Vocational Voucher Regs - When Will They be Reality?

Sunday, November 21, 2004 | 0

Voucher Regulations

The DWC Administrative Director, Andrea Hoch, has indicated that new regulations required to govern the administration of the Supplemental Job Displacement Benefit (voucher) will become a primary order of business early in 2005. Finalization of these regulations has been delayed due to pressures on the DWC to develop and issue regulations for medical treatment and medical networks as well as the new PD rating schedule. Assuming there are no implementation problems with these items (a HUGE assumption), the voucher regulations could be ready as soon as April 2005.

Since substantive changes as a result of the July 8, 2004 hearings seems virtually certain, the DWC will be required to post proposed voucher regulations for a 15 day comment period. Assuming no further substantive changes, the regulations would then be sent to the Office of Administrative Law (OAL) for review to insure that the proposed regulations are consistent with all state laws; OAL has 45 days to complete its review. Once DWC has approval from OAL, the regulations are sent to the Secretary of State for certification, at which point they become effective. If there are no "glitches," this process would take approximately 90 days.

Further substantive changes by the DWC would cause an approximate 30 day delay and any problems identified by OAL could cause an additional 60-90 day delay. LC sections 4658.5 & 4658.6 are very poorly drafted so such delays should come as no surprise. It would seem more realistic to expect the voucher regulations in July or August 2005.

Voucher Notices



Since there are no voucher regulations, there are also no "official" voucher notices. Unfortunately, that does not relieve claims administrators of the obligation to send required notices to injured workers who have PD and who are not returned to medically appropriate work. Failure to send notices could subject the claims administrator to substantial DWC penalties so employers and insurers must make at least a good faith effort to protect themselves from DWC assessments. Leno & Associates has drafted a set of four letters to meet the intent of LC sections 4658.5 & 4658.6. This set includes the "Notice of Potential Rights," "Offer of Modified or Alternative Work," and the "Supplemental Job Displacement Nontransferable Training Voucher Form" plus a fourth (optional) letter to assist claims administrators in addressing situations that do not fit neatly into notification scheme envisioned by LC section 4658.5.

The set is available in Word format for $100. Purchasers will automatically received updates to these letters at no additional charge. Current customers who are interested in these letters and have not received copies should contact me by e-mail at allanleno@leno-assoc.com or by phone at (818) 370-8859.

Contributed by vocational rehabilitation expert Allan Leno, Leno & Associates, (818) 370-8859, allanleno@leno-assoc.com.

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