By Hochberg H.B. No. 2613
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the payment and funding of workers' compensation
1-3 benefits for certain claimants who work part-time or have multiple
1-4 employment.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 403.006, Labor Code, is amended by
1-7 amending Subsection (b) and adding Subsection (d) to read as
1-8 follows:
1-9 (b) The subsequent injury fund is liable for:
1-10 (1) the payment of compensation as provided by Section
1-11 408.162;
1-12 (2) reimbursement of insurance carrier claims of
1-13 overpayment of benefits based on interlocutory orders of the
1-14 commission as provided by this subtitle, consistent with the
1-15 priorities established by rule by the commission; and
1-16 (3) reimbursement of insurance carrier claims as
1-17 provided by Section 408.042, consistent with the priorities
1-18 established by rule by the commission.
1-19 (d) Based on an actuarial assessment of the funding
1-20 available under Section 403.007(e), the commission may make partial
1-21 payment of insurance carrier claims under Subsection (b)(3).
1-22 SECTION 2. Section 403.007, Labor Code, is amended by adding
1-23 Subsections (e) and (f) to read as follows:
1-24 (e) If the commission determines that the funding under
2-1 Subsection (a) is not adequate to meet the expected obligations of
2-2 the subsequent injury fund established under Section 403.006, the
2-3 fund shall be supplemented by the collection of a maintenance tax
2-4 paid by insurance carriers, other than a governmental entity, as
2-5 provided by Sections 403.002 and 403.003. The rate of assessment
2-6 must be adequate to provide 120 percent of the projected unfunded
2-7 liabilities of the fund for the next biennium as certified by an
2-8 independent actuary or financial advisor.
2-9 (f) The commission's actuary or financial advisor shall
2-10 report biannually to the Research and Oversight Council on Workers'
2-11 Compensation on the financial condition and projected assets and
2-12 liabilities of the subsequent injury fund. The commission shall
2-13 make the reports available to members of the legislature and the
2-14 public. The commission may purchase annuities to provide for
2-15 payments due to claimants under this subtitle if the commission
2-16 determines that the purchase of annuities is financially prudent
2-17 for the administration of the fund.
2-18 SECTION 3. Section 408.042, Labor Code, is amended to read
2-19 as follows:
2-20 Sec. 408.042. AVERAGE WEEKLY WAGE FOR PART-TIME EMPLOYEE OR
2-21 EMPLOYEE WITH MULTIPLE EMPLOYMENT. (a) The average weekly wage of
2-22 a part-time employee who limits the employee's work to less than
2-23 [full-time hours or] a full-time workweek as a regular course of
2-24 that employee's conduct is computed as provided by Section 408.041.
2-25 (b) For part-time employees not covered by Subsection (a),
2-26 the average weekly wage:
2-27 (1) for determining temporary income benefits is
3-1 computed as provided by Section 408.041; and
3-2 (2) for determining impairment income benefits,
3-3 supplemental income benefits, lifetime income benefits, and death
3-4 benefits is computed as follows:
3-5 (A) if the employee has worked for the employer
3-6 for at least the 13 weeks immediately preceding the date of the
3-7 injury, the average weekly wage is computed by dividing the sum of
3-8 the wages paid in the 13 consecutive weeks immediately preceding
3-9 the date of the injury by 13 and adjusting that amount to the
3-10 weekly wage level the employee would have attained by working a
3-11 full-time workweek at the same rate of pay; or
3-12 (B) if the employee has worked for the employer
3-13 for less than 13 weeks immediately preceding the date of the
3-14 injury, the average weekly wage is equal to:
3-15 (i) the weekly wage that the employer pays
3-16 a similar employee for similar services based on a [in] full-time
3-17 workweek [employment]; or
3-18 (ii) if a similar employee does not exist,
3-19 the usual wage paid in that vicinity for the same or similar
3-20 services based on a [provided for compensation in] full-time
3-21 workweek [employment].
3-22 (c) For employees with multiple employment, the average
3-23 weekly wage for determining temporary income benefits, impairment
3-24 income benefits, supplemental income benefits, lifetime income
3-25 benefits, and death benefits is computed as follows:
3-26 (1) the average weekly wage for an employee with
3-27 multiple employment is equal to the sum of the average weekly wages
4-1 computed under Subdivisions (2) and (3);
4-2 (2) for each of the employers for whom the employee
4-3 has worked for at least the 13 weeks immediately preceding the date
4-4 of injury, the average weekly wage is equal to the sum of the wages
4-5 paid by that employer to the employee in the 13 weeks immediately
4-6 preceding the injury divided by 13;
4-7 (3) for each of the employers for whom the employee
4-8 has worked for less than the 13 weeks immediately preceding the
4-9 date of the injury, the average weekly wage is equal to:
4-10 (A) the weekly wage that employer pays similar
4-11 employees for similar services; or
4-12 (B) if a similar employee does not exist, the
4-13 usual weekly wage paid in that vicinity for the same or similar
4-14 services; and
4-15 (4) the average weekly wage of an employee with
4-16 multiple employment who limits the employee's work to less than a
4-17 full-time workweek, but does not do so as a regular course of that
4-18 employee's conduct, is adjusted to the weekly wage level the
4-19 employee would have attained by working a full-time workweek at the
4-20 employee's average rate of pay.
4-21 (d) The commission shall:
4-22 (1) prescribe a form to collect information regarding
4-23 the wages of employees with multiple employment; and
4-24 (2) by rule, determine the manner by which wage
4-25 information is collected and distributed to implement this section.
4-26 (e) For an employee with multiple employment, only the
4-27 employee's wages that are reportable for federal income tax
5-1 purposes may be considered. The employee shall document and verify
5-2 wage payments subject to this section.
5-3 (f) If the commission determines that computing the average
5-4 weekly wage for an employee as provided by Subsection (c) is
5-5 impractical or unreasonable, the commission shall set the average
5-6 weekly wage in a manner that more fairly reflects the employee's
5-7 average weekly wage and that is fair and just to both parties or is
5-8 in the manner agreed to by the parties. The commission by rule may
5-9 define methods to determine a fair and just average weekly wage
5-10 consistent with this section.
5-11 (g) An insurance carrier is entitled to apply for and
5-12 receive reimbursement at least annually from the subsequent injury
5-13 fund for the amount of income benefits paid to a worker under this
5-14 section that are based on employment other than the employment
5-15 during which the compensable injury occurred. The commission may
5-16 adopt rules that govern the documentation, application process, and
5-17 other administrative requirements necessary to implement this
5-18 subsection.
5-19 (h) In this section:
5-20 (1) "Employee with multiple employment" means an
5-21 employee who has more than one employer.
5-22 (2) "Full-time workweek" means a 40-hour workweek.
5-23 (3) "Part-time[, "part-time] employee" means an
5-24 employee who, at the time of the injury, was working less than a
5-25 [the] full-time [hours or full-time] workweek for the employer for
5-26 whom the employee was working when the compensable injury occurred
5-27 [of similar employees in the same employment, whether for the same
6-1 or a different employer].
6-2 SECTION 4. (a) This Act takes effect September 1, 2001.
6-3 (b) The change in law made by this Act to Section 408.042,
6-4 Labor Code, applies only to an injury that occurs on or after the
6-5 effective date of this Act. An injury that occurs before the
6-6 effective date of this Act is governed by the law in effect on the
6-7 date the injury occurred, and the former law is continued in effect
6-8 for that purpose.