Assembly Bill No. 44–Committee on Commerce and Labor
CHAPTER..........
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. NRS 616A.425 is hereby amended to read as follows:
616A.425 1. There is hereby established in the state treasury the fund
for workers’ compensation and safety as a special revenue fund. All money
received from assessments levied on insurers and employers by the
administrator pursuant to NRS 232.680 must be deposited in this fund.
2. All assessments, penalties, bonds, securities and all other properties
received, collected or acquired by the division for functions supported in
whole or in part from the fund must be delivered to the custody of the state
treasurer for deposit to the credit of the fund.
3. All money and securities in the fund must be used to defray all costs
and expenses of administering the program of workmen’s compensation,
including the payment of:
(a) All salaries and other expenses in administering the division of
industrial relations, including the costs of the office and staff of the
administrator.
(b) All salaries and other expenses of administering NRS 616A.435 to
616A.460, inclusive, the offices of the hearings division of the department
of administration and the programs of self-insurance and review of
premium rates by the commissioner.
(c) The salary and other expenses of a full-time employee of the
legislative counsel bureau whose principal duties are limited to conducting
research and reviewing and evaluating data related to industrial insurance.
(d) All salaries and other expenses of the fraud control unit for
industrial insurance established pursuant to NRS 228.420.
(e) Claims against uninsured employers arising from compliance with
NRS 616C.220 and 617.401.
(f) [All salaries and expenses of the members of the legislative
committee on workers’ compensation and any other expenses incurred by
the committee in carrying out its duties pursuant to NRS 218.5375 to
218.5378, inclusive.
(g)] That portion of the salaries and other expenses of the office for
consumer health assistance established pursuant to NRS 223.550 that is
related to providing assistance to consumers and injured employees
concerning workers’ compensation.
4. The state treasurer may disburse money from the fund only upon
written order of the controller.
5. The state treasurer shall invest money of the fund in the same
manner and in the same securities in which he is authorized to invest state
general funds which are in his custody. Income realized from the
investment of the assets of the fund must be credited to the fund.
6. The commissioner shall assign an actuary to review the
establishment of assessment rates. The rates must be filed with the
commissioner 30 days before their effective date. Any insurer or employer
who wishes to appeal the rate so filed must do so pursuant to NRS
679B.310.
Sec. 2. NRS 616B.021 is hereby amended to read as follows:
616B.021 1. An insurer shall provide access to the files of claims in
its offices.
2. [A file is] The physical records in a file concerning a claim filed in
this state may be kept at an office located outside this state if all records
in the file are accessible at offices located in this state on computer in a
microphotographic, electronic or other similar format that produces an
accurate reproduction of the original. If a claim filed in this state is open,
the records in the file must be reproduced and available for inspection
during regular business hours within 24 hours after requested by the
employee or his designated agent, the employer or his designated agent
[and] , or the administrator or his designated agent. If a claim filed in this
state is closed, the records in the file must be reproduced and available
for inspection during regular business hours within 14 days after
requested by such persons.
3. Upon request, the insurer shall make copies or other reproductions
of anything in the file and may charge a reasonable fee for this service.
Copies or other reproductions of materials in the file which are requested
by the administrator or his designated agent, or the Nevada attorney for
injured workers or his designated agent must be provided free of charge.
4. [If a claim has been closed for at least 1 year, the insurer may
microphotograph or film any of its records relating to that claim. The
microphotographs or films must be placed in convenient and accessible
files.
5.] The administrator [shall] may adopt regulations concerning the:
(a) Maintenance of records in a file on [current] claims that are open or
closed [claims;] ; and
(b) Preservation, examination and use of records which have been
[microphotographed or filmed] stored on computer or in a
microphotographic, electronic or similar format by an insurer . [; and
(c) Location of a file on a closed claim.
6.] 5. This section does not require an insurer to allow inspection or
reproduction of material regarding which a legal privilege against
disclosure has been conferred.
Sec. 3. NRS 616B.027 is hereby amended to read as follows:
616B.027 1. Every insurer shall [provide:
(a) An] :
(a) Provide an office in this state operated by the insurer or its third-
party administrator in which:
(1) A complete file of each claim is [kept;] accessible, in accordance
with the provisions of NRS 616B.021;
(2) Persons authorized to act for the insurer and, if necessary,
licensed pursuant to chapter 683A of NRS, may receive information related
to a claim and provide the services to an employer and his employees
required by chapters 616A to 617, inclusive, of NRS; and
(3) An employee or his employer, upon request, is provided with
information related to a claim filed by the employee or a copy or other
reproduction of the information from the file for that claim[.
