OFF. GOOD MORNING. WELCOME TO
THE ASSEMBLY COMMITTEE ON
INSURANCE. BEFORE WE GET STARTED
, AND WE'RE GOING TO START AS A
SUBCOMMITTEE, BUT BEFORE WE GET
STARTED, I JUST WANT TO TAKE A
MOMENT WE HAVE SOME HAPPY AND
SOME SAD NEWS TODAY. UH TOMORROW
IS THE LAST DAY OF ASSEMBLY
SERGEANT HALSEY READ. AND I JUST
YES. AND WE JUST LIKE TO THANK
YOU FOR YOUR YEARS OF SERVICE,
AND WE'RE GOING TO MISS YOU SO
MUCH. I CAN'T IMAGINE. COMING TO
WORK AND NOT SEEING YOU HERE,
BUT WE'RE VERY, VERY HAPPY FOR
YOU AND WHAT LIES AHEAD AND
RETIREMENT. SO YOU KNOW, IF YOU
CHANGE YOUR MIND, I'M SURE YOU
CAN ALWAYS COME BACK. UM BUT I
JUST WANT TO THANK YOU FOR YOUR
SERVICE. WE'RE VERY GRATEFUL.
YOU'RE WELCOME. TODAY WE WILL
CONSIDER SIX BILLS TO THESE
BILLS ARE ON CONSENT. THE RECORD
RECOMMENDING CONSENT BILLS ARE
FILE ITEM ONE A. B 1140. AND
FILE ITEMS. SIX A. B 1578. AND
ONCE AGAIN, WE'RE GOING TO START
AS A SUBCOMMITTEE. SO WE DO HAVE
AN AUTHOR ASSEMBLYWOMAN ORTEGA
WHENEVER YOU'RE READY TO PRESENT
A B 917.
THAT'S QUITE OKAY? CHEERS. GOOD
MORNING. GOOD MORNING. MEMBERS
UH, AND CHAIR THANK YOU FOR THE
OPPORTUNITY TO PRESENT AH, A B
917 TODAY. A B 917 WOULD REMOVE
THE SUNSET OF THE CALIFORNIA LOW
COST AUTO INSURANCE PROGRAM,
KNOWN AS C L. C, A, MAKING THE
PROGRAM PERMANENT CALIFORNIA LAW
REQUIRES THAT ALL DRIVERS OF
VEHICLES WITHIN THE STATE
MAINTAINED DRIVER'S INSURANCE.
HOWEVER TOO MANY LOW INCOME
DRIVERS REMAIN UNINSURED BECAUSE
OF THE HIGH COST OF STANDARD
INSURANCE PREMIUMS. INSTEAD OF
HAVING AN INSURED DRIVERS ON THE
ROAD, THEY CAN PARTICIPATE IN
THE CLC, A PROGRAM WHICH
PROVIDES THEM WITH LIABILITY
INSURANCE AT AN AFFORDABLE
PRICE. THE CLC PROGRAM WAS
ESTABLISHED AS A PILOT PROGRAM
BY THE LEGISLATURE IN 1999, AND
HAS PROVEN TO BE EFFECTIVE TOOL
FOR PROVIDING LOW INCOME DRIVERS
WITH AUTO INSURANCE. MANY WHO
PREVIOUSLY HAD NONE. OUT OF THE
NEARLY 200,000 CALIFORNIA
DRIVERS. THE CLC A HAS PROVIDED
AUTO INSURANCE TO APPROXIMATELY
77% OF PARTICIPANTS THAT WERE
INSURED AT THE TIME OF THEIR
APPLICATION. THE EFFECTIVENESS
OF CLC A HAS LED TO THE PROGRAM
BEING CONTINUOUSLY RENEWED FOR
THE LAST EVERY FIVE YEARS. A B
917 WILL REMOVE THIS SUNSET DATE
, MAKING THE LOW COST AUTO
INSURANCE PROGRAM PERMANENT TO
ENSURE THAT CALIFORNIA CONTINUES
TO PROVIDE NEEDED AUTO INSURANCE
TO LOW INCOME DRIVERS. TODAY
TESTIFYING WITH ME IS MISS
MALLORY MICHAEL, DEPUTY
LEGISLATIVE DIRECTOR WITH THE
CALIFORNIA DEPARTMENT OF
INSURANCE. GOOD MEETING. GOOD
OH, THERE WE GO. CAN YOU HEAR?
OKAY GOOD MEAT. GOOD MORNING,
CHAIR. CALDERON VICE CHAIR AS
SILLY AND MEMBERS OF THE
COMMITTEE. MALLORY MICHAEL,
DEPUTY LEDGE DIRECTOR HERE ON
BEHALF OF INSURANCE COMMISSIONER
RICARDO LARA AND THE CALIFORNIA
DEPARTMENT OF INSURANCE. AS THE
BILL'S SPONSOR, COMMISSIONER.
LARA WOULD LIKE TO THANK
ASSEMBLYMEMBER'S ORTEGA FOR HER
LEADERSHIP AND AUTHORING THIS
IMPORTANT MEASURE. COMMISSIONER
LARA SPONSORING A V 917 BECAUSE
HE BELIEVES THAT CALIFORNIA LOW
COST AUTO PROGRAM HAS PROVEN TO
BE A RELIABLE RESOURCE FOR
INCOME ELIGIBLE INDIVIDUALS
NEEDING AUTO INSURANCE. THIS THE
CONTINUOUS NEED FOR THIS PROGRAM
TO HELP ENSURE MOTORISTS HAVE
MANDATORY INSURANCE COVERAGE
WHILE DRIVING IN OUR STATE MAKES
THE SUNSET DATE UNNECESSARY,
ESPECIALLY DURING TIMES OF
FINANCIAL STRAIN. I RESPECTFULLY
REQUEST YOUR I VOTE ON THIS
MEASURE. THANK YOU. IF YOU HAVE
ANY. PROPOSITION. DO YOU HAVE
ANY WITNESSES IN OPPOSITION?
OKAY SEE YOU NOW. DO WE HAVE ANY
ADDITIONAL PUBLIC COMMENTS? ALL
RIGHT. WE ARE OPERATING THE
SUBCOMMITTEE. SO UM, AT THE
APPROPRIATE TIME, WE'LL TAKE
THIS UP FOR A VOTE. YOU WOULD
YOU LIKE TO CLOSE? OH SORRY. I
JUST HAD A QUICK QUESTION. SO
I'VE NEVER HEARD ABOUT THE
PROGRAM, BUT IT SOUNDS LIKE A
GOOD PROGRAM. UM WHY IS THE
PARTICIPATION SO LOW? IT'S IT
SAYS THAT ONLY ABOUT 20. THERE'S
ONLY ONLY ABOUT 20,000
POLICYHOLDERS. WE MEAN WE HAVE,
LIKE 20 MILLION DRIVERS. WHY IS
THERE SUCH LOW PARTICIPATION?
YEAH THAT'S A GREAT QUESTION,
AND THAT'S THE ONE THAT WE'RE
CONTINUOUSLY LOOKING INTO, AS
WELL AND DOING RESEARCH AND TO
SEE IF WE CAN GAIN AN
UNDERSTANDING AS TO WHY I THINK
WHEN WE HAD OUR FOCUS GROUPS. I
THINK A BIG PART OF IT IS JUST
PROGRAM AWARENESS. IT'S A LOT OF
PEOPLE JUST DON'T KNOW ABOUT THE
PROGRAM, SO WE'RE REALLY TAKING
A LOOK INTO OUR OUTREACH AND TO
SEE WHAT WE COULD DO TO SPREAD
AWARENESS OF THE PROGRAM AND I
THINK ALSO TO IS ELIGIBILITY IS
250% OF THE POVERTY LEVEL, SO
IT'S NOT LIKE EVERYONE COULD
APPLY FOR THIS PROGRAM. THERE'S
STRICT REQUIREMENTS IN ORDER TO
PARTICIPATE IN THE PROGRAM, AND
I THINK THAT'S ALSO PART OF THE
BARRINGER INTO WHY WE DON'T SEE
HIGHER NUMBERS, BUT I THINK
LARGELY IT IS THE AWARENESS AND
WHY. WHY NO SUNSET? I MEAN, I
THINK IT'S ALWAYS A GOOD IDEA
WHEN THE LEGISLATURE HAS SORT OF
OVERSIGHT ON PROGRAMS SO WE CAN
SEE IF WE NEED TO IMPROVE THEM,
MODIFY THEM TWEAK THEM. WHY WHY
GET RID OF IT COMPLETELY OTHER
THAN, OR MAYBE JUST PUT A LONGER
SUNSET OR SOMETHING. I THINK
IT'S BEEN PROVEN TO WORK. IT
GETS RENEWED EVERY FIVE YEARS.
