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HomeMy WebLinkAboutAgenda Report - August 20, 2014 C-24AGENDA ITEM CP70PIA J& CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: Receive Report Regarding Communications Pertaining to Assembly Bill 2052 (Gonzalez) and Assembly Bill 2378 (Perea) MEETING DATE: August 20, 2014 PREPARED BY: City Clerk RECOMMENDED ACTION: Receive report regarding communications pertaining to Assembly Bill 2052 (Gonzalez) and Assembly Bill 2378 (Perea) BACKGROUND INFORMATION: The City received a request for communication from the League of California Cities regarding AB 2052 (Gonzalez) and AB 2378 (Perea). There was a need to send letters of opposition immediately in light of a pending hearing. The two bills dealing with workers' compensation benefits are currently being held in suspense in the Senate Appropriations Committee and would amplify already generous workers' compensation benefits packages, resulting in significant increased costs for local governments. AB 2052 (Gonzalez) would expand existing presumptions to nearly every category of peace officer in the state thereby making cities, and other employers such as counties, special districts, universities, the state, and more, vulnerable to significant cost increases on already taxed budgets. AB 2378 (Perea) would give an additional year of temporary disability eligibility to public safety personnel; therefore providing up to three full years of temporary disability payments: one year at full salary (4850 time), and two years at two-thirds salary The attached letters electronically signed by the Mayor were sent out on August 11, 2014. A copy of the initial request along with the text of the bill is also attached. This report is provided for informational purposes only pursuant to policy. FISCAL IMPACT: Not applicable. FUNDING AVAILABLE: Not applicable. r4in, �I �+,[ NIfW-7,_ Robison FACSIMILE COVER SHEET CITY CLERK'S OFFICE 221 WEST PINE STREET - P.O. BOX 3006 LODI, CALIFORNIA 95241-1910 PHONE (209) 333-6702 FAX (209) 333-6807 cityclrk@ odi.gov or jrobisonklodi.gov DATE: August 11, 2014 FROM: Jennifer M. Robison City Clerk TO: Honorable Kevin de Le6n (916) 327-8817 Senator Cathleen Galgiani (916) 651-4905 Assembly Member Richard Pan (916) 319-2109 COMMENTS: Attached please find letters of opposition from City of Lodi Mayor Phil Katzakian regarding the following two pieces of legislation: AB 2052 (Gonzalez) AB 2378 (Perea) Copies have also been sent via e-mail to our League of California Cities representatives: Stephen Qualls squallsa-cacities.orq Meg Desmond mdesmond(u-cacities.orq THIS TRANSMITTAL CONTAINS 3 PAGE(S), INCLUDING THIS COVER SHEET. forms\aafaxjen.doc CITY COUNCIL PHIL KATZAKIAN, Mayor LARRY D. HANSEN, Mayor Pro Tempore BOB JOHNSON JOANNE MOUNCE ALAN NAKANISHI CITY OF LODI CITY HALL, 221 WEST PINE STREET P.O. BOX 3006 LODI, CALIFORNIA 95241-1910 (209) 333-6702 / FAX (209) 333-6807 www.lodi.gov cityclerka.lodi.gov August 11, 2014 The Honorable Kevin de Leon Chair, California State Senate Appropriations Committee State Capitol Building, Room 2206 Sacramento, CA 95814 Via FAX: (916) 327-8817 STEPHEN SCHWABAUER City Manager JENNIFER M. ROBISON City Clerk JANICE D. MAGDICH City Attorney RE: AB 2052 (Gonzalez): Presumption of Industrial Causation: Expansion. Notice of Opposition Dear Senator de Leon: The City of Lodi is opposed to AB 2052 (Gonzalez), which would significantly expand the eligibility for special workers' compensation benefits. Current law already provides workers' compensation for injuries sustained while in the "course and scope of employment." California provides even further benefits for specific injuries in certain categories of work, primarily for firefighters and peace officers. It is presumed that some injuries such as — cancer, heart conditions, pneumonia, and hernias — are considered work related injuries and qualify under broader workers' compensation benefits. In a regular worker' compensation claim the burden of proof falls on the employee to prove they were injured at work. While in a presumptive claim it is on the employer to prove the employee did not obtain the specified injuries during the course of employment. AB 2052 would have a negative fiscal impact on cities, counties, special districts, universities, and the state. Costs to employers are already on the rise and adding new legislation that extends beyond existing groups would only further the financial difficulties local governments are facing. For these reasons, the City of Lodi opposes AB 2052 (Gonzalez). Sincerely, /s/Phil Katzakian Phil Katzakian Mayor City of Lodi cc: Senator Cathleen Galgiani / Assembly Member Richard Pan Stephen Qualls, League of California Cities Meg Desmond, League of California Cities, mdesmond@cacities.org CITY COUNCIL PHIL KATZAKIAN, Mayor LARRY D. HANSEN, Mayor Pro Tempore BOB JOHNSON JOANNE MOUNCE ALAN NAKANISHI CITY OF LODI CITY HALL, 221 WEST PINE STREET P.O. BOX 3006 LODI, CALIFORNIA 95241-1910 (209) 333-6702 / FAX (209) 333-6807 www.lodi.gov cityclerk(a)lodi.gov August 11, 2014 The Honorable Kevin de Leon California State Senate Appropriations Committee State Capitol Building, Room 2206 Sacramento, CA 95814 Via FAX: (916) 327-8817 STEPHEN SCHWABAUER City Manager JENNIFER M. ROBISON City Clerk JANICE D. MAGDICH City Attorney RE: AB 2378 (Perea) Workers' compensation: temporary disability payments. (As introduced 2121/2014) Notice of Opposition Dear Senator de Leon: The City of Lodi is respectfully opposed to your AB 2378 (Perea), which would increase local government costs by enhancing disability benefits provided to specified local firefighters and peace officers. Several court cases have held that public safety employees who receive compensation for a temporary disability under "4850 time" come under the same maximum time cap as all other employees for receiving worker's compensation temporary disability payments: two years. In other words, under existing law all employees can receive up to two years of payments at two-thirds of their existing salary, but public safety personnel receive one full year of full salary (per Labor Code Section 4850) then the second year at two-thirds of salary. The effect of this bill would be to overturn the relevant court cases and provide public safety personnel with up to three full years: one year of 4850 time, and two years at two- thirds salary. The bill would make these provisions applicable to all claims, regardless of the date of injury. For these reasons, the City of Lodi opposes AB 2378 (Perea). Sincerely, /s/Phil Katzakian Phil Katzakian Mayor City of Lodi cc: Senator Cathleen Galgiani / Assembly Member Richard Pan Stephen Qualls, League of California Cities Meg Desmond, League of California Cities, mdesmond(a-)cacities.org Jennifer Robison From: Stephen R. Qualls [squalls@cacities.org] Sent: Wednesday, August 06, 2014 05:44 PM Subject: URGENT: LETTERS NEEDED Attachments: AB 2378 Sen Approps Sample Ltr.rtf; Talking Points for AB 2052 & AB 2378.pdf; Background on AB 2052 & AB 2378.pdf; Action Alert AB 2052 & AB 2378.docx; AB 2052 Senate Approps Sample Letter.docx; Talking Points for AB 2052 & AB 2378.pdf; Background on AB 2052 & AB 2378.pdf; Action Alert AB 2052 & AB 2378.docx Please see below for an Action Alert on AB 2052 and AB 2378. Both bills would dramatically increase workmen's compensation costs for your city. The bills are being held on the suspense file, let's keep them there. I have attached background information, talking points and sample letters for your city to easily complete and send to your legislator and the key committee members noted at the bottom of this alert. Please let me know if you have any questions. Thank you. ACTION ALERT!! AB 2052 (Gonzalez) Presumption of Industrial Causation: Expansion & AB 2378 (Perea) Expanded Eligibility for Temporary Disability Payments OPPOSE Background on AB 2052 & AB 2378: Two bills dealing with workers' compensation benefits are currently being held in suspense in the Senate Appropriations Committee. These bills would both amplify already generous workers' compensation benefits packages and would result in significant increased costs for local governments. AB 2052 (Gonzalez) would expand existing presumptions to nearly every category of peace officer in the state thereby making cities, and other employers such as counties, special districts, universities, the state, and more, vulnerable to significant cost increases on already taxed budgets. Current law already provides workers' compensation for injuries sustained while in the "course and scope of employment." California provides even further benefits for specific injuries in certain categories of work, primarily for firefighters and peace officers. It is presumed that some injuries - such as cancer, heart conditions, pneumonia and hernias - are considered work related injuries and qualify under broader workers' compensation benefits. In a regular workers' compensation claim, the burden of proof falls on the employee to prove they were injured at work. However, in a presumptive claim it is the employer that must prove 1 the employee did not obtain the specified injuries during the course of employment. Presumptive claims are nearly impossible for an employer to disprove and the claims are almost always awarded in favor of the employee. The system is not currently set up to handle the large capacity of claims that could result from the broad reach of AB 2052. AB 2378 (Perea) would give an additional year of temporary disability eligibility to public safety personnel; therefore providing up to three full years of temporary disability payments: one year at full salary (4850 time), and two years at 2/3rds salary. Under existing law, all employees can receive up to two years of payments at 2/3rds of their existing salary, but public safety personnel receive one full year of full salary (per Labor Code Section 4850), then the second at 2/3rds of