an act - oklahomacec.ok.gov/pdf/sb1062 enacted.pdf · newberry, david, jolley, ford, crain, ......

ENROLLED SENATEBILL NO. 1062

An ActBy: Bingman, Sykes, Holt,

Fields, Brooks, Justice,Treat, Simpson, Loveless,Boggs, Branan, Brown,Newberry, David, Jolley,Ford, Crain, Allen,Brinkley, Brecheen,Standridge, Marlatt,Schulz, Mazzei and Sharp ofthe Senate

and

Shannon, Roberts (Sean),McBride, Cooksey, Turner,Hulbert, Hall, Sanders,Biggs, Echols, Jackson,McCullough, Murphey,Ownbey, Newell, Denney,Derby, Wright, Martin(Steve), Cockroft,Schwartz, Cox, Osborn,Roberts (Dustin), Stiles,Mulready, Walker and Russof the House

An Act relating to workers' compensationadministrative system; creating the AdministrativeWorkers' Compensation Act; providing short title;defining terms; stating applicability of act; statingeffect of finding of unconstitutionality; providingfor exclusivity of certain remedies; providingexceptions; prohibiting certain statement ormisrepresentation; creating felony offense; directingallocation of certain fine; requiring referral ofcertain violations; creating certain investigationunit; requiring Attorney General to designate certain

personnel; establishing qualifications for certainpersonnel; designating certain enforcement powers toAttorney General; requiring employers to make certainreports; creating misdemeanor offense; imposing finefor certain offense; directing allocation of certainfine; specifying authority for certain prosecutingattorneys; establishing confidentiality of certaininvestigatory files; authorizing Attorney General topromulgate certain rules; providing for stay ofcertain proceeding under specified circumstances;prohibiting certain discrimination or retaliation;establishing exclusive jurisdiction over certainclaims; providing remedies for certain violations;construing provisions; providing certain discharge,with exception; providing for invalidity of certainwaivers or agreements; providing exceptions; creatingmisdemeanor offense; prohibiting assignment orgarnishment of and other legal process againstcertain claims or benefits; providing exception;providing for child support liens; establishingrequirements for certain compensation to aliennonresidents; establishing preference for certaincompensation; prohibiting compensation for certaininjury; providing exceptions; limiting benefits forcertain disability; establishing requirements fordetermination of certain injury or illness ascompensable injury; requiring Attorney General toprovide certain report to Commission; establishingrequirements for Gertain report; requiring certaincertification; providing for applicability of certainguidelines; creating a Physician Advisory Committee;specifying membership of Committee; directingappointment of certain membership; providing forterms of certain membership; establishing duties ofCommittee; prohibiting certain compensation;providing for reimbursement of certain travelexpenses; establishing requirements for conductingcommittee business; providing for office supplies andpersonnel; requiring provision of certain data;providing immunity from liability for certainreports; prohibiting certain billing or attempt tocollect fee for services under certain circumstances;

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requiring certain notice; specifying contents ofcertain notice; authorizing collection for certaincharges; requiring stay of certain proceedings;creating the Oklahoma Workers' CompensationCommission; establishing membership of Commission;providing for appointment and confirmation ofcommissioners; providing for terms of commissioners;providing for certain salary; providing forappointment of chair; establishing duties of chair;granting specified authority to Commission; directingdeposit of certain fees; requiring certain oath;establishing requirements for conducting ofCommission business; providing for principal office;providing for hearings, appeals and disputes;establishing position and authority of specialcommissioner; authorizing certain per diem; providingfor adoption of certain rules; authorizingappointment of certain employees; providing forsalary to certain employees; establishing duty ofcertain judges; requiring submission of certainreport; requiring publication of certain information;establishing procedures for removal of commissioner;establishing jurisdiction of the Commission;establishing duties of certain judges; providing forestablishment of certain Funds; establishingrequirements for management and administration ofcertain Funds; requiring certain fees; directingdeposit of certain fees; authorizing reimbursementfor certain travel expenses; specifying revenuesources for Multiple Injury Trust Fund; establishingmethods for determination of certain assessments;defining terms; requiring certain notice;establishing maximum limit for certain assessments;establishing duty for collection of certain payments;establishing administrative penalties for failure tomake or report certain payments; establishingrequirements for management and administration ofcertain Fund; requiring promulgation of certainrules; providing for the MITF Director; requiringemployers to secure certain compensation;establishing requirements for contractor liabilityfor certain compensation; creating felony offense;

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establishing requirements for certification ofnoncoverage; authorizing waiver of certainexemptions; establishing requirements for certainnotice of waiver; establishing methods for employersto secure required compensation; authorizing waiverof certain requirements; establishing consequencesfor failure to obtain certain compensation; creatingmisdemeanor offense; requiring posting of certainnotices; specifying required contents of certainnotices; specifying required contents of certainpolicy or contract; establishing procedures forcancellation of certain coverage; establishingrequirements for coverage of certain liabilities;prohibiting split coverage under certaincircumstances; stating effects of certain claims;authorizing subrogation of certain claims;establishing procedures for certain subrogation;providing for reduction of benefits under certaincircumstances; requiring certain disclosures;establishing requirements for benefits for temporarytotal disability; establishing requirements forbenefits for temporary partial disability;establishing requirements for benefits for permanentpartial disability; establishing requirements forbenefits for permanent total disability; establishingrequirements for benefits for disfigurement;providing for determination of certain benefits;establishing time limitations for permanent partialdisability compensation; creating certain rebuttablepresumption; prohibiting benefits to common lawspouse; providing exception; establishingrequirements for death benefits to beneficiaries;providing for termination of certain benefits;providing for doubling of certain benefits; providingexception; prohibiting certain disabilitycompensation while receiving unemploYment benefits;requiring provision of certain medical services toinjured employee; providing rights of employee ifemployer does not provide medical treatment withincertain time; providing for diagnostic tests;limiting continuing medical maintenance or painmanagement; authorizing Commission to direct

