NY State Senate Bill 2013-S7896

Archive: Last Bill Status - In Senate Committee Rules Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 17, 2014	referred to rules

2013-S7896 (ACTIVE) - Details

Current Committee:: Senate Rules
Law Section:: Workers' Compensation Law
Laws Affected:: Amd §50, Work Comp L

2013-S7896 (ACTIVE) - Summary

Enacts additional provisions permitting self insurance by certain groups.

2013-S7896 (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S7896                Revised Memo 6/17/2014

TITLE OF BILL:

An act to amend the workers' compensation law, in relation to group self
insurers; and providing for the repeal of such provisions upon expira-
tion thereof

PURPOSE:

To relieve rate pressure on a fund where there is sufficient alternate
security to provide for payment of liabilities

SUMMARY OF PROVISIONS:

Adds a new subparagraph (c) to section 50 subdivision 3-a paragraph (10)
of the Workers Compensation Law to allow the Comp Board to reduce
reserve requirements by as much as 20% if it finds other satisfactory
means for a group self-insurer plan to secure claims.  The other means
include a demonstration of the following:

(1) the existence of a collective bargaining agreement which requires
that employers obtain workers compensation coverage from the group;

(2) the group has the ability to set, revise, or re-set rates on at
least a monthly schedule as may be necessary to provide for collection

of additional funds from group members in the event the deposit with the
board is insufficient to meet the liabilities of the group;

(3) the group has established a Delinquency Fund or has agreements with
a fund that will be liable for any uncollected delinquent contributions
to the group;

(4) the group members have assumed joint and several obligation for
their period of membership for any liabilities of all claims of the
fund;

(5) there is a direct or indirect penalty or withdrawal liability for
any member who withdraws from the plan;

(6) the plan is approved by the federal department of labor as an
Employee Retirement Income Security Act (ERISA) fund.

Upon a finding by the Chair of the Workers Compensation Board that the
group fails to meet the requirements set forth in this clause, approval
shall be withdrawn, with written notice stating the reasons therefor.

EXISTING LAW:

New bill.

JUSTIFICATION:

The result of reform can be a loss of flexibility. This is what happened
in the area of regulation of self-insured funds. The reforms to assure
needed reserves to secure liabilities were necessary. However, they also
had the effect of removing some of the flexibility under which a self-
insured fund would be able to show sufficient alternate security. This
bill provides such flexibility.

FISCAL IMPLICATIONS:

None to the state.

EFFECTIVE DATE:

This act shall take effect immediately and shall expire and be deemed
repealed on June 30, 2017.

2013-S7896 (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7896

                            I N  S E N A T E

                              June 17, 2014
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Rules

AN ACT to amend the workers' compensation law, in relation to group self
  insurers; and providing for the repeal of such provisions upon expira-
  tion thereof

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Paragraph 10 of subdivision 3-a of section 50 of the work-
ers' compensation law is amended by adding a  new  subparagraph  (c)  to
read as follows:
  (C)  ANY  OTHER  PROVISION  OF THIS PARAGRAPH TO THE CONTRARY NOTWITH-
STANDING, A GROUP SELF INSURER PLAN THAT IN ADDITION  TO  MEETING  OTHER
REQUIREMENTS  OF  THIS  PARAGRAPH,  DEMONSTRATES  ITS  ABILITY TO SECURE
ANTICIPATED PRESENT AND FUTURE CLAIMS OF THE MEMBERS OF THE GROUP SHALL,
UPON APPROVAL BY THE BOARD, BE PERMITTED TO  MAINTAIN  RESERVES  OF  NOT
LESS THAN EIGHTY PERCENT OF THE AMOUNTS THAT WOULD OTHERWISE BE REQUIRED
PURSUANT  TO CLAUSE TWO OF SUBPARAGRAPH (A) OF THIS PARAGRAPH. THE BOARD
SHALL APPROVE SUCH GROUP SELF-INSURER PLAN THAT DEMONSTRATES THE FOLLOW-
ING:
  (1) THE EXISTENCE OF A COLLECTIVE BARGAINING AGREEMENT WHICH  REQUIRES
THAT EMPLOYERS OBTAIN WORKERS' COMPENSATION COVERAGE FROM THE GROUP;
  (2)  THE  GROUP  HAS THE ABILITY TO SET, REVISE, OR RE-SET RATES ON AT
LEAST A MONTHLY SCHEDULE AS MAY BE NECESSARY TO PROVIDE  FOR  COLLECTION
OF ADDITIONAL FUNDS FROM GROUP MEMBERS IN THE EVENT THE DEPOSIT WITH THE
BOARD IS INSUFFICIENT TO MEET THE LIABILITIES OF THE GROUP;
  (3)  THE  GROUP  HAS  ESTABLISHED A DELINQUENCY FUND OR HAS AGREEMENTS
WITH A FUND THAT WILL BE LIABLE FOR ANY UNCOLLECTED DELINQUENT  CONTRIB-
UTIONS TO THE GROUP;
  (4)  THE  GROUP  MEMBERS HAVE ASSUMED JOINT AND SEVERAL OBLIGATION FOR
THEIR PERIOD OF MEMBERSHIP FOR ANY LIABILITIES  OF  ALL  CLAIMS  OF  THE
FUND;
  (5)  THERE IS A DIRECT OR INDIRECT PENALTY OR WITHDRAWAL LIABILITY FOR
ANY MEMBER WHO WITHDRAWS FROM THE PLAN; AND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15637-01-4

S. 7896                             2

  (6) THE PLAN IS APPROVED BY THE FEDERAL  DEPARTMENT  OF  LABOR  AS  AN
EMPLOYEE RETIREMENT INCOME SECURITY ACT (ERISA) FUND.
  UPON  FINDING  BY  THE CHAIR OF THE BOARD THAT THE GROUP FAILS TO MEET
THE REQUIREMENTS SET FORTH IN THIS SUBPARAGRAPH, APPROVAL SHALL BE WITH-
DRAWN, WITH WRITTEN NOTICE STATING THE REASONS THEREFOR.
  S 2. This act shall take effect immediately and shall  expire  and  be
deemed repealed on and after June 30, 2017.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Senate Bill S7896

Sponsored By

Archive: Last Bill Status - In Senate Committee Rules Committee

2013-S7896 (ACTIVE) - Details

2013-S7896 (ACTIVE) - Summary

2013-S7896 (ACTIVE) - Sponsor Memo

2013-S7896 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S7896

Share this bill

Sponsored By

Martin J. Golden

Archive: Last Bill Status - In Senate Committee Rules Committee

2013-S7896 (ACTIVE) - Details

2013-S7896 (ACTIVE) - Summary

2013-S7896 (ACTIVE) - Sponsor Memo

2013-S7896 (ACTIVE) - Bill Text download pdf

Comments