salary. AB 2378 would impose a significant expansion of benefits and cost increases for local public employers, causing further fiscal liabilities to already strained budgets. ACTION: These bills are currently on suspense in the Senate Appropriations Committee. We are asking cities to send letters of OPPOSITION so that the bills stay on suspense due to potentially detrimental costs to local governments. We need OPPOSITION letters from all cities, however, please take special consideration if you have a member on the Senate Appropriations Committee (phone and fax numbers included below). You can also access sample letters for AB 2052<http://www.cacities.org/Policy-Advocacy/Action-Center/AB-2052-%28Gonzalez%29- Presumption-of-Industrial-Causa> and AB 2378<http://www.cacities.org/Policy-Advocacy/Action- Center/AB-2378-%28Perea%29-Workers-compensation-temporary-dis> in the League's Action Center (contact info is preloaded in the Action Center). Bills in the suspense file will be heard by August 14, so please send letters ASAP. Member District Party Phone Fax de Le6n, Kevin<http://sd22.senate.ca.gov/> (Chair) 22 D 916 651 4022 916 651 4922 Gaines, Ted<http://cssrc.us/web/l/> 1 2 916 651 4001 916 651 4901 Hill, Jerry<http://sdl3.senate.ca.gov/> 13 D 916 651 4013 916 651 4913 Lara, Ricardo<http://sd33.senate.ca.gov/> 33 C 916 651 4033 916 651 4933 Padilla, Alex<http://sd20.senate.ca.gov/> M. C 916 651 4020 916 651 4920 Steinberg, Darrell<http://sd06.senate.ca.gov/> 0 N 916 651 4006 916 651 4906 Walters, Mimi<http://cssrc.us/web/37/> (Vice -Chair) 37 R 916 651 4037 916 651 4937 3 Talking Points for AB 2052 (Gonzalez): • AB 2052 dramatically expands eligibility to nearly every category of peace officer in the state thereby making cities, and other employers such as counties, special districts, universities, the state, and more, vulnerable to significant cost increases on already taxed budgets. • There is no objective analysis that demonstrates a need for this bill. • The broad reach of AB 2052 is now what the current system was intended to cover and is certainly not funded to adequately handle such a large capacity of claims. Talking Points for AB 2378 (Perea): • AB 2378 would impose a significant expansion of benefits and cost increases for local public employers, causing further fiscal liabilities to already constrained budgets. • There is no doubt that public safety personnel perform a very important role in local communities. That vital role is recognized in many ways including wages, pension formulas and other benefits that typically exceed those provided to other hard working public servants. While we have the upmost respect for those who help keep our cities safe, we also have a responsibility to preserve the long-term financial health of the city. Stephen Qualls Central Valley Regional Public Affairs Manager League of California Cities 209-614-0118 Fax 209-883-0653 squalls@cacities.org<mailto:squalls@cacities.org> [Description: Description: LCC_Logo_SM] [X] Strengthening California Cities through Advocacy and Education To expand and protect local control for cities through education and advocacy in order to enhance the quality of life for all Californians. <http://www.cacities.org/AC> PLEASE DO NOT distribute political campaign advocacy information from public (city hall) computers, on city time, or using public resources, even if it's from your personal email account. If in doubt, check with your city attorney. ***Disclaimer***Please Note: Please take the following precautions if this email is about a CITIPAC event. Though it is not illegal for you to receive this notice via a city e-mail address, you should not respond to it or forward it using public resources. You may however forward this message to your non-public e-mail account for distribution on non-public time. If you have questions about the event or need additional information, please contact Mike Egan at (916) 658-8271 or egan@cacities.org 4 AMENDED IN ASSEMBLY APRIL 8, 2014 CALIFORNIA LEGISLATURE -2013-14 REGULAR SESSION ASSEMBLY BILL No. 2052 Introduced by Assembly Member Gonzalez February 20, 2014 An act to amend Sections 3212, 3212.1, 3212.5, 3212.6, 3212.85, and 3212.9 of the Labor Code, relating to workers' compensation. LEGISLATIVE COUNSEL'S DIGEST AB 2052, as amended, Gonzalez. Workers' compensation. Existing law establishes a workers' compensation system to compensate an employee for injuries ----mea arising out of, and in the course of, his or her employment. Existing law designates illnesses and conditions that constitute a compensable injury for various employees, such as California Highway Patrol members, firefighters, and certain peace officers. These injuries include, but are not limited to, hernia, pneumonia, heart trouble, cancer, meningitis, and exposure to a biochemical substances, when the illness or condition develops or manifests itself during a period when the officer or employee is in service of his or her employer, as specified. This bill would expand the coverage of the above provisions relating to compensable injury, to include all peace officers described under specified provisions of law. To the extent that the bill would apply the provisions to additional local peace officers, the bill would impose a state -mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. 