives the report from the employer.
17-24 (e) The executive director may waive the electronic filing
17-25 requirement under Subsection (d) and allow an insurance carrier to
17-26 mail or deliver the report to the commission not later than the
17-27 seventh day after the date on which the carrier receives the report
18-1 from the employer.
18-2 (f) A report required under this section may not be
18-3 considered to be an admission by or evidence against an employer or
18-4 an insurance carrier in a proceeding before the commission or a
18-5 court in which the facts set out in the report are contradicted by
18-6 the employer or insurance carrier.
18-7 (g) In addition to any information required under Subsection
18-8 (h), the report provided to the injured employee under Subsection
18-9 (c) must contain a summary written in plain language of the
18-10 employee's statutory rights and responsibilities under this
18-11 subtitle.
18-12 (h) <(d)> The commission may adopt rules relating to:
18-13 (1) the information that must be contained in a report
18-14 required under this section, including the summary of rights and
18-15 responsibilities required under Subsection (g); and
18-16 (2) the development and implementation of an
18-17 electronic filing system for injury reports under this section.
18-18 (i) <(e)> An employer and insurance carrier shall file
18-19 subsequent reports as required by commission rule.
18-20 (j) <(f)> A person commits a violation if the person fails
18-21 to comply with this section unless good cause exists. A violation
18-22 under this subsection is a Class D administrative violation.
18-23 SECTION 1.28. Subchapter A, Chapter 409, Labor Code, is
18-24 amended by adding Section 409.013 to read as follows:
18-25 Sec. 409.013. PLAIN LANGUAGE INFORMATION; NOTIFICATION OF
18-26 INJURED WORKER. (a) The commission shall develop information for
18-27 public dissemination about the benefit process and the compensation
19-1 procedures established under this chapter. The information must
19-2 be:
19-3 (1) written in plain language;
19-4 (2) available in English and Spanish; and
19-5 (3) available on request to employers and employees.
19-6 (b) On receipt of a report under Section 409.005, the
19-7 commission shall contact the affected employee by mail or by
19-8 telephone and shall provide the information required under
19-9 Subsection (a) to that employee, together with any other
19-10 information that may be prepared by the commission for public
19-11 dissemination that relates to the employee's situation, such as
19-12 information relating to back injuries or occupational diseases.
19-13 SECTION 1.29. Subchapter C, Chapter 409, Labor Code, is
19-14 amended to read as follows:
19-15 SUBCHAPTER C. OMBUDSMAN PROGRAM
19-16 Sec. 409.041. Ombudsman Program<; ADMINISTRATIVE VIOLATION>.
19-17 (a) The commission shall maintain an ombudsman program as provided
19-18 by this subchapter to assist injured workers and persons claiming
19-19 death benefits in obtaining benefits under this subtitle.
19-20 (b) An ombudsman shall:
19-21 (1) meet with or otherwise provide information to
19-22 injured workers;
19-23 (2) investigate complaints;
19-24 (3) communicate with employers, insurance carriers,
19-25 and health care providers on behalf of injured workers; and
19-26 (4) assist unrepresented claimants, employers, and
19-27 other parties to enable those persons to protect their rights in
20-1 the workers' compensation system.
20-2 Sec. 409.042. DESIGNATION AS OMBUDSMAN; ELIGIBILITY AND
20-3 TRAINING REQUIREMENTS; CONTINUING EDUCATION REQUIREMENTS.
20-4 (a) <(c)> At least one specially qualified employee in each
20-5 commission office shall be designated an ombudsman who shall
20-6 perform the duties under this section as the person's primary
20-7 responsibility.
20-8 (b) To be eligible for designation as an ombudsman, a person
20-9 must:
20-10 (1) demonstrate satisfactory knowledge of the
20-11 requirements of:
20-12 (A) this subtitle and the provisions of Subtitle
20-13 C that relate to claims management;
20-14 (B) other laws relating to workers'
20-15 compensation; and
20-16 (C) rules adopted under this subtitle and the
20-17 laws described under Subdivision (1)(B);
20-18 (2) have demonstrated experience in handling and
20-19 resolving problems for the general public;
20-20 (3) possess strong interpersonal skills; and
20-21 (4) have at least three years of demonstrated
20-22 experience in the field of workers' compensation.
