Minnesota Legislature
Office of the Revisor of Statutes
Minnesota Session Laws - 2002, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 262-S.F.No. 3136
An act relating to workers' compensation; modifying
payment provisions; modifying intervention procedures;
changing the calculation of special fund assessments;
amending Minnesota Statutes 2000, sections 176.092,
subdivision 1, by adding a subdivision; 176.106,
subdivision 6; 176.111, subdivision 22; 176.129,
subdivisions 7, 9, by adding subdivisions; 176.130,
subdivisions 8, 9; 176.139, subdivision 2; 176.155,
subdivision 2; 176.181, subdivision 3; 176.182;
176.185, subdivision 5a; 176.194, subdivision 3;
176.361; 176.84, subdivision 2; Minnesota Statutes
2001 Supplement, sections 176.103, subdivision 3;
176.129, subdivisions 10, 13; 176.194, subdivision 4;
repealing Minnesota Statutes 2000, section 176.129,
subdivisions 3, 4, 4a.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 2000, section 176.092,
subdivision 1, is amended to read:
Subdivision 1. [WHEN REQUIRED.] An injured employee or a
dependent under section 176.111 who is a minor or an
incapacitated person as that term is defined in section 525.54,
subdivision 2 or 3, shall have a guardian or conservator to
represent the interests of the employee or dependent in
obtaining compensation according to the provisions of this
chapter. This section applies if the employee receives or is
eligible for permanent total disability benefits, supplementary
benefits, or permanent partial disability benefits totaling more
than $3,000 or a dependent receives or is eligible for
dependency benefits, or if the employee or dependent receives or
is offered a lump sum that exceeds five times the statewide
average weekly wage.
Sec. 2. Minnesota Statutes 2000, section 176.092, is
amended by adding a subdivision to read:
Subd. 1a. [PARENT AS GUARDIAN.] A parent is presumed to be
the guardian for purposes of this section. Where the parents of
the employee are divorced, either parent with legal custody may
be considered the guardian for purposes of this section.
Notwithstanding subdivision 1, where the employee receives or is
eligible for a lump sum payment of permanent total disability
benefits, supplementary benefits, or permanent partial
disability benefits totaling more than $3,000 or if the employee
receives or is offered a settlement that exceeds five times the
statewide average weekly wage, the compensation judge shall
review such cases to determine whether benefits should be paid
in a lump sum or through an annuity.
Sec. 3. Minnesota Statutes 2001 Supplement, section
176.103, subdivision 3, is amended to read:
Subd. 3. [MEDICAL SERVICES REVIEW BOARD; SELECTION;
POWERS.] (a) There is created a medical services review board
composed of the commissioner or the commissioner's designee as
an ex officio member, two persons representing chiropractic, one
person representing hospital administrators, one physical
therapist, one registered nurse, and six physicians representing
different specialties which the commissioner determines are the
most frequently utilized by injured employees. The board shall
also have one person representing employees, one person
representing employers or insurers, and one person representing
the general public. The members shall be appointed by the
commissioner and shall be governed by section 15.0575. Terms of
the board's members may be renewed. The board may appoint from
its members whatever subcommittees it deems appropriate.
Notwithstanding section 15.059, this board does not expire
unless the board no longer fulfills the purpose for which the
board was established, the board has not met in the last 18
months, or the board does not comply with the registration
requirements of section 15.0599, subdivision 3.
The commissioner may appoint alternates for one-year terms
to serve as a member when a member is unavailable. The number
of alternates shall not exceed one chiropractor, one physical
therapist, one registered nurse, one hospital administrator,
three physicians, one employee representative, one employer or
insurer representative, and one representative of the general
public.
The board shall review clinical results for adequacy and
recommend to the commissioner scales for disabilities and
apportionment.
The board shall review and recommend to the commissioner
rates for individual clinical procedures and aggregate costs.
The board shall assist the commissioner in accomplishing public
education.
In evaluating the clinical consequences of the services
provided to an employee by a clinical health care provider, the
board shall consider the following factors in the priority
listed:
(1) the clinical effectiveness of the treatment;
(2) the clinical cost of the treatment; and
(3) the length of time of treatment.