98 AB 2052 —2— This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions. Vote: majority. Appropriation: no. Fiscal committee: yes. State -mandated local program: yes. The people of the State of California do enact as follows: 1 SECTION 1. Section 3212 of the Labor Code is amended to 2 read: 3 3212. In the case of members of a sheriff's office or the 4 California Highway Patrol, district attorney's staff of inspectors 5 and investigators or of police or fire departments of cities, counties, 6 cities and counties, districts or other public or municipal 7 corporations or political subdivisions, or idols peace officers 8 described in Chapter 4.5 (commencing with Section 830) of Title 9 3 of Part 2 of the Penal Code, whether those ..-..mLers f_ 10 individuals persons are volunteer, partly paid, or fully paid, and 11 in the case of active firefighting members of the Department of 12 Forestry and Fire Protection whose duties require firefighting or 13 of any county forestry or firefighting department or unit, whether 14 voluntary, fully paid, or partly paid, and in the case of members 15 of the warden service of the Wildlife Protection Branch of the 16 Department of Fish and Game whose principal duties consist of 17 active law enforcement service, –exeepting–tl3ese except those 18 persons whose principal duties are clerical or otherwise do not 19 clearly fall within the scope of active law enforcement service 20 such as stenographers, telephone operators, and other 21 officeworkers, the term "injury" as used in this act includes hernia 22 when any part of the hernia develops or manifests itself during a 23 period while the person is in the service in 24 the office, staff, division, department, or unit, and in the case of 25 members of fire departments, except those persons whose principal 26 duties are clerical, such as stenographers, telephone operators, and 27 other officeworkers, and in the case of county forestry or 28 firefighting departments, except those persons whose principal 29 duties are clerical, such as stenographers, telephone operators, and 30 other officeworkers, and in the case of active firefighting members 31 of the Department of Forestry and Fire Protection whose duties 98 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -3— AB 2052 require firefighting, and in the case of members of the warden service of the Wildlife Protection Branch of the Department of Fish and Game whose principal duties consist of active law enforcement service, excepting those whose principal duties are clerical or otherwise do not clearly fall within the scope of active law enforcement service such as stenographers, telephone operators, and other officeworkers, the term "injury" includes pneumonia and heart trouble that develops or manifests itself during a period while the member is in the service of the office, staff, department, or unit. In the case of regular salariedind+,94 s peace officers described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, the term "injury" also includes any hernia that manifests itself or develops during a period while the officer is in the service. The compensation that is awarded for the hernia, heart trouble, or pneumonia shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits, as provided by the workers' compensation laws of this state. The hernia, heart trouble, or pneumonia so developing or manifesting itself in those cases shall be presumed to arise out of and in the course of the employment. This presumption is disputable and may be controverted by other evidence, but unless so controverted, the appeals board is bound to find in accordance with it. The presumption shall be extended to a member following termination of service for a period of three calendar months for each full year of the requisite service, but not to exceed 60 months in any circumstance, commencing with the last date actually worked in the specified capacity. The hernia, heart trouble, or pneumonia so developing or manifesting itself in those cases shall in no case be attributed to any disease existing prior to that development or manifestation. SEC. 2. Section 3212.1 of the Labor Code is amended to read: 3212.1. (a) This section applies to all of the following: (1) Active firefighting members, whether volunteers, partly paid, or fully paid, of all of the following fire departments: (A) A fire department of a city, county, city and county, district, or other public or municipal corporation or political subdivision. (B) A fire department of the University of California and the California State University. (C) The Department of Forestry and Fire Protection. 