20-23 (c) The commission by rule shall adopt training guidelines
20-24 and continuing education requirements for ombudsmen. Training
20-25 provided under this subsection must:
20-26 (1) include education regarding this subtitle, rules
20-27 adopted under this subtitle, and appeals panel decisions, with
21-1 emphasis on benefits and the dispute resolution process; and
21-2 (2) require an ombudsman undergoing training to be
21-3 observed and monitored by an experienced ombudsman during daily
21-4 activities conducted under this subchapter.
21-5 Sec. 409.043. EMPLOYER NOTIFICATION; ADMINISTRATIVE
21-6 VIOLATION. (a) <(d)> Each employer shall notify its employees of
21-7 the ombudsman program in a manner prescribed by the commission.
21-8 (b) An employer commits a violation if the employer fails to
21-9 comply with this section <subsection>. A violation under this
21-10 section <subsection> is a Class C administrative violation.
21-11 Sec. 409.044 <409.042>. PUBLIC INFORMATION. The commission
21-12 shall widely disseminate information about the ombudsman program.
21-13 SECTION 1.30. Section 411.032, Labor Code, is amended to
21-14 read as follows:
21-15 Sec. 411.032. Employer Injury and Occupational Disease
21-16 Report; ADMINISTRATIVE VIOLATION. (a) An employer shall file with
21-17 the commission a report of each:
21-18 (1) on-the-job injury that results in the employee's
21-19 absence from work for more than one day; and
21-20 (2) occupational disease of which the employer has
21-21 knowledge.
21-22 (b) The commission shall adopt rules and prescribe the form
21-23 and manner of reports filed under this section.
21-24 (c) An employer commits an administrative violation if the
21-25 employer fails to report to the commission as required under
21-26 Subsection (a) unless good cause exists, as determined by the
21-27 commission, for the failure. A violation under this subsection is
22-1 a Class D administrative violation.
22-2 SECTION 1.31. Section 411.034, Labor Code, is amended to
22-3 read as follows:
22-4 Sec. 411.034. Confidentiality Requirement; OFFENSE; PENALTY.
22-5 (a) The identity of an employee in a report filed under Section
22-6 411.032 is confidential and may not be disclosed as part of the job
22-7 safety information system.
22-8 (b) A person commits an offense if the person knowingly,
22-9 intentionally, or recklessly publishes, discloses, or distributes
22-10 information that is confidential under this section to a person not
22-11 authorized to receive the information.
22-12 (c) A person commits an offense if the person knowingly,
22-13 intentionally, or recklessly receives information that is
22-14 confidential under this section and that the person is not
22-15 authorized to receive.
22-16 (d) An offense under this section is a Class A misdemeanor.
22-17 (e) An offense under this section may be prosecuted in a
22-18 court in the county where the information was unlawfully received,
22-19 published, disclosed, or distributed.
22-20 (f) A district court in Travis County has jurisdiction to
22-21 enjoin the use, publication, disclosure, or distribution of
22-22 confidential information under this section.
22-23 SECTION 1.32. Section 411.041(b), Labor Code, is amended to
22-24 read as follows:
22-25 (b) Except as provided by Section 411.0415, an <An> employer
22-26 whose injury frequencies substantially exceed those that may
22-27 reasonably be expected in that employer's business or industry is
23-1 an extra-hazardous employer.
23-2 SECTION 1.33. Subchapter D, Chapter 411, Labor Code, is
23-3 amended by adding Section 411.0415 to read as follows:
23-4 Sec. 411.0415. EXEMPTION FOR CERTAIN EMPLOYERS; HEARING.
23-5 (a) The executive director may exclude from identification as an
23-6 extra-hazardous employer an employer who presents evidence
23-7 satisfactory to the commission that the injury frequencies of the
23-8 employer substantially exceed those that may reasonably be expected
23-9 in that employer's business or industry only because of a fatality
23-10 that:
23-11 (1) occurred because of factors beyond the employer's
23-12 control; or
23-13 (2) was outside the course and scope of the deceased
23-14 individual's employment.
