Fiscal Note - SB 0270 - Revises Workers' Comp. Coverages & Exemptions For Employees and Employers
L.R. NO. 0667-05
BILL NO. Perfected SCS for SB 270
SUBJECT: Workers' Compensation: Coverages & Exemptions
TYPE: Original
DATE: March 4, 1997
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Total Estimated
Net Effect on All
State Funds $0 $0 $0
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Total Estimated
Net Effect on All
Federal Funds $0 $0 $0
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Local Government $0 $0 $0
FISCAL ANALYSIS
ASSUMPTION
The following agencies do not expect to be fiscally impacted: State Auditor,
Department of Corrections, Department of Agriculture, Department of Economic
Development, State Public Defender, Office of State Courts Administrator,
Senate, Jackson County Executive, Highway & Transportation Employees' and
Highway Patrol Retirement System, Office of Administration-Risk Management,
Highway & Transportation Employees' and Highway Patrol Retirement System,
Office of the Governor, Attorney General, Department of Natural Resources,
Gaming Commission, House of Representatives, St. Louis County Executive,
Department of Labor & Industrial Relations, Office of Lt. Governor,
Department of Health, Department of Elementary & Secondary Education, Greene
County Commission, Department of Conservation, Coordinating Board for Higher
Education, Secretary of State, and Department of Revenue.
The Department of Insurance (INS) does not expect this proposal to have a
significant fiscal impact in its current form and any costs could be absorbed
with existing resources. However, if more than one such proposal is enacted
the INS may need an increase in its appropriation due to the combined effect
of multiple proposals.
FISCAL IMPACT - State Government FY 1998 FY 1999 FY 2000
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Local Government FY 1998 FY 1999 FY 2000
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Small Business
This proposal could have a direct fiscal impact on small businesses to the
extent that exempted employees would not have to be covered under chapter 287
if the employer elects.
DESCRIPTION
The proposal would expand the definition of employer by including sole
proprietor, limited liability partners, partners or copartners.
Construction industry contractors would be required to have a certificate of
insurance for workers' compensation or an affidavit signed by the applicant
attesting to an exempt status.
Chapter 287 would not be applicable to the classifications listed in the
proposal.
A lessee who is the owner and operator of a motor vehicle leased or
contracted with a driver for hire operating within a commercial zone, or
under a certificate issued by the Department of Economic Development or the
Interstate Commerce Commission would be exempted from coverage if the lessor
so elects. Certain employers and classes of employees could be exempt from
coverage if the employer elects.
Insurance companies providing coverage to a limited liability company would
be required to provide coverage for the employees who are not members of the
limited liability company. Members of the limited liability company could
individually reject coverage. Failure to notify the company would not be
grounds to claim that the rejection was not legally effective. If the
coverage is rejected, the individual would not be entitled to workers'
compensation benefits if serving or working for the company. The rejection
could be rescinded and the member would only be entitled to benefits on or
after the date of the rescission. Employers would no longer be required to
deliver notice to an injured employee of his/her rights.
Sections 287.202, 287.030, 287.037 287.090 and 287.091 would be effective on
January 1, 1998 or at the renewal date of a policy in effect on January 1,
1998.
This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.
SOURCES OF INFORMATION
Coordinating Board for Higher Education
Office of Administration
Office of State Courts Administrator
Department of Economic Development
Department of Elementary & Secondary Education
Department of Natural Resources
Department of Corrections
Department of Health
Department of Labor & Industrial Relations
Department of Revenue
Gaming Commission
Department of Insurance
Department of Agriculture
Department of Conservation
House of Representatives
Senate
State Public Defender
Attorney General
Office of the Governor
Office of the Lt. Governor
State Auditor
Secretary of State
State Highway Employees & Patrol Retirement System
State Treasurer
St. Louis County Executive
Greene County Commission
Jackson County Executive
NOT RESPONDING: Department of Mental Health, Department of Social Services,
Department of Transportation, Department of Public Safety, Missouri
Consolidated Health Care Plan, Tax Commission, and State Treasurer
This Fiscal Note is not an official copy and should not be quoted or cited.