The board shall advise the commissioner on the adoption of
rules regarding all aspects of medical care and services
provided to injured employees.
(b) The medical services review board may upon petition
from the commissioner and after hearing, issue a warning, a
penalty of $200 per violation, a restriction on providing
treatment that requires preauthorization by the board,
commissioner, or compensation judge for a plan of treatment,
disqualify, or suspend a provider from receiving payment for
services rendered under this chapter if a provider has violated
any part of this chapter or rule adopted under this chapter, or
where there has been a pattern of, or an egregious case of,
inappropriate, unnecessary, or excessive treatment by a
provider. Any penalties collected under this subdivision shall
be payable to the commissioner for deposit in the assigned risk
safety account. The hearings are initiated by the commissioner
under the contested case procedures of chapter 14. The board
shall make the final decision following receipt of the
recommendation of the administrative law judge. The board's
decision is appealable to the workers' compensation court of
appeals in the manner provided by section 176.421.
(c) The board may adopt rules of procedure. The rules may
be joint rules with the rehabilitation review panel.
Sec. 4. Minnesota Statutes 2000, section 176.106,
subdivision 6, is amended to read:
Subd. 6. [PENALTY.] At a conference, if the insurer does
not provide a specific reason for nonpayment of the items in
dispute, the commissioner's designee may assess a penalty of
$300 payable to the commissioner for deposit in the assigned
risk safety account, unless it is determined that the reason for
the lack of specificity was the failure of the insurer, upon
timely request, to receive information necessary to remedy the
lack of specificity. This penalty is in addition to any penalty
that may be applicable for nonpayment.
Sec. 5. Minnesota Statutes 2000, section 176.111,
subdivision 22, is amended to read:
Subd. 22. [PAYMENTS TO ESTATE; DEATH OF EMPLOYEE.] In
every case of death of an employee resulting from personal
injury arising out of and in the course of employment where
there are no persons entitled to monetary benefits of dependency
compensation, the employer shall pay to the estate of the
deceased employee the sum of $60,000. This payment must be made
within 14 days of notice to the insurer of the appointment of a
personal representative of the estate. Within 14 days of notice
to the insurer of the death of the employee, the insurer must
send notice to the estate, at the deceased employee's last known
address, that this payment will be made after a personal
representative has been appointed by a probate court.
Sec. 6. Minnesota Statutes 2000, section 176.129, is
amended by adding a subdivision to read:
Subd. 1b. [DEFINITIONS.] (a) For purposes of this section,
the terms defined in this subdivision have the meanings given
them.
(b) "Paid indemnity losses" means gross benefits paid for
temporary total disability, economic recovery compensation,
permanent partial disability, temporary partial disability,
impairment compensation, permanent total disability, vocational
rehabilitation benefits, or dependency benefits, exclusive of
medical and supplementary benefits. In the case of policy
deductibles, paid indemnity losses includes all benefits paid,
including the amount below deductible limits.
(c) "Standard workers' compensation premium" means the data
service organization's designated statistical reporting pure
premium after the application of experience rating plan
adjustments, but prior to the application of premium discounts,
policyholder dividends, other premium adjustments, expense
constants, and other deviations from the designated statistical
reporting pure premium.
Sec. 7. Minnesota Statutes 2000, section 176.129, is
amended by adding a subdivision to read:
Subd. 2a. [PAYMENTS TO FUND.] (a) On or before April 1 of
each year, all self-insured employers shall report paid
indemnity losses and insurers shall report paid indemnity losses
and standard workers' compensation premium in the form and
manner prescribed by the commissioner. On June 1 of each year,
the commissioner shall determine the total amount needed to pay
all estimated liabilities, including administrative expenses, of
the special compensation fund for the following fiscal year.
The commissioner shall assess this amount against self-insured
employers and insurers. The total amount of the assessment must
be allocated between self-insured employers and insured
employers based on paid indemnity losses for the preceding
calendar year. The method of assessing self-insured employers
must be based on paid indemnity losses. The method of assessing
insured employers is based on premium, collectible through a
policyholder surcharge. On or before June 30 of each year, the
commissioner shall provide notification to each self-insured
employer and insurer of amounts due. At least one-half of the
payment shall be made to the commissioner for deposit into the
special compensation fund on or before August 1 of the same
calendar year. The remaining balance is due on February 1 of
the following calendar year.
