I 

111TH CONGRESS 

1ST SESSION H. R. 635 

To establish the National Commission on State Workers’ Compensation Laws. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 22, 2009 

Mr. BACA introduced the following bill; which was referred to the Committee 

on Education and Labor 

A BILL 

To establish the National Commission on State Workers’ 

Compensation Laws. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘National Commission 

5 on State Workers’ Compensation Laws Act of 2009’’. 

6 SEC. 2. FINDINGS. 

7 The Congress finds the following: 

8 (1) The full protection of American workers 

9 from job-related injury or death requires an ade10 quate, prompt, and equitable system of workers’ 


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1 compensation as well as an effective program of oc2 cupational health and safety regulation. 

3 (2) The vast majority of American workers and 

4 their families are dependent on workers’ compensa5 tion for their basic economic security in the event 

6 such workers suffer injury or death in the course of 

7 employment. 

8 (3) In 1972, the National Commission on State 

9 Workmen’s Compensation Laws found that the sys10 tem of State workers’ compensation laws was ‘‘in11 equitable and inadequate’’. Since that time, changes 

12 in reductions in State workers’ compensation laws 

13 have increased the inadequacy and inequitable levels 

14 of workers’ compensation benefits. Serious questions 

15 exist concerning the fairness and adequacy of 

16 present workers’ compensation laws in light of the 

17 growth of the economy, changing nature of the labor 

18 force, misclassification of workers as independent 

19 contractors, and as leased employees, as well as ero20 sion of remedies for the bad faith handling and 

21 delay in payment of benefits and medical care to 

22 workers and their families, increases in medical 

23 knowledge, changes in the hazards associated with 

24 various employment, new risks to health and safety 


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1 created by new technology, and increases in the gen2 eral level of wages and in the cost of living. 

3 SEC. 3. ESTABLISHMENT OF COMMISSION. 

4 There is established a commission to be known as the 

5 ‘‘National Commission on State Workers’ Compensation 

6 Laws’’ (hereinafter in this Act referred to as the ‘‘Com7 mission’’). 

8 SEC. 4. DUTIES OF COMMISSION. 

9 (a) IN GENERAL.—The duties of the Commission 

10 shall be— 

11 (1) to review the findings of the previous Na12 tional Commission on State Workmen’s Compensa13 tion Laws and its recommendations; 

14 (2) to study and evaluate State workers’ com15 pensation laws in order to determine if such laws 

16 provide an adequate, prompt, and equitable system 

17 of compensation for injury or death arising out of or 

18 in the course of employment; and 

19 (3) to study and evaluate whether additional 

20 remedies should be recommended to ensure prompt 

21 and good faith payment of benefits and medical care 

22 to injured workers and their families. 

23 (b) MATTERS TO BE EVALUATED AND STUDIED.— 

24 The study and evaluation under subsection (a)(2) shall in25 clude— 


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1 (1) the amount of permanent and temporary 

2 disability benefits and the criteria for determining 

3 the maximum limitations of such benefits or the 

4 elimination of such maximum limitations; 

5 (2) a study and evaluation of State workers’ 

6 compensation laws in order to determine if, and en7 sure that, such laws provide an adequate, prompt, 

8 and equitable system of compensation and medical 

9 care for injuries or death arising out of in the course 

10 of employment; 

11 (3) a study of whether other adequate remedies 

12 are available to ensure the prompt payment of bene13 fits and to reduce or eliminate bad faith delays in 

14 payments of benefits, providing medical care, and 

15 discouraging misclassification of workers as inde16 pendent contractors and or leased employees to 

17 avoid paying workers’ compensation benefits; 

18 (4) the amount and duration of medical benefits 

19 and provisions ensuring adequate medical care and 

20 free choice of physician; 

21 (5) rehabilitation; 

22 (6) standards for determining assurance of ben23 efits caused by aggravation or acceleration of pre24 existing injuries or disease; 

25 (7) time limits on filing claims; 


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1 (8) waiting periods; 

2 (9) compulsory or elective coverage; 

3 (10) administration; 

4 (11) ensuring prompt hearings and due process 

5 evidentiary rights in the resolution of claims; 

6 (12) the relationship between workers’ com7 pensation on the one hand, and old-age, disability, 

8 and survivors insurance and other types of insurance 

9 (public or private) on the other hand; and 

10 (13) methods of communicating the rec11 ommendations of the Commission. 

12 SEC. 5. MEMBERSHIP. 

13 (a) NUMBER AND APPOINTMENT.—The Commission 

14 shall be composed of 14 members, as follows: 

15 (1) 1 member, appointed by the President, who 

16 shall serve as chairman of the Commission. 

17 (2) 1 member, appointed by the majority leader 

18 of the Senate in consultation with the majority lead19 er of the House of Representatives, who shall serve 

20 as vice chairman of the Commission. 

21 (3) 2 members appointed by the majority leader 

22 of the House of Representatives. 