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provision of medical services under certaincircumstances; requiring establishment and review ofcertain Fee Schedule; providing requirements forcertain Fee Schedule; requiring adoption of rules forcertain formulary; requiring employer to pay certainspecified expenses; prohibiting certain employerliability; requiring submission to certainexamination or treatment under certain circumstances;requiring suspension of certain proceedings undercertain circumstances; barring right to certaincompensation under specified circumstances; requiringconsideration of certain refusal in determination ofcertain compensation; authorizing review andamendment of certain charges; providing exception;establishing procedures for selection or change ofphysician; providing for responsibility of employeefor certain treatment or services; requiring certainnotice; providing for applicability of certainrequirements; requiring inclusion of certaininformation on specified forms; establishingconsequences for absence from certain treatmentappointments; authorizing copies of certaininformation; providing for cost of copies; providingfor computation of average weekly wages; providingfor method or system for evaluation of permanentdisability; prohibiting consideration of certaincondition as compensable injury; providing exception;providing for benefits for certain injury;authorizing extension of certain benefits underspecified circumstances; stating applicability ofprovisions; defining term; requiring certain reportof injury from employer to Commission; authorizingrefusal to provide certain confidential information;establishing requirements for certain reports;establishing penalty for refusal to submit certainreports; establishing procedures for judgments forcertain violations; authorizing application forcertification of certain medical plans; requiring feefor certain certification; requiring inclusion ofcertain information in application for certification;establishing requirements for certification ofcertain plans; authorizing independent contracting

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with certain medical plans under specifiedcircumstances; authorizing certain premiumreductions; prohibiting certification of certainplans; requiring implementation of certain site visitprotocol; establishing requirements of certainprotocol; requiring adoption of certain rules;establishing requirements for compensation foroccupational disease; defining term; specifyingliability of certain employer for compensation forcertain disease; specifying applicability of certainprovisions; defining terms; establishing requirementsfor compensation for disability or death fromsilicosis or asbestosis; establishing limitations oncertain compensation; requiring payment for certaintraining; establishing notice of disabilityrequirements for occupational disease and cumulativetrauma; authorizing review of certain award ordenial; creating certain presumptions; establishingprocedures for filing claim for certain benefits;establishing time limitations for filing of certainclaims; establishing procedures for filing claim foradditional compensation; stating consequences forfailure to file certain claim within specified timeperiod; providing exceptions; directing Commission topromulgate certain rules; requiring establishment andimplementation of certain preliminary conferenceprocedure; requiring certain notice; establishinghearing procedure for certain claims; establishingevidentiary requirements for certain hearing;directing filing and mailing of certain judgment;prohibiting disability compensation for certainperiod; providing exception; establishingrequirements for conducting hearing, investigation orinquiry by Commission and certain judges; requiringcertain hearing be open to the public; providing forrecording of certain proceedings; providingprocedures for introduction of certain evidence;establishing certain powers of Commission; imposingfine for certain contempt; creating certainrebuttable presumptions; authorizing certaindepositions; authorizing certain witness fees;authorizing employment of attorneys for certain

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proceedings; permitting appeal of judgment ordecision to Commission; establishing procedures forcertain appeal; requiring filing fee; establishingprocedures for commencement of action in SupremeCourt; authorizing certain actions by the SupremeCourt in relation to certain judgments or awardsunder specified circumstances; establishingprocedures for appeal to Supreme Court; requiring feefor certain appeal; providing for recording ofcertain judgment; authorizing Commission review ofcertain compensation judgment or award; establishingrequirements for certain review; requiring assessmentof certain costs; requiring Commission approval ofcertain legal fees; imposing limits on certainattorney fees; defining term; requiring certainnotice; requiring Commission to direct fees forcertain legal services; establishing certainsignature requirements; authorizing sanctions undercertain circumstances; specifying form of certainpaYments; requiring certain paYments be made withinspecified time period; defining term; establishingprocedures for controversion of certain claims;authorizing application for certain extension;establishing procedures for joint petition forsettlement of claims; directing paYment of certainbenefits when source of paYment is disputed;providing for certain reimbursement; providing forcertain interest; authorizing requirement of certaindeposit or bond; providing for certain interest oncertain compensation award; requiring certain notice;authorizing assessment of certain penalty;authorizing Commission to take certain actions;prohibiting benefits to incarcerated employees;requiring offer of certain deductible options byinsurers; establishing requirements for optionaldeductibles; authorizing adoption of certain rules;stating applicability of certain provisions;requiring administration of Self-insurance GuarantyFund by Board; providing for membership of Board;establishing terms for certain membership;prohibiting certain compensation; authorizing certainreimbursement; establishing requirements for