(b) Statewide,] , in accordance with the provisions of NRS 616B.021.
(b) Provide statewide toll-free telephone service to [that] the office
maintained pursuant to paragraph (a) or accept collect calls from injured
employees.
2. Each private carrier shall provide:
(a) Adequate services to its insured employers in controlling losses; and
(b) Adequate information on the prevention of industrial accidents and
occupational diseases.
Sec. 4. (Deleted by amendment.)
Sec. 5. NRS 616C.260 is hereby amended to read as follows:
616C.260 1. All fees and charges for accident benefits must not:
(a) Exceed the [fees and charges] amounts usually billed and paid in
the state for similar treatment.
(b) Be unfairly discriminatory as between persons legally qualified to
provide the particular service for which the fees or charges are asked.
2. The administrator shall, giving consideration to the fees and charges
being billed and paid in the state, establish a schedule of reasonable fees
and charges allowable for accident benefits provided to injured employees
whose insurers have not contracted with an organization for managed care
or with providers of health care services pursuant to NRS 616B.527. The
administrator shall review and revise the schedule on or before [October]
February 1 of each year. [The administrator may increase or decrease ] In
the revision, the administrator shall adjust the schedule[, but shall not
increase the schedule by any factor greater than] by the corresponding
annual [increase] change in the Consumer Price Index, Medical Care
Component . [, unless the advisory council of the division approves such an
increase.]
3. The administrator [may request] shall designate a vendor who
compiles data on a national basis concerning fees and charges that are
billed and paid for treatment or services similar to the treatment and
services that qualify as accident benefits in this state to provide him with
such information as he deems necessary to carry out the provisions of
subsection 2. The designation must be made pursuant to reasonable
competitive bidding procedures established by the administrator. In
addition, the administrator may request a health insurer, health
maintenance organization or provider of accident benefits, an agent or
employee of such a person, or an agency of the state[,] to provide the
administrator with [such] information concerning fees and charges that are
billed and paid in this state for similar services as he deems necessary to
carry out the provisions of subsection 2. The administrator shall require a
[person or entity providing] health insurer, health maintenance
organization or provider of accident benefits, an agent or employee of
such a person, or an agency of the state that provides records or reports of
fees [charged] and charges billed and paid pursuant to this section to
provide interpretation and identification concerning the information
delivered. The administrator may impose an administrative fine of $500 on
a health insurer, health maintenance organization or provider of
accident benefits, or an agent or employee of such a person for each
refusal to provide the information requested pursuant to this subsection.
4. The division may adopt reasonable regulations necessary to carry
out the provisions of this section. The regulations must include provisions
concerning:
(a) Standards for the development of the schedule of fees and charges
[;] that are billed and paid; and
(b) The [periodic revision of the schedule; and
(c) The] monitoring of compliance by providers of benefits with the
[adopted] schedule of fees and charges.
5. The division shall adopt regulations requiring the [utilization] use of
a system of billing codes as recommended by the American Medical
Association.
Sec. 6. NRS 232.680 is hereby amended to read as follows:
232.680 1. The cost of carrying out the provisions of NRS 232.550
to 232.700, inclusive, and of supporting the division, a full-time employee
of the legislative counsel bureau[,] and the fraud control unit for industrial
insurance established pursuant to NRS 228.420 , [and the legislative
committee on workers’ compensation created pursuant to NRS 218.5375,]
and that portion of the cost of the office for consumer health assistance
established pursuant to NRS 223.550 that is related to providing assistance
to consumers and injured employees concerning workers’ compensation,
must be paid from assessments payable by each insurer, including each
employer who provides accident benefits for injured employees pursuant to
NRS 616C.265, based upon expected annual expenditures for claims for
injuries occurring on or after July 1, 1999. The division shall adopt
regulations [which] that establish formulas of assessment which result in
an equitable distribution of costs among the insurers and employers who
provide accident benefits for injured employees. The formulas may utilize
actual expenditures for claims.
2. Federal grants may partially defray the costs of the division.
3. Assessments made against insurers by the division after the
adoption of regulations must be used to defray all costs and expenses of
administering the program of workers’ compensation, including the
payment of:
(a) All salaries and other expenses in administering the division,
including the costs of the office and staff of the administrator.
(b) All salaries and other expenses of administering NRS 616A.435 to
616A.460, inclusive, the offices of the hearings division of the department
of administration and the programs of self-insurance and review of
premium rates by the commissioner of insurance.