AND UM, YOU KNOW, I THINK MAKING
A PERMANENT WILL INCREASE THE
NUMBER OF PEOPLE THAT KNOW ABOUT
THE PROGRAM. WE WILL BE REQUIRED
TO REPORT SO WE CAN SEE SO THERE
WILL BE ACCOUNTABILITY IS NOT
LIKE WE'RE SAYING WE'RE GOING TO
MAKE IT PERMANENT AND NEVER LOOK
AT IT AND MAKE SURE THAT IT'S
BEEN EFFECTIVE. WE'RE ACTUALLY
GOING TO REQUIRE REPORTS. OKAY.
THANK YOU. NO, I THINK ANY OTHER
QUESTIONS FROM THE COMMITTEE OR
COMMENTS. OKAY. YOU MADE
CLOTHES. I WENT AT THE
APPROPRIATE TIME. I WOULD LIKE
TO REQUEST AND I VOTE. THANK
YOU. THANK YOU. OKAY WE'RE GOING
TO ESTABLISH A QUORUM COMMITTEE
SECRETARY. GO AHEAD AND CALL THE
ROLL CALDERON. PRESIDENT CALLED
AROUND HERE. SALLY SALLY HERE,
BERMAN CERVANTES. CHEN CHEN
HERE, VINCE FONG GIBSON GIBSON
HERE. GRAYSON JOHN SAWYER.
ORTEGA ORTEGA HERE, RODRIGUEZ
SORIA. SORIA HERE, VALENCIA,
LANCIA HERE WOULD WOULD HERE.
OKAY, NOW WE'RE GOING TO TAKE UP
THE CONSENT CALENDAR. DO WE HAVE
A MOTION? THANK YOU. CONSENT
CALENDAR, CALDERON. I CALLED HER
OWN. I SALLY SALLY I BERMAN
CERVANTES. CHEN CHEN IVAN'S FONG
GIBSON, ALRIGHT GRAYSON, JOAN
SAWYER. ORTEGA ORTEGA
IRODRIGUEZ. SORIA. BY SORIA.
I'VE VALENCIA VALENCIA. I WOULD
WOULD I. OKAY UM, DO WE HAVE A
MOTION AND A SECOND ON 9 17,
OKAY. FILE ITEM NUMBER TWO A B 9
17 ORTEGA MOTION IS DUE PASS TO
APPROPRIATIONS. CALDERON
CALDERON I, SALI SALI I BERMAN
CERVANTES. CHEN CHEN, IVAN SPONG
GIBSON GIBSON, I, GRAYSON. JOHN
SAWYER. ORTEGA ORTEGA I.
RODRIGUEZ SORIA, SORIA. VALENCIA
LINDSEY, I WOULD WOULD I OKAY?
WE'LL KEEP THE ROLE OPEN FOR
MEMBERS TO ADD ON. OKAY WHICH
ARE YOU READY TO PRESENT A B 12
13. THANK YOU. MADAM. THIS
MICROPHONE TODAY, MADAM CHAIR
AND MEMBERS THANK YOU FOR THE
OPPORTUNITY TO PRESENT TODAY A B
12 13. THIS IS A NARROWLY
TAILORED BILL THAT EXTENDS
TEMPORARY DISABILITY COVERAGE
FOR A SMALL NUMBER OF INJURED
WORKERS WHO EXPERIENCE
UNJUSTIFIED DELAYS IN MEDICAL
TREATMENT. CALIFORNIA'S
EMPLOYERS PROVIDE MEDICAL
TREATMENT FOR WORK RELATED
INJURIES IN EXCHANGE AND INJURED
EMPLOYEE IS PROHIBITED FROM
SUING THEIR EMPLOYER. HOWEVER
THERE IS 100 AND FOUR WEEK OR
TWO YEAR TIME LIMIT ON TEMPORARY
DISABILITY PAYMENTS, EVEN IN
INSTANCES WHEN THEIR EMPLOYEES
MEDICAL TREATMENT HAS BEEN
WRONGFULLY DENIED AND LATER
AUTHORIZED BY EITHER INDEPENDENT
MEDICAL REVIEW. I AM ARE OR THE
WORKER'S COMPENSATION APPEALS
BOARD. IT IS IMPORTANT TO
REMEMBER THAT ALL TREATMENTS
THAT IS THAT ARE RECOMMENDED FOR
AN INJURED WORKER ARE PRESCRIBED
BY THE EMPLOYERS OR INSURANCE
OWNED DOCTORS. EVEN THEN, THAT
PRESCRIBED CARE IS SUBJECTED TO
UTILIZE UTILIZATION REVIEW BY
ANOTHER DOCTOR, SELECTED BY THE
EMPLOYER OR THE INSURER. IF AN
EMPLOYEE HAS THEIR MEDICAL CARE,
DENIED, THEIR ONLY RECOURSE IS
TO APPEAL THE DECISION TO AN
INDEPENDENT MEDICAL REVIEW,
WHICH IS CONDUCTED BY A THIRD
DOCTOR AGAIN CHOSEN BY THE
EMPLOYER. IN 2021 THERE WERE
OVER 200,000 TREATMENT REQUESTS
THERE WERE APPEALED TO I M R. OF
THOSE REQUESTS. ONLY 19,000 WERE
OVERTURNED. OUT OF THAT 19,000
ONLY 53 DECISIONS WERE DELIVERED
TOO LATE FOR TREATMENT TO BE
GIVEN BEFORE THE 104 WEEK LIMIT
RIGHT NOW. WHILE 53 IS A SMALL
NUMBER. THAT'S 3 53 FAMILIES
THAT COULDN'T MAKE A CAR PAYMENT
COULDN'T MAKE THEIR MORTGAGE
PAYMENT COULDN'T PAY THEIR
UTILITY BILLS STRUGGLE TO FEED
THEIR FAMILIES. THESE INJURED
WORKERS CAN LOSE THEIR HOMES AND
THEIR LIVELIHOODS DUE TO A BAD
MEDICAL DECISION. THAT IS WHY
I'M HERE PRESENTING A B 12 13
HERE TESTIFYING, TESTIFYING AND
SUPPORT IS FORMER ASSEMBLY
MEMBER WHO IS NOW REPRESENTING
THE CALIFORNIA APPLICANTS.
ATTORNEY ASSOCIATION ALBERTO
NORIKO. THANK YOU VERY MUCH.
GOOD MORNING, MADAM CHAIR
MEMBERS OF THE COMMITTEE. LET ME
BEGIN BY THANKING YOU, MADAM
CHAIR AND YOUR STAFF AS WELL AS
THE AUTHORS OF THE AUTHOR AND
HER STAFF ON THE WORK ON THIS
BILL, UM, AS AS WAS MENTIONED IN
THE IN THE STATEMENT, AND IN THE
ANALYSIS THE WORKERS COMP SYSTEM
IS ALL OF YOU KNOW IS A NO FAULT
SYSTEM, SO IF IT WORKER GETS
INJURED, THEIR ONLY RECOURSE IS
THE WORKERS COMP SYSTEM. ONCE
THEY GET INJURED IN THERE, AND
THEY GET REFERRED TO A
PHYSICIAN. 90% OF THE OF THOSE
CASES ARE REFERRED TO A MEDICAL
PROVIDER NETWORK THAT'S ENTIRELY
CONTROLLED AND DESIGNED BY THE
EMPLOYER OF THE INSURANCE
INDUSTRY. 100% OF THOSE DOCTORS
ARE THERE DOCTORS 5.9% OF THOSE
TREATING DOCTORS PRESCRIBE
PRESCRIPTION PRESCRIBED
TREATMENT IS DENIED. SO LESS
THAN 6% OF THOSE OF THOSE
DENIALS. 7.2% OF THOSE ARE
OVERTURNED BY THE THIRD SET OF
UM, DOCTORS IN THE INDEPENDENT
MEDICAL REVIEW PROCESS. NONE OF
THESE NUMBERS ARE IN DISPUTE.
