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ARIZONA STATE SENATE

Fifty-Fifth Legislature, First Regular Session

 

FACT SHEET FOR S.B. 1651

 

workers' compensation; service; electronic transmission

Purpose

            Allows notices and documents relating to workers' compensation claims to be transmitted by means other than mail, including electronic transmission, if the receiving party consents.

Background

            Arizona Workers' Compensation laws, administered by the Industrial Commission of Arizona (ICA), require employers to cover employee medical treatment and lost wages associated with injuries arising out of and in the course of employment (A.R.S. §§ 23-901 and 23-1021).

            Every insurance carrier and self-insuring employer must promptly report to the ICA and mail the employee a claim denial or a change or termination in compensation (A.R.S. § 23-1061). Subject to prescribed time periods, any interested party may file a request with the ICA for a hearing before an administrative law judge (ALJ) concerning a workers' compensation claim. Notice of the hearing time and place must be given to all parties in interest by mail at their last known address either 10 or 20 days in advance depending on the subject. The ALJ must make a finding or decision on the amount of compensation or benefit due to an injured employee or deceased employee's dependents (award) within 30 days after the hearing concludes and a copy of the award must be mailed to all parties in interest. A party may request a review of an ALJ award and copies of the request, a notice of the review and the decision on review must be mailed to the parties. A decision on review is final unless a party applies to the court of appeals within 30 days after the copies were mailed to the parties (A.R.S. Title 23, Chapter 6, Article 3).

            In certain cases of permanent partial, total disability or death, an employer or insurance carrier must request that the ICA examine the claim and determine if further compensation should be awarded. The ICA must mail a copy of the determination to all interested parties (A.R.S.
§ 23-1047
).

            There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Allows the following notices and documents to be transmitted by means besides mail, including by electronic transmission, if the receiving party consents in writing:

a)   the prior notice of the time and place of a workers' compensation claim hearing given to all parties in interest;

b)   a copy of an ALJ's finding or decision on the award amount;

c)   request for review of an ALJ's award decision, notice of the review and a copy of a decision of award on review;

d)   a determination for further compensation of certain permanent partial disability, permanent total disability or death cases; and

e)   an insurance carrier's or self-insuring employer's notice to the ICA and the employee of a claim denial or change in or termination of compensation amount.

2.   Provides a party to an award decision on review with 30 days after service of the decision, rather than after the decision is mailed, to apply to the court of appeals for a writ of certiorari.

3.   Defines serve or service as:

a)   mailing to the last known address of the receiving party; or

b)   transmitting by other means, including electronic transmission, with written consent of the receiving party.

4.   Makes technical and conforming changes.

5.   Becomes effective on the general effective date.

Prepared by Senate Research

February 8, 2021

LB/kja