BILL ANALYSIS Ó SB 623 Page 1 SENATE THIRD READING SB 623 (Lara) As Amended April 14, 2015 Majority vote SENATE VOTE: 34-1 ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Insurance |10-0 |Daly, Travis Allen, | | | | |Calderon, Cooley, | | | | |Cooper, Dababneh, | | | | |Frazier, Gatto, | | | | |Gonzalez, Rodriguez | | | | | | | |----------------+-----+----------------------+--------------------| |Appropriations |11-3 |Gomez, Bloom, Bonta, |Bigelow, Gallagher, | | | |Calderon, Chang, |Jones | | | |Eggman, Eduardo | | | | |Garcia, Quirk, | | | | |Rendon, Weber, Wood | | | | | | | | | | | | ------------------------------------------------------------------ SB 623 Page 2 SUMMARY: Expressly overrules regulations, which are contrary to current statutory law, that provide that undocumented workers are not eligible for certain workers' compensation benefits. Specifically, this bill: 1)States that a person shall not be prohibited from receiving benefits from the Uninsured Employers Benefits Trust Fund or the Subsequent Injuries Benefits Trust Fund (Funds) solely because of his or her citizenship or immigration status. 2)States that it is the intent of the Legislature to override specified provisions in the California Code of Regulations that are contrary to the rule stated, above. 3)Makes findings that the state has an interest in making the benefits described above available to people not lawfully in the United States, within the meaning of specified federal statutes that authorize states to make these benefits available. 4)Provides that this bill's statement of the right to benefits from the Funds is declaratory of existing law. EXISTING LAW: 1)Establishes a comprehensive system to provide workers' compensation benefits to all employees who suffer conditions or injuries that arise out of or in the course of employment. 2)Provides that all protections, rights and remedies available under state law, including all labor and employment laws, unless expressly prohibited by federal law, are available to SB 623 Page 3 all persons, regardless of immigration status. 3)Establishes the Funds to provide specified workers' compensation benefits to all people who meet the criteria to qualify for benefits from one of the Funds. FISCAL EFFECT: According to the Assembly Appropriations Committee, negligible fiscal effect to Department of Industrial Relations. This bill is aligned with current practice and is declaratory of existing law. The regulations it supersedes have never been enforced. COMMENTS: 1)Purpose. According to the author, existing regulations were adopted upon the enactment by the voters of Proposition 187 in 1994, and initiative that restricted the rights of undocumented immigrants in a number of ways. Despite the courts' subsequent invalidation of that initiative, the regulations at issue in the bill have remained on the books. This bill is intended to expressly overrule those regulations. 2)Practical effect. Based on Labor Code Section 1171.5 (granting the protections of labor and employment laws to undocumented employees), enacted in 2002 and which itself provides that it is declaratory of existing law, undocumented employees have been receiving the benefits from the Funds, and no evidence has been presented that benefits have been denied to any person on the basis of immigration status. The practical effect of this bill is to state unequivocally that the plain reading of the regulations is not the law. SB 623 Page 4 Analysis Prepared by: Mark Rakich / INS. / (916) 319-2086 FN: 0001175