Wisconsin Assembly Bill AB1074

Wisconsin 2023-2024 Regular Session

• Introduced: 2/8/24
• Refer: 2/8/24
• Failed: 4/15/24

Caption

Various changes to the worker's compensation law, extending the time limit for emergency rule procedures, providing an exemption from emergency rule procedures, and granting rule-making authority.

Impact

Beyond setting these maximum fees, the legislation specifies that the liability of employers or insurers for health services will be capped at the maximum fee established. This makes it imperative for healthcare providers to adhere to the fee limits, potentially altering the landscape of healthcare costs associated with worker's compensation claims. Furthermore, the bill will impact how workers' compensation benefits for permanent total disabilities are calculated, as it introduces indexing for adjustments that will occur based on the state’s average earnings over time. These changes aim to enhance fairness and consistency in compensation calculations.

Summary

Assembly Bill 1074 proposes significant updates to the existing worker's compensation laws in Wisconsin. One of the bill's crucial provisions mandates the Department of Workforce Development (DWD) to compile a fee schedule that establishes maximum fees for health services provided to employees claiming worker's compensation benefits by July 1, 2025. The bill involves a regionally segmented approach to determine these fees based on geographical and economic similarities, which could help standardize costs across different areas of the state.

Contention

A notable point of contention in AB1074 surrounds the provisions related to mental health claims, particularly for emergency responders suffering from post-traumatic stress disorder (PTSD). The bill proposes to ease the eligibility requirements to claim compensation for mental injuries associated with their work. This adjustment has received pushback from various stakeholders who argue that it could lead to increased costs and exploitation of the system. Opponents are concerned that the bill's framework may downplay the requirement for demonstrable mental health conditions, which they believe is essential for maintaining the integrity of the workers' compensation system.