80R9631 PB-D
 
  By: Davis of Dallas H.B. No. 2519
 
 
 
   
 
 
A BILL TO BE ENTITLED
AN ACT
relating to transition-to-work benefits under the workers'
compensation system for certain employees who have incurred a
compensable injury.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Chapter 408, Labor Code, is amended by adding
Subchapter M to read as follows:
SUBCHAPTER M. TRANSITION-TO-WORK BENEFITS
       Sec. 408.301.  TRANSITION-TO-WORK BENEFITS.  
Notwithstanding any other provision of this subtitle or other law,
the insurance carrier of an employer who elects to obtain workers'
compensation insurance coverage shall pay transition-to-work
income benefits in accordance with this subchapter.
       Sec. 408.302.  AWARD OF TRANSITION-TO-WORK BENEFITS;
APPLICATION; ORDER.  (a)  The commissioner may award
transition-to-work income benefits to an employee who:
             (1)  has exhausted eligibility for supplemental income
benefits under Subchapter H; and
             (2)  complies with the requirements of this subchapter.
       (b)  An applicant for benefits under this subchapter must
apply for the benefits in the manner prescribed by the division.
       (c)  After review of an application for benefits under this
section, the commissioner shall issue an order requiring payment of
the benefits to an employee determined to be eligible under this
subchapter.
       Sec. 408.303.  WORK SEARCH COMPLIANCE STANDARDS. The
commissioner by rule shall adopt compliance standards for
transition-to-work income benefit recipients that require each
recipient to demonstrate an active effort to obtain employment.
The commissioner shall set the compliance standards by rule.
Compliance standards under this section must be at least as
stringent as the standards adopted under Section 408.1415.
       Sec. 408.304.  ENTITLEMENT TO TRANSITION-TO-WORK INCOME
BENEFITS; PAYMENT BY INSURANCE CARRIER. (a)  An employee is
entitled to transition-to-work income benefits only if the
employee:
             (1)  has received supplemental income benefits;
             (2)  ceases to be eligible for those benefits or for
reinitiation of those benefits under Section 408.146;
             (3)  has an impairment rating of 15 percent or more as
determined by this subtitle from the compensable injury;
             (4)  has not returned to work or has returned to work
earning less than 80 percent of the employee's average weekly wage
as a direct result of the employee's impairment;
             (5)  has not elected to commute a portion of the
impairment income benefit under Section 408.128; and
             (6)  has complied with the requirements adopted under
Section 408.303.
       (b)  An insurance carrier shall pay transition-to-work
income benefits beginning not later than the seventh day after the
date of the commissioner's order under Section 408.302, and shall
continue to pay the benefits in a timely manner. Benefits under
this subchapter are:
             (1)  computed in the manner prescribed by Section
408.144(b) for supplemental income benefits; and
             (2)  computed quarterly and paid monthly.
       Sec. 408.305.  TERMINATION OF BENEFITS. Eligibility for
benefits under this subchapter terminates on a determination by the
commissioner that the benefit recipient no longer meets the
requirements prescribed under Section 408.304(a).
       Sec. 408.306.  CONTEST OF BENEFITS BY INSURANCE CARRIER;
ATTORNEY'S FEES. (a)  An insurance carrier may request a benefit
review conference to contest an employee's entitlement to
transition-to-work income benefits or the amount of
transition-to-work income benefits.
       (b)  If an insurance carrier fails to make a request for a
benefit review conference not later than the 10th day after the date
of the commissioner's order under Section 408.302(c), the insurance
carrier waives the right to contest entitlement to
transition-to-work income benefits and the amount of
transition-to-work income benefits.
       (c)  If an insurance carrier disputes the commissioner's
order determining that an employee is entitled to
transition-to-work income benefits or the amount of
transition-to-work income benefits due and the employee prevails on
any disputed issue, the insurance carrier is liable for reasonable
and necessary attorney's fees incurred by the employee as a result
of the insurance carrier's dispute and for transition-to-work
income benefits accrued but not paid and interest on that amount,
according to Section 408.064. Attorney's fees awarded under this
subsection are not subject to Sections 408.221(b), (f), and (i).
       SECTION 2.  The change in law made by this Act applies only
to a claim for workers' compensation benefits based on a
compensable injury that occurs on or after the effective date of
this Act. A claim based on a compensable injury that occurs before
that date is governed by the law in effect on the date that the
compensable injury occurred, and the former law is continued in
effect for that purpose.
       SECTION 3.  This Act takes effect September 1, 2007.