BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2253|
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                                 THIRD READING


          Bill No:  AB 2253
          Author:   Coto (D), et al
          Amended:  5/28/10 in Assembly
          Vote:     21

           
           SENATE LABOR & INDUST. RELATIONS COMMITTEE  :  4-1, 6/23/10
          AYES:  DeSaulnier, Ducheny, Leno, Yee
          NOES:  Hollingsworth
          NO VOTE RECORDED:  Wyland

           SENATE APPROPRIATIONS COMMITTEE  :  7-4, 8/12/10
          AYES:  Kehoe, Alquist, Corbett, Leno, Price, Wolk, Yee
          NOES:  Ashburn, Emmerson, Walters, Wyland
           
          ASSEMBLY FLOOR  :  68-4, 6/2/10 - See last page for vote


           SUBJECT  :    Workers compensation:  cancer presumption

           SOURCE  :     California Association of Highway Patrolmen
                      California Professional Firefighters 
                      CDF Firefighters Local 2881 
                      Peace Officers Research Association of  
          California


           DIGEST  :    This bill provides that an existing presumption  
          for a work-related injury shall be extended to specified  
          firefighters and police officers following termination of  
          service for a period of three months for each year of  
          service but not to exceed 120 months in any circumstance,  
          commencing with the last day actually worked in the  
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          specified capacity.

           ANALYSIS  :    

          Existing law:

          1. Establishes a workers' compensation system that provides  
             benefits to an employee injured at work, irrespective of  
             fault.  This system requires all employers to secure  
             payment of benefits by either securing the consent of  
             the Department of Industrial Relations to self insure or  
             by securing insurance against liability from an  
             insurance company duly authorized by the state.

          2. Provides that, for firefighters and peace officers,  
             cancer is presumed to have arisen during the course of  
             employment.

          3. Requires the Workers' Compensation Appeals Board (WCAB)  
             to find that the cancer is employment-related unless the  
             employer proves that the cancer is not related to  
             employment.

          4. Specifies that for the presumption to apply, the safety  
             officer must be in service at the time the cancer  
             manifests itself, or, if the employee has separated from  
             the employer, the statute of limitations has not  
             expired.  The statute of limitations is different for  
             each employee, based on a formula that grants three  
             months for each year of service to that employer, with  
             the period commencing on the last date actually worked.

          5. Provides that, regardless of the time period for the  
             statute of limitations calculated using the three months  
             per year of service formula, in no case shall the  
             statute of limitations be more than five years from the  
             date last worked by the employee for that employer.

          6. Provides that the compensation that is awarded for  
             cancer treatment includes full hospital, surgical,  
             medical treatment, disability indemnity, and death  
             benefits, as provided by the Division of Workers  
             Compensation.
          

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          This bill:

          1. Extends the five-year cap that modifies the three months  
             for one year of service formula to a 10-year cap. 

          2. Specifies that the provision of law establishing the  
             cancer presumption may be cited as the William Dallas  
             Jones Cancer Presumption Act of 2009.

           Prior Legislation  

          AB 128 (Coto), 2009-10 Session, would have increased the  
          statute of limitations formula to run for each year served,  
          and would have also removed the cap of time accrued under  
          that formula.  The bill was held under submission by the  
          Assembly Appropriations Committee.

          FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No
          According to the Senate Appropriations Committee:

                         Fiscal Impact (in thousands)

           Major Provisions       2010-11     2011-12    2012-13     Fund  

          Extension of presumption       Unknown, multimillions of  
          dollars              General/
          period for one type of         in new costs  
          ongoingSpecial
          work-related injury

           SUPPORT  :   (Verified  8/16/10)

          California Association of Highway Patrolmen (co-source)
          California Professional Firefighters (co-source)
          CDF Firefighters Local 2881 (co-source)
          Peace Officers Research Association of California  
          (co-source)
          Association for Los Angeles Deputy Sheriffs
          California Applicants' Attorneys Association
          California Nurses Association/National Nurses Organizing  
          Committee
          International Association of Fire Fighters
          National Peace Officers and Firefighters Benefit  

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          Association
          Orange County Professional firefighters' Association
          Riverside Sheriffs' Association

           OPPOSITION  :    (Verified  8/16/10)