23-15 (b) The commission by rule shall analyze and list fatalities
23-16 that may not be related to the work environment, including:
23-17 (1) heart attacks;
23-18 (2) common diseases of life;
23-19 (3) homicides;
23-20 (4) suicides;
23-21 (5) vehicle accidents involving a third party;
23-22 (6) common carrier accidents; and
23-23 (7) natural events.
23-24 (c) If the commission determines that the case history of
23-25 the employee's fatality indicates that the employer or the work
23-26 environment was the proximate cause of the fatality, the commission
23-27 may request a hearing under Section 411.049. If the hearing
24-1 establishes that the proximate cause of the fatality was a factor
24-2 or factors within the employer's control and was within the course
24-3 and scope of the employment, the commission may require the
24-4 employer to participate in the extra-hazardous employers program if
24-5 that fatality causes the employer to be designated as an
24-6 extra-hazardous employer.
24-7 SECTION 1.34. Section 411.045(a), Labor Code, is amended to
24-8 read as follows:
24-9 (a) Not earlier than six months or later than nine <Six>
24-10 months after the formulation of an accident prevention plan under
24-11 Section 411.043, the division shall conduct a follow-up inspection
24-12 of the employer's premises. The commission may require the
24-13 participation of the safety consultant who performed the initial
24-14 consultation and formulated the safety plan.
24-15 SECTION 1.35. Section 411.049(b), Labor Code, is amended to
24-16 read as follows:
24-17 (b) The hearing shall be conducted by the State Office of
24-18 Administrative Hearings in the manner provided for a contested case
24-19 under Chapter 2001, Government Code (the administrative procedure
24-20 law <Administrative Procedure and Texas Register Act (Article
24-21 6252-13a, Vernon's Texas Civil Statutes>) and is subject to
24-22 judicial review as provided by that chapter <Act>.
24-23 SECTION 1.36. Section 411.062, Labor Code, is amended to
24-24 read as follows:
24-25 Sec. 411.062. Field Safety Representative; Qualifications.
24-26 (a) The commission by rule shall establish qualifications for
24-27 field safety representatives. The rules must include education and
25-1 experience requirements for those representatives.
25-2 (b) Each <A> field safety representative must meet the
25-3 qualifications established by the commission <be:>
25-4 <(1) a college graduate with a bachelor's degree in
25-5 science or engineering;>
25-6 <(2) a registered professional engineer;>
25-7 <(3) a certified safety professional;>
25-8 <(4) a certified industrial hygienist;>
25-9 <(5) an individual with 10 years' experience in
25-10 occupational safety and health; or>
25-11 <(6) an individual who has completed a certified
25-12 training program in accident prevention services approved by the
25-13 division>.
25-14 SECTION 1.37. Chapter 412, Labor Code, is amended by adding
25-15 Section 412.0025 to read as follows:
25-16 Sec. 412.0025. DUTIES OF STATE AGENCIES. Each state agency
25-17 subject to this chapter shall actively manage the risks of that
25-18 agency by developing, implementing, and maintaining health and
25-19 safety programs and programs designed to assist employees who
25-20 sustain compensable injuries to return to work.
25-21 SECTION 1.38. Section 412.003(a), Labor Code, is amended to
25-22 read as follows:
25-23 (a) The division shall:
25-24 (1) administer guidelines adopted by the commission
25-25 for a comprehensive risk management program applicable to all state
25-26 agencies to reduce property and liability losses, including
25-27 workers' compensation losses; and
26-1 (2) review, verify, monitor, and approve risk
26-2 management programs adopted by state agencies.
26-3 SECTION 1.39. Section 412.007(b), Labor Code, is amended to
26-4 read as follows:
26-5 (b) The report must include:
26-6 (1) the frequency, severity, and aggregate amount of
26-7 open and closed claims in the preceding biennium by category of
26-8 risk, including final judgments;
26-9 (2) the identification of each state agency that has
26-10 not complied with the risk management guidelines and reporting
26-11 requirements of this chapter; and
26-12 (3) recommendations for the coordination and
26-13 administration of a comprehensive risk management program to serve
26-14 all state agencies, including recommendations for any necessary
26-15 statutory changes.