(b) The portion of the total amount that is collected from
self-insured employers is equal to that proportion of the paid
indemnity losses for the preceding calendar year, which the paid
indemnity losses of all self-insured employers bore to the total
paid indemnity losses made by all self-insured employers and
insured employers during the preceding calendar year. The
portion of the total amount that is collected from insured
employers is equal to that proportion of the total paid
indemnity losses on behalf of all insured employers bore to the
total paid indemnity losses on behalf of all self-insured
employers and insured employers during the preceding calendar
year. The portion of the total assessment allocated to insured
employers that is collected from each insured employer must be
based on standard workers' compensation premium written in the
state during the preceding calendar year. An employer who has
ceased to be self-insured shall continue to be liable for
assessments based on paid indemnity losses made by the employer
in the preceding calendar year.
(c) Insurers shall collect the assessments from their
insured employers through a surcharge based on premium, as
provided in paragraph (a). Assessments when collected do not
constitute an element of loss for the purpose of establishing
rates for workers' compensation insurance, but for the purpose
of collection are treated as separate costs imposed on insured
employers. The premium surcharge is included in the definition
of gross premium as defined in section 297I.01. An insurer may
cancel a policy for nonpayment of the premium surcharge. The
premium surcharge is excluded from the definition of premium
except as otherwise provided in this paragraph.
Sec. 8. Minnesota Statutes 2000, section 176.129,
subdivision 7, is amended to read:
Subd. 7. [REFUNDS.] In case deposit is or has been made
under subdivision 2 and dependency later is shown, or if deposit
is or has been made pursuant to subdivision 2 or 3 2a by mistake
or inadvertence, or under circumstances that justice requires a
refund, the state treasurer is authorized to refund the deposit
under order of the commissioner, a compensation judge, the
workers' compensation court of appeals, or a district
court. Claims for refunds must be submitted to the commissioner
within three years of the assessment due date. There is
appropriated to the commissioner from the fund an amount
sufficient to make the refund and payment.
Sec. 9. Minnesota Statutes 2000, section 176.129,
subdivision 9, is amended to read:
Subd. 9. [POWERS OF FUND.] In addition to powers granted
to the special compensation fund by this chapter the fund may do
the following:
(a) sue and be sued in its own name;
(b) intervene in or commence an action under this chapter
or any other law, including, but not limited to, intervention or
action as a subrogee to the division's right in a third-party
action, any proceeding under this chapter in which liability of
the special compensation fund is an issue, or any proceeding
which may result in other liability of the fund or to protect
the legal right of the fund;
(c) enter into settlements including but not limited to
structured, annuity purchase agreements with appropriate parties
under this chapter. Notwithstanding any other provision of this
chapter, any settlement may provide that the fund partially or
totally denies liability for payment of benefits, and no
determination of employer insurance status and liability under
section 176.183, subdivision 2, shall be required for approval
of the stipulation for a settlement;
(d) contract with another party to administer the special
compensation fund;
(e) take any other action which an insurer is permitted by
law to take in operating within this chapter; and
(f) conduct a financial audit of indemnity claim payments,
premium, and assessments reported to the fund. This may be
contracted by the fund to a private auditing firm.
Sec. 10. Minnesota Statutes 2001 Supplement, section
176.129, subdivision 10, is amended to read:
Subd. 10. [PENALTY.] Sums paid to the commissioner
pursuant to this section shall be in the manner prescribed by
the commissioner. The commissioner may impose a penalty payable
to the commissioner for deposit in the assigned risk safety
account of up to 15 percent of the amount due under this section
but not less than $1,000 in the event payment is not made or
reports are not submitted in the manner prescribed.
Sec. 11. Minnesota Statutes 2001 Supplement, section
176.129, subdivision 13, is amended to read:
Subd. 13. [EMPLOYER REPORTS.] All employers and insurers
shall make reports to the commissioner as required for the
proper administration of this section and Minnesota Statutes
1990, section 176.131, and Minnesota Statutes 1994, section
176.132. Employers and insurers may not be reimbursed from the
special compensation fund for any periods unless the employer or
insurer is up to date with all past due and currently due
assessments, penalties, and reports to the special compensation
fund under subdivision 3 this section.