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conducting Board business; providing immunity fromcertain liability; stating purpose of certain Fund;stating requirements for expenditure of monies incertain Fund; establishing funding sources forWorkers' Compensation Self-Insured Guaranty Fund;defining term; requiring Commission to secure certainreleases under specified circumstances; requiringBoard to be party in certain proceedings; authorizingBoard to exercise certain rights and defenses;requiring Commission to submit certain report;requiring implementation of certain electronic datainterchange system; creating the Oklahoma Workers'Compensation Electronic Data Interchange AdvisoryCommittee; directing appointment of membership ofCommittee; requiring notice of certain meetings;authorizing certain pooling; providing immunity fromcertain liability; prohibiting certain acts;construing provisions; creating the Oklahoma EmployeeInjury Benefit Act; providing short title; definingterms; authorizing exemption from certain act;requiring certain notice; requiring paYment ofcertain fee; requiring maintenance of certaininformation; requiring adoption of certain rules;authorizing designation of certain informationcollection agent; requiring certain notice;authorizing certain contracts; authorizingprescription of certain rules and forms; requiringcertain notice; requiring adoption of certain benefitplan under specified circumstances; establishingrequirements for certain benefit plans; requiringbenefit plans to provide certain compensation;stating applicability of certain standards;authorizing certain lump sum paYments; authorizingcertain settlement agreements; authorizingspecification of certain conditions and limitations;prohibiting certain fees or costs; requiringprovision of certain information; authorizingqualified employers to insure certain risks;requiring employers to secure compensation inspecified ways; authorizing certain waivers;prohibiting relief of certain compensation;establishing requirements for certain bond;

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establishing certain security requirements;authorizing promulgation of certain rules;establishing requirements of certain benefit plans;holding certain insurance agents and brokers harmlessfor certain actions; establishing certain funds;stating purpose of certain funds; directingexpenditures of certain funds; defining term;directing administration and disbursement of certainfunds; authorizing funding from certain sources;requiring creation of certain account; authorizingcertain Association to exercise certain rights anddefenses; directing deposit of certain fines andpenalties; requiring annual paYment of certain fee;directing deposit of certain premium taxes; providingfor collection of certain premiums; requiringcollection of certain fees; establishingdetermination of certain surplus; establishingdetermination of certain assessment; requiringcertain notice; authorizing promulgation of certainrules; providing for exclusivity of certain liabilityand remedy; prohibiting benefits in certaincircumstances; providing for eligibility of certainbenefits; requiring filing of certain action withincertain time period; establishing responsibility ofcertain employer; requiring certain notice; requiringplan to contain certain rights; construingprovisions; authorizing procedures for certainappeal; providing for invalidity of certainprovisions; creating the Workers' CompensationArbitration Act; providing short title; authorizingvalidity of certain agreements; establishingrequirements for certain notice; specifyinggovernance of certain act; authorizing waiver ofcertain requirements; prohibiting certain agreements;prohibiting certain waiver; requiring certainapplication; providing for validity of certainagreement; authorizing arbitration of certainagreement; authorizing assessment of certain costs;providing for dispute of certain proceeding;authorizing Commission to enter certain findings;authorizing certain judgment; authorizing actions ofcertain arbitrators; requiring certain notice;

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authorizing consolidation of arbitration proceedingsunder certain circumstances; requiring following ofcertain agreement under specified circumstances;requiring certain disclosure; authorizing removal ofarbitrator under certain circumstances; establishingcontinuing disclosure requirements; providing forexercise of authority for majority of arbitrators;providing for immunity of certain civil liability;establishing requirements for certain testimony;authorizing award of certain fees and costs undercertain circumstances; establishing requirements forcertain arbitrations; establishing authority ofarbitrators; providing for appointment of replacementarbitrator; authorizing legal representation undercertain circumstances; providing for payment of legalfees; granting subpoena authority to arbitrator;establishing requirements for deposition anddiscovery; authorizing issuance of protective orderfor certain purpose; authorizing enforcement ofcertain orders; authorizing certain motions;requiring certain record; specifying time period forcertain award; authorizing modification of certainaward; requiring certain notice; establishingprocedures for certain modification; authorizingaward of certain benefits; authorizing order forcertain remedies; authorizing motion for confirmationof certain award; establishing procedures forvacating certain award; requiring modification undercertain circumstances; requiring recording of certainjudgment; granting exclusive jurisdiction;authorizing appeal of certain actions; directingcertain motions to certain courts; specifyingentities required to provide workers' compensationand requirements and procedures therefor; providingfor dismissal of claims; requiring commission toestablish a workers' compensation or ombudsmanprogram; stating purpose and duties; requiringcertain notice; providing for certain training;requiring development of alternative disputeresolution program; providing requirements forprogram; making mediation voluntary; providing forappointment of mediators; providing mediation