26-16 SECTION 1.40. Section 413.002, Labor Code, is amended by
26-17 adding Subsection (c) to read as follows:
26-18 (c) In monitoring health care providers who serve as
26-19 designated doctors under Chapter 408, the division shall evaluate
26-20 the compliance of those providers with this subtitle and with rules
26-21 adopted by the commission relating to medical policies, fee
26-22 guidelines, and impairment ratings.
26-23 SECTION 1.41. Section 413.031(d), Labor Code, is amended to
26-24 read as follows:
26-25 (d) A party to a medical dispute that remains unresolved
26-26 after a review of the medical service under this section is
26-27 entitled to a hearing. The hearing shall be conducted by the State
27-1 Office of Administrative Hearings in the manner provided for a
27-2 contested case under Chapter 2001, Government Code (the
27-3 administrative procedure law <Administrative Procedure and Texas
27-4 Register Act (Article 6252-13a, Vernon's Texas Civil Statutes>).
27-5 SECTION 1.42. Subchapter D, Chapter 413, Labor Code, is
27-6 amended by adding Section 413.044 to read as follows:
27-7 Sec. 413.044. SANCTIONS ON DESIGNATED DOCTOR. In addition
27-8 to or in lieu of an administrative penalty under Section 415.021 or
27-9 a sanction imposed under Section 415.023, the commission may impose
27-10 sanctions against a person who serves as a designated doctor under
27-11 Chapter 408 who, after an evaluation conducted under Section
27-12 413.002(c), is determined by the division to be out of compliance
27-13 with this subtitle or with rules adopted by the commission relating
27-14 to medical policies, fee guidelines, and impairment ratings.
27-15 SECTION 1.43. Subchapter A, Chapter 415, Labor Code, is
27-16 amended by amending Sections 415.002 and 415.003 and by adding
27-17 Section 415.0035 to read as follows:
27-18 Sec. 415.002. Administrative Violation by an Insurance
27-19 Carrier. (a) An insurance carrier or its representative commits
27-20 an administrative violation if that person wilfully or
27-21 intentionally:
27-22 (1) misrepresents a provision of this subtitle to an
27-23 employee, an employer, a health care provider, or a legal
27-24 beneficiary;
27-25 (2) <fails to submit to the commission a settlement or
27-26 agreement of the parties;>
27-27 <(3) fails to timely notify the commission of the
28-1 termination or reduction of benefits and the reason for that
28-2 action;>
28-3 <(4)> terminates or reduces benefits without
28-4 substantiating evidence that the action is reasonable and
28-5 authorized by law;
28-6 (3) <(5)> instructs an employer not to file a document
28-7 required to be filed with the commission;
28-8 (4) <(6)> instructs or encourages an employer to
28-9 violate a claimant's right to medical benefits under this subtitle;
28-10 (5) <(7)> fails to tender promptly full death benefits
28-11 if a legitimate dispute does not exist as to the liability of the
28-12 insurance carrier;
28-13 (6) <(8)> allows an employer, other than a
28-14 self-insured employer, to dictate the methods by which and the
28-15 terms on which a claim is handled and settled;
28-16 (7) <(9)> fails to confirm medical benefits coverage
28-17 to a person or facility providing medical treatment to a claimant
28-18 if a legitimate dispute does not exist as to the liability of the
28-19 insurance carrier;
28-20 (8) <(10)> fails, without good cause, to attend a
28-21 dispute resolution proceeding within the commission;
28-22 (9) <(11)> attends a dispute resolution proceeding
28-23 within the commission without complete authority or fails to
28-24 exercise authority to effectuate agreement or settlement;
28-25 (10) <(12)> adjusts a workers' compensation claim in a
28-26 manner contrary to license requirements for an insurance adjuster,
28-27 including the requirements of Chapter 407, Acts of the 63rd
29-1 Legislature, Regular Session, 1973 (Article 21.07-4, Vernon's Texas
29-2 Insurance Code), or the rules of the State Board of Insurance;