Sec. 12. Minnesota Statutes 2000, section 176.130,
subdivision 8, is amended to read:
Subd. 8. [PENALTIES; WOOD MILLS.] If the assessment
provided for in this chapter is not paid on or before February
15 of the year when due and payable, the commissioner may impose
penalties as provided in section 176.129, subdivision 10,
payable to the commissioner for deposit in the assigned risk
safety account.
Sec. 13. Minnesota Statutes 2000, section 176.130,
subdivision 9, is amended to read:
Subd. 9. [FALSE REPORTS.] Any person or entity that, for
the purpose of evading payment of the assessment or avoiding the
reimbursement, or any part of it, makes a false report under
this section shall pay to the commissioner for deposit in the
assigned risk safety account, in addition to the assessment, a
penalty of 75 percent of the amount of the assessment. A person
who knowingly makes or signs a false report, or who knowingly
submits other false information, is guilty of a misdemeanor.
Sec. 14. Minnesota Statutes 2000, section 176.139,
subdivision 2, is amended to read:
Subd. 2. [FAILURE TO POST; PENALTY.] The commissioner may
assess a penalty of $500 against the employer payable to the
commissioner for deposit in the assigned risk safety account if,
after notice from the commissioner, the employer violates the
posting requirement of this section.
Sec. 15. Minnesota Statutes 2000, section 176.155,
subdivision 2, is amended to read:
Subd. 2. [NEUTRAL PHYSICIAN.] In each case of dispute as
to the injury the commissioner of labor and industry, or in case
of a hearing the compensation judge conducting the hearing, or
the workers' compensation court of appeals if the matter is
before it, may with or without the request of any interested
party, designate a neutral physician from the list of neutral
physicians developed by the commissioner of labor and industry
to make an examination of the injured worker and report the
findings to the commissioner of labor and industry, compensation
judge, or the workers' compensation court of appeals, as the
case may be; provided that the request of the interested party
must comply with the rules of the commissioner of labor and
industry and the workers' compensation court of appeals
regulating the proper time and forms for the request, and
further provided that when an interested party requests, not
later than 30 days prior to a scheduled prehearing conference,
that a neutral physician be designated, the compensation judge
shall make such a designation. When a party has requested the
designation of a neutral physician prior to a prehearing
conference, that party may withdraw the request at any time
prior to the hearing. The commissioner of labor and industry,
compensation judge, or the workers' compensation court of
appeals, as the case may be, may request the neutral physician
to answer any particular question with reference to the medical
phases of the case, including questions calling for an opinion
as to the cause and occurrence of the injury insofar as medical
knowledge is relevant in the answer. A copy of the signed
certificate of the neutral physician shall be mailed to the
parties in interest and either party, within five days from date
of mailing, may demand that the physician be produced for
purposes of cross-examination. The signed certificate of a
neutral physician is competent evidence of the facts stated
therein. The expense of the examination shall be paid as
ordered by the commissioner of labor and industry, compensation
judge, or the workers' compensation court of appeals.
The commissioner of labor and industry shall develop and
maintain a list of neutral physicians available for designation
pursuant to this subdivision or section 176.391, subdivision 2.
Sec. 16. Minnesota Statutes 2000, section 176.181,
subdivision 3, is amended to read:
Subd. 3. [FAILURE TO INSURE, PENALTY.] (a) The
commissioner, having reason to believe that an employer is in
violation of subdivision 2, may issue an order directing the
employer to comply with subdivision 2, to refrain from employing
any person at any time without complying with subdivision 2, and
to pay a penalty of up to $1,000 per employee per week during
which the employer was not in compliance.