23 (4) 2 members appointed by the minority leader 

24 of the House of Representatives. 


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1 (5) 2 members appointed by the majority leader 

2 of the Senate. 

3 (6) 2 members appointed by the minority leader 

4 of the Senate. 

5 (7) The Secretary of Labor, the Secretary of 

6 Commerce, the Secretary of Health and Human 

7 Services, and the Secretary of Education shall be ex 

8 officio members of the Commission. 

9 (b) AFFILIATIONS.— 

10 (1) Not more than 6 appointed members of the 

11 Commission shall be from the same political party. 

12 (2) There shall be at all times at least 3 mem13 bers that represent injured workers, 3 members that 

14 represent insurance carriers or employers, and 1 

15 member of the general public. 

16 (c) QUALIFICATIONS.—It is the sense of Congress 

17 that individuals appointed to the Commission should be 

18 United States citizens— 

19 (1) with significant depth of experience— 

20 (A) as members of State workers’ com21 pensation boards; 

22 (B) as representatives of insurance car23 riers, employers, and injured workers; and 

24 (C) in the general fields of business and 

25 labor; 


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1 (2) who are members of the medical profession 

2 with experience in industrial medicine or in workers’ 

3 compensation cases; and 

4 (3) who are educators having special expertise 

5 in the field of workers’ compensation. 

6 (d) VACANCIES.—Any member appointed to fill a va7 cancy occurring before the expiration of the term for which 

8 the member’s predecessor was appointed shall be ap9 pointed only for the remainder of that term. A member 

10 may serve after the expiration of that member’s term until 

11 a successor has taken office. A vacancy in the Commission 

12 shall not affect its powers, but shall be filled in the same 

13 manner in which the original appointment was made. 

14 (e) QUORUM.—Eight members of the Commission 

15 shall constitute a quorum. 

16 (f) MEETINGS.— 

17 (1) The Commission shall hold its initial meet18 ing as soon as practicable. 

19 (2) After its initial meeting, the Commission 

20 shall meet upon the call of the chairman or a major21 ity of its members. 

22 (g) TRAVEL EXPENSES.—While away from their 

23 homes or regular places of business in the performance 

24 of services for the Commission, members of the Commis25 sion shall be allowed travel expenses, including per diem 


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1 in lieu of subsistence, in the same manner as persons em2 ployed intermittently in the Government service are al3 lowed expenses under section 5703(b) of title 5, United 

4 States Code. 

5 (h) COMPENSATION.— 

6 (1) BASIC PAY.—Each member of the Commis7 sion may be compensated at a level not to exceed the 

8 daily equivalent of the annual rate of basic pay in 

9 effect for a position at level IV of the Executive 

10 Schedule under section 5315 of title 5, United 

11 States Code, for each day during which that member 

12 is engaged in the actual performance of the duties 

13 of the Commission. 

14 (2) PROHIBITION OF COMPENSATION OF FED15 ERAL EMPLOYEES.—Members of the Commission 

16 who are full-time officers or employees of the United 

17 States or Members of Congress may not receive ad18 ditional pay, allowances, or benefits by reason of 

19 their service on the Commission. 

20 SEC. 6. STAFF OF COMMISSION. 

21 (a) DIRECTOR.—The Chairman of the Commission, 

22 in consultation with the vice chairman and in accordance 

23 with the rules agreed upon by the Commission, may ap24 point a Director. The Director shall be paid at a rate not 

25 to exceed the equivalent of that payable for a position at 


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1 level V of the Executive Schedule under section 5316 of 

2 title 5, United States Code. 

3 (b) STAFF.—The Chairman, in consultation with the 

4 vice chairman and in accordance with rules agreed upon 

5 by the Commission, may appoint and fix the compensation 

6 of additional personnel as may be necessary to enable the 

7 Commission to carry out its functions, without regard to 

8 the provisions of title 5, United States Code, governing 

9 appointments in the competitive service and without re10 gard to the provisions of chapter 51 and subchapter III 

11 of chapter 53 of such title relating to classification and 

12 general schedules pay rates, except that no rate of pay 

13 fixed under this subsection may exceed the equivalent of 

14 that payable for a position at level V of the Executive 

15 Schedule under section 5316 of title 5, United States 

16 Code. 

17 (c) EXPERTS AND CONSULTANTS.—The Commission 

18 is authorized to procure the services of experts and con19 sultants in accordance with section 3109 of title 5, United 

20 States Code, but at rates not to exceed the daily rate paid 

21 to a person occupying a position at level IV of the Execu22 tive Schedule under section 5315 of title 5, United States 

23 Code. 

24 (d) DETAILEES.—Any Federal Government employee 

25 may be detailed to the Commission without reimbursement 


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1 from the Commission and such detailee shall retain the 

2 rights, status, and privileges of his or her regular employ3 ment without interruption. 