THE ONLY DISPUTE IS THE
OPPOSITION IS GOING TO RAISES
THE POTENTIAL NUMBER OF CASES
THAT MAKE IT THIS FAR AND WE'LL
WE'LL DANGEROUS WILL GO BEYOND
THE TWO YEARS. WE THINK THE
NUMBER IS VERY LOW. AS A MATTER
OF FACT, WE THINK IT'S PROBABLY
WITHIN THE MARGIN OF ERROR ERROR
OF ZERO. IT'S GOING TO BE LESS
THAN 5. UM HOWEVER, AFTER
DISCUSSIONS WITH WITH YOUR
COMMITTEE STAFF, UM ABOUT THESE
CONCERNS WE TOOK. WE TOOK AN
AMENDMENT OF SEVERAL WEEKS AGO
TO PUT A THREE YEAR SUNSET ON
THE BILL IN ORDER TO ASSESS AND
ANALYZE AND AT THAT POINT, IT
WILL NO LONGER BE A POINT OF
SPECULATION WILL KNOW. UM SO WE
DID THAT AS A AS A AS A SIGN OF
GOOD FAITH, AND WE APPRECIATE
THE COMMITTEE'S CONSIDERATION.
RESPECTFULLY ASK FOR MY VOTE.
THANK YOU. DO WE HAVE ANY
ADDITIONAL WITNESSES AND SUPPORT
. THANK YOU. GOOD MORNING CHAIR
AND MEMBERS JAMES MICHAEL PAUL
WITH THE AMERICAN FEDERATION OF
STATE COUNTY MUNICIPAL EMPLOYEES
ASKED ME AND SUPPORT. OKAY DO WE
HAVE WITNESSES AND OPPOSITION?
PLEASE COME FORWARD.
THANK YOU, MADAM. CHAIR AND
MEMBERS. GOOD MORNING. MY NAME
IS JASON SCHMELZER. I'M HERE
TODAY WITH THE CALIFORNIA
COALITION ON WORKERS'
COMPENSATION IN PRISON WHO
COLLECTIVELY REPRESENT THE
INTERESTS OF PUBLIC AGENCIES AND
PRIVATE EMPLOYERS AROUND THE
STATE. WE APPRECIATE THE
CONVERSATIONS THAT WE'VE HAD
WITH THE AUTHOR'S OFFICE AND HER
SPONSOR. AND WE UNDERSTAND THAT
THEY'RE ATTEMPTING TO RESOLVE
THE SPECIFIC PROBLEM AND WE'RE
NOT TRYING TO TAKE AWAY WITH
FROM THAT WITH OUR OPPOSITION,
BUT WE DO WANT TO TALK ABOUT
THAT PROBLEM, WHICH I THINK CAN
BE FAIRLY SUMMARIZED AS DELAYS
IN THE MEDICAL TREATMENT
APPROVAL PROCESS THAT IMPACT THE
AVAILABILITY OF WORKERS.
TEMPORARY DISABILITY, OK UM SO
FIRST, I WOULD REMIND THE
COMMITTEE THAT THE UTILIZATION
REVIEW PROCESS IS HEAVILY
REGULATED AND AUDITED AND TAKES
5 TO 14 DAYS. UM THE SPONSORS OF
THIS BILL OPPOSED TODAY'S
CURRENT ITERATION OF THE U R AND
I M R DISPUTE RESOLUTION
PROCESS. I THINK THAT'S FAIR TO
SAY BASED ON LEGISLATIVE HISTORY
OVER THE YEARS, AND THEY DID SO
WHEN THE STATUS QUO WAS
FRICTIONAL LITIGATION THAT TOOK
9 TO 12 MONTHS TO RESOLVE THESE
SAME DISPUTES, NOT 5 TO 14 DAYS,
SO RESPECTFULLY, THE SPONSORS
HAVE MISDIAGNOSED THIS PROBLEM
PREVIOUSLY, UH AND I BELIEVE
THEY'RE DOING SO AGAIN HERE.
SECONDLY THE YOU ARE DECISIONS
TO DENY OR MODIFY MEDICAL
TREATMENT REQUEST BASED ON THE
STANDARDS ADOPTED BY THIS
LEGISLATURE AND IMPLEMENTED AND
AUDITED BY THE STATE OF
CALIFORNIA ARE UPHELD. AT A RATE
OF 92.8. AND FINALLY, LET'S TALK
ABOUT THE I M R PROCESS, WHICH
IS CONTROLLED BY THE INJURED
WORKER, THEIR ATTORNEY AND OR
THEIR PROVIDER, BUT IT'S
CERTAINLY NOT CONTROLLED BY US.
STATE LAW ALLOWS 30 DAYS FREE
FOR AFTER YOU ARE DENIAL FOR
THAT PROCESS TO BE TRIGGERED,
AND THEN THERE'S POTENTIALLY
ANOTHER 45 DAYS FOR THAT PROCESS
TO COMPLETE. SO THAT'S 75 DAYS,
NOT 5 TO 14. THAT PROCESS WAS
TRIGGERED 264,000 TIMES IN 2021
. IT FAILED AT A RATE OF 92.
0.8% ONE PROCESSES SHORT,
OBJECTIVELY SUCCESSFUL AND
CONTROLLED BY EMPLOYERS. ONE
PROCESSES LONG, HELPFUL BUT
OVERUSED, AND IT'S NOT AT ALL
CONTROLLED BY EMPLOYERS. SO WHY
DO I MAKE THIS COMPARISON? OKAY
IT'S BECAUSE YOU ARE AS AN
IMPORTANT EFFECTIVE TOOL AND
CHANGING IT. AS PROPOSED BY A B
12 13 WILL INCENTIVIZE MORE
UNNECESSARY. I AM ARE WHICH
FAILS AT A VERY HIGH RATE AND
TAKES FIVE TIMES AS LONG AS THE
U. R PROCESS AND I BELIEVE MY
COLLEAGUE FROM THE CHAMBER WILL
GO INTO MORE DETAIL ABOUT WHY
THAT'S A PROBLEM. GOOD MORNING,
MADAM CHAIR AND MEMBERS WHEN HE
WAS ACTUALLY HOFFMAN ON BEHALF
OF CALIFORNIA CHAMBER OF
COMMERCE ALSO RESPECTFULLY IN
OPPOSITION, AND WE SHARE THE
CONCERNS RAISED BY MR SCHMELZER,
BUT ALSO WANT TO DISCUSS WHAT WE
BELIEVE THE CONSEQUENCES OF THIS
BILL WILL SHOW OUR CONCERN IS
THAT THE IMPACT WILL BE AN
INCREASE IN UNNECESSARY I AM OUR
REQUEST THAT WILL CAUSE ACTUALLY
MORE DELAYS FOR INJURED WORKERS
, NOT FEWER APPLICANT ATTORNEYS
OSTENSIBLY TRIGGER I AM ARE
BECAUSE IT'S THE ONLY AVAILABLE
DUE PROCESS FOR THEIR CLIENT IF
THEY OBJECT TO THE UR DECISION.
BY THAT SAME LOGIC, TRYING TO
EXPAND ELIGIBILITY FOR THEIR
CLIENTS. TD BENEFITS WILL CREATE
MORE OF AN INCENTIVE AND
OBLIGATION TO TRIGGER I AM ARE
EVEN IF THEY ARE UNSURE OF THE
NEED OR THE LOW PROBABILITY OF
SUCCESS. A STATED BY MR
SCHMELZER I M R, WHICH IS
CONDUCTED BY DOCTORS CHOSEN BY
STATE SYSTEM ALREADY FAILS AT A
RATE OF 92.8% IN CAUSES
SUBSTANTIAL DELAYS FOR THE
INJURED WORKERS COMPARED TO THE
PROCESS. SO OUR CONCERN REALLY
IS THAT A B 12 13 CREATES AN
INCENTIVE FOR UNNECESSARY EMR
THAT WILL CAUSE DELAYS THAT
NEGATIVELY AFFECT THE WORKER AND
WILL FLOOD THE SYSTEM WITH EVEN
MORE. I AM OUR REQUEST. WE AGREE
WITH THE AUTHOR THAT THERE ARE
SOME DELAYS TO INJURED WORKERS
THAT DO DESERVE ATTENTION. WE
JUST DO NOT THINK THIS IS THE
APPROPRIATE SOLUTION. THANK YOU.