(b) An employer shall have ten working days to contest such
an order by filing a written objection with the commissioner,
stating in detail its reasons for objecting. If the
commissioner does not receive an objection within ten working
days, the commissioner's order shall constitute a final order
not subject to further review, and violation of that order shall
be enforceable by way of civil contempt proceedings in district
court. If the commissioner does receive a timely objection, the
commissioner shall refer the matter to the office of
administrative hearings for an expedited hearing before a
compensation judge. The compensation judge shall issue a
decision either affirming, reversing, or modifying the
commissioner's order within ten days of the close of the
hearing. If the compensation judge affirms the commissioner's
order, the compensation judge may order the employer to pay an
additional penalty if the employer continued to employ persons
without complying with subdivision 2 while the proceedings were
pending.
(c) All penalties assessed under this subdivision shall be
paid into the state treasury and credited to payable to the
commissioner for deposit in the assigned risk safety account.
Penalties assessed under this section shall constitute a lien
for government services pursuant to section 514.67, on all the
employer's property and shall be subject to the Revenue
Recapture Act in chapter 270A.
(d) For purposes of this subdivision, the term "employer"
includes any owners or officers of a corporation who direct and
control the activities of employees.
Sec. 17. Minnesota Statutes 2000, section 176.182, is
amended to read:
176.182 [BUSINESS LICENSES OR PERMITS; COVERAGE REQUIRED.]
Every state or local licensing agency shall withhold the
issuance or renewal of a license or permit to operate a business
in Minnesota until the applicant presents acceptable evidence of
compliance with the workers' compensation insurance coverage
requirement of section 176.181, subdivision 2, by providing the
name of the insurance company, the policy number, and dates of
coverage or the permit to self-insure. The commissioner shall
assess a penalty to the employer of $2,000 payable to the
commissioner for deposit in the assigned risk safety account, if
the information is not reported or is falsely reported.
Neither the state nor any governmental subdivision of the
state shall enter into any contract for the doing of any public
work before receiving from all other contracting parties
acceptable evidence of compliance with the workers' compensation
insurance coverage requirement of section 176.181, subdivision 2.
This section shall not be construed to create any liability
on the part of the state or any governmental subdivision to pay
workers' compensation benefits or to indemnify the special
compensation fund, an employer, or insurer who pays workers'
compensation benefits.
Sec. 18. Minnesota Statutes 2000, section 176.185,
subdivision 5a, is amended to read:
Subd. 5a. [PENALTY FOR IMPROPER WITHHOLDING.] An employer
who violates subdivision 5 after notice from the commissioner is
subject to a penalty of 400 percent of the amount withheld from
or charged the employee. The penalty shall be imposed by the
commissioner. Forty percent of this penalty is payable to the
commissioner for deposit in the assigned risk safety account and
60 percent is payable to the employee.
Sec. 19. Minnesota Statutes 2000, section 176.194,
subdivision 3, is amended to read:
Subd. 3. [PROHIBITED CONDUCT.] The following conduct is
prohibited:
(1) failing to reply, within 30 calendar days after
receipt, to all written communication about a claim from a
claimant that requests a response;
(2) failing, within 45 calendar days after receipt of a
written request, to commence benefits or to advise the claimant
of the acceptance or denial of the claim by the insurer;
(3) failing to pay or deny medical bills within 45 days
after the receipt of all information requested from medical
providers;
(4) filing a denial of liability for workers' compensation
benefits without conducting an investigation;
(5) failing to regularly pay weekly benefits in a timely
manner as prescribed by rules adopted by the commissioner once
weekly benefits have begun. Failure to regularly pay weekly
benefits means failure to pay an employee on more than three
occasions in any 12-month period within three business days of
when payment was due;
(6) failing to respond to the department within 30 calendar
days after receipt of a written inquiry from the department
about a claim;
(7) failing to pay pursuant to an order of the department,
compensation judge, court of appeals, or the supreme court,
within 45 days from the filing of the order unless the order is
under appeal; or
(8) advising a claimant not to obtain the services of an
attorney or representing that payment will be delayed if an
attorney is retained by the claimant.; or
(9) altering information on a document to be filed with the
department without the notice and consent of any person who
previously signed the document and who would be adversely
affected by the alteration.
