I 

113TH CONGRESS 

1ST SESSION H. R. 3179 

To amend the Fair Labor Standards Act of 1938 to provide a specific 

limited exemption from the overtime pay requirements of such Act for 

work related to disaster or catastrophe claims adjustment after a major 

disaster. 

IN THE HOUSE OF REPRESENTATIVES 

SEPTEMBER 25, 2013 

Mr. HUDSON (for himself, Mr. HASTINGS of Florida, Mr. PAYNE, Mr. 

MCKEON, Mr. MCINTYRE, Mr. BACHUS, Mr. GARCIA, Ms. WILSON of 

Florida, Mr. ENYART, Mr. WILSON of South Carolina, Mr. HUNTER, Mr. 

ROONEY, Ms. WASSERMAN SCHULTZ, Mr. SALMON, Mr. ANDREWS, Mr. 

BISHOP of New York, Mr. COLE, and Mr. RICHMOND) introduced the following bill; which was referred to the Committee on Education and the 

Workforce 

A BILL 

To amend the Fair Labor Standards Act of 1938 to provide 

a specific limited exemption from the overtime pay requirements of such Act for work related to disaster or 

catastrophe claims adjustment after a major disaster. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. LIMITED EXEMPTION FOR DISASTER OR CA2 TASTROPHE CLAIMS ADJUSTERS. 

3 Section 7 of the Fair Labor Standards Act of 1938 

4 (29 U.S.C. 207) is amended by adding at the end the fol5 lowing: 

6 ‘‘(s)(1) The provisions of this section shall not apply 

7 for a period of 2 years after the occurrence of a major 

8 disaster to any employee— 

9 ‘‘(A) employed to adjust or evaluate claims re10 sulting from or relating to such major disaster, by 

11 an employer not engaged, directly or through an af12 filiate, in underwriting, selling, or marketing prop13 erty, casualty, or liability insurance policies or con14 tracts; 

15 ‘‘(B) who receives from such employer on aver16 age weekly compensation of not less than $591.00 

17 per week or any minimum weekly amount estab18 lished by the Secretary, whichever is greater, for the 

19 number of weeks such employee is engaged in any 

20 of the activities described in subparagraph (C); and 

21 ‘‘(C) whose duties include any of the following: 

22 ‘‘(i) interviewing insured individuals, indi23 viduals who suffered injuries or other damages 

24 or losses arising from or relating to a disaster, 

25 witnesses, or physicians; 


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1 ‘‘(ii) inspecting property damage or review2 ing factual information to prepare damage esti3 mates; 

4 ‘‘(iii) evaluating and making recommenda5 tions regarding coverage or compensability of 

6 claims or determining liability or value aspects 

7 of claims; 

8 ‘‘(iv) negotiating settlements; or 

9 ‘‘(v) making recommendations regarding 

10 litigation. 

11 ‘‘(2) Notwithstanding any other provision of section 

12 18, in the event of a major disaster, this Act exclusively 

13 shall govern all such employers in lieu of any State or 

14 other Federal law or regulation or local law or regulation, 

15 with respect to the employees described in paragraph (1). 

16 ‘‘(3) The exemption in this subsection shall not affect 

17 the exemption provided by section 13(a)(1). 

18 ‘‘(4) For purposes of this subsection— 

19 ‘‘(A) the term ‘major disaster’ means any nat20 ural catastrophe, including any hurricane, tornado, 

21 storm, high water, wind driven water, tidal wave, 

22 tsunami, earthquake, volcanic eruption, landslide, 

23 mudslide, snowstorm, or drought, or, regardless of 

24 cause, any other catastrophe, including fire, flood, 


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1 explosion, land collapse, avalanche, or pollutant or 

2 chemical release; 

3 ‘‘(B) the term ‘employee employed to adjust or 

4 evaluate claims resulting from or relating to such 

5 major disaster’ means an individual who timely se6 cured or secures a license required by applicable law 

7 to engage in and perform the activities described in 

8 clauses (i) through (v) of paragraph (1)(C) relating 

9 to a major disaster, and is employed by an employer 

10 that maintains worker compensation insurance cov11 erage or protection for its employees, if required by 

12 applicable law, and withholds applicable Federal, 

13 State, and local income and payroll taxes from the 

14 wages, salaries and any benefits of such employees; 

15 and 

16 ‘‘(C) the term ‘affiliate’ means a company that, 

17 by reason of ownership or control of twenty-five per18 cent (25%) or more of the outstanding shares of any 

19 class of voting securities of one or more companies, 

20 directly or indirectly, controls, is controlled by, or is 

21 under common control with, another company.’’. 

Æ 


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