By Giddings H.B. No. 2511
76R8381 T
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to workers' compensation coverage reporting requirements,
1-3 authority to prescribe information transmission and electronic data
1-4 exchange methods; required planning.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 401.024, Labor Code, is added to read as
1-7 follows:
1-8 Sec. 401.024. TRANSMISSION OF INFORMATION. (a)
1-9 Notwithstanding other provisions in this Act that specify the form,
1-10 manner or procedure for the transmission of specified information,
1-11 the commission by rule may allow or require electronic transmission
1-12 to be used in lieu of the specified form, manner or procedure.
1-13 "Electronic transmission" is transmission by any electronic means,
1-14 including but not limited to fax, email, and electronic data
1-15 interchange. If electronic transmission of specific information is
1-16 not authorized or required by commission rule, transmission of that
1-17 information is governed by any applicable statutory or rule
1-18 requirements for form, manner or procedure including but not
1-19 limited to standards as promulgated by the Department of
1-20 Information Resources. The commission may designate, and contract
1-21 with, a data collection agent to fulfill the data collection
1-22 requirements of this subtitle.
1-23 (b) The executive director may prescribe the form, manner,
1-24 and procedure for transmission of any authorized or required
2-1 electronic transmissions, including but not limited to requirements
2-2 related to security, confidentiality, accuracy, and accountability.
2-3 (c) By July 1, 2000, the executive director shall develop
2-4 and publish a plan to incorporate electronic reporting,
2-5 information, and financial exchanges between the parties in the
2-6 workers' compensation system. The plan shall describe options for
2-7 the public to access non-confidential statistical or reference
2-8 information including medical billings and payments; medical
2-9 services billings, payments, reports, and fund transfer
2-10 transactions; employer coverage and carrier claim administration
2-11 contact information; and other public access information and
2-12 transactions feasible for electronic access. The executive
2-13 director shall identify a task force of knowledgeable system
2-14 participants to include the Texas Health Care Information Council,
2-15 hold public hearings, and conduct studies necessary to develop a
2-16 comprehensive electronic information exchange plan that includes
2-17 specific dates for conversion of specific workers' compensation
2-18 information to electronic exchange. The plan should be designed to
2-19 achieve at least a 30% reduction in paper communication
2-20 requirements by 1/1/2002, and an additional 30% reduction, compared
2-21 with current requirements, by 1/1/2003.
2-22 SECTION 2. Section 406.006, Labor Code, is amended to read
2-23 as follows:
2-24 Sec. 406.006. INSURANCE COVERAGE AND CLAIM ADMINISTRATION
2-25 INFORMATION REPORTING REQUIREMENTS [COMPANY NOTICE]; ADMINISTRATIVE
2-26 VIOLATION. (a) An insurance company from which an employer has
2-27 obtained workers' compensation insurance coverage, a certified
3-1 self-insurer, and a political subdivision as defined in Chapter
3-2 504, Subtitle C of this title, shall file notice of the coverage
3-3 and claim administration contact information with the commission
3-4 not later than the 10th day after the date on which the coverage or
3-5 claim administration agreement takes effect, unless the commission
3-6 by rule establishes a later date for filing. Coverage takes effect
3-7 on the date on which a binder is issued or at a later date and time
3-8 agreed to by the parties, on the date provided by the Certificate
3-9 of Self-Insurance, or on the date provided in an interlocal
3-10 agreement that provides for self-insurance. The commission may
3-11 adopt rules to establish the coverage and claim administration
3-12 contact information required under this section.
3-13 (b) The notice required under this section shall be filed
3-14 with the commission in accordance with Section 406.009.
3-15 (c) An employer, insurance company, certified self-insurer,
3-16 or political subdivision commits a violation if the entity
3-17 [company] fails to file notice with the commission as provided by
3-18 this section. A violation under this subsection is a Class C
3-19 administrative violation. Each day of noncompliance constitutes a
3-20 separate violation.
3-21 SECTION 3. Section 406.009(a), Labor Code, is amended to
3-22 read as follows:
3-23 Sec. 406.009. Collecting and Maintaining Information;
3-24 Monitoring and Enforcing Compliance. (a) The commission shall
3-25 collect and maintain the information required under this subchapter
3-26 and shall monitor compliance with the requirements. The commission
3-27 may designate a data collection agent, implement an electronic
4-1 reporting and public information access program, and adopt rules
4-2 necessary to implement the data collection requirements of this
4-3 subchapter. The executive director may establish the form, manner,
4-4 and procedure for the transmission of information to the commission
4-5 as provided by Section 402.042(b)(11).
4-6 (b) The commission may require an employer or insurance
4-7 carrier subject to this title to identify or confirm an employer's
4-8 coverage status and claim administration contact information as
4-9 necessary to achieve the purposes of this title. The commission
4-10 may adopt rules as necessary to enforce this subchapter.
4-11 SECTION 4. Subsection (c), Section 406.051, Labor Code, is
4-12 amended to read as follows:
4-13 (c) The employer may not transfer:
4-14 (1) the obligation to accept a report of injury under
4-15 Section 409.001;
4-16 (2) the obligation to maintain records of injuries
4-17 under Section 409.006;
4-18 (3) the obligation to report injuries to the insurance
4-19 carrier [commission] under Section 409.005;
4-20 (4) liability for a violation of Section 415.006 or
4-21 415.008 or of Chapter 451; or
4-22 (5) the obligation to comply with a commission order.
4-23 SECTION 5. Subsection (e), Section 408.003, Labor Code, is
4-24 amended to read as follows:
4-25 (e) If an employer does not notify the insurance carrier
4-26 [commission] of the injury in compliance with Section 409.005, the
4-27 employer waives the right to reimbursement under this section.
5-1 SECTION 6. Section 504.002(a), Labor Code, is amended to
5-2 read as follows:
5-3 Sec. 504.002. Application of General Workers' Compensation
5-4 Laws; Limit on Actions and Damages. (a) The following provisions
5-5 of Subtitles A and B apply to and are included in this chapter
5-6 except to the extent that they are inconsistent with this chapter:
5-7 (1) Chapter 401, other than Section 401.011(18)
5-8 defining "employer" and Section 401.012 defining "employee";
5-9 (2) Chapter 402;
5-10 (3) Chapter 403, other than Sections 403.001-403.005;
5-11 (4) Chapter 405;
5-12 (5) Sections 406.006-406.009, Subchapter A, Chapter
5-13 406; Subchapters B and D-G, Chapter 406, other than Sections
5-14 406.033, 406.034, 406.035, 406.091, and 406.096;
5-15 (6) Chapter 408, other than Sections 408.001(b) and
5-16 (c);
5-17 (7) Chapters 409-417; and
5-18 (8) Chapter 451.
5-19 SECTION 7. This Act takes effect September 1, 1999.
5-20 Certified self-insurers and political subdivisions, not required to
5-21 file notice of coverage prior to the effective date of this Act,
5-22 must file information in accordance with the requirements of this
5-23 Act and commission rules by January 1, 2000, and thereafter as
5-24 required by the Texas Workers' Compensation Act and commission
5-25 rules.
5-26 SECTION 8. The importance of this legislation and the
5-27 crowded condition of the calendars in both houses create an
6-1 emergency and an imperative public necessity that the
6-2 constitutional rule requiring bills to be read on three several
6-3 days in each house be suspended, and this rule is hereby suspended.