Report Title:

Workers' Compensation; appellate board; orders

 

Description:

Clarifies that the appellate board may order deductions or reimbursements to credit an employer for payments made by the employer to an injured employee which were not payable at the time when made.

 

THE SENATE

S.B. NO.

574

TWENTY-FIRST LEGISLATURE, 2001

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO WORKERS' COMPENSATION.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 386-52, Hawaii Revised Statutes, is amended to read as follows:

"§386-52 Credit for [voluntary] payments and supplies in kind. (a) Any payments made by the employer to the injured employee [during the employee's disability] or to the employee's dependents which by the terms of this chapter were not payable when made, shall be deducted from the amount payable as compensation subject to the approval of the director[;] or the appellate board, as applicable; provided that:

(1) The employer notifies the injured employee and the director or the appellate board, as applicable, in writing of any such credit request stating the reasons for such credit and informing the injured employee that the employee has the right to file a written request for a hearing to submit any evidence to dispute such a credit;

(2) The deduction shall be made by shortening the period during which the compensation must be paid, or by reducing the total amount for which the employer is liable and not the amount of weekly benefits;

(3) If overpayment cannot be credited, the director or the appellate board, as applicable, shall order the claimant to reimburse the employer. Failure to reimburse the employer shall entitle the employer to file for enforcement of such a decision in accordance with section 386-91.

(b) If the employer continues to furnish to the injured employee[, during the employee's disability,] or to the employee's dependents, during their entitlement to weekly benefits, board, lodging, fuel, and other advantages the value of which has been included in the calculation of wages as provided in section 386-1, the furnishing of [such] the advantages may be considered as payment in kind of that portion of the compensation which is based on [such] the remuneration in kind; but if at any time during the compensation period the employer ceases to furnish [such] the advantages, no further deduction of the value of [such] the advantages as payment in kind from the compensation shall be permissible."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

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