Notice of Proposed Rule

DEPARTMENT OF FINANCIAL SERVICES
Division of Worker's Compensation
RULE NO.: RULE TITLE:
69L-6.019: Policies and Endorsements Covering Employees Engaged in Work in Florida
PURPOSE AND EFFECT: The proposed rule allows out-of-state employers with construction projects in Florida with workers’ compensation policies listing “Florida” in Item 3.C. of the policy information page, up to two business days from the commencement of an investigation, pursuant to Section 440.107(3), F.S., to endorse the policy to list “Florida” in Item 3.A. and use Florida approved classification codes, rates, and estimated payroll in Item 4. A Stop-Work Order shall be issued to an employer only after the expiration of two business days from the commencement of an investigation on such employer.
SUMMARY: The proposed amendment provides a period of (2) two business-days for out-of-state employers to establish that they have been issued a properly endorsed Florida workers’ compensation policy.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:
The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the agency.
The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: A preliminary economic analysis prepared by the Department determined that the proposed rule’s potential economic impact did not exceed any of the criteria established in Section 120.541(1), F.S., and is therefore not subject to legislative ratification pursuant to Section 120.541(3), F.S.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
RULEMAKING AUTHORITY: 440.107(9), 440.10(1)(g), 440.591 FS.
LAW IMPLEMENTED: 440.10(1)(g) FS.
IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE HELD AT THE DATE,TIME AND PLACE SHOWN BELOW(IF NOT REQUESTED, THIS HEARING WILL NOT BE HELD):
DATE AND TIME: Wednesday, August 8, 2012, 10:00 a.m.
PLACE: Room 102, Hartman Building, 2012 Capital Circle Southeast, Tallahassee, Florida
Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 5 days before the workshop/meeting by contacting: Robin Delaney, (850)413-1775 or Robin.Delaney@myfloridacfo.com. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Robin Delaney, Chief, Bureau of Compliance, Division of Workers’ Compensation, Department of Financial Services, 200 E. Gaines Street, Tallahassee, Florida 32399-4228, (850)413-1775 or Robin.Delaney@myfloridacfo.com

THE FULL TEXT OF THE PROPOSED RULE IS:

69L-6.019 Policies and Endorsements Covering Employees Engaged in Work in Florida.

(1) through (3) No change.

(4) A workers’ compensation policy that lists “Florida” in Item 3.C. of the policy information page (NCCI form number WC 00 00 01 A) does not meet the requirements of Sections 440.10(1)(g) and 440.38(7), F.S., and is not valid proof of workers’ compensation coverage for employees engaged in work in this state.

(a) If the workers’ compensation policy lists “Florida” in Item 3.C. of the policy information page, the employer’s insurance carrier shall have up to two business days from the commencement of an investigation, pursuant to Section 440.107(3), F.S., to endorse the policy to list “Florida” in Item 3.A. and use Florida approved classification codes, rates, and estimated payroll in Item 4.

(b) If the policy information page does not list “Florida” in Item 3.A. and use Florida approved classification codes, rates, and estimated payroll in Item 4., a Stop-Work Order shall be issued to an employer only after the expiration of two business days from the commencement of an investigation on such employer.

(5) through (6) No change.

Rulemaking Specific Authority 440.107(9), 440.591 FS. Law Implemented 440.10(1)(g), 440.38(7) FS. History–New 6-17-04, Amended 11-21-04,_________.


NAME OF PERSON ORIGINATING PROPOSED RULE: Robin Delaney, Chief, Bureau of Compliance, Division of Workers’ Compensation, Department of Financial Services
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Jeff Atwater, Chief Financial Officer, Department of Financial Services
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: June 6, 2012
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: March 22, 2012