April 4, 2008
Did you know...?
Legislative Update - Missouri
Lawmakers Move Closer on 'Schoemehl' Repeal. A Missouri
House committee approved legislation to strike the Schoemehl decision, in which
the Missouri Supreme Court held that survivors of injured workers could continue
to collect disability benefits after an injured worker dies of causes not
related to the injury.
That decision has been cited as a factor in the projected insolvency of the
Second Injury fund. But while it appears lawmakers will effectively reverse
the Supreme Court's decision questions remain on what other steps lawmakers
will take to shore up the solvency of the fund.
Senate Bill 901 by Sen. John Loudon, R-Chesterfield, would eliminate the
court's ruling in Schoemehl v. Treasurer of the State of Missouri, and now is
ready to be considered by the House of Representatives.
The bill was approved on the Senate's consent calendar, a procedure used for
measures deemed noncontroversial. SB 901 was approved Wednesday by the House
Special Committee on Workforce Development and Workplace Safety.
On Tuesday the Senate Small Business, Insurance and Industrial Relations
Committee recommended passage of SB 1164. SB 1164 has been described as
providing an “emergency remedy” for the Second Injury Fund, where expenditures
have risen from $10.6 million in 1993 to $72.7 million in 2007. Revenues have
not kept pace.
Loudon’s proposal would discontinue permanent total disability payments when an
injured worker is able to compete for employment in the job market or when he/she
returns to work. In addition, the bill would require that dependents no longer
receive compensation for permanent total disability for the remainder of their
lives upon the death of the injured employee. Another provision of the
proposed legislation includes discontinuing permanent partial disability payments
from the fund when another state has jurisdiction over the injury.
A decision by lawmakers is expected before the end of April.
To read more about the bills mentioned above please visit: http://www.moga.state.mo.us/.
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