4 (e) PERSONNEL AS FEDERAL EMPLOYEES.—The ex5 ecutive director and any personnel of the Commission who 

6 are employees of the Commission shall be treated as em7 ployees under section 2105 of title 5, United States Code, 

8 for purposes of chapters 63, 81, 83, 84, 85, 87, 89, and 

9 90 of that title. The preceding sentence shall not apply 

10 to members of the Commission. 

11 SEC. 7. POWERS OF THE COMMISSION. 

12 (a) HEARINGS AND EVIDENCE.—The Commission, or 

13 on the authority of the Commission, any subcommittee or 

14 member thereof, may, for the purpose of carrying out this 

15 Act— 

16 (1) hold hearings, take testimony, receive evi17 dence, administer oaths; and 

18 (2) subject to subsection (b)(1), require, by sub19 poena or otherwise, the attendance and testimony of 

20 witnesses and the production of books, records, cor21 respondence, memoranda, papers and documents. 

22 (b) SUBPOENA POWER.— 

23 (1) ISSUANCE.— 

24 (A) IN GENERAL.—A subpoena may be 

25 issued under this subsection only— 


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1 (i) by the agreement of the chairman 

2 and the vice chairman of the Commission; 

3 or 

4 (ii) by the affirmative vote of 6 mem5 bers of the Commission. 

6 (B) SIGNATURE.—Subject to clause (i) of 

7 paragraph (1)(A), subpoenas issued under this 

8 subsection may be issued under the signature of 

9 the chairman or any member designated by a 

10 majority of the Commission, and may be served 

11 by any person designated by the chairman or by 

12 a member designated by a majority of the Com13 mission. 

14 (2) FAILURE TO OBEY A SUBPOENA.— 

15 (A) IN GENERAL.—In the case of contu16 macy or failure to obey a subpoena issued 

17 under paragraph (1), the United States district 

18 court for the judicial district in which the sub19 poenaed person resides, is served, or may be 

20 found, or wherever the subpoena is returnable, 

21 may issue an order requiring such person to ap22 pear at any designated place to testify or to 

23 produce documentary or other evidence. Any 

24 failure to obey the order of the court may be 

25 punished as contempt of that court. 


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1 (B) ADDITIONAL ENFORCEMENT.—In the 

2 case of a failure of any witness to comply with 

3 a subpoena or to testify when summoned under 

4 authority of this subsection, the Committee 

5 may, by a majority vote, certify a statement of 

6 fact constituting such failure to the appropriate 

7 United States attorney, who may bring the 

8 matter before the grand jury for action, under 

9 the same authority and procedures as if the 

10 United States attorney had received a certifi11 cation under section 192 through 194 of title 2 

12 of the Revised Statutes of the United States 

13 Code. 

14 (3) CONTRACTING.—The Commission may, to 

15 such extent and in such amounts as are made avail16 able in appropriation Acts, enter into contracts to 

17 enable the Commission to discharge its duties under 

18 this Act. 

19 (4) INFORMATION FROM FEDERAL AGENCIES.— 

20 The Commission is authorized to secure directly 

21 from any executive department, bureau, agency, 

22 board, commission, office, independent establish23 ment, or instrumentality of the Government, infor24 mation, suggestions, estimates, and statics for the 

25 purposes of this Act. Each such department, bureau, 


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1 agency, board, commission, office, independent es2 tablishment, or instrumentality shall, to the extent 

3 authorized by law, furnish such information, sugges4 tions, estimates, and statistics directly to the Com5 mission, upon request of the chairman of the Com6 mission, the chairman of any subcommittee created 

7 by a majority of the Commission, or any member 

8 designated by a majority of the Commission. 

9 SEC. 8. REPORTS. 

10 (a) INTERIM REPORTS.—The Commission may sub11 mit to the President and Congress interim reports con12 taining such findings, conclusions, and recommendations 

13 for enhancements and improvements in benefit levels, 

14 medical care, and administration of State workers’ com15 pensation systems, for improvements in insurance prac16 tices, and for improvements in dues process and evi17 dentiary hearings and reduction of bad faith and handling 

18 of delays, as have been agreed to by a majority of Commis19 sion members. 

20 (b) FINAL REPORTS.—Not later than 18 months 

21 after the date of the enactment of this Act, the Commis22 sion shall submit to the President and Congress a final 

23 report containing such findings, conclusions, and rec24 ommendations for enhancements and improvements in 

25 benefit levels, medical care, and administration of State 


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1 workers’ compensation systems, for improvements in in2 surance practices, and for improvements in due process 

3 and evidentiary hearings and reduction of bad faith han4 dling and delays, as have been agreed to by a majority 

5 of Commission members. 

6 SEC. 9. TERMINATION. 

7 The Commission, and all the authorities of this Act, 

8 shall terminate 19 days after the date on which the final 

9 report is submitted under section 8(b). 

10 SEC. 10. AUTHORIZATION OF APPROPRIATION. 

11 There are hereby authorized to be appropriated such 

12 sums as may be necessary to carry out the provisions of 

13 this Act. 

Æ 


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