THANK YOU. DO WE HAVE ANY OTHER
PUBLIC COMMENTS? PLEASE COME
FORWARD. GOOD MORNING, MADAM
CHAIR CHRIS MAKELELE AND
RESPECTFUL OPPOSITION ON BEHALF
OF THE ASSOCIATION OF CLAIMS
PROFESSIONALS. MARC SEGUIN WITH
THE AMERICAN PROPERTY CASUALTY
INSURANCE ASSOCIATION, ALSO IN
OPPOSITION. LATIFA ALEXANDER
WITH THE ASSOCIATION OF
CALIFORNIA HEALTHCARE DISTRICTS
RESPECTFULLY IN OPPOSITION. GOOD
MORNING, JONNY PENA WITH THE
LEAGUE OF CALIFORNIA CITIES IN
RESPECTFUL OPPOSITION. THANKS
GOOD MORNING, FRANK. GOOD
MORNING, BRIAN CODY WITH THE
CALIFORNIA STATE ASSOCIATION OF
COUNTIES AND ALSO ON BEHALF OF
THE CALIFORNIA SPECIAL DISTRICTS
ASSOCIATION IN OPPOSITION. AND
THEY'VE BEEN COMING AFTER THE
CALIFORNIA LEAGUE OF FOOD
PRODUCERS IN OPPOSITION. THANK
YOU. LET'S BRING IT BACK TO THE
COMMITTEE. DO WE HAVE ANY
QUESTIONS FOR SOME OF THEM
WOMEN, ORTEGA THANK YOU, MADAM
CHAIR. UM SO I JUST HAVE A
COUPLE OF QUESTIONS AND, UH I
APPRECIATE THE AUTHOR
IDENTIFYING THIS. IT SEEMS LIKE
A LAPSE OF COVERAGE. I MEAN, IF
SOMEONE IS GETTING TEMPORARY
DISABILITY, AND THEY'RE BEING
DENIED CARE, TOO TREAT THEIR
DISABILITY. AND IT'S BEING
DEDUCTED FROM THEIR FROM THEIR
CAP. SO I HAVE A COUPLE
QUESTIONS NUMBER ONE. 104 WEEK
LIMIT IS THEIR WAY TO EXTEND
THAT CURRENTLY UNDER THE CURRENT
SYSTEM IF THERE IS A NEED TO
EXTEND IT TO EMPLOYERS CAN AND
SOME DO. IT COULD ALSO BE
SUBJECT TO A CARVE OUT FOR A
UNION. SO THERE'S VARIOUS WAYS
THAT IT COULD THE EMPLOYER DOES
IT AT THE FRONT END OR ONCE THEY
RECEIVE A REQUEST. I THINK IT
WOULD. IT WOULD BE AT THE BACK
END JUST MECHANICALLY, BECAUSE
YOU WOULDN'T REALLY HAVE TO MAKE
THE DECISION UNTIL YOU HIT THE
104 WEEKS AND IS IT SOLELY LEFT
TO THE EMPLOYER'S DISCRETION? UH
OUTSIDE OF AN MOU IT WOULD BE
OKAY IF THERE WAS SOME SORT OF
DISPUTE THAT LED TO A JUDGE, BUT
IT NOT NOT TYPICALLY, AND I
UNDERSTAND YOUR ARGUMENT THAT
90% IS THESE APPEALS ARE APPEAR
WITHOUT MERIT. DON'T WANT
PRIVILEGED BECAUSE I DON'T KNOW
THE DETAILS WITHOUT MERIT, BUT
THIS, BUT THIS BILL ONLY
CAPTURES THE ONES WITH MERIT. SO
I UNDERSTAND NOT WANTING TO SET
UP AN INCENTIVE SYSTEM FOR
EVERYONE TO CHALLENGE IT AND
THEN EXTEND IT. BUT DO YOU HAVE
ANY SOLUTIONS TO THIS PARTICULAR
ISSUE THAT WE COULD WORK ON
SOMETHING AND I JUST WANT TO
HIGHLIGHT. I MEAN THE ISSUE
ISN'T THAT IT'S NECESSARILY JUST
FOCUSED IN THE WRONG AREA. WE
THINK THAT THE SOLUTION WILL
CREATE MORE DELAY. THAT'S WHY
WE'RE MAKING THE COMPARISON
RIGHT BECAUSE IT WILL CREATE AN
INCENTIVE FOR MORE. I M R. I
THINK ONE OF THE THINGS WE COULD
DO TO CUT DELAY IS FOCUSED ON
REDUCING THE NUMBER OF
UNNECESSARY I AM OUR REQUESTS.
UM THAT'S A POTENTIAL FOR 75
DAYS WORTH OF DELAY, NOT 5 TO 14
AND 92.8% OF THE TIME IN THE
LAST MEASUREMENT, IT WAS IT
FAILED. I AGREE. I DON'T THINK
WE SHOULD CHARACTERIZE IT AS
UNNECESSARY OR OR WHATEVER IT'S
A DUE PROCESS RIGHT? THAT'S
AVAILABLE TO INJURED WORKERS.
BUT WE THINK THAT THIS WILL
CAUSE THEM TO TRIGGER THAT DUE
PROCESS MORE OFTEN, AND NOT MORE
SUCCESSFULLY, JUST MORE OFTEN.
SO IF THE QUESTION AND THE FOCUS
OF THE BILL IS DELAY THAT
IMPACTS INJURED WORKERS AND
THEIR AVAILABILITY OF TEMPORARY
DISABILITY. WE JUST THINK THIS
IS THE WRONG SOLUTION, BUT WE
WOULD BE HAPPY TO TALK TO THE
APPLICANTS, ATTORNEYS AND THE
AUTHOR ABOUT OTHER SOLUTIONS. WE
JUST DON'T THINK THIS IS IT. I
DO THINK THERE IS AN SHE'S
IDENTIFIED ISSUE AND I THINK YOU
SHOULD WORK TOGETHER. BUT LET ME
ASK THE AUTHOR ARE YOU WILLING
TO WORK ON CUTTING BACK ON SOME
OF THOSE, UM, CLAIM? THERE'S A
LOT OF CLAIMS BEING FILED, WHICH
THEY'RE SAYING IS EXTENDING THE
PROCESS AND MAKING IT SO ARE YOU
WILLING TO ADDRESS MAYBE SOME
DISINCENTIVES OR FIGURE OUT A
WAY TO REDUCE THE NUMBER OF
MERITLESS CLAIMS. I DON'T THINK
THERE'S ANY MERITLESS CLAIMS
HERE. WE'VE NARROWED IT AS MUCH
AS WE COULD WE'RE TALKING ABOUT
, YOU KNOW, WE THINK IT'S A VERY
RELATIVELY SMALL NUMBER AGAIN OF
FAMILIES WHO ARE BEING IMPACTED
BY I AM WILLING TO CONTINUE
HAVING THIS DISCUSSION WITH BOTH
THE EMPLOYERS IN THE INDUSTRY
INSURANCE INDUSTRY WHEN IT COMES
TO THE M R SYSTEM, WHICH YOU
KNOW, IRONICALLY, IT'S AN
INDUSTRY THAT, UM IT'S A SYSTEM
THAT WAS CREATED BY THE
EMPLOYERS AND THE INSURANCE
INDUSTRY AS BUT CURRENTLY IT'S
THE ONLY SYSTEM THAT WORKERS
HAVE AND THAT'S WHERE THEY GO.
WORKERS YOU'RE TARGETING HAVE
MERIT. I GUESS WHAT? WHAT
THEY'RE REFERRING TO, AND IS, UH
, THE 92% THAT ARE DENIED THAT
THOSE ARE TAKING TIME TO GO
THROUGH THEM AND RESOLVE THEM.
SO THEY I GUESS THE QUESTION IS,
ARE YOU WILLING TO WORK ON
FIGURING OUT A WAY TO REDUCE
THAT NUMBER? THE 90% OF CLAIMS
WITHOUT MERIT, SO YOU DON'T HAVE
TO HAVE AN ANSWER TODAY, BUT I
JUST HOPE THAT YOU GUYS COULD
MAYBE WORK ON THAT AND REACH
SOME SORT OF MIDDLE GROUND THAT
WILL HELP. THE WORKERS WHO HAVE
LEGITIMATE CLAIMS AND ARE BEING
DENIED TREATMENT BECAUSE THAT
DOES HAPPEN. BUT ALSO NOT
INCENTIVIZE ATTORNEYS. MY
COLLEAGUES TO FLOOD THE SYSTEM
WITH FRIVOLOUS CLAIMS. SO WITH
THAT, ARE YOU BACK? THANK YOU.
THANK YOU. DO WE HAVE ANY OTHER
QUESTIONS OR COMMENTS FOR THE
AUTHOR FROM FROM THE MEMBERS.