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procedures; making mediation proceedingsconfidential; providing that recommendations arenonbinding absent settlement agreement; providingthat certain results and statements are notadmissible in subsequent proceedings; providing forcertification of mediators; providing duration ofcertification; providing qualifications and dutiesfor mediators; providing for compensation ofmediators; requiring and providing procedure forfiling of Employee's First Notice of Claim; providingfor Notice of Contested Issues; providing forprehearing conference and administrative hearings;requiring creation of lists of physicians to serve asindependent medical examiners; providing forqualification and duration of qualification;providing for removal; providing duties; providingfor selection; providing for reimbursement; providingfor review process; providing for deviation fromopinion of independent medical examiner; providingfor objection to report of independent medicalexaminer; providing for case management; providingfor appointment and qualification of case managers;providing duration of qualification; providing forpayment of certain charges; providing for prostheticdevices; providing for Joint Petitions; providingprocedures; providing that Joint Petition is bindingin certain circumstances; providing for officialrecord; providing for objections and comments tosettlements; providing for certain written notice;providing for awards for permanent partial andpermanent total disability; providing certainestoppal; establishing certain fees; providing forpenalties and fines; authorizing certain inquiriesregarding prior claims; providing for discharge ofemployee for failure to answer truthfully; providingprocedure and fee for requests to Commission;providing exceptions; creating the Advisory Councilon Workers' Compensation; providing for composition,appointment, terms of office and travelreimbursement; providing for meetings; providing foroffice supplies and personnel; providing duties ofthe Advisory Council; providing purposes of the

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Workers' Compensation Fund; providing for certainassessments; providing duties of the Oklahoma TaxCommission; providing procedures for refunds;requiring certain written declarations; providing fortransfer of certain funds, assets, property, records,personnel, financial obligations and encumbrances;requiring the Director of the Office of Managementand Enterprise Services to coordinate transfer;providing for computation of time; renaming Workers'Compensation Court as Workers' Compensation Court ofExisting Claims; providing for composition of Court;providing for terms of office; providing thatpositions cease to exist at certain time; authorizingjudges to apply for position of administrative lawjudge; providing for filling of vacancies byadministrative law judges; providing for salary;prohibiting judges from engaging in private practiceof law during term of office; establishing Court ofExisting Claims as court of record; establishingjurisdiction of certain court; providing forprincipal office of the Court; providing forlocations for conducting of court hearings; requiringcounty commissioners and presiding district judges tomake quarters available to the Court; establishingprocedures for appeal of certain orders; providingfor retention of certain remedies andresponsibilities; specifying controlling law forcertain benefits and procedures to obtain benefits;providing for preservation of accrued rights andcertain penalties; repealing 74 O.S. 2011, Sections18m-1 and 18m-2, which relate to the Workers'Compensation Fraud Unit; repealing 85 O.S. 2011,Sections 301, 302 303, as amended by Section 1074,Chapter 304, O.S.L. 2012, 304, 305, 306, 307, 308,309, 310, 311, 312, 313, 314, 315, 316, 317, 318,319, 320, 321, 322, 323, 324, 325, 326, 327, asamended by Section 1 of Enrolled Senate Bill No. 250of the 1st Session of the 54th Oklahoma Legislature,328, 329, 330, 331, 332, 333, 334, 335, 336, 337,338, 339, 340, 341, 342, 343, 344, 345, 346, 347,348, 349, 350, 351, 352, 353, 354, 355, 356, 357,358, 359, 360, 361, as amended by Section 1075,

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Chapter 304, O.S.L. 2012, 362, 363, 364, 365, asamended by Section 1076, Chapter 304, O.S.L. 2012,366, 367, 368, 369, 370, as amended by Section 1077,Chapter 304, O.S.L. 2012, 371, 372, 373, 374, 402,403, as amended by Section 1082, Chapter 304, O.S.L.2012, 404, 405, 406, 407, 408, 409, 410, as lastamended by Section 1, Chapter 254, O.S.L. 2012, 411,412, as amended by Section 1083, Chapter 304, O.S.L.2012 and 413 (85 O.S. Supp. 2012, Sections 303, 361,365, 370, 403, 410 and 412), which relate to theWorkers' Compensation Code; providing forcodification; and providing an effective date.

SUBJECT: Worker's compensation

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

SECTION 1. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section 1 of Title 85A, unless there iscreated a duplication in numbering, reads as follows:

Sections 1 through 106 and 150 through 168 of this act shall beknown and may be cited as the "Administrative Workers' CompensationAct". The provisions of the Administrative Workers' CompensationAct shall be strictly construed.


As used in the Administrative Workers' Compensation Act:

1. "Actually dependent" means a surviving spouse, a child orany other person who receives one-half (1/2) or more of his or hersupport from the employee;

2. "Carrier" means any stock company, mutual company, orreciprocal or interinsurance exchange authorized to write or carry

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on the business of workers' compensation insurance in this state.Whenever required by the context, the term "carrier" shall be deemedto include duly qualified self-insureds or self-insured groups;

3. "Case management" means the ongoing coordination, by a casemanager, of health care services provided to an injured or disabledworker, including but not limited to systematically monitoring thetreatment rendered and the medical progress of the injured ordisabled worker; ensuring that any treatment plan follows allappropriate treatment protocols, utilization controls and practiceparameters; assessing whether alternative health care services areappropriate and delivered in a cost-effective manner based uponacceptable medical standards; and ensuring that the injured ordisabled worker is following the prescribed health care plan;