Sec. 20. Minnesota Statutes 2001 Supplement, section
176.194, subdivision 4, is amended to read:
Subd. 4. [PENALTIES.] The penalties for violations of
subdivision 3, clauses (1) through (6) and (9), are as follows:
1st through 5th violation
of each paragraph written warning
6th through 10th violation $3,000 per
of each paragraph violation
in excess of five
11 or more violations $6,000 per violation
of each paragraph in excess of ten
For violations of subdivision 3, clauses (7) and (8), the
penalties are:
1st through 5th violation
of each paragraph $3,000 per violation
6 or more violations $6,000 per violation
of each paragraph in excess of five
The penalties under this section may be imposed in addition
to other penalties under this chapter that might apply for the
same violation. The penalties under this section are assessed
by the commissioner and are payable to the commissioner for
deposit in the assigned risk safety account. A party may object
to the penalty and request a formal hearing under section
176.85. If an entity has more than 30 violations within any
12-month period, in addition to the monetary penalties provided,
the commissioner may refer the matter to the commissioner of
commerce with recommendation for suspension or revocation of the
entity's (a) license to write workers' compensation insurance;
(b) license to administer claims on behalf of a self-insured,
the assigned risk plan, or the Minnesota insurance guaranty
association; (c) authority to self-insure; or (d) license to
adjust claims. The commissioner of commerce shall follow the
procedures specified in section 176.195.
Sec. 21. Minnesota Statutes 2000, section 176.361, is
amended to read:
176.361 [INTERVENTION.]
Subdivision 1. [RIGHT TO INTERVENE.] A person who has an
interest in any matter before the workers' compensation court of
appeals, or commissioner, or compensation judge such that the
person may either gain or lose by an order or decision may
intervene in the proceeding by filing an application or motion
in writing stating the facts which show the interest. The
commissioner is considered to have an interest and shall be
permitted to intervene at the appellate level when a party
relies in its claim or defense upon any statute or rule
administered by the commissioner, or upon any rule, order,
requirement, or agreement issued or made under the statute or
rule.
The commissioner may adopt rules, not inconsistent with
this section to govern intervention. The workers' compensation
court of appeals shall adopt rules to govern the procedure for
intervention in matters before it.
If the department of human services or the department of
economic security seeks to intervene in any matter before the
division, a compensation judge or the workers' compensation
court of appeals, a nonattorney employee of the department,
acting at the direction of the staff of the attorney general,
may prepare, sign, serve and file motions for intervention and
related documents, appear at prehearing conferences, and
participate in matters before a compensation judge or the
workers' compensation court of appeals. Any other interested
party may intervene using a nonattorney and may participate in
any proceeding to the same extent an attorney could. This
activity shall not be considered to be the unauthorized practice
of law. An intervenor represented by a nonattorney shall be
deemed to be represented by an attorney for the purposes of the
conclusive presumption of section 176.521, subdivision 2.
Subdivisions 3 to 6 do not apply to matters pending in the
mediation or rehabilitation and medical services sections.
Subd. 2. [WRITTEN APPLICATION OR MOTION.] A person
desiring to intervene in a workers' compensation case as a
party, including but not limited to a health care provider who
has rendered services to an employee or an insurer who has paid
benefits under section 176.191, shall submit a timely written
application or motion to intervene to the commissioner, the
office, or to the court of appeals, whichever is applicable.
(a) The application or motion must be served on all parties
either personally, by first class mail, or registered mail,
return receipt requested. An application or motion to intervene
must be served and filed within 30 60 days after a person
potential intervenor has received been served with notice that a
claim has been filed or a request for mediation made. An
untimely application is subject to denial under subdivision 7 of
a right to intervene or within 30 days of notice of an
administrative conference. Upon the filing of a timely
application or motion to intervene, the potential intervenor
shall be granted intervenor status without the need for an
order. Objections to the intervention may be subsequently
addressed by a compensation judge. Where a motion to intervene
is not timely filed under this section, the potential intervenor
interest shall be extinguished and the potential intervenor may
not collect, or attempt to collect, the extinguished interest
from the employee, employer, insurer, or any government program.
