HB 499-FN – AS INTRODUCED
2011 SESSION
01/03
HOUSE BILL 499-FN
AN ACT relative to the employer’s lien on damages and benefits recovered from third persons by employees who have received workers’ compensation.
SPONSORS: Rep. G. Richardson, Merr 4
This bill clarifies the division of damages and benefits recovered from third persons by employees who have received workers’ compensation.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
11-0752
01/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eleven
AN ACT relative to the employer’s lien on damages and benefits recovered from third persons by employees who have received workers’ compensation.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Workers’ Compensation; Liability of Third Person. Amend RSA 281-A:13, IV to read as follows:
IV. Whenever there is a recovery against a third person under paragraph I, II, or III, the commissioner, the arbitrator, or the superior court, as the case may be, shall order such division of the recovery, and expenses and costs of action, including attorneys’ fees, between the employer or the employer’s insurance carrier and the employee as justice may require.
2 Effective Date. This act shall take effect upon its passage.
LBAO
11-0752
Revised 02/10/11
HB 499 FISCAL NOTE
AN ACT relative to the employer’s lien on damagers and benefits recovered from third persons by employees who have received workers’ compensation.
FISCAL IMPACT:
The Department of Labor and New Hampshire Association of Counties state this bill may increase state, county and local revenue by an indeterminable amount in FY 2011 and each year thereafter. The Department of Administrative Services states this bill will have an indeterminable fiscal impact on state expenditures and revenue. The New Hampshire Municipal Association states this bill may decrease local expenditures and increase local revenue by an indeterminable amount in FY 2011 and each year thereafter. There is no fiscal impact on county expenditures.
METHODOLOGY:
The Department of Labor states this bill clarifies the division of damages and benefits recovered from third persons by employees who have received workers’ compensation. The Department states this bill would only have a fiscal impact on state, county and local government in their role as employers. To the extent this bill results in the recovery of benefits from third persons and some amount of damage is attributed to the employer, there may be an indeterminable increase in state, county and local revenue.
The Department of Administrative Services states under current law the full amount of employer liens must be satisfied but this bill appears to authorize adjudicatory bodies to exercise discretion in allocating third party recoveries to satisfy employer liens as well as the expense associated with the third party action. The Department states this bill will have an indeterminable fiscal impact on state revenue and expenditures.
The New Hampshire Association of Counties states this bill may result in additional funds being distributed to a county as an employer, resulting in an indeterminable increase in county revenue.
The New Hampshire Municipal Association states this bill may result in a reduction in the amount of a workers’ compensation carrier’s lien on damages recovered by an employee in a civil action against a third party for personal injuries to the employee. The reduction in such liens may have an indirect impact on rates paid by municipalities for workers’ compensation insurance. As employers, municipalities may have increased revenue to the extent this bill results in the recovery of benefits from third persons and some amount of damage is attributed to the municipality.