A07330 Summary:

BILL NOA07330A
 
SAME ASSAME AS S03512-A
 
SPONSORCahill
 
COSPNSR
 
MLTSPNSR
 
Add §112-a, Work Comp L
 
Provides incentives for productive workers' compensation audits.
Go to top    

A07330 Actions:

BILL NOA07330A
 
05/06/2015referred to labor
01/06/2016referred to labor
04/04/2016amend and recommit to labor
04/04/2016print number 7330a
Go to top

A07330 Committee Votes:

Go to top

A07330 Floor Votes:

There are no votes for this bill in this legislative session.
Go to top

A07330 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         7330--A
 
                               2015-2016 Regular Sessions
 
                   IN ASSEMBLY
 
                                       May 6, 2015
                                       ___________
 
        Introduced by M. of A. CAHILL -- read once and referred to the Committee
          on  Labor  -- recommitted to the Committee on Labor in accordance with
          Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
          reprinted as amended and recommitted to said committee
 
        AN ACT to amend the workers' compensation law, in relation to  providing
          incentives for productive workers' compensation audits
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. The workers' compensation law is amended by  adding  a  new
     2  section 112-a to read as follows:
     3    §  112-a.  Audits  of employers. 1. (a) Employers in all classes other
     4  than the construction class shall be audited not  less  frequently  than
     5  biennially  and  the chair or board may provide for more frequent audits
     6  of employers in specified  classifications  based  on  factors  such  as
     7  amount  of  premium,  type  of  business, loss ratios, or other relevant
     8  factors. In no event shall employers in the construction class, generat-
     9  ing more than the amount of premium required to be experience rated,  be
    10  audited  less  frequently  than annually. The annual audits required for
    11  construction classes may  be  a  physical,  onsite  review  of  original
    12  payroll  records, employee records, checkbooks, cash book (disbursements
    13  and receipts), general ledger, contracts, tax returns including quarter-
    14  ly payroll filings, and original certificates of insurance. The audit of
    15  all employers shall be conducted no more than one  hundred  twenty  days
    16  after the expiration of a policy period.  At the completion of an audit,
    17  if  requested by the auditor, the employer or officer of the corporation
    18  must print and sign their names on  the  audit  document  affirming  the
    19  accuracy of the information provided therein. As required by section one
    20  hundred twelve of this article, employers shall make available all books
    21  and  records necessary for the payroll verification audit and permit the
    22  auditor to make a physical inspection of the employer's operation.    If
    23  an  employer  fails  to  provide reasonable access to all such books and
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06342-03-6

        A. 7330--A                          2
 
     1  records necessary for a payroll verification audit, including a physical
     2  inspection of  the  employer's  operation,  the  employer  shall  pay  a
     3  surcharge  to  the carrier of two times the most recent estimated annual
     4  premium.
     5    (b)  Employers  that  fail to provide reasonable access to the carrier
     6  for the purpose of conducting an audit shall be reported to the New York
     7  compensation insurance rating board.
     8    (c)  If  an  employer  knowingly  understates  or  knowingly  conceals
     9  payroll,  knowingly  misrepresents or knowingly conceals employee duties
    10  so as to avoid proper classification for premium calculations, or  know-
    11  ingly  misrepresents  or knowingly conceals information pertinent to the
    12  computation and application of an experience rating modification factor,
    13  said knowing misrepresentations or knowing concealments shall be consid-
    14  ered fraudulent practices  in  violation  of  applicable  provisions  of
    15  section  one  hundred  fourteen  of  this article and insurance fraud in
    16  violation of applicable provisions of section 176.05 of the penal law.
    17    (d) If during the course of an audit conducted under this section,  an
    18  insurance  carrier  obtains  information  indicating  a violation of the
    19  provisions of paragraph (c) of this subdivision, then the carrier  shall
    20  report such information to the board.
    21    2.  This  section  shall  not  apply  to employers that self-insure or
    22  employers that are members of a workers' compensation group self-insured
    23  trust.
    24    3. For the purposes of this section, "construction  class"  means  the
    25  work  or occupation described in "Group 3" of subdivision one of section
    26  three of this chapter.
    27    § 2. This act shall take effect January 1, 2017.
Go to top