98 AB 2052 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —4— (D) A county forestry or firefighting department or unit. (2) Active firefighting members of a fire department that serves a United States Department of Defense installation and who are certified by the Department of Defense as meeting its standards for firefighters. (3) Active firefighting members of a fire department that serves a National Aeronautics and Space Administration installation and who adhere to training standards established in accordance with Article 4 (commencing with Section 13155) of Chapter 1 of Part 2 of Division 12 of the Health and Safety Code. (4) Individuals Peace officers described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code. (5) (A) Fire and rescue services coordinators who work for the Office of Emergency Services. (B) For purposes of this paragraph, "fire and rescue services coordinators" means coordinators with any of the following job classifications: coordinator, senior coordinator, or chief coordinator. (b) The term "injury," as used in this division, includes cancer, including leukemia, that develops or manifests itself during a period in whic any member or indivi a person described in subdivision (a) is in the service of the department or unit, if the member or individttal person demonstrates that he or she was exposed, while in the service of the department or unit, to a known carcinogen as defined by the International Agency for Research on Cancer, or as defined by the director. (c) The compensation that is awarded for cancer shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits, as provided by this division. (d) The cancer so developing or manifesting itself in these cases shall be presumed to arise out of and in the course of the employment. This presumption is disputable and may be controverted by evidence that the primary site of the cancer has been established and that the carcinogen to which the member o individttal person has demonstrated exposure is not reasonably linked to the disabling cancer. Unless so controverted, the appeals board is bound to find in accordance with the presumption. This presumption shall be extended to a member or individtial person following termination of service for a period of three calendar 98 1 2 3 4 5 6 7 8 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 AB 2052 months for each full year of the requisite service, but not to exceed 120 months in any circumstance, commencing with the last date actually worked in the specified capacity. (e) The amendments to this section enacted during the 1999 portion of the 1999-2000 Regular Session shall be applied to claims for benefits filed or pending on or after January 1, 1997, including, but not limited to, claims for benefits filed on or after that date that have previously been denied, or that are being appealed following denial. (f) This section shall be known, and may be cited, as the William Dallas Jones Cancer Presumption Act of 2010. SEC. 3. Section 3212.5 of the Labor Code is amended to read: 3212.5. In the case of an indiv -a peace officer described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, when the member or individtial person is employed upon a regular, full-time salary, the term "injury" as used in this division includes heart trouble and pneumonia which develops or manifests itself during a period while then etmar individual person is in the service the compensation that is awarded for heart trouble or pneumonia as described in this section shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits as provided by the provisions of this division. (a) The heart trouble or pneumonia so developing or manifesting itself shall be presumed to arise out of and in the course of the employment; provided, however, that the member or individaa4 the person shall have served five years or more in that capacity before the presumption shall arise as to the compensability of heart trouble so developing or manifesting itself. This presumption is disputable and may be controverted by other evidence, but unless so controverted, the appeals board is bound to find in accordance with it. This presumption shall be extended to a tneffiberof individual person following termination of service for a period of three calendar months for each full year of the requisite service, but not to exceed 60 months in any circumstance, commencing with the last date actually worked in the specified capacity. (b) The heart trouble or pneumonia so developing or manifesting itself in these cases shall in no case be attributed to any disease existing prior to its development or manifestation. SEC. 4. Section 3212.6 of the Labor Code is amended to read: 98 AB 2052 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —6- 3212.6. (a) (1) In the case of an i-- iv 4ut' a peace officer described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, or a prison or jail guard or correctional officer who is employed by a public