Impasse broken over changes to worker's comp

By Karin Miller, The Associated Press
For The Commercial Appeal
May 12, 2004

NASHVILLE - An impasse between Gov. Phil Bredesen's administration and several lawmakers over how to change the state workers' compensation system appears to have been broken.

A new version of the governor's bill emerged Tuesday that may satisfy enough concerns of lawmakers to move through the Senate Commerce Committee today.

Commerce Committee chairman Jerry Cooper, D-Morrison, stalled action on the bill last week because he didn't believe the administration was paying attention to issues raised by several senators, including Mark Norris, R-Collierville, and Larry Trail, D-Murfreesboro.

The two attorneys, who've handled dozens of workers' comp cases, met Monday with administration officials. Several points they made were addressed in the new bill, Norris said.

For example, the administration had planned to shift more responsibility for second injury fund claims to employers. Under the new version of the bill, that will be delayed a year so officials can study the implications.

In the 1990s the state began to bear more of the burden for reimbursing workers injured on the job a second time. It was intended to provide employers with an incentive to hire or keep injured employees. However, that has become costly to the state, which now has a $56 million unfunded liability in the fund.

Norris called the bill "a good faith effort" to address concerns and promise that future changes will be considered.

"It's a first step, a giant step, toward real reform," Norris said.

Senate Democratic Leader Joe Haynes, D-Goodlettsville, who sponsors the bill for the administration, said he was glad to hear of the delay in the second injury fund shift.

"That was just dumping the cost on employers," he said.

He wouldn't say whether he was comfortable with the rest of the changes because he hadn't had a chance to study or discuss them with administration officials and colleagues. However, he said, "I'm at the will of the committee. Whatever the committee wants to do with it, I'll do."

The House likely will vote on the bill today no matter what senators do, according to Speaker Jimmy Naifeh, D-Covington. "Our plan is to move on it," he said.

And he'll have some help. House Republican Leader Tre Hargett of Bartlett promised that the bill would get at least 30 votes from his caucus.

Several Democrats, fearful of angering key labor and trial lawyer supporters, may not vote for the bill.

The governor said he isn't concerned about the bill's lack of progress. "This kind of logjamming at the end (of a legislative session) has happened before and I think in the end it will move out."