29-3 (11) <(13)> fails to process claims promptly in a
29-4 reasonable and prudent manner;
29-5 (12) <(14)> fails to initiate or reinstate benefits
29-6 when due if a legitimate dispute does not exist as to the liability
29-7 of the insurance carrier;
29-8 (13) <(15)> misrepresents the reason for not paying
29-9 benefits or terminating or reducing the payment of benefits;
29-10 (14) <(16)> dates documents to misrepresent the actual
29-11 date of the initiation of benefits;
29-12 (15) <(17)> makes a notation on a draft or other
29-13 instrument indicating that the draft or instrument represents a
29-14 final settlement of a claim if the claim is still open and pending
29-15 before the commission;
29-16 (16) <(18)> fails or refuses to pay benefits from week
29-17 to week as and when due directly to the person entitled to the
29-18 benefits;
29-19 (17) <(19)> fails to pay an order awarding benefits;
29-20 (18) <(20)> controverts a claim if the evidence
29-21 clearly indicates liability;
29-22 (19) <(21) unreasonably denies preauthorization
29-23 required under Section 413.014 or> unreasonably disputes the
29-24 reasonableness and necessity of health care;
29-25 (20) <(22)> violates a commission rule; or
29-26 (21) <(23)> fails to comply with a provision of this
29-27 subtitle.
30-1 (b) An insurance carrier or its representative does not
30-2 commit an administrative violation under Subsection (a)(6)<(8)> by
30-3 allowing an employer to:
30-4 (1) freely discuss a claim;
30-5 (2) assist in the investigation and evaluation of a
30-6 claim; or
30-7 (3) attend a proceeding of the commission and
30-8 participate at the proceeding in accordance with this subtitle.
30-9 Sec. 415.003. Administrative Violation by Health Care
30-10 Provider. A health care provider commits an administrative
30-11 violation if the person wilfully or intentionally:
30-12 (1) submits a charge for health care that was not
30-13 furnished;
30-14 (2) administers improper, unreasonable, or medically
30-15 unnecessary treatment or services;
30-16 (3) <fails or refuses to timely file required reports
30-17 or records;>
30-18 <(4)> makes an unnecessary referral;
30-19 (4) <(5) fails to disclose an interest as required by
30-20 Section 413.041;>
30-21 <(6)> violates the commission's fee and treatment
30-22 guidelines;
30-23 (5) <(7)> violates a commission rule; or
30-24 (6) <(8)> fails to comply with a provision of this
30-25 subtitle.
30-26 Sec. 415.0035. ADDITIONAL VIOLATIONS BY INSURANCE CARRIER OR
30-27 HEALTH CARE PROVIDER. (a) An insurance carrier or its
31-1 representative commits an administrative violation if that person:
31-2 (1) fails to submit to the commission a settlement or
31-3 agreement of the parties;
31-4 (2) fails to timely notify the commission of the
31-5 termination or reduction of benefits and the reason for that
31-6 action; or
31-7 (3) denies preauthorization in a manner that is not in
31-8 accordance with rules adopted by the commission under Section
31-9 413.014.
31-10 (b) A health care provider commits an administrative
31-11 violation if that person:
31-12 (1) fails or refuses to timely file required reports
31-13 or records; or
31-14 (2) fails to file with the commission the annual
31-15 disclosure statement required by Section 413.041.
31-16 (c) A violation under Subsection (a) is a Class C
31-17 administrative violation.
31-18 (d) A violation under Subsection (b) is a Class D
31-19 administrative violation.
31-20 SECTION 1.44. Section 415.034(a), Labor Code, is amended to
31-21 read as follows:
31-22 (a) On the request of the charged party or <at the
31-23 discretion of> the executive director <of the division of
31-24 hearings>, the State Office of Administrative Hearings <division of
31-25 hearings> shall set a hearing. The hearing shall be conducted in
31-26 the manner provided for a contested case under Chapter 2001,
31-27 Government Code (the administrative procedure law <Administrative
32-1 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
32-2 Civil Statutes>).