4. "Case manager" means a person who is a registered nurse witha current, active unencumbered license from the Oklahoma Board ofNursing, or possesses one or more of the following certificationswhich indicate the individual has a minimum number of years of casemanagement experience, has passed a national competency test andregularly obtains continuing education hours to maintaincertification:

a. Certified Disability Management Specialist (CDMS),

b. Certified Case Manager (CCM),

c. Certified Rehabilitation Registered Nurse (CRRN),

d. Case Manager - Certified (CMC),

e. Certified Occupational Health Nurse (COHN), or

f. Certified Occupational Health Nurse Specialist (COHNS) ;

5. "Certified workplace medical plan" means an organization ofhealth care providers or any other entity, certified by the StateCommissioner of Health, that is authorized to enter into acontractual agreement with an employer, group self-insuranceassociation plan, an employer's workers' compensation insurancecarrier, third-party administrator or an insured to provide medical

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care under the Administrative Workers' Compensation Act. Certifiedplans shall only include plans which provide medical services andpayment for services on a fee-for-service basis to medicalproviders;

6. "Child" means a natural or adopted son or daughter of theemployee under eighteen (18) years of age; or a natural or adoptedson or daughter of an employee eighteen (18) years of age or overwho is physically or mentally incapable of self-support; or anynatural or adopted son or daughter of an employee eighteen (18)years of age or over who is actually dependent; or any natural oradopted son or daughter of an employee between eighteen (18) andtwenty-three (23) years of age who is enrolled as a full-timestudent in any accredited educational institution. The term "child"includes a posthumous child, a child legally adopted or one for whomadoption proceedings are pending at the time of death, an actuallydependent stepchild or an actually dependent acknowledged child bornout of wedlock;

7. "Claimant" means a person who claims benefits for an injuryor occupational disease pursuant to the provisions of theAdministrative Workers' Compensation Act;

8. "Commission" means the Workers' Compensation Commission;

9. a. "Compensable injury" means damage or harm to thephysical structure of the body, or prostheticappliances, including eyeglasses, contact lenses, orhearing aids, caused solely as the result of either anaccident, cumulative trauma or occupational diseasearising out of the course and scope of employment. An"accident" means an event involving factors externalto the employee that:

(1) was unintended, unanticipated, unforeseen,unplanned and unexpected,

(2) occurred at a specifically identifiable time andplace,

(3) occurred by chance or from unknown causes, and

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(4) was independent of sickness, mental incapacity,bodily infirmity or any other cause.

b. "Compensable injury" does not include:

(1) injury to any active participant in assaults orcombats which, although they may occur in theworkplace, are the result of non-employmentrelated hostility or animus of one, both, or allof the combatants and which assault or combatamounts to a deviation from customary duties;provided, however, injuries caused by horseplayshall not be considered to be compensableinjuries, except for innocent victims,

(2) injury incurred while engaging in or performingor as the result of engaging in or performing anyrecreational or social activities for theemployee's personal pleasure,

(3) injury which was inflicted on the employee at atime when employment services were not beingperformed or before the employee was hired orafter the employment relationship was terminated,

(4) injury where the accident was caused by the useof alcohol, illegal drugs, or prescription drugsused in contravention of physician's orders. If,within twenty-four (24) hours of being injured orreporting an injury, an employee tests positivefor intoxication, an illegal controlledsubstance, or a legal controlled substance usedin contravention to a treating physician'sorders, or refuses to undergo the drug andalcohol testing, there shall be a rebuttablepresumption that the injury was caused by the useof alcohol, illegal drugs, or prescription drugsused in contravention of physician's orders.This presumption may only be overcome if theemployee proves by clear and convincing evidencethat his or her state of intoxication had nocausal relationship to the injury,

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(5) any strain, degeneration, damage or harm to, ordisease or condition of, the eye ormusculoskeletal structure or other body partresulting from the natural results of aging,osteoarthritis, arthritis, or degenerativeprocess including, but not limited to,degenerative joint disease, degenerative discdisease, degenerativespondylosis/spondylolisthesis and spinalstenosis, or

(6) any preexisting condition except when thetreating physician clearly confirms anidentifiable and significant aggravation incurredin the course and scope of emploYment.

c. The definition of "compensable injury" shall not beconstrued to limit or abrogate the right to recoverfor mental injuries as described in Section 13 of thisact, heart or lung injury or illness as described inSection 14 of this act, or occupational diseases asdescribed in Section 65 of this act.

d. A compensable injury shall be established by medicalevidence supported by objective findings as defined inparagraph 30 of this section.

e. The injured employee shall prove by a preponderance ofthe evidence that he or she has suffered a compensableinjury.

f. Benefits shall not be payable for a condition whichresults from a non-work-related independentintervening cause following a compensable injury whichcauses or prolongs disability, aggravation, orrequires treatment. A non-work-related independentintervening cause does not require negligence orrecklessness on the part of a claimant.

g. An employee who suffers a compensable injury shall beentitled to receive compensation as prescribed in this

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act. Notwithstanding other provisions of law, if itis determined that a compensable injury did not occur,the employee shall not be entitled to compensationunder this act;

10. "Compensation" means the money allowance payable to theemployee or to his or her dependents and includes the medicalservices and supplies provided for in Section 50 of this act andfuneral expenses;