YEP OKAY. SEE NINE. OKAY, SO I
APPRECIATE THE AUTHOR AND
SPONSORS AGREEING TO PUT THIS
SENSE IT IN THIS BILL, AND I DO
HOPE THAT THIS ADDRESSES SOME OF
THE CONCERNS, UM, RAISED BY
BIÂU. OKAY? THANK YOU, TERRY.
NEED A MOTION AND A SECOND.
SECOND. OKAY. THANK YOU. FILE
ITEM NUMBER THREE A B 11 12 13
ORTEGA MOTIONS DO PASS THROUGH
APPROPRIATIONS CALLED AROUND
CALDERON. I SALI SALI, NOT
VOTING, BERMAN. CERVANTES CHEN
CHEN, NOT VOTING VINCE FONG
GIBSON. GIBSON, I GRAYSON
GRAYSON. I JOHN SAWYER ORTEGA
RODRIGUEZ RODRIGUEZ, I, SORIA
SORIA I VALENCIA VALENCIA, I
WOULD WOULD I THE BILL IS OUT.
THANK YOU. THANK YOU. OKAY
SOMEONE AUDREY'S READY WHENEVER
YOU'RE READY TO PRESENT. UH
MAYBE 12 78.
YEAH. THANK YOU, MADAM. CHAIR
MEMBERS. THANK YOU FOR HAMMERING
PRESENT A B 12 78, WHICH WOULD
IMPROVE THE WORKERS COMPENSATION
SYSTEM BY CLARIFYING PROCESS
BETWEEN PROVIDERS, MEDICAL
PROVIDER NETWORKS AND THE
DIVISION OF WORKERS'
COMPENSATION. OVER THE PAST 20
YEARS, DISRUPTIONS AND MEDICAL
TREATMENT HAVE OCCURRED DUE TO
LACK OF STATUTORY CLARITY
REGARDING THE PROCESS OF THE
STAKEHOLDERS. ONE SUCH PROBLEM
OCCURS WHEN AN INJURED WORKER
RECEIVES AN EMPLOYED
NOTIFICATION LETTER CONTAINING
DETAILED INFORMATION ABOUT THEIR
EMPLOYERS OF PHIL AFFILIATED M
P. N. WHEN AN INJURED WORKER
ARRIVES AT THEIR INITIAL MEDICAL
APPOINTMENT. THEY MAY NOT HAVE
THIS LETTER THAT THE PROVIDER
USES TO IDENTIFY THE CORRECT M P
N THIS BILL WILL ALLOW AN
INJURED WORKER TO AUTHORIZE THE
INITIAL PRIMARY TREATING
PHYSICIAN TO REQUEST THAT AN
ELECTRONIC COPY OF THE EMPLOYEE
NOTIFICATION LETTER BE PROVIDED
TO THE PHYSICIAN. OTHER
DISRUPTION IN MEDICAL TREATMENT
OCCURRED WHEN THE DW C REQUIRED
MPS TO STOP PUBLICLY LISTING
CONTACT INFORMATION FOR
SCHEDULING AND COORDINATION
TREATMENT SERVICES THAT HELP
INJURED WORKERS QUICKLY LOCATE
PROVIDERS. THIS BILL TO CLARIFY
THE MPS CAN PUBLICLY LIST THE
SCHEDULING AGENCIES TO ENSURE
PATIENTS CAN ACCESS CARE AS
QUICKLY AS POSSIBLE.
UNFORTUNATELY THE DW C HAS ALSO
DENIED MPS AND PROVIDE A RENEWAL
APPLICATIONS SOLELY FOR
TECHNICAL REASONS. MAYBE 12 78
WOULD GIVE MPS TIME TO
COMMUNICATE WITH THE DW C TO FIX
ANY TECHNICAL ERRORS AND CLARITY
AS LONG AS SOMEONE IS A LICENSED
PHYSICIAN, A DOCTOR THAT CAN BE
PART OF AN M P. M. TO HEAL
PATIENTS INJURED AT THE
WORKPLACE WITH ME PROVIDE
TESTIMONY, OR LISA AND BICKFORD,
DIRECTOR OF GOVERNMENT AFFAIRS
FOR COMMENTARY, MP N AND CHARLIE
COME AROUND, OR PROVIDER NETWORK
MANAGER FOR COVERT MP IN
ADMINISTRATORS. THANK YOU. THANK
YOU. GOOD MORNING. MADAM CHAIR
AND MEMBERS. MY NAME'S POLICE
AND BICKFORD. I AM THE DIRECTOR
OF GOVERNMENT AFFAIRS FOR
COVENTRY. WE ARE PART OF THE
ENLIGHTENED FAMILY OF COMPANIES,
ALONG WITH MITCHELL AND CHEN IX
. I'M ALSO HERE REPRESENTING THE
AMERICAN ASSOCIATION OF PAYERS,
ADMINISTRATORS AND NETWORKS
OTHERWISE KNOWN AS A PAN UM, I
JUST WANTED TO GIVE YOU A LITTLE
BACKGROUND TO SORT OF SUPPLEMENT
WITH THE ASSEMBLYMAN HAD
MENTIONED IN HIS OPENING. AND
THAT'S THAT THIS BILL IS REALLY
BEING DRIVEN FOR A NEED TO
ENSURE THAT INJURED WORKERS HAVE
CONTINUED ACCESS TO MEDICAL CARE
. UM WE HAVE BEEN ADMINISTERING
AS WELL AS CHARLIE HILL YOU'LL
HEAR FROM ON THE MOMENT. UM
MEDICAL PROVIDER NETWORKS IN THE
WORKERS' COMPENSATION SYSTEMS
SINCE THEY BEGAN, WHICH HAS BEEN
ALMOST 20 YEARS NOW WE HAVE
NEVER UNTIL THE LAST 12 TO 18
MONTHS HAD ANY ISSUES
ADMINISTERING THE PROGRAM UNTIL
WE STARTED SEEING SOME
INTERESTING INTERPRETATIONS,
STATUTORY INTERPRETATIONS. THAT
HAVE CAUSED US AND PUT US IN A
TERRIBLE POSITION WHERE WE HAVE
HAD TO TAKE OUT PROVIDERS FROM
THE MEDICAL PROVIDER NETWORK
THAT HAD BEEN SERVING
CALIFORNIA'S INJURED WORKERS FOR
THE ENTIRE 20 YEARS. UM IT'S
REALLY PUT US IN ABOUT SPOT. WE
HAVE THE PROVIDERS CALLING US
AND ASKING, WHY IS IT THAT WE'VE
BEEN TREATING INJURED WORKERS
FOR 20 YEARS AND NEVER HAD AN
ISSUE? WHY IS IT THAT WE
CONTINUE TO TREAT FOLKS IN THE
COMMERCIAL HEALTH SYSTEM AND IN
THE MEDICARE SYSTEM IN THE
MEDICAL SYSTEM AND WE DON'T HAVE
AN ISSUE YET? WE'RE HAVING AN
ISSUE TREATING INJURED WORKERS
NOW ALL OF A SUDDEN IN THE
WORKERS' COMPENSATION SYSTEM,
THIS HAS BEEN PARTICULARLY
PROBLEMATIC FOR US IN AREAS
WHERE WE HAVE LIMITED COVERAGE.
UM WE REALLY ARE CONCERNED ABOUT
LOSING THOSE PROVIDERS IN AREAS
THAT ARE RURAL AREAS AND HAVE
VERY LIMITED ACCESS TO MEDICAL
CARE AND THE REAL REASON BEHIND
THIS BILL IS TO TRY AND PROVIDE
SOME STATUTORY OVERSIGHT AND
GUIDANCE TO ENSURE THAT THE MP N
APPROVAL AND RE APPROVAL PROCESS
OPERATES SMOOTHLY AND THAT WE
CAN ENSURE ACCESS TO CARE FOR
THE INJURED WORKERS. THAT HAVE
BEEN PARTICIPATING AND THE THEIR
PROVIDERS THAT HAVE BEEN
PARTICIPATING IN THE PROGRAM FOR
THE PAST 20 YEARS. THAT'S RIGHT.
GOOD MORNING, MADAM CHAIR
MEMBERS OF THE ASSEMBLY. MY NAME
IS CHARLIE CAMERINO. I AM THE
PROVIDER NETWORK MANAGER AT
KORBEL CORPORATION. I'M ALSO
HERE TESTIFYING TODAY ON BEHALF
OF THE AMERICAN ASSOCIATION OF
PEARS AND NETWORKS. UM, THE PART
OF MY JOB AS A PROVIDER NETWORK
MANAGER IS TO ENSURE THAT ARE
INJURED WORKERS WHO UTILIZE AND
ACCESS RMP N HAVE THE ABILITY TO
DIRECT CARE WITHOUT DELAY AND
WITHOUT DISRUPTION. UH WE HAVE
SEVERAL WE HAVE OVER 200 MPS
THAT ARE CURRENTLY IN USE. WE
HAVE OVER 200 MPS THAT ARE
CURRENTLY ON VIOLENT THE STATE.
