2016 -- S 2569

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LC005110

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

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A N   A C T

RELATING LABOR AND LABOR RELATIONS -- WORKERS' COMPENSATION

     Introduced By: Senators Archambault, Lombardi, Jabour, McCaffrey, and Conley

     Date Introduced: February 25, 2016

     Referred To: Senate Labor

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 28-37-1 of the General Laws in Chapter 28-37 entitled "Workers'

Compensation Administrative Fund" is hereby amended to read as follows:

     28-37-1. Establishment -- Sources -- Administration. -- (a) There is established in the

department of labor and training a special account to be known as the workers' compensation

administrative account, an account within the general fund. This account, referred to as the

"workers' compensation administrative account", shall consist of payments made to it as provided

in this chapter, or penalties paid pursuant to this chapter, and of all other moneys paid into and

received by the fund, of property and securities acquired by and through the use of moneys

belonging to the fund, and of interest earned upon the moneys belonging to the fund. All moneys

in the fund shall be mingled and undivided. The fund shall be administered by the director of

labor and training or his or her designee.

      (b) The purposes for which this fund shall be used are as follows:

      (1) To provide funds to the Dr. John E. Donley rehabilitation center for suitable

structures, personnel, and equipment necessary for the rendering of rehabilitative services,

including, but not limited to, physical therapy, psychotherapy, and occupational therapy to injured

workers coming within the purview of chapters 29 -- 38 of this title;

      (2) To provide funds for all expenditures of the education unit created pursuant to § 42-

16-4 and all expenditures of the workers' compensation fraud prevention unit created pursuant to

§ 42-16.1-12;

      (3) To provide funds for all expenditures of the workers' compensation court. The

administrator of the fund shall on July 1st of each fiscal year transfer those funds that are

reasonable and necessary to fund all expenditures of the workers' compensation court for the

fiscal year from the administrative account, to a restricted receipt account to be established in the

judicial department. The administrator of the workers' compensation court is authorized to draw

funds from the restricted receipt account for all court expenditures;

      (4) To provide funds to the department of labor and training for all expenditures incurred

in administering its responsibilities under chapters 29 -- 38 of this title;

      (5) To provide funds to the department of labor and training for all expenditures incurred

in investigating and processing or otherwise administering its responsibilities regarding claims for

benefits or payments under §§ 28-35-20, 28-37-4, and 28-37-8;

      (6) To provide funds to the department of labor and training for the maintenance and

operation of a system of data collection as provided for in § 28-37-31. The director shall be

authorized to purchase and/or lease equipment necessary to effectuate the purposes of § 28-37-31;

      (7) To provide funds for loans to the state compensation insurance fund as provided in

§§ 27-7.2-19 and 27-7.2-20.1; and

      (8) To provide funds for the payment or reimbursement of actual incremental costs of

COLA increases mandated by § 28-33-17 respecting injuries occurring prior to September 1,

1990, in such amounts as the director, in his or her sole discretion, deems appropriate. These

amounts may be paid out of the fund by order of the director and shall be made by order drawn on

the general treasury to be charged against the fund.

      (9) To provide funds to the workers' compensation advisory council created pursuant to

the provisions of § 28-29-30 for expenditures to carry out its responsibilities.

      (10) To provide funds to the department of business regulation relating to the evaluation

of rate filings, reviews, and pricing procedures pursuant to the provisions of § 27-9-52.

     (11) To provide funds for the Rhode Island uninsured employers' fund as established by

chapter 53 of title 28.

