By:  Solomons                                                     H.B. No. 2774



A BILL TO BE ENTITLED

AN ACT

relating to the credits and debits of the subsequent injury fund.             
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 403.006, Labor Code, is amended to read 
as follows:      
	Sec. 403.006.  SUBSEQUENT INJURY FUND                                          
	Sec. 403.006, Labor Code, is amended to read as follows:                       
	(a)  The subsequent injury fund is a special fund in the 
state treasury.     
	(b)  The subsequent injury fund is liable for:                                 
		(1)  the payment of compensation as provided by Section 
408.162;            
		(2)  reimbursement of insurance carrier claims of 
overpayment of benefits made under an interlocutory order or 
decision of the commission as provided by this subtitle, consistent 
with the priorities established by rule by the commission;
		(3)  reimbursement of insurance carrier claims as 
provided by Sections 408.042 and 413.0141, consistent with the 
priorities established by rule by the commission; and
		(4)  the payment of an assessment of feasibility and 
the development of regional networks established under Section 
408.0221.
	(c)  The executive director shall appoint an administrator 
for the subsequent injury fund.
	(d)  Based on an actuarial assessment of the funding 
available under Section 403.007(e), the commission may make partial 
payment of insurance carrier claims under Subsection (b)(3).
	(e)  The commission and the Texas Department of Health shall 
enter into a memorandum of understanding for the purpose of 
determining if death certificates have been submitted for any 
recipient of benefits under Subsection (b)(1).  This determination 
shall be done annually.
	SECTION 2.  Section 403.007, Labor Code, is amended to read 
as follows:      
	Sec. 403.007.  FUNDING OF SUBSEQUENT INJURY FUND                               
	(a)  If a compensable death occurs and no legal beneficiary 
survives or a claim for death benefits is not timely made, the 
insurance carrier shall pay to the commission for deposit to the 
credit of the subsequent injury fund an amount equal to 401 [364] 
weeks of the death benefits otherwise payable.
	SECTION 3.  (a)  This Act takes effect September 1, 2003.                      
	(b)  The change in law made by Section 2 of this Act applies 
only to a death benefit due the subsequent injury fund that results 
from a death that occurs on or after September 1, 2003.  A benefit 
that results from a death occurring before September 1, 2003 is 
governed by the law in effect on the date the death occurred, and 
the former law is continued in effect for that purpose.