11. "Consequential injury" means injury or harm to a part ofthe body that is a direct result of the injury or medical treatmentto the part of the body originally injured in the claim. TheCommission shall not make a finding of a consequential injury unlessit is established by objective medical evidence that medicaltreatment for such part of the body is required;

12. "Continuing medical maintenance" means medical treatmentthat is reasonable and necessary to maintain claimant's conditionresulting from the compensable injury or illness after reachingmaximum medical improvement. Continuing medical maintenance shallnot include diagnostic tests, surgery, injections, counseling,physical therapy, or pain management devices or equipment;

13. "Course and scope of employment" means an activity of anykind or character for which the employee was hired and that relatesto and derives from the work, business, trade or profession of anemployer, and is performed by an employee in the furtherance of theaffairs or business of an employer. The term includes activitiesconducted on the premises of an employer or at other locationsdesignated by an employer and travel by an employee in furtheranceof the affairs of an employer that is specifically directed by theemployer. This term does not include:

a. an employee's transportation to and from his or herplace of employment,

b. travel by an employee in furtherance of the affairs ofan employer if the travel is also in furtherance ofpersonal or private affairs of the employee,

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c. any injury occurring in a parking lot or other commonarea adjacent to an employer's place of businessbefore the employee clocks in or otherwise begins workfor the employer or after the employee clocks out orotherwise stops work for the employer, or

d. any injury occurring while an employee is on a workbreak, unless the injury occurs while the employee ison a work break inside the employer's facility and thework break is authorized by the employee's supervisor;

14. "Cumulative trauma" means an injury to an employee that iscaused by the combined effect of repetitive physical activitiesextending over a period of time in the course and scope ofemployment. Cumulative trauma shall not mean fatigue, soreness orgeneral aches and pain that may have been caused, aggravated,exacerbated or accelerated by the employee's course and scope ofemployment. Cumulative trauma shall have resulted directly andindependently of all other causes and the employee shall havecompleted at least one hundred eighty (180) days of continuousactive employment with the employer;

15. "Death" means only death resulting from compensable injuryas defined in paragraph 9 of this section;

16. "Disability" means incapacity because of compensable injuryto earn, in the same or any other employment, substantially the sameamount of wages the employee was receiving at the time of thecompensable injury;

17. "Drive-away operations" includes every person engaged inthe business of transporting and delivering new or used vehicles bydriving, either singly or by towbar, saddle-mount or full-mountmethod, or any combination thereof, with or without towing aprivately owned vehicle;

18. a. "Employee" means any person, including a minor, in theservice of an employer under any contract of hire orapprenticeship, written or oral, expressed or implied,but excluding one whose employment is casual and notin the course of the trade, business, profession, oroccupation of his or her employer and excluding one

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who is required to perform work for a municipality orcounty or the state or federal government on havingbeen convicted of a criminal offense or whileincarcerated. "Employee" shall also include a memberof the Oklahoma National Guard while in theperformance of duties only while in response to stateorders and any authorized voluntary or uncompensatedworker, rendering services as a firefighter, peaceofficer or emergency management worker. Travel by apoliceman, fireman, or a member of a first aid orrescue squad, in responding to and returning from anemergency, shall be deemed to be in the course ofemployment.

b. The term "employee" shall not include:

(1) any person for whom an employer is liable underany Act of Congress for providing compensation toemployees for injuries, disease or death arisingout of and in the course of employment including,but not limited to, the Federal Employees'Compensation Act, the Federal Employers'Liability Act, the Longshore and Harbor Workers'Compensation Act and the Jones Act, to the extenthis or her employees are subject to such acts,

(2) any person who is employed in agriculture orhorticulture by an employer who had a grossannual payroll in the preceding calendar year ofless than One Hundred Thousand Dollars($100,000.00) wages for agricultural orhorticultural workers, or any person who isemployed in agriculture or horticulture who isnot engaged in operation of motorized machines,

(3) any person who is a licensed real estate salesassociate or broker, paid on a commission basis,

(4) any person who is providing services in a medicalcare or social services program, or who is aparticipant in a work or training program,administered by the Department of Human Services,

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unless the Department is required by federal lawor regulations to provide workers' compensationfor such person. This division shall not beconstrued to include nursing homes,

(5) any person employed by an employer with five orfewer total employees, all of whom are related byblood or marriage to the employer, if theemployer is a natural person or a general orlimited partnership, or an incorporator of acorporation if the corporation is the employer,

(6) any person employed by an employer which is ayouth sports league which qualifies for exemptionfrom federal income taxation pursuant to federallaw,

(7) sole proprietors, members of a partnership,individuals who are party to a franchiseagreement as set out by the Federal TradeCommission franchise disclosure rule, 16 CFR436.1 through 436.11, members of a limitedliability company who own at least ten percent(10%) of the capital of the limited liabilitycompany or any stockholder-employees of acorporation who own ten percent (10%) or morestock in the corporation, unless they elect to becovered by a policy of insurance coveringbenefits under the Administrative Workers'Compensation Act,

(8) any person providing or performing voluntaryservice who receives no wages for the servicesother than meals, drug or alcohol rehabilitativetherapy, transportation, lodging or reimbursementfor incidental expenses except for volunteersspecifically provided for in subparagraph a ofthis paragraph,

(9) a person, commonly referred to as an owneroperator, who owns or leases a truck-tractor ortruck for hire, if the owner-operator actually

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operates the truck-tractor or truck and if theperson contracting with the owner-operator is notthe lessor of the truck-tractor or truck.Provided, however, an owner-operator shall not beprecluded from workers' compensation coverageunder the Administrative Workers' CompensationAct if the owner-operator elects to participateas a sole proprietor,

(10) a person referred to as a drive-away owneroperator who privately owns and utilizes a towvehicle in drive-away operations and operatesindependently for hire, if the drive-away owneroperator actually utilizes the tow vehicle and ifthe person contracting with the drive-away owneroperator is not the lessor of the tow vehicle.Provided, however, a drive-away owner-operatorshall not be precluded from workers' compensationcoverage under the Administrative Workers'Compensation Act if the drive-away owner-operatorelects to participate as a sole proprietor, and

(11) any person who is employed as a domestic servantor as a casual worker in and about a private homeor household, which private home or household hada gross annual payroll in the preceding calendaryear of less than Fifty Thousand Dollars($50,000.00) for such workers;

19. "Employer" means a person, partnership, association,limited liability company, corporation, and the legalrepresentatives of a deceased employer, or the receiver or trusteeof a person, partnership, association, corporation, or limitedliability company, departments, instrumentalities and institutionsof this state and divisions thereof, counties and divisions thereof,public trusts, boards of education and incorporated cities or townsand divisions thereof, employing a person included within the term"employee" as defined in this section. Employer may also mean theemployer's workers' compensation insurance carrier, if applicable.Except as provided otherwise, this act applies to all public andprivate entities and institutions. Employer shall not include aqualified employer with an employee benefit plan as provided under

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the Oklahoma Employee Injury Benefit Act in Sections 107 through 120of this act;

20. "Employment" includes work or labor in a trade, business,occupation or activity carried on by an employer or any authorizedvoluntary or uncompensated worker rendering services as afirefighter, peace officer or emergency management worker;

21. "Evidence-based" means expert-based, literature-supportedand outcomes validated by well-designed randomized trials when suchinformation is available and which uses the best available evidenceto support medical decision making;

22. "Gainful employment" means the capacity to performemployment for wages for a period of time that is not part-time,occasional or sporadic;

23. "Impaired self-insurer" means a private self-insurer orgroup self-insurance association that fails to pay its workers'compensation obligations, or is financially unable to do so and isthe subject of any proceeding under the Federal Bankruptcy ReformAct of 1978, and any subsequent amendments or is the subject of anyproceeding in which a receiver, custodian, liquidator,rehabilitator, trustee or similar officer has been appointed by acourt of competent jurisdiction to act in lieu of or on behalf ofthe self-insurer;

24. "Incapacity" means inadequate strength or ability toperform a work-related task;

25. "Insurance Commissioner" means the Insurance Commissionerof the State of Oklahoma;

26. "Insurance Department" means the Insurance Department ofthe State of Oklahoma;

27. "Major cause" means more than fifty percent (50%) of theresulting injury, disease or illness. A finding of major causeshall be established by a preponderance of the evidence. A findingthat the workplace was not a major cause of the injury, disease orillness shall not adversely affect the exclusive remedy provisions

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of this act and shall not create a separate cause of action outsidethis act;

28. "Maximum medical improvement" means that no furthermaterial improvement would reasonably be expected from medicaltreatment or the passage of time;

29. "Medical services" means those services specified inSection 50 of this act;

30. "Misconduct" shall include the following:

a. unexplained absenteeism or tardiness,

b. willful or wanton indifference to or neglect of theduties required,

c. willful or wanton breach of any duty required by theemployer,

d. the mismanagement of a position of employment byaction or inaction,

e. actions or omissions that place in jeopardy thehealth, life, or property of self or others,

f. dishonesty,

g. wrongdoing,

h. violation of a law, or

1. a violation of a policy or rule adopted to ensureorderly work or the safety of self or others;

31. a. (1) "Objective findings" are those findings whichcannot come under the voluntary control of thepatient.

(2 )

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(a) When determining permanent disability, aphysician, any other medical provider, anadministrative law judge, the Commission or

the courts shall not consider complaints ofpain.

(b) For the purpose of making permanentdisability ratings to the spine, physiciansshall use criteria established by the mostcurrent edition of the American MedicalAssociation "Guides to the Evaluation ofPermanent Impairment".

(3) (a) Obj ective evidence necessary to provepermanent disability in occupational hearingloss cases may be established by medicallyrecognized and accepted clinical diagnosticmethodologies, including, but not limitedto, audiological tests that measure air andbone conduction thresholds and speechdiscrimination ability.

