LRB-1228/1
GMM:kjf:pg
2007 - 2008 LEGISLATURE
April 24, 2007 - Introduced by Representatives Sherman, Townsend, Albers,
Berceau, Hahn, Molepske and Turner, cosponsored by Senator Jauch.
Referred to Committee on Labor and Industry.
AB288,1,4
1An Act to amend 102.27 (2) (b); and
to create 102.27 (2) (c) of the statutes;
2relating to: an award to an injured employee's attorney who takes any action
3to collect public assistance reimbursement in a worker's compensation
4proceeding.
Analysis by the Legislative Reference Bureau
Under current law, if a governmental unit provides public assistance to pay
medical costs or living expenses related to a claim for worker's compensation and if
the governmental unit has given the parties to the claim written notice stating that
it provided the assistance and the amount of the assistance provided, the employer
or insurance carrier owing the worker's compensation is required to reimburse the
governmental unit for the amount of the assistance provided or for two-thirds of the
amount of the worker's compensation award remaining after deduction of attorney
fees and other fees and costs payable under the worker's compensation law,
whichever is less.
This bill requires the Department of Workforce Development (DWD) to award
to the attorney or other representative of an injured employee not less than 15
percent nor more than 25 percent of the amount of reimbursement collected for a
governmental unit that has provided public assistance, depending on the extent to
which the attorney or representative substantially contributed to the collection of
the reimbursement, if the attorney or other representative takes any action to collect
the reimbursement and if the governmental unit takes any action to collect the
reimbursement in addition to providing notice that it provided the assistance and the
amount of the assistance. If the attorney or other representative takes any action
to collect the reimbursement and if the governmental unit providing the public
assistance takes no action to collect the reimbursement other than providing the
notice, the bill requires DWD to award to the attorney or representative an amount
that DWD determines is reasonable for collecting the reimbursement, but not less
than 25 percent nor more than 30 percent of the amount of reimbursement collected.
Finally, in addition to these percentage amounts awarded, the bill requires DWD to
award to the attorney or representative an amount for reasonable expenses
necessarily incurred in collecting the reimbursement.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB288, s. 1
1Section
1. 102.27 (2) (b) of the statutes is amended to read:
AB288,2,142
102.27
(2) (b)
If Subject to par. (c), if a governmental unit
that provides public
3assistance under ch. 49 to pay medical costs or living expenses related to a claim
4under this chapter
provides the parties to the claim with written notice stating that
5the governmental unit has provided the assistance and the cost of the assistance
6provided, the employer or insurance carrier owing compensation
or the department
7owing payments under s. 102.81 shall reimburse that governmental unit
any
8compensation awarded or paid if the governmental unit has given the parties to the
9claim written notice stating that it provided the assistance and the cost of the
10assistance provided. Reimbursement shall equal the lesser of either for the amount
11of assistance the governmental unit provided or
for two-thirds of the amount of the
12award or payment remaining after deduction of attorney fees and any other fees or
13costs chargeable under
ch. 102. The department shall comply with this paragraph
14when making payments under s. 102.81 this chapter, whichever is less.
AB288, s. 2
15Section
2. 102.27 (2) (c) of the statutes is created to read:
AB288,3,9
1102.27
(2) (c) 1. If the attorney or other representative of an injured employee
2takes any action to collect the reimbursement owed under par. (b) and if the
3governmental unit providing the public assistance under ch. 49 takes any action to
4collect that reimbursement in addition to providing the notice under par. (b), the
5department shall award to the attorney or representative not less than 15 percent
6nor more than 25 percent of the amount of reimbursement collected, depending on
7the extent to which the attorney or representative substantially contributed to the
8collection of the reimbursement. Any amount awarded under this subdivision shall
9be paid out of the amount of reimbursement collected.
AB288,3,1710
2. If the attorney or other representative of an injured employee takes any
11action to collect the reimbursement owed under par. (b) and if the governmental unit
12providing the public assistance under ch. 49 takes no action to collect that
13reimbursement other than providing the notice under par. (b), the department shall
14award to the attorney or representative an amount that the department determines
15is reasonable for collecting the reimbursement, but not less than 25 percent nor more
16than 30 percent of the amount of reimbursement collected. Any amount awarded
17under this subdivision shall be paid out of the amount of reimbursement collected.
AB288,3,2118
3. In addition to the amount awarded under subd. 1. or 2., the department shall
19award the attorney or representative an amount for reasonable expenses necessarily
20incurred in collecting the reimbursement, which expenses shall be awarded against
21the employer, insurance carrier, or department.