agency, when that person is employed upon a regular, full-time salary, or in the case of- ---oaf a member of a fire -departments department of any city, county, or district, or other public or municipal corporations or political subdivisions, when these ........,...bee __ individuals - - that person is employed on a regular fully paid basis, and in the case of an active firefighting=rnetribers member of the Department of Forestry and Fire Protection whose duties require firefighting and first aid response services, or of any county forestry or firefighting department or unit, ---'-ere those --embers are if that person is employed on a regular fully paid basis, exeepting tl3ese except persons whose principal duties are clerical or otherwise do not clearly fall within the scope of active law enforcement, firefighting, or emergency first aid response service such as stenographers, telephone operators, and other officeworkers, the term "injury" includes tuberculosis that develops or manifests itself during a period while that member is in the service of that department or office. The compensation that is awarded for the tuberculosis shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits as provided by the provisions of this division. eke (2) The tuberculosis—se developing or manifesting itself as described in paragraph (1) shall be presumed to arise out of and in the course of the employment. This presumption is disputable and may be controverted by other evidence, but unless so controverted, the appeals board is bound to find in accordance with it. This presumption shall be extended to a– member –or. Indy person described in paragraph (1) following termination of service for a period of three calendar months for each full year of the requisite service, but not to exceed 60 months in any circumstance, commencing with the last date actually worked in the specified capacity. -A (b) A public entity may require applicants for employment in firefighting positions who would be entitled to the benefits granted by this section to be tested for infection for tuberculosis. 98 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 AB 2052 SEC. 5. Section 3212.85 of the Labor Code is amended to read: 3212.85. (a) This section applies to4nd+ iduals a peace officer described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, and-nter bens a member of a fire department. (b) The term "injury," as used in this division, includes illness or resulting death due to exposure to a biochemical substance that develops or occurs during a period in which—any member or inual a person described in subdivision (a) is in the service of the department or unit. (c) The compensation that is awarded for injury pursuant to this section shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits, as provided by this division. (d) The injury that develops or manifests itself in these cases shall be presumed to arise out of, and in the course of, the employment. This presumption is disputable and may be controverted by other evidence. Unless controverted, the appeals board is bound to find in accordance with the presumption. This presumption shall be extended to a member or itid vidual person described in subdivision (a) following termination of service for a period of three calendar months for each full year of the requisite service, but not to exceed 60 months in any circumstance, commencing with the last date actually worked in the specified capacity. (e) For purposes of this section, the following definitions apply: (1) "Biochemical substance" means any biological or chemical agent that may be used as a weapon of mass destruction, including, but not limited to, any chemical warfare agent, weaponized biological agent, or nuclear or radiological agent, as these terms are defined in Section 11417 of the Penal Code. (2)"Members "Member of a fire department" includes, but is not limited to, an apprentice, volunteer, partly paid, or fully paid member of any of the following: (A) A fire department of a city, county, city and county, district, or other public or municipal corporation or political subdivision. (B) A fire department of the University of California and the California State University. (C) The Department of Forestry and Fire Protection. (D) A county forestry or firefighting department or unit. 98 AB 2052 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 8— SEC. 6. Section 3212.9 of the Labor Code is amended to read: 3212.9. In the case of an individtta4 a peace officer described in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code, when that person is employed on a regular, full-time salary, or in the case of a member of a fire department of any city, county, or district, or other public or municipal corporation or political subdivision, or any county forestry or firefighting department or unit, when those metr'- e-- are the person is employed on a regular full-time salary, -exeepting-these except persons whose principal duties