(c) The salary and other expenses of a full-time employee of the
legislative counsel bureau whose principal duties are limited to conducting
research and reviewing and evaluating data related to industrial insurance.
(d) All salaries and other expenses of the fraud control unit for
industrial insurance established pursuant to NRS 228.420.
(e) Claims against uninsured employers arising from compliance with
NRS 616C.220 and 617.401.
(f) [All salaries and expenses of the members of the legislative
committee on workers’ compensation and any other expenses incurred by
the committee in carrying out its duties pursuant to NRS 218.5375 to
218.5378, inclusive.
(g)] That portion of the salaries and other expenses of the office for
consumer health assistance established pursuant to NRS 223.550 that is
related to providing assistance to consumers and injured employees
concerning workers’ compensation.
Sec. 7. NRS 233B.039 is hereby amended to read as follows:
233B.039 1. The following agencies are entirely exempted from the
requirements of this chapter:
(a) The governor.
(b) The department of prisons.
(c) The University and Community College System of Nevada.
(d) The office of the military.
(e) The state gaming control board.
(f) The Nevada gaming commission.
(g) The welfare division of the department of human resources.
(h) The division of health care financing and policy of the department of
human resources.
(i) The state board of examiners acting pursuant to chapter 217 of NRS.
(j) Except as otherwise provided in NRS 533.365, the office of the state
engineer.
(k) The division of industrial relations of the department of business and
industry in acting to enforce the provisions of NRS 618.375.
(l) The administrator of the division in establishing and adjusting the
schedule of fees and charges for accident benefits pursuant to subsection
2 of NRS 616C.260.
(m) The board to review claims in adopting resolutions to carry out its
duties pursuant to NRS 590.830.
2. Except as otherwise provided in NRS 391.323, the department of
education, the board of the public employees’ benefits program and the
commission on professional standards in education are subject to the
provisions of this chapter for the purpose of adopting regulations but not
with respect to any contested case.
3. The special provisions of:
(a) Chapter 612 of NRS for the distribution of regulations by and the
judicial review of decisions of the employment security division of the
department of employment, training and rehabilitation;
(b) Chapters 616A to 617, inclusive, of NRS for the determination of
contested claims;
(c) Chapter 703 of NRS for the judicial review of decisions of the
public utilities commission of Nevada;
(d) Chapter 91 of NRS for the judicial review of decisions of the
administrator of the securities division of the office of the secretary of
state; and
(e) NRS 90.800 for the use of summary orders in contested
cases,
prevail over the general provisions of this chapter.
4. The provisions of NRS 233B.122, 233B.124, 233B.125 and
233B.126 do not apply to the department of human resources in the
adjudication of contested cases involving the issuance of letters of approval
for health facilities and agencies.
5. The provisions of this chapter do not apply to:
(a) Any order for immediate action, including, but not limited to,
quarantine and the treatment or cleansing of infected or infested animals,
objects or premises, made under the authority of the state board of
agriculture, the state board of health, the state board of sheep
commissioners or any other agency of this state in the discharge of a
responsibility for the preservation of human or animal health or for insect
or pest control; or
(b) An extraordinary regulation of the state board of pharmacy adopted
pursuant to NRS 453.2184.
6. The state board of parole commissioners is subject to the provisions
of this chapter for the purpose of adopting regulations but not with respect
to any contested case.
Sec. 8. NRS 218.5375, 218.5376, 218.5377 and 218.5378 are hereby
repealed.
Sec. 9. Notwithstanding the amendatory provisions of section 5 of this
act, the administrator of the division of industrial relations of the
department of business and industry is not required to designate a vendor
that compiles data on a national basis concerning fees and charges that are
billed and paid for certain treatment and services pursuant to section 5 of
this act in sufficient time to ensure that the schedule of reasonable fees and
charges allowable for accident benefits that must be revised on or before
February 1, 2002, includes the data obtained from that vendor, but shall use
his best efforts to do so.
Sec. 10. 1. This section becomes effective upon passage and
approval.
2. Section 5 of this act becomes effective:
(a) Upon passage and approval for the purpose of requiring the
administrator to designate a vendor whocompiles data on a national basis
concerning fees and charges that are billed and paid for treatment or
services similar to the treatment and services that qualify as accident
benefits in this state to provide the administrator with such information as
he deems necessary to carry out the provisions of subsection 2 of section 5
of this act.
(b) On July 1, 2001, for all other purposes.
3. Sections 1 to 4, inclusive, and 6 to 9, inclusive, of this act become
effective on July 1, 2001.
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