32-3 SECTION 1.45. Subtitle A, Title 5, Labor Code, is amended by
32-4 adding Chapter 418 to read as follows:
32-5 CHAPTER 418. CRIMINAL PENALTIES
32-6 Sec. 418.001. PENALTY FOR FRAUDULENTLY OBTAINING OR DENYING
32-7 BENEFITS. (a) A person commits an offense if the person, with the
32-8 intent to obtain or deny payment of benefits, including medical
32-9 benefits, under this subtitle or Subtitle C, for himself or
32-10 another, knowingly or intentionally:
32-11 (1) makes a false or misleading statement;
32-12 (2) misrepresents or conceals a material fact; or
32-13 (3) fabricates, alters, conceals, or destroys a
32-14 document other than a governmental record.
32-15 (b) An offense under Subsection (a) is:
32-16 (1) a Class A misdemeanor if the value of the benefits
32-17 is less than $1,500; and
32-18 (2) a state jail felony if the value of the benefits
32-19 is $1,500 or more.
32-20 Sec. 418.002. PENALTY FOR FRAUDULENTLY OBTAINING WORKERS'
32-21 COMPENSATION INSURANCE COVERAGE. (a) A person commits an offense
32-22 if the person, with the intent to obtain workers' compensation
32-23 insurance coverage under the workers' compensation insurance laws
32-24 of this state or to avoid payment of premiums due for that
32-25 coverage, for himself or another, knowingly or intentionally:
32-26 (1) makes a false statement;
32-27 (2) misrepresents or conceals a material fact; or
33-1 (3) makes a false entry in, fabricates, alters,
33-2 conceals, or destroys a document other than a governmental record.
33-3 (b) An offense under Subsection (a) is:
33-4 (1) a Class A misdemeanor if the amount of premium
33-5 avoided is less than $1,500; and
33-6 (2) a state jail felony if the amount of the premium
33-7 avoided is $1,500 or more.
33-8 (c) The court may order a person to pay restitution to an
33-9 insurance company, the Texas workers' compensation insurance
33-10 facility, or the Texas Workers' Compensation Insurance Fund if the
33-11 person commits an offense under this section.
33-12 SECTION 1.46. (a) The change in law made by Sections
33-13 402.001, 402.005, and 402.012, Labor Code, as amended or added by
33-14 this Act, in the qualifications and the grounds for removal of
33-15 persons appointed to the Texas Workers' Compensation Commission
33-16 applies only to a member appointed on or after September 1, 1995,
33-17 and does not affect the entitlement of a member appointed before
33-18 September 1, 1995, to continue to hold office for the term for
33-19 which the member was appointed.
33-20 (b) The training program required under Section 402.0015,
33-21 Labor Code, as added by this Act, shall be established not later
33-22 than January 1, 1996. Each person appointed to the commission on
33-23 or after that date must comply with the requirements imposed under
33-24 that section.
33-25 SECTION 1.47. The change in law made by this Act to Section
33-26 402.008, Labor Code, in the method of selecting the chairman of the
33-27 Texas Workers' Compensation Commission, applies only to a member
34-1 designated to serve in that capacity on or after September 1, 1995.
34-2 The change does not affect the entitlement of a member elected to
34-3 serve in that capacity before September 1, 1995, to continue to
34-4 serve in that capacity for the term for which the member was
34-5 elected.
34-6 SECTION 1.48. The Texas Workers' Compensation Commission
34-7 shall adopt rules as necessary to implement the changes in law made
34-8 by this Act to Title 5, Labor Code, not later than March 1, 1996.
34-9 SECTION 1.49. Section 406.097, Labor Code, as added by this
34-10 Act, applies only to an insurance policy or certificate of
34-11 authority to self-insure that is delivered, issued for delivery, or
34-12 renewed on or after January 1, 1996. A policy or certificate that
34-13 is delivered, issued for delivery, or renewed before January 1,
34-14 1996, is governed by the law as it existed immediately before
34-15 September 1, 1995, and that law is continued in effect for that
34-16 purpose.
34-17 SECTION 1.50. The change in law made by this Act to Section
34-18 408.083, Labor Code, applies only to an occupational disease for
34-19 which the date of injury occurs on or after September 1, 1995. A
34-20 claim based on an occupational disease for which the date of injury
34-21 occurs before September 1, 1995, is governed by the law in effect
34-22 on the date of injury for that occupational disease, and the former
34-23 law is continued in effect for that purpose.
34-24 SECTION 1.51. The change in law made by this Act to Section
34-25 409.005, Labor Code, applies only to an injury report regarding a
34-26 compensable injury that occurs on or after September 1, 1995. An
34-27 injury report for a compensable injury that occurs before that date
35-1 is governed by the law in effect on the date that the injury
35-2 occurred, and the former law is continued in effect for that
35-3 purpose.
35-4 SECTION 1.52. The change in law made by this Act to
35-5 Subchapter C, Chapter 409, Labor Code, in the qualifications of
35-6 persons who serve as ombudsmen under the Texas Workers'
35-7 Compensation Commission applies only to a person who is designated
35-8 as an ombudsman on or after September 1, 1995. The change does not
35-9 affect the entitlement of a person serving as an ombudsman
35-10 immediately before that date to continue to serve as an ombudsman
35-11 if that person continues to meet the qualifications for that
35-12 service that were in effect before September 1, 1995, and complies
35-13 with applicable continuing education requirements adopted by the
35-14 commission.
35-15 SECTION 1.53. The change in law made by Section 402.092,
35-16 Labor Code, as added by this Act, applies to information maintained
35-17 in investigation files of the Texas Workers' Compensation
35-18 Commission without regard to the date the information is collected,
35-19 compiled, developed, or otherwise becomes part of the investigation
35-20 file.
35-21 SECTION 1.54. The change in law made by this Act to Section
35-22 411.062, Labor Code, in the qualifications of a person who serves
35-23 as a field safety representative, applies only to a person employed
35-24 as a field safety representative on or after September 1, 1995.
35-25 The change does not affect the entitlement of a person serving as a
35-26 field safety representative immediately before that date to
35-27 continue to serve as a field safety representative if the person
36-1 continues to meet the qualifications for that service that were in
36-2 effect before September 1, 1995, and complies with applicable
36-3 continuing education requirements adopted by the Texas Workers'
36-4 Compensation Commission.
36-5 SECTION 1.55. A state agency subject to Section 412.0025,
36-6 Labor Code, as added by this Act, shall develop programs as
36-7 required by that section not later than January 1, 1996.
36-8 SECTION 1.56. A change in law under this Act that transfers
36-9 jurisdiction of a hearing to the State Office of Administrative
36-10 Hearings takes effect January 1, 1996. A hearing held before or
36-11 pending on December 31, 1995, is governed by the law in effect
36-12 immediately before September 1, 1995, and that law is continued in
36-13 effect for that purpose.
36-14 SECTION 1.57. (a) The change in law made to Subtitle A,
36-15 Title 5, Labor Code, by this Act applies only to a penalty or
36-16 sanction for an offense committed on or after the effective date of
36-17 this Act.
36-18 (b) For purposes of this section, an offense is committed
36-19 before the effective date of this Act if any element of the offense
36-20 occurs before that date.
36-21 (c) An offense committed before the effective date of this
36-22 Act is governed by the law in effect when the offense was
36-23 committed, and the former law is continued in effect for that
36-24 purpose.
36-25 ARTICLE 2. WORKERS' COMPENSATION INSURANCE COVERAGE
36-26 FOR CERTAIN GOVERNMENTAL EMPLOYEES
36-27 SECTION 2.01. Sections 501.002(b) and (c), Labor Code, are
37-1 amended to read as follows:
37-2 (b) For the purposes of Chapter 451, the individual state
37-3 agency shall be considered the employer. For the purposes of this
37-4 chapter, the individual state agency is the employer except as
37-5 provided by Section 501.022.
37-6 (c) Except as provided by Section 501.022(b), for <For> the
37-7 purpose of applying the provisions listed by Subsection (a) to this
37-8 chapter, "insurer" or "employer" means "state," "division," <or>
37-9 "director," or "state agency," as applicable.