are clerical or otherwise do not clearly fall within the scope of active law enforcement or firefighting, such as stenographers, telephone operators, and other officeworkers, the term "injury" includes meningitis that develops or manifests itself during a period while that person is in the service of that department, office, or unit. The compensation that is awarded for the meningitis shall include full hospital, surgical, medical treatment, disability indemnity, and death benefits as provided by the provisions of this division. The meningitis so developing or manifesting itself shall be presumed to arise out of and in the course of the employment. This presumption is disputable and may be controverted by other evidence, but unless so controverted, the appeals board is bound to find in accordance with it. This presumption shall be extended to a person following termination of service for a period of three calendar months for each full year of the requisite service, but not to exceed 60 months in any circumstance, commencing with the last date actually worked in the specified capacity. SEC. 7. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code. I 98 AMENDED IN ASSEMBLY MAY 23, 2014 CALIFORNIA LEGISLATURE -2013-14 REGULAR SESSION ASSEMBLY BILL No. 2378 Introduced by Assembly Member Perea (Coauthors: Assembly Members Ian Calderon, Dababneh, Frazier, Gonzalez, V. Manuel Perez, and Wieckowski) February 21, 2014 An act to amend Section 4656 of the Labor Code, relating to workers' compensation. LEGISLATIVE COUNSEL'S DIGEST AB 2378, as amended, Perea. Workers' compensation: temporary disability payments. Existing law establishes a workers' compensation system, administered by the Administrative Director of the Division of Workers' Compensation, to compensate an employee for injuries arising out of and in the course of his or her employment. Existing law requires that aggregate disability payments for a single injury occurring on or after certain dates be limited, as provided. Existing law provides that whenever any member of the Department of Justice falling within the state peace officer/firefighter class is disabled by injury arising out of and in the course of his or her duties, he or she shall become entitled, regardless of his or her period of service with the Department of Justice to a leave of absence while so disabled without loss of salary, in lieu of disability payments under this chapter, for a period not exceeding one year. Existing law also provides that certain peace officers, firefighters, and other specified state and local public employees are entitled to a leave of absence without loss of salary 98 AB 2378 —2— while disabled by injury or illness arising out of and in the course of employment. This bill would provide that the above-specified leaves of absence without loss of salary are payable in addition to the maximum aggregate disability payments for a single injury that is applicable to all workers. The bill would make these provisions applicable to all claims, regardless of the date of injury. The bill would also make related findings and declarations. Vote: majority. Appropriation: no. Fiscal committee: yes. State -mandated local program: no. The people of the State of California do enact as follows: 1 SECTION 1. The Legislature finds and declares all of the 2 following: 3 (a) Under current law, the courts are compelled to liberally 4 construe the workers' compensation statutes with the purpose of 5 extending related benefits for the protection of workers injured in 6 the course of their employment, so long as the intent of the 7 Legislature, as expressed in a particular statute, is not supplanted. 8 (b) With the enactment of Assembly Bill 338 of the 2007-08 9 Regular Session (AB 338), the Legislature expressly intended to 10 ameliorate what was then the unintended consequence of unfairly 11 penalizing an injured employee who returned to work that resulted 12 from the two-year limit that was placed on aggregate disability 13 payments for certain single injuries causing temporary disability. 14 (c) As introduced, the clearly stated purpose of AB 338 was to 15 alleviate the penalty to injured workers pursuant to Section 4656 16 of the Labor Code by increasing the maximum number of weeks 17 of temporary disability payments for which an injured worker may 18 be eligible, while also extending the time period of eligibility. 19 (d) In enacting AB 338, the Legislature adopted a consensus 20 solution that more closely upholds the purpose of the workers' 21 compensation system, which, by design, encourages and supports 22 injured workers in their efforts to return to work. 23 (e) Article 6 (commencing with Section 4800) and Article 7 24 (commencing with Section 4850) of Chapter 2 of Part 2 of Division 25 4 of the Labor Code, both of which govern industrially injured 26 firefighters and other local public safety officers, provide for a 27 leave of absence for up to one year without a loss of salary in lieu 98 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 3 — AB 2378 of temporary disability payments or maintenance allowance payments while the public safety officer or firefighter is recovering from a disability arising out of and in the course of his or her duties. (f) The Legislature, in enacting AB 338, did not intend to limit or reduce the amount of payments made to a public safety officer or firefighter during his or her period of temporary disability. (g) In January 2013, California's Court of Appeal, First District, Division 4, issued a ruling in County of Alameda v. Workers' Compensation Appeals Board (Knittel) (2013) 213 Cal.AppAth 278, which linked the limitations on temporary disability indemnity payments established by Section 4656 of the Labor Code and the payments provided under Article 6 (commencing with Section 4800) and Article 7 (commencing with Section 4850) of Chapter 2 of Part 2 of Division 4 of the Labor Code. (h) Knittel starkly contradicts a longstanding, prevailing authority on this issue, including several Workers' Compensation Appeals Board decisions, that determined that the leave of absence afforded under Article 6 (commencing with Section 4800) and Article 7 (commencing with Section 4850) of Chapter 2 of Part 2 of Division 4 of the Labor Code is not a temporary disability indemnity benefit, and, therefore does not count against an industrially injured public safety officer's allowable number of compensable weeks of temporary disability indemnity payments. (i) In rendering Knittel, the court attributed this new interpretation aggregating both the temporary disability indemnity payments and the salary in lieu payments to public safety officers (Article 6 (commencing with Section 4800) and Article 7 (commencing with Section 4850) of Chapter 2 of Part 2 of Division 4 of the Labor Code) to the subtleties of the language changes found in AB 338. 0) This interpretation has also disenfranchised and potentially created a disability bias against the small number of public safety officers and firefighters who suffer severe industrial injuries as a matter of course and rely upon the in lieu of salary payments in addition to the temporary disability indemnity afforded to all workers under the California system. (k) It is imperative that the Legislature abrogate the holding in Knittel and restore the Legislature's intent to limit aggregate temporary disability indemnity payments under Section 4656 of the Labor Code for a single injury causing temporary disability 98 AB 2378 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —4— without disturbing the in -lieu payments afforded under Article 6 (commencing with Section 4800) and Article 7 (commencing with Section 4850) of Chapter 2 of Part 2 of Division 4 of the Labor Code. SEC. 2. Section 4656 of the Labor Code is amended to read: 4656. (a) Aggregate disability payments for a single injury occurring prior to January 1, 1979, causing temporary disability shall not extend for more than 240 compensable weeks within a period of five years from the date of the injury. (b) Aggregate disability payments for a single injury occurring on or after January 1, 1979, and prior to April 19, 2004, causing temporary partial disability shall not extend for more than 240 compensable weeks within a period of five years from the date of the injury. (c) (1) Aggregate disability payments for a single injury occurring on or after April 19, 2004, causing temporary disability shall not extend for more than 104 compensable weeks within a period of two years from the date of commencement of temporary disability payment. (2) Aggregate disability payments for a single injury occurring on or after January 1, 2008, causing temporary disability shall not extend for more than 104 compensable weeks within a period of five years from the date of injury. (3) Notwithstanding paragraphs (1) and (2), for an employee who suffers from the following injuries or conditions, aggregate disability payments for a single injury occurring on or after April 19, 2004, causing temporary disability shall not extend for more than 240 compensable weeks within a period of five years from the date of the injury: (A) Acute and chronic hepatitis B. (B) Acute and chronic hepatitis C. (C) Amputations. (D) Severe burns. (E) Human immunodeficiency virus (HIV). (F) High -velocity eye injuries. (G) Chemical burns to the eyes. (H) Pulmonary fibrosis. (I) Chronic lung disease. (d) (1) The employee benefits specified in Article 6 (commencing with Section 4800) andArticle 7 (commencing with 98 — 5 — AB 2378 1 Section 4850), are payable in addition to the maximum aggregate 2 disability payments established in this section. This subdivision 3 applies to all claims, regardless of the date of injury. 4 (2) In enacting this subdivision, it is the intent of the Legislature 5 to abrogate the holding in County of Alameda v. Workers' 6 Compensation Appeals Board (Knittel) (2013) 213 Cal.AppAth 7 278. N 98