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A10316 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10316
 
                   IN ASSEMBLY
 
                                      May 22, 2012
                                       ___________
 
        Introduced  by  M. of A. WRIGHT -- (at request of the State Comptroller)
          -- read once and referred to the Committee on Labor
 
        AN ACT to amend the workers' compensation law, in relation to  the  pre-
          audit of expenditures from the state insurance fund by the state comp-
          troller and to repeal certain provisions of such law relating thereto
 

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Section 88 of the workers' compensation law, as amended  by
     2  chapter 6 of the laws of 2007, is amended to read as follows:
     3    § 88. Administration expenses. The entire expense of administering the
     4  state  insurance  fund shall be paid out of such fund which shall not be
     5  considered an agency or a fund of the state for the purposes of  section
     6  four  of the state finance law.  The portion of such expenses applicable
     7  and chargeable to the disability benefits  fund  [and  the  medical  and
     8  hospital  malpractice  fund]  shall  be determined on an equitable basis
     9  with due allowance for the division of overhead expenses. Not later than

    10  the first day of November there shall be submitted to  the  director  of
    11  the  budget for his approval an estimated budget of expenditures for the
    12  succeeding calendar year having due regard to the business interests and
    13  contract obligations of the fund.   There may not be  expended  for  the
    14  state  insurance  fund  for  purposes  of  administration  more than the
    15  amounts specified in such budget for each item of expenditure, except as
    16  authorized by the director of the budget.  There shall be  submitted  to
    17  the  director of the budget quarterly financial statements on a calendar
    18  year basis. In no case shall the amount of  administrative  expenditures
    19  so  authorized  for  an entire year [for] from the workers' compensation

    20  [insurance] fund exceed twenty-five per centum of  the  earned  premiums
    21  for  such insurance for that year. In no case shall the amount of admin-
    22  istrative expenditures authorized for the disability benefits  fund  for
    23  an  entire  year exceed twenty-five per centum of the premiums earned by
    24  that fund for such insurance for that year. [In no case shall the amount
    25  of expenditures authorized for the medical and hospital malpractice fund
    26  for an entire year exceed twenty-five per centum of the premiums  earned
    27  by that fund.] If there be officers or employees of the department whose
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

                                                                   LBD14101-01-2

        A. 10316                            2
 
     1  duties relate partly to the general work of the department and partly to
     2  the work of the state insurance fund, and in case there is other expense
     3  which  is  incurred jointly on behalf of the general work of the depart-
     4  ment  and  the  state  insurance fund, an equitable apportionment of the
     5  expense shall be made and the part thereof which is  applicable  to  the
     6  state  insurance  fund  shall be chargeable thereto. The expenses of the
     7  department of audit and control incurred in connection with the  pre-au-
     8  dit  of expenditures of the state insurance fund, as required by section
     9  one hundred eleven of the state finance law, shall be a  charge  against
    10  and  be  paid  out  of  the moneys of the state insurance fund and there

    11  shall be included in the annual  estimate  submitted  pursuant  to  this
    12  section an amount sufficient to pay such expenses for the period covered
    13  by such estimate. Notwithstanding section four of the state finance law,
    14  the  state  comptroller  is  authorized  to  process or approve payments
    15  related to business taxes, various workers' compensation  board  assess-
    16  ments  and assessments related to the workers' compensation rating board
    17  directly from the fund's accounts without explicit appropriation author-
    18  ity. The commissioner of labor shall include in his annual report to the
    19  legislature a statement of the  commissioners  showing  the  expense  of
    20  administering the state fund for the preceding year. All appointments to
    21  positions  in  the  state  insurance fund shall be made subject to civil
    22  service requirements.

    23    § 2. Section 88 of the workers' compensation law, as amended by  chap-
    24  ter 635 of the laws of 1996, is REPEALED.
    25    §  3.  This  act shall take effect immediately; provided, however that
    26  section one of this act shall be deemed to have been in full  force  and
    27  effect on and after April 1, 1996.
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