(b) In any other situation, timeliness will be determined
by the commissioner, compensation judge, or awarding authority
in each case based on circumstances at the time of filing. The
application or motion must show how the applicant's legal
rights, duties, or privileges may be determined or affected by
the case; state the grounds and purposes for which intervention
is sought; and indicate the statutory right to intervene. The
application or motion must be accompanied by the following, if
applicable, except that if the action is pending in the
mediation or rehabilitation and medical services section, clause
(6) is not required and the information listed in clauses (1) to
(5) may be brought to the conference rather than attached to the
application:
(1) an itemization of disability payments showing the
period during which the payments were or are being made; the
weekly or monthly rate of the payments; and the amount of
reimbursement claimed;
(2) a summary of the medical or treatment payments, or
rehabilitation services provided by the vocational
rehabilitation unit, broken down by creditor, showing the total
bill submitted, the period of treatment or rehabilitation
covered by that bill, the amount of payment on that bill, and to
whom the payment was made;
(3) copies of all medical or treatment bills on which some
payment was made;
(4) copies of the work sheets or other information stating
how the payments on medical or treatment bills were calculated;
(5) a copy of the relevant policy or contract provisions
upon which the claim for reimbursement is based;
(6) a proposed order allowing intervention with sufficient
copies to serve on all parties;
(7) the name and telephone number of the person
representing the intervenor who has authority to reach a
settlement of the issues in dispute;
(8) (7) proof of service or copy of the registered mail
receipt;
(9) (8) at the option of the intervenor, a proposed
stipulation which states that all of the payments for which
reimbursement is claimed are related to the injury or condition
in dispute in the case and that, if the petitioner is successful
in proving the compensability of the claim, it is agreed that
the sum be reimbursed to the intervenor; and
(10) (9) if represented by an attorney, the name, address,
telephone number, and Minnesota Supreme Court license number of
the attorney.
Subd. 3. [STIPULATION.] If the person submitting the
application or motion for intervention has included a proposed
stipulation, all parties shall either execute and return the
signed stipulation to the intervenor who must file it with the
division or judge or serve upon the intervenor and all other
parties and file with the division specific and detailed
objections to any payments made by the intervenor which are not
conceded to be correct and related to the injury or condition
the petitioner has asserted is compensable. If a party has not
returned the signed stipulation or filed objections within 30
days of service of the application or motion, the intervenor's
right to reimbursement for the amount sought is deemed
established provided that the petitioner's claim is determined
to be compensable.
Subd. 4. [ATTENDANCE BY INTERVENOR.] Unless a stipulation
has been signed and filed or the intervenor's right to
reimbursement has otherwise been established, the intervenor
shall attend all settlement or pretrial conferences,
administrative conferences, and shall attend the regular hearing
if ordered to do so by the compensation judge. Failure to
appear shall result in the denial of the claim for reimbursement.
Subd. 5. [ORDER.] If an objection to intervention remains
following settlement or pretrial conferences, the commissioner
or compensation judge shall rule on the intervention and the
order is binding on the compensation judge to whom the case is
assigned for issue shall be addressed at the hearing.
Subd. 6. [PRESENTATION OF EVIDENCE BY INTERVENOR.] Unless
a stipulation has been signed and filed or the intervenor's
right to reimbursement has otherwise been established, the
intervenor shall present evidence in support of the claim at the
hearing unless otherwise ordered by the compensation judge.
Subd. 7. [EFFECTS OF NONCOMPLIANCE.] Except as provided in
subdivisions 2 and 4, failure to comply with this section shall
not result in a denial of the claim for reimbursement unless the
compensation judge, or commissioner, determines that the
noncompliance has materially prejudiced the interests of the
other parties.
Sec. 22. Minnesota Statutes 2000, section 176.84,
subdivision 2, is amended to read:
Subd. 2. [PENALTY.] The commissioner or compensation judge
may impose a penalty of $500 for each violation of subdivision
1. This penalty is payable to the commissioner for deposit in
the assigned risk safety account.
Sec. 23. [REPEALER.]
Minnesota Statutes 2000, section 176.129, subdivisions 3,
4, and 4a, are repealed.
Sec. 24. [EFFECTIVE DATE.]
Sections 6 to 11 and 23 are effective with assessments due
after July 1, 2003.
Presented to the governor March 20, 2002
Signed by the governor March 22, 2002, 2:12 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes