By George                                             H.B. No. 2508
         76R6985 PB-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the determination and payment of certain workers'
 1-3     compensation benefits.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.   Section 408.081, Labor Code, is amended to read
 1-6     as  follows:
 1-7           Sec. 408.081.  INCOME BENEFITS.  (a)  An employee is entitled
 1-8     to income benefits as provided in this chapter.
 1-9           (b)  Except as otherwise provided by this section or this
1-10     subtitle, income benefits and interest shall be paid weekly as  and
1-11     when they accrue without order from the commission.
1-12           (c)  The commission by rule shall establish requirements for
1-13     agreements under which income benefits may be paid monthly.  Income
1-14     benefits may be  paid monthly only on the mutual agreement of the
1-15     employee and the insurance carrier and in compliance with the
1-16     requirements adopted by the commission.
1-17           (d) [(c)]  An employee's entitlement to income benefits under
1-18     this chapter terminates on the death of the employee.  An interest
1-19     in future income benefits does not survive after the employee's
1-20     death.
1-21           SECTION 2.   Section 408.124, Labor Code, is amended by
1-22     amending Subsection (b) and adding Subsection (c) to read as
1-23     follows:
1-24           (b)  For [The commission shall use for] determining the
 2-1     existence and degree of an employee's impairment, the commission
 2-2     shall  use "Guides to the Evaluation of Permanent Impairment,"
 2-3     fourth [third] edition, [second printing, dated February 1989,]
 2-4     published by the  American Medical Association.  For determining
 2-5     the existence and degree of an employee's impairment relating to a
 2-6     back injury, the commission shall use the  range of motion model
 2-7     contained in that publication.
 2-8           (c)  Notwithstanding Subsection (b), the commission by rule
 2-9     may adopt a later edition of the "Guides to the Evaluation of
2-10     Permanent Impairment" or its successor publication as published by
2-11     the American Medical Association or another analogous publication
2-12     published by a nationally recognized medical organization as
2-13     necessary to appropriately determine the existence and degree of an
2-14     employee's impairment for purposes of this title.
2-15           SECTION 3.   Section 408.161, Labor Code, is amended by
2-16     adding Subsection  (d) to read as follows:
2-17           (d)  An insurance carrier may pay lifetime income benefits
2-18     through an annuity if the annuity agreement meets the terms and
2-19     conditions for annuity agreements adopted by the commission by
2-20     rule.  The establishment of an annuity under this subsection does
2-21     not relieve the insurance carrier of the liability under this title
2-22     for ensuring that the lifetime income benefits are paid.
2-23           SECTION 4.  Section 408.186(a), Labor Code, is amended to
2-24     read as follows:
2-25           (a)  If the death of an employee results from a compensable
2-26     injury, the insurance carrier shall pay to the person who incurred
2-27     liability for the costs of burial the lesser of:
 3-1                 (1)  the actual costs incurred for reasonable burial
 3-2     expenses; or
 3-3                 (2)  $6,000 [$2,500].
 3-4           SECTION 5.  (a)  This Act takes effect September 1, 1999, and
 3-5     applies only to an agreement regarding payment of workers'
 3-6     compensation income benefits that is entered into on or after that
 3-7     date.
 3-8           (b)  Section 401.124, Labor Code, as amended by this Act,
 3-9     applies only to determination of an impairment rating for workers'
3-10     compensation benefits that is finally adopted under Subchapter G,
3-11     Chapter 408, Labor Code, on or after January 1, 2000.  The
3-12     determination of an impairment rating that is finally adopted
3-13     before that date is governed by the law in effect immediately
3-14     before the effective date of this Act, and the former law is
3-15     continued in effect for that purpose.
3-16           (c)  Section 408.186(a), Labor Code, as amended by this Act,
3-17     applies only to  a claim for workers' compensation burial benefits
3-18     based on a compensable injury that occurs on or after the effective
3-19     date of this Act.  A claim based on a compensable injury that
3-20     occurs before that date is governed by the law in effect on the
3-21     date that the compensable injury occurred, and the former law is
3-22     continued in effect for that purpose.
3-23           SECTION 6.  The importance of this legislation and the
3-24     crowded condition of the calendars in both houses create an
3-25     emergency and an imperative public necessity that the
3-26     constitutional rule requiring bills to be read on three several
3-27     days in each house be suspended, and this rule is hereby suspended.