     SECTION 2. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds"

is hereby amended to read as follows:

     35-4-27. Indirect cost recoveries on restricted receipt accounts. -- Indirect cost

recoveries of ten percent (10%) of cash receipts shall be transferred from all restricted receipt

accounts, to be recorded as general revenues in the general fund. However, there shall be no

transfer from cash receipts with restrictions received exclusively: (1) From contributions from

non-profit charitable organizations; (2) From the assessment of indirect cost recovery rates on

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federal grant funds; or (3) Through transfers from state agencies to the department of

administration for the payment of debt service. These indirect cost recoveries shall be applied to

all accounts, unless prohibited by federal law or regulation, court order, or court settlement. The

following restricted receipt accounts shall not be subject to the provisions of this section:

      Executive Office of Health and Human Services

      Organ Transplant Fund

      HIV Care Grant Drug Rebates

      Department of Human Services

      Veterans' home -- Restricted account

      Veterans' home -- Resident benefits

      Pharmaceutical Rebates Account

      Demand Side Management Grants

      Veteran's Cemetery Memorial Fund

      Donations -- New Veterans' Home Construction

      Department of Health

      Providence Water Lead Grant

      Pandemic medications and equipment account

      Miscellaneous Donations/Grants from Non-Profits

      State Loan Repayment Match

      Department of Behavioral Healthcare, Developmental Disabilities and Hospitals

      Eleanor Slater non-Medicaid third-party payor account

      Hospital Medicare Part D Receipts

      RICLAS Group Home Operations

      Commission on the Deaf and Hard of Hearing

      Emergency and public communication access account

      Department of Environmental Management

      National heritage revolving fund

      Environmental response fund II

      Underground storage tanks registration fees

      Rhode Island Historical Preservation and Heritage Commission

      Historic preservation revolving loan fund

      Historic Preservation loan fund -- Interest revenue

      Department of Public Safety

      Forfeited property -- Retained

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      Forfeitures -- Federal

      Forfeited property -- Gambling

      Donation -- Polygraph and Law Enforcement Training

      Rhode Island State Firefighter's League Training Account

      Fire Academy Training Fees Account

      Attorney General

      Forfeiture of property

      Federal forfeitures

      Attorney General multi-state account

      Forfeited property -- Gambling

      Department of Administration

      RI Health Benefits Exchange

      Office of Management and Budget

      Information Technology Investment Fund

      Restore and replacement -- Insurance coverage

      Convention Center Authority rental payments

      Investment Receipts -- TANS

      Car Rental Tax/Surcharge-Warwick Share

      Housing Resources Commission Restricted Account

      Department of Revenue

      Jobs Tax Credit Redemption Fund

      Legislature

      Audit of federal assisted programs

      Department of Children, Youth and Families

      Children's Trust Accounts -- SSI

      Military Staff

      RI Military Family Relief Fund

      RI National Guard Counterdrug Program

      Treasury

      Admin. Expenses -- State Retirement System

      Retirement -- Treasury Investment Options

      Defined Contribution -- Administration - RR

      Violent Crimes Compensation -- Refunds

      Treasury Research Fellowship

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      Business Regulation

      Banking Division Reimbursement Account

      Office of the Health Insurance Commissioner Reimbursement Account

      Securities Division Reimbursement Account

      Commercial Licensing and Racing and Athletics Division Reimbursement Account

      Insurance Division Reimbursement Account

      Historic Preservation Tax Credit Account.

      Judiciary

      Arbitration Fund Restricted Receipt Account

      Third-Party Grants

      RI Judiciary Technology Surcharge Account

      Department of Elementary and Secondary Education

      Statewide Student Transportation Services Account

      School for the Deaf Fee for Service Account

      Davies Career and Technical School Local Education Aid Account

      Davies -- National School Breakfast & Lunch Program

      Department of Labor and Training

      Job Development Fund

      Department of Transportation

      Rhode Island Highway Maintenance Account

     Workers' Compensation Administrative Fund

     SECTION 3. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING LABOR AND LABOR RELATIONS -- WORKERS' COMPENSATION

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     This act would prevent funds from the worker's compensation administrative fund

restricted receipts account from being transferred to the general fund. The act would also

authorize the workers' compensation administrative fund to transfer funds to the Rhode Island

uninsured employers' fund.

     This act would take effect upon passage.

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