          Acclamation Insurance Management Services 
          Allied Managed Care 
          California Association of Joint Powers Authorities
          California Chamber of Commerce
          California Coalition on Workers' Compensation
          California Highway Patrol
          California Special Districts Association
          California State Association of Counties
          Cities of San Marcos, Santa Rosa, and Vista
          County of Orange Board of Supervisors
          CSAC Excess Insurance Authority (a California Joint Powers  
          Authority)
          Department of Finance
          Department of Industrial Relations
          Howard Jarvis Taxpayers Association
          League of California Cities
          Los Angeles County Board of Supervisors
          Regional Council of Rural Counties

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          in the course of performing their job-related duties,  
          firefighters and other public safety personnel routinely  
          come into contact with materials known to cause various  
          types of cancer.  Since the original cancer presumption  
          statute was enacted over two decades ago, research and  
          anecdotal information reveal that some industrially-caused  
          cancers actually manifest themselves well-beyond the  
          existing 60-month statute of limitations given the complex  
          synergistic effects of multiple compound exposures, as well  
          as the rapidly growing introduction of new chemicals and  
          industrial compounds into our environment.  Consequently,  
          there is a critical need to strike the cap in current law.

          Proponents note that recent scientific developments have  
          shown that the original statute of limitations provision is  
          contrary to the purposes of the presumption.  Several of  
          the cancers most closely associated with the firefighters  
          and their profession have a latency period longer than 60  

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          months.  Proponents cite a review of "The Risk of Cancer in  
          Firefighters" by Anne L Golden, PhD, Steven B Markowitz,  
          PhD, and Philip J Landrigan, MD, MSc, as published in 1995  
          in the  Occupational Medicine: State of the Art Reviews  ,  
          which found that the latency period for most of the  
          relevant cancers associated with exposure to chemical  
          carcinogens is likely to be at least three or four decades.

           ARGUMENTS IN OPPOSITION  :    Opponents of the bill, which  
          includes several public entities and associations of public  
          entities, cite a 2004 WCAB ruling that held that the public  
          employer must, in order to rebut the cancer presumption,  
          "explicitly demonstrate that medical or scientific research  
          has shown that there is no reasonable inference that  
          exposure to known carcinogen or carcinogens is related to  
          [the cancer] or causes the development of the cancer."   
          They conclude that this standard makes it virtually  
          impossible to rebut the presumption, and that therefore the  
          bill makes any cancer any safety officer ever contracts  
          compensable through the workers' compensation system.
           
           The California Department of Industrial Relations (DIR) is  
          also in opposition to this bill.  DIR believes that this  
          bill would be a vast expansion of the cancer presumption  
          for fire fighters and peace officers, increasing the number  
          of non-industrial cancer cases found to be compensable  
          workers' compensation illnesses.  DIR believes that this  
          expansion will increase costs to the state and local  
          agencies that employ firefighters and peace officers,  
          creating an unduly long period of unknown liability for  
          those agencies.


           ASSEMBLY FLOOR  :
          AYES:  Adams, Ammiano, Anderson, Arambula, Bass, Beall,  
            Bill Berryhill, Blakeslee, Block, Blumenfield, Bradford,  
            Brownley, Buchanan, Caballero, Charles Calderon, Carter,  
            Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon,  
            Emmerson, Eng, Evans, Feuer, Fletcher, Fong, Fuentes,  
            Fuller, Furutani, Galgiani, Garrick, Gilmore, Hagman,  
            Hall, Hayashi, Hernandez, Hill, Huber, Huffman, Jeffries,  
            Jones, Knight, Bonnie Lowenthal, Ma, Mendoza, Miller,  
            Monning, Nava, Nestande, Nielsen, V. Manuel Perez,  
            Portantino, Ruskin, Salas, Saldana, Skinner, Smyth,  

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            Solorio, Swanson, Torlakson, Torres, Torrico, Villines,  
            Yamada, John A. Perez
          NOES:  DeVore, Gaines, Logue, Niello
          NO VOTE RECORDED:  Tom Berryhill, Harkey, Lieu, Norby,  
            Silva, Audra Strickland, Tran, Vacancy


          PQ:mw  8/16/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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