37-10 SECTION 2.02. Section 501.022, Labor Code, is amended to
37-11 read as follows:
37-12 Sec. 501.022. TEXAS TECH UNIVERSITY EMPLOYEES. (a) An
37-13 eligible employee of Texas Tech University, Texas Tech University
37-14 Research Farm, Texas Tech University School of Medicine at Lubbock,
37-15 or another agency under the direction and control of the board of
37-16 regents of Texas Tech University is entitled to participate in the
37-17 workers' compensation program for state employees provided under
37-18 this chapter.
37-19 (b) For purposes of this chapter, the board of regents of
37-20 Texas Tech University shall act in the capacity of employer.
37-21 SECTION 2.03. Section 501.042, Labor Code, is amended to
37-22 read as follows:
37-23 Sec. 501.042. DIRECTOR AS <EMPLOYER AND> INSURER. (a) In
37-24 administering and enforcing this chapter, the director shall act in
37-25 the capacity of <employer and> insurer.
37-26 (b) The director shall act as an adversary before the
37-27 commission and courts and present the legal defenses and positions
38-1 of the state as an <employer and> insurer.
38-2 (c) For the purposes of this section, the director is
38-3 entitled to the legal counsel of the attorney general.
38-4 (d) The director is subject to the rules, orders, and
38-5 decisions of the commission in the same manner as an <a private
38-6 employer,> insurer<,> or association.
38-7 SECTION 2.04. Section 501.043(a), Labor Code, is amended to
38-8 read as follows:
38-9 (a) The director shall<:>
38-10 <(1)> adopt procedural rules and prescribe forms
38-11 necessary for the effective administration of this chapter<; and>
38-12 <(2) adopt and enforce reasonable rules for the
38-13 prevention of accidents and injuries>.
38-14 SECTION 2.05. The change in law made by this Act to Chapter
38-15 501, Labor Code, applies only to a claim for workers' compensation
38-16 benefits based on a compensable injury that occurs on or after
38-17 September 1, 1995. A claim based on a compensable injury that
38-18 occurs before that date is governed by the law in effect on the
38-19 date that the injury occurred, and the former law is continued in
38-20 effect for that purpose.
38-21 ARTICLE 3. CONFORMING AMENDMENTS
38-22 SECTION 3.01. Section 2003.001(3), Government Code, is
38-23 amended to read as follows:
38-24 (3) "State agency" means:
38-25 (A) a state board, commission, department, or
38-26 other agency that is subject to Chapter 2001; and
38-27 (B) to the extent provided by Title 5, Labor
39-1 Code, the Texas Workers' Compensation Commission.
39-2 SECTION 3.02. Section 2003.021, Government Code, is amended
39-3 by adding Subsection (c) to read as follows:
39-4 (c) The office shall conduct hearings under Title 5, Labor
39-5 Code, as provided by that title. In conducting hearings under
39-6 Title 5, Labor Code, the office shall consider the applicable
39-7 substantive rules and policies of the Texas Workers' Compensation
39-8 Commission. The office and the Texas Workers' Compensation
39-9 Commission shall enter into an interagency contract under Chapter
39-10 771 to pay the costs incurred by the office in implementing this
39-11 subsection.
39-12 ARTICLE 4. MISCELLANEOUS PROVISIONS
39-13 SECTION 4.01. The changes in law made by this Act to Chapter
39-14 2003, Government Code, and Sections 407.046, 411.049(b),
39-15 413.031(d), and 415.034, Labor Code, apply only to a hearing that
39-16 begins on or after January 1, 1996. A hearing held before or
39-17 pending on January 1, 1996, is governed by the law in effect
39-18 immediately before September 1, 1995, and that law is continued in
39-19 effect for that purpose.
39-20 SECTION 4.02. This Act takes effect September 1, 1995.
39-21 SECTION 4.03. The importance of this legislation and the
39-22 crowded condition of the calendars in both houses create an
39-23 emergency and an imperative public necessity that the
39-24 constitutional rule requiring bills to be read on three several
39-25 days in each house be suspended, and this rule is hereby suspended.