BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 1513| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 1513 Author: Committee on InsuranceAmendedAmended:3/26/15 in Assembly Vote: 21 SENATE LABOR & IND. REL. COMMITTEE: 5-0, 6/24/15 AYES: Mendoza, Stone, Jackson, Leno, Mitchell ASSEMBLY FLOOR: 79-0, 4/16/15 (Consent) - See last page for vote SUBJECT: Workers compensation: studies SOURCE: Author DIGEST: This bill deletes three obsolete study requirements for the workers' compensation system. ANALYSIS: Existing law: 1)Establishes a workers' compensation system that provides benefits to an employee who suffers from an injury or illness that arises out of and in the course of employment, 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)Requires that, not later than July 1, 2009, the Commission on AB 1513 Page 2 Health and Safety and Workers' Compensation (CHSWC) publishes a study to examine the causes of the number of insolvencies among workers' compensation insurers from 1998 to 2008. (Labor Code §77.7) 3)Requires that, not later than July 1, 2004, the administrative director conducts a study of medical treatment provided to workers who have sustained industrial injuries and illnesses. Existing law also requires that this study be conducted in consultation with the CHSWC, other state agencies, and researchers and research institutions with expertise in health care delivery. (Labor Code §127.6) 4)Requires that, not later than January 1, 2006, the administrative director, after consultation with the Insurance Commissioner, contracts with a qualified organization to study the effects of the 2003 and 2004 legislative reforms on workers' compensation insurance rates. (Labor Code §138.65) This bill deletes the above-discussed study requirements. Background As was discussed above, existing law contains three study requirements, all three of which contain deadlines which have already passed. All three studies have either been published by CHSWC or addressed by other studies. Therefore, deleting these provisions will not impact ongoing research or the workers' compensation system. The Assembly Insurance Committee's analysis also notes that this bill may be a vehicle "for other noncontroversial changes to the workers' compensation laws that achieve consensus among all stakeholders, should these issues arise during this Legislative Session." To date, such a consensus issue has yet to be found in this legislative session. FISCAL EFFECT: Appropriation: No Fiscal Com.:NoLocal: No SUPPORT: (Verified6/24/15) AB 1513 Page 3 None received OPPOSITION: (Verified6/24/15) None received ASSEMBLY FLOOR: 79-0, 4/16/15 AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins NO VOTE RECORDED: Quirk Prepared by:Gideon Baum / L. & I.R. / (916) 651-1556 6/29/15 15:53:20 **** END ****