WE REPRESENT A MAJORITY WHEN IT
COMES TO THE MPS IN CALIFORNIA.
WE HAVE MUNICIPALITY. SEVERAL
MUNICIPALITIES, INCLUDING THE
COUNTY OF LOS ANGELES, INCLUDING
THE ORANGE COUNTY FIRE AUTHORITY
, UH AND INCLUDING, UM, UH,
SCHOOL DISTRICTS AND INCLUDING
FIRST RESPONDERS, AND SO THESE
ARE THE PEOPLE THAT ARE LOOKING
TO US IN ORDER TO DIRECT CARE.
NOT JUST FOR THEIR EMPLOYEES,
BUT ALSO FROM A FIRST RESPITE.
FIRST RESPONDER POINT OF VIEW,
SO WE ARE FOCUSING HEAVILY ON
MAKING SURE THAT WE HAVE
ADEQUATE COVERAGE AND ADEQUATE
PROVIDERS. PART OF WHAT HAS
CHANGED RECENTLY UNDER THE BWC
HAS CAUSED SOME DISRUPTION TO
CARE HAS CAUSED CONFUSION IN
NAVIGATING OUR WEBSITE PROVIDER
LOOKUPS HAS REMOVED SOME
SPECIALTIES THAT WOULD CALL OUT
SPECIFIC TREATMENT FROM AN
ORTHOPEDIC STANDPOINT FOR
PARTICULAR BODY PARTS, MAKING IT
MORE DIFFICULT TO GET THE
INFORMATION AND THEREBY CAUSING
DELAYS TO TREATMENT. WHICH IS
THE EXACT OPPOSITE OF WHAT THE
INTENT OF OUR MEDICAL PROVIDER
NETWORK IS. SO WE'RE ASKING FOR
CONSIDERATION TO BE GIVEN TO THE
AMENDMENTS THAT WE HAVE PUT
FORTH UNDER A B 12 70 IN ORDER
TO HELP US PARTNER WITH THE
STATE. FOR SMOOTHER MP AN
APPLICATION SUBMISSIONS AND ALSO
SMOOTHER DIRECT MEN OF DIRECTION
OF TREATMENT THROUGH THE M P. N
THANK YOU. THANK YOU. DO WE HAVE
ANY ADDITIONAL WITNESSES AND
SUPPORT MHM. GOOD MORNING, MADAM
MADAM CHAIR AND MEMBERS LORRI
CAMERA, ALSO WITH A PAN ALSO
HERE TODAY ON BEHALF OF THE
NATIONAL ASSOCIATION OF WOMEN,
BUSINESS OWNERS, NOT CALIFORNIA
IN SUPPORT. THANK YOU. GOOD
MORNING, MADAM CHAIR AND
COMMITTEE MEMBERS. MY NAME IS
TYLER GERLACH, REPRESENTING THE
CALIFORNIA ASIAN PACIFIC CHAMBER
OF COMMERCE IN SUPPORT OF THE
BILL. THANK YOU. THANK YOU. DO
WE HAVE ANY WITNESSES IN
OPPOSITION? AND I'M SURE MY NAME
IS STEVE CATTLE LIKE I REPRESENT
THE INDEPENDENT PHYSICAL
THERAPISTS OF CALIFORNIA, THE
CALIFORNIA NEUROLOGY SOCIETY,
THE CALIFORNIA PHYSICIAN, UH OF
FIZZY, A TRIST AS WELL AS
LANGUAGE ACCESS FOR INJURED
WORKERS. UH I REALIZED THERE IS
NO FORMAL OPPOSITION AND IF YOU
WOULD PROVIDE ME AN OPPORTUNITY
, I'D LIKE TO JUST GO THROUGH A
FEW THINGS THAT ARE OF CONCERN
TO MY CLIENTS, AND I THINK SHE
CAN CONCERN TO THE COMMITTEE
HEAD. FIRST OF ALL, THERE WAS A
MENTION OF SCHEDULING ENTITIES.
THAT'S OUR MAIN CONCERN. THE
BILL WOULD ON THE ONE HAND WELL
, LET'S GO BACK IN TIME. THIS
COMMITTEE PASSED A B 2 36
ASSEMBLYMAN HOLDEN'S BILL THAT
WAS GOING TO, UH MAKE BETTER.
THE DIRECTOR IS FOR COMMERCIAL
HEALTHCARE. MAYBE UM, THIS BILL
WILL DO THE EXACT OPPOSITE
ENTITIES WILL BE ABLE TO MAKE
REFERRALS. WITHOUT TELLING
ANYBODY. WHO IS THERE? WHO
THEY'RE REFERRING THEM TO THE
PEOPLE WON'T BE NEEDED TO BE
LISTED. MY CLIENTS ARE VICTIMS
OF THAT PROCESS, AND ESSENTIALLY
WHAT IT ENDS UP IS THAT THE
ENTITIES ACT AS MIDDLEMEN THEY
BUILD FOR THE PROVIDER. THEY
CONTRACT THEY HAVE CONTRACTS
THAT ARE LESS THAN THAT, AND
THEY KEEP THE SPREAD. THERE'S
THE OPAQUENESS OF THE M P N
SYSTEM. THERE'S NO QUESTION THAT
THE N P N SYSTEM IS BROKEN. WE
WOULD LOVE TO WORK WITH THE
SPONSORS TO MAKE BETTER. THE MPM
PROGRAM. THE DIVISION IS
OVERWHELMED. THEY ARE NOT IN A
POSITION TO DO THE KIND OF
OVERSIGHT THAT THEY'VE BEEN
EXPECTED TO DO. ALL OF THIS IS
TRUE. BUT WE WOULD LIKE TO BE
SURE THAT THIS BILL OPENS THE
DOOR TO MORE COMMUNICATION NOT
LESS, AND NOTWITHSTANDING THE
ISSUE OF GETTING TIMELY
REFERRALS. MAKE SURE THAT THOSE
REFERRALS ARE NOT BASED ON THE
DISCOUNT, WHICH IS ILLEGAL. AND
UH, BE ABLE TO, UM WELL. SHOULD
BE. JUST BE A JUST TO KEEP IT
SHORT TO BE ABLE TO MAKE SURE
THAT THE REFERRAL PROCESS AND
THE WAY THAT THE MPS ARE UM.
DISTRIBUTED IS A FAIR AND A THE
ABILITY FOR THE INJURED WORKERS
TO UNDERSTAND WHAT HOW IT WORKS
IS IMPROVED. SO WE ARE OPPOSED
TO THE BILL. WE REALIZED THAT
THE BILL IS GOING TO MAKE IT
THROUGH THIS COMMITTEE. WE'D
LOVE TO WORK WITH THE SPONSORS
ON BETTER AND EVEN BETTER
VERSION. THANK YOU. THANK YOU.
JUST A POINT OF CLARIFICATION. I
BELIEVE ASSEMBLYMAN HOLDEN'S
BILL THAT YOU REFERENCED WENT TO
THE HEALTH COMMITTEE, NOT THIS
COMMITTEE. WELL, I APOLOGIZE TO
36. OKAY YES, I APOLOGIZE. BUT
THE POINT IS THAT THEY GO IN
OPPOSITE DIRECTIONS, AND THE
FACT OF THE MATTER IS THAT THEY
SHOULD BE BOTH GOING IN THE SAME
DIRECTION. AND THAT IS TO OPEN
IT. NOT CLOSE IT. UNDERSTOOD.
THANK YOU. THANK YOU. HMM
MORNING, MADAM CHAIR. MEMBERS OF
THE COMMITTEE ALBERTO TORRICO,
ME HALF OF THE CALIFORNIA
APPLICANT ATTORNEY ASSOCIATION
APOLOGIZE FOR NOT SUBMITTING A
LETTER EARLIER. I DID SPEAK WITH
THE AUTHOR'S STAFF YESTERDAY. WE
DO HAVE SOME CONCERNS WITH THE
BILL. WE SHARE THE CONCERNS OF
THE AUTHOR AND THE SPONSORS
ABOUT THE D W C. I MEAN, WE
CONSIDER THE WC TO BE THE
EQUIVALENT OF THE DMV. IN AN
AGENT LABOR AGENCY. WE REALLY DO
IF YOU LOOK AT THE IF YOU LOOK
AT THESE MPS, THEY HAVE DOCTORS
THAT ARE NO LONGER PRACTICING.
THEY HAVE DOCTORS THAT DON'T
EVEN TAKE WORKERS COMP CASES. WE
HAVE A MASSIVE DEFICIT WHEN IT
COMES TO SPECIALISTS,
PARTICULARLY IN COLLEGES, SO
THERE ARE SOME SIGNIFICANT
CHALLENGES. WE'RE NOT. WE'RE NOT
SURE THAT THE APPROACH IN THE
BILL IS GONNA WORK, BUT WE DO
LOOK FORWARD TO WORKING WITH THE
AUTHOR AND THE SPONSORS TO TRY
TO TRY TO EXPEDITE AND
STREAMLINE THE PROCESS TO MAKE
SURE THAT WORKERS GET TREATMENT
ON A TIMELY BASIS. THANK YOU.
THANK YOU. I'LL BRING IT BACK TO
THE COMMITTEE ANY QUESTIONS OR
COMMENTS FOR THE AUTHOR? FOR
THANK YOU, MADAM. THANK YOU,
MADAM CHAIR AND I WANT TO THANK
THE AUTHOR FOR ADDRESSING THIS
REALLY, REALLY IMPORTANT ISSUE,
ESPECIALLY WHEN IT COMES TO
PUBLIC SAFETY. UM, THIS IS IN
SOME CASES CAN BECOME A MATTER
OF LIFE AND DEATH AND THE WHAT
THE OBSTACLES THAT THE INJURED
HAVE TO GO THROUGH OR OR TO JUST
GET THE PROCESS GOING AND HOW
LONG IT CAN BE STRUNG OUT CAN
SOMETIMES BECOME SO DISCOURAGING
THAT THEY FALL INTO AN
IRREPARABLE DEPRESSION AND
MENTAL HEALTH NOW BECOMES A
BIGGER ISSUE. THEN THE AILMENT
THAT FIRST PUT THEM INTO THAT
POSITION. SO WITH THAT, I'D LIKE
TO BE CONSIDERED IF YOU WOULD TO
BECOME A COUGH. THANK YOU. THANK
YOU. THANK YOU. ANYBODY ELSE?
OKAY WE HAVE A MOTION AND A
SECOND. PLEASE CALL THE ROLES.
ITEM NUMBER FOUR A. B 12 78
RODRIGUEZ. THE MOTION IS PASSED
TO APPROPRIATIONS CALDERON. I
CALLED HER OWN. I SALI SALI. I
BERMAN BERMAN, I CERVANTES
CERVANTES I CHEN CHEN IVAN'S
FONG. GIBSON GIBSON, I, GRAYSON
GRAYSON. I JOINED SORIA. JOHN
SAWYER. I ORTEGA ORTEGA
IRODRIGUEZ. HI RODRIGUEZ. I
SORIA AREA I VALENCIA VALENCIA.
I WOULD WOULD I. OKAY THANK YOU.
THANK YOU. WOMEN OKAY, YOU,
ASSEMBLYMAN VALENCIA? ARE YOU
READY TO PRESENT A B 13 55?
MOMENT. YEAH. I'M NOT SURE, MR
WASHER.
BROTHER BILL SECOND. EASY ENOUGH
. THANK YOU. GOOD MORNING. YES,
MADAM CHAIR AND MEMBERS. I'D
LIKE TO START BY THANKING THE
CHAIR AND, OF COURSE, THE
COMMITTEE TEAM FOR DILIGENTLY
WORKING ON A B 13 55 ALONG WITH
OUR TEAM AND THEN ALSO
ACKNOWLEDGE OUR CHIEF OF STAFF
ERIN RYDBERG AND THEN ALSO OUR
LEGISLATIVE AIDE WHO HAVE TAKEN
THE LEAD ON BEHALF OF OVER
OFFICE ON THIS BILL. DIGITALLY
I'D LIKE TO HIGHLIGHT THAT OUR
TEAM HAS BEEN ACTIVELY WORKING
WITH THE CALIFORNIA LABOR
FEDERATION, WHO WAS INITIALLY IN
OPPOSITION TO THE BILL TO
ADDRESS THEIR CONCERNS. BECAUSE
OF THOSE EFFORTS WERE ACCEPTING
AMENDMENTS THAT ADD SAFEGUARDS
FOR EMPLOYEE CONSENT AND
EMPLOYEE PROTECTIONS FROM
RETALIATION. WE WILL WE ALSO
AGREED TO INCLUDE A FIVE YEAR
SUNSET IN THE BILL SO THAT WE
MAY HAVE SO WE CAN USE THAT
OPPORTUNITY IN THE FUTURE TO
POTENTIALLY HAVE A BROADER
DISCUSSION ON WHAT THE FUTURE OF
EMPLOYMENT FORMS AND NOTICES
WILL LOOK LIKE IN OUR STATE. BY
ACCEPTING THESE BILL. THESE
AMENDMENTS, IT'S MY
UNDERSTANDING FOR LABOR
FEDERATION WILL BE WITHDRAWING
THEIR OPPOSITION POSITION. MAYBE
13 55 ALLOWS EMPLOYEES TO OPT IN
TO OPT IN TO RECEIVE EARNED
INCOME TAX CREDIT STATEMENTS AND
CLAIM FOR BENEFIT MATERIALS.
ELECTRONIC DELIVERY EMPLOYEES
MAY PROVIDE AFFIRMATIVE CONSENT
IN WRITING OR BY ELECTRONIC
ACKNOWLEDGEMENT FOR OPTING INTO
RECEIVING THESE DOCUMENTS
ELECTRONICALLY. THIS BILL ALSO
CONTINUES AGAIN RETALIATION
PROTECTION FOR THE EMPLOYEE. I
WANT TO EMPHASIZE THAT THE
EMPLOYERS WOULD STILL HAVE THE
ABILITY TO PROVIDE PRINTED HARD
COPIES OF THESE MATERIALS AS
LONG AS THE EMPLOYEE WISHES TO
RECEIVE THOSE IN HARD COPY. THE
GOAL OF THIS BILL IS TO PROVIDE
FLEXIBILITY FOR EMPLOYEES IN THE
TYPES OF CHOICES THAT THEY HAVE
WITH TECHNOLOGY WITH
TECHNOLOGICAL ADVANCEMENTS. WE
ALSO HAVE THE ABILITY TO SHARE
DOCUMENTS FOR YOUR ELECTRONIC
MEANS, MAKING THESE CRITICAL
DOCUMENTS MORE READILY
ACCESSIBLE. ADDITIONALLY
ELECTRONIC DISTRIBUTION WILL
SIGNIFICANTLY REDUCE PAPER WASTE
, ACCORDING TO THE EMPLOYMENT
DEVELOPMENT DEPARTMENT. 2.2
MILLION UNEMPLOYMENT CLAIMS WERE
FILED IN 2022, RESULTING IN
ABOUT 42 MILLION. YOU ADD PAPER
DOCUMENTS BEING DISTRIBUTED AS
OF FEBRUARY. 2023 18 MILLION
RESIDENTS ALSO RECEIVED THE E I
T C PAPER DOCUMENTS. THIS
EQUATES TO AN ESTIMATED 65
MILLION PIECES OF PAPER BEING
PRINTED AND DISTRIBUTED IN
CALIFORNIA OVER THE PAST YEAR
FOR THESE TWO DOCUMENTS ALONE,
OTHER NOTICES RELATED TO
FLEXIBLE SPENDING LOAN
FORGIVENESS PROGRAMS I NINE
EMPLOYMENT ELIGIBILITY,
VERIFICATIONS, PREGNANCY,
DISABILITY LEAVE AND COVID 19
SUPPLEMENTAL, SICK LEAVE FORMS
ALREADY ALLOWED FOR ELECTRONIC
DELIVERY, SO THIS ISN'T
SOMETHING THAT'S WORTH
SHATTERING OR UNPRECEDENTED. SO
THIS IS JUST A CONTINUATION OF
THAT. WITH ME. I HAVE TO PROVIDE
TESTIMONY. MISS LEANNE CREDITS
THE VICE PRESIDENT OF PUBLIC
AFFAIRS AT FIDELITY INVESTMENTS
AND THEN ASHLEY HOFFMAN WITH THE
LABOR AND EMPLOYMENT POLICY
ADVOCATE AT THE COW CHAMBER.
THANK YOU. CHAIR CALDERON.
MEMBERS OF THE COMMITTEE. UM
ASSEMBLYMEMBER'S DID A WONDERFUL
JOB EXPLAINING THE BILL, SO I
WILL NOT BELABOR THE POINT. BUT
WE ARE PROUD TO SPONSOR A B 13
55. THIS IS A STRAIGHTFORWARD
BILL THAT WILL HELP CALIFORNIA
EMPLOYEES AND EMPLOYERS TO BE
MORE ENVIRONMENTALLY CONSCIOUS
BY PROVIDING FOR THE ELECTRONIC
DELIVERY OF THESE TWO STATE
REQUIRED NOTICES, AS MENTIONED.
UM AGAIN. I JUST WANT TO
REITERATE THAT THIS IS NOT A
MANDATE ON EITHER THE EMPLOYEE
OR THE EMPLOYER. THE BILL WILL
SIMPLY PROVIDE A MORE
SUSTAINABLE OPTION IF THE
EMPLOYEE OPTS IN TO THE
ELECTRONIC DELIVERY THESE
MATERIALS, KEEPING THE CHOICE IN
THE HANDS OF THE EMPLOYEES, SO
THANK YOU FOR YOUR TIME TODAY. I
RESPECTFULLY ASK FOR YOUR I VOTE
AND I'M HAPPY TO ANSWER ANY
QUESTIONS. GOOD MORNING, MADAM
CHAIRMAN COMMITTEE MEMBERS,
ACTUALLY HOFFMAN ON BEHALF OF
THE CALIFORNIA CHAMBER OF
COMMERCE AND SUPPORT ONE OF THE
PRIMARY FUNCTIONS OF THE COUCH
CHAMBER AS A STATE CHAMBER OF
COMMERCE IS ADVISING OUR 14,000
MEMBERS ON LABOR LAWS AND HOW TO
COMPLY, INCLUDING REQUIRED
NOTICES IN POSTINGS, AND THERE
ARE SIGNIFICANT NUMBER OF
REQUIRED NOTICES IN POSTINGS,
BOTH FEDERALLY AND UNDER
CALIFORNIA LAW. AND WHILE SOME
OF THOSE LIES AS MENTIONED BY
THE AUTHOR, INCLUDING PREGNANCY
, DISABILITY LEAVE, AND THE
PRIOR COVID 19 PAID SICK LEAVE.
ALLOW FOR TECHTRONIC DELIVERY
AND MANY DO NOT, AND SO,
ESPECIALLY DURING COVID 19
REMOTE WORKFORCE TIMES, WE SAW A
LOT OF INTEREST IN PROVIDING,
YOU KNOW, MORE ELECTRONIC NOTICE
. SO WE THINK A B 13 55 IS A
REALLY COMMON SENSE APPROACH.
THAT'S GOOD FOR WORKERS,
EMPLOYERS AND THE ENVIRONMENT.
UM AS MENTIONED PREVIOUSLY IF
THE EMPLOYEES STILL WANTS TO
RECEIVE PAPER COPIES, THEY
ABSOLUTELY CAN. THERE'S NO
MANDATE THAT THEY RECEIVE AN
ELECTRONIC COPY. AND I DO KNOW
THERE WAS SOME CONCERN RAISED.
THIS MAY CODIFY A D I R OPINION
LETTER RELATED TO ELECTRONIC, UM
, DISSEMINATION OF WAGE
STATEMENTS. AND IN OUR OPINION,
THAT LETTER WAS VERY SPECIFIC TO
LABOR CODE 2 TO 6, WITHOUT WHICH
WAGE STATEMENTS AND THIS BILL
WOULD NOT IMPACT THAT AT ALL. SO
FOR THOSE REASONS WE URGENTLY I
VOTE THANK YOU. HI. YEAH DO YOU
HAVE ANY ADDITIONAL SUPPORT IN
THE ROOM, HAVING CAN BE HALF OF
THE NATIONAL PAYROLL REPORTING
CONSORTIUM IN THE CALIFORNIA
LEAGUE OF FOOD PRODUCERS, BOTH
IN SUPPORT? MADAM CHAIR CHRIS
MCKAY LI ON BEHALF OF THE
ASSOCIATION OF CLAIMS
PROFESSIONALS IN SUPPORT OF THE
BILL, AND THANK YOU FOR YOUR
EARLIER ACKNOWLEDGEMENT OF
SERGEANT REED. MR CHAIR MEMBERS
. SARAH FLOCKS. CALIFORNIA LABOR
FEDERATION. I JUST WANTED TO
THANK THE AUTHOR AND HIS STAFF.
UM AND THE COMMITTEE AND THEIR
THEIR STAFF ARE WORKING SO HARD
WITH US ON AMENDMENTS AND WITH
THE AMENDMENTS WE REMOVE OUR
OPPOSITION AND ARE NEUTRAL.
THANKS SO MUCH. MADAM CHAIR
MEMBERS CALL GLADFELTER ON
BEHALF OF TRAVELERS. WE ALSO
SUPPORT THANK YOU. IS THERE ANY
OPPOSITION TO THE BILL HAVE ANY
WITNESSES IN OPPOSITION? SAYING
DONE ANY PUBLIC COMMENTS. OKAY
LET'S BRING IT BACK TO THE
COMMITTEE. ANY QUESTIONS FOR THE
AUTHOR? SOMEONE OUR TICKETS. NOT
A QUESTION. JUST WANT TO THANK
THE AUTHOR FOR WORKING WITH THE
OPPOSITION AND GETTING TO
TODAY'S HEARING, AND, UM,
LOOKING FORWARD TO WORKING WITH
YOU ON FUTURE BILLS. THANK YOU.
MR GIBSON. I WANT TO THANK THE
AUTHOR AND I WOULD LIKE FOR IT
TO BE CONSIDERED A CO AUTHOR OF
THE BILL. HAPPY HAPPY, THANK
YOU. THANK YOU. THANK YOU. AND I
JUST WANT AND I THINK THE AUTHOR
FOR BEING THOUGHTFUL AND WORKING
WITH THE OPPOSITION AND WITH THE
AMENDMENTS REFLECTED IN ANALYSIS
. I'LL BE SUPPORTING THE BILL
TODAY. SO YOU CAN CLOSE WHENEVER
YOU WANT TO. THANK YOU. JUST TO
RECAP ONCE AGAIN. THANK YOU TO
THE SPONSOR, THE COW CHAMBER AND
, OF COURSE, THE CALIFORNIA
LABOR FEDERATION FOR THEIR
COLLABORATION ON THIS BILL, AND
WITH THAT, I RESPECTFULLY ASK
FOR AN I VOTE. GRACIAS HEY,
SECRETARY, CALL THE ROLL. FILE
ITEM NUMBER FIVE A. B 13 55
VALENCIA. THE MOTION IS DUE PASS
AS AMENDED TO APPROPRIATIONS
CALDERON CALDERON. I S L E Y
BERMAN BERMAN I CERVANTES
CERVANTES I CHEN CHEN IVAN'S
FONG. VINCE FONG I GIBSON,
GRAYSON RACE AND I, JONES SAWYER
. JOHN SAWYER. I ORTEGA ORTEGA.
I READ READ, SAYS RODRIGUEZ. I
SORIA I I'VE VALENCIA. I WOULD.
YES I WOULD. YES OKAY. THE BILL
GETS OUT. THANK YOU. YOU'RE
WELCOME. NOW WE'RE GOING TO ADD
ON THANK YOU, TERRY. CONSENT
CALENDAR. BERMAN BERMAN, I
CERVANTES, CERVANTES IVINS. FONG
FONG I GRAYSON GRACE AND I JOHN
SAWYER, JOHN SAWYER I RODRIGUEZ
RODRIGUEZ. AYE. FILE ITEM NUMBER
2 89 17 BERMAN BERMAN, I,
CERVANTES CERVANTES, I VINCE
FONG FONG I GRAYSON GRAYSON I
JOHN SAWYER, JOHN SAWYER I
RODRIGUEZ RODRIGUEZ. AYE. FILE
ITEM NUMBER THREE A. B 12 13
BERMAN BERMAN I CERVANTES
CERVANTES I VINCE FONG VINCE
WONG NOW JOHN SAWYER. JOHN
SAWYER. AYE. FILE ITEM NUMBER
FOUR A B 12 78 VINCE FONG FONG.
AYE. OKAY, WE ARE DONE. THIS
CONCLUDES THE ASSEMBLY INSURANCE
COMMITTEE. THANK YOU.