(b) Any difference in the baseline hearinglevels shall be confirmed by subsequenttesting; provided, however, such test shallbe given within four (4) weeks of theinitial baseline hearing level test but notbefore five (5) days after being adjustedfor presbycusis.

b. Medical opinions addressing compensability andpermanent disability shall be stated within areasonable degree of medical certainty;

32. "Official Disability Guidelines" or "ODG" means the currentedition of the Official Disability Guidelines and the ODG Treatmentin Workers' Comp as published by the Work Loss Data Institute;

33. "Permanent disability" means the extent, expressed as apercentage, of the loss of a portion of the total physiologicalcapabilities of the human body as established by competent medicalevidence and based on the current edition of the American MedicalAssociation guides to the evaluation of impairment, if theimpairment is contained therein;

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34. "Permanent partial disability" means a permanent disabilityor loss of use after maximum medical improvement has been reachedwhich prevents the injured employee, who has been released to returnto work by the treating physician, from returning to his or her preinjury or equivalent job. All evaluations of permanent partialdisability must be supported by objective findings;

35. "Permanent total disability" means, based on objectivefindings, incapacity, based upon accidental injury or occupationaldisease, to earn wages in any employment for which the employee maybecome physically suited and reasonably fitted by education,training, experience or vocational rehabilitation provided underthis act. Loss of both hands, both feet, both legs, or both eyes,or any two thereof, shall constitute permanent total disability;

36. "Preexisting condition" means any illness, injury, disease,or other physical or mental condition, whether or not work-related,for which medical advice, diagnosis, care or treatment wasrecommended or received preceding the date of injury;

37. "Pre-injury or equivalent job" means the job that theclaimant was working for the employer at the time the injuryoccurred or any other employment offered by the claimant's employerthat pays at least one hundred percent (100%) of the employee'saverage weekly wage;

38. "Private self-insurer" means a private employer that hasbeen authorized to self-insure its workers' compensation obligationspursuant to this act, but does not include group self-insuranceassociations authorized by this act, or any public employer thatself-insures pursuant to this act;

39.part orillness

"Prosthetic" means an artificial device used to replace ajoint of the body that is lost or injured in an accident orcovered by this act;

40. "Scheduled member" or "member" means hands, fingers, arms,legs, feet, toes, and eyes. In addition, for purposes of theMultiple Injury Trust Fund only, "scheduled member" means hearingimpairment;

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41. "Scientifically based" involves the application ofrigorous, systematic, and objective procedures to obtain reliableand valid knowledge relevant to medical testing, diagnoses andtreatment; is adequate to justify the general conclusions drawn; andhas been accepted by a peer-review journal or approved by a panel ofindependent experts through a comparably rigorous, objective, andscientific review;

42. "State average weekly wage" means the state average weeklywage determined by the Oklahoma Employment Security Commission inthe preceding calendar year. If such determination is notavailable, the Commission shall determine the wage annually afterreasonable investigation;

43. "Subcontractor" means a person, firm, corporation or otherlegal entity hired by the general or prime contractor to perform aspecific task for the completion of a work-related activity;

44. "Surgery" does not include an injection, or the forcing offluids beneath the skin, for treatment or diagnosis;

45. "Surviving spouse" means the employee's spouse by reason ofa legal marriage recognized by the State of Oklahoma or under therequirements of a common law marriage in this state, as determinedby the Workers' Compensation Commission;

46. "Temporary partial disability" means an injured employeewho is temporarily unable to perform his or her job, but may performalternative work offered by the employer;

47. "Time of accident" or "date of accident" means the time ordate of the occurrence of the accidental incident from whichcompensable injury, disability, or death results; and

48. "Wages" means money compensation received for employment atthe time of the accident, including the reasonable value of board,rent, housing, lodging, or similar advantage received from theemployer and includes the amount of tips required to be reported bythe employer under Section 6053 of the Internal Revenue Code and theregulations promulgated pursuant thereto or the amount of actualtips reported, whichever amount is greater.

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A. Every employer and every employee, unless otherwisespecifically provided in this act, shall be subject and bound to theprovisions of the Administrative Workers' Compensation Act.However, nothing in this act shall be construed to conflict with anyvalid Act of Congress governing the liability of employers forinjuries received by their employees.

B. This act shall apply only to claims for injuries and deathbased on accidents which occur on or after the effective date ofthis act.

C. The Workers' Compensation Code in effect before theeffective date of this act shall govern all rights in respect toclaims for injuries and death based on accidents occurring beforethe effective date of this act.


A. If any part of this act be decided by the courts to beunconstitutional or invalid, the same shall not affect the validityof this act as a whole, or any part thereof other than the part sodecided to be unconstitutional or invalid.

B. If the adjudication of unconstitutionality has the effect ofinvalidating any payment of compensation under this act, the amountof any compensation paid under this act on account of the injuryshall be deducted from the amount of damages awarded in the actionin respect to the injury.


A. The rights and remedies granted to an employee subject tothe provisions of the Administrative Workers' Compensation Act shallbe exclusive of all other rights and remedies of the employee, his

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legal representative, dependents, next of kin, or anyone elseclaiming rights to recovery on behalf of the employee against theemployer, or any principal, officer, director, employee,stockholder, partner, or prime contractor of the employer on accountof injury, illness, or death. Negligent acts of a co-employee maynot be imputed to the employer. No role, capacity, or persona ofany employer, principal, officer, director, employee, or stockholderother than that existing in the role of employer of the employeeshall be relevant for consideration for purposes of this act, andthe remedies and rights provided by this act shall be exclusiveregardless of the multiple roles, capacities, or personas theemployer may be deemed to have. For the purpose of extending theimmunity of this section, any operator or owner of an oil or gaswell or other operation for exploring for, drilling for, orproducing oil or gas shall be deemed to be an intermediate orprincipal employer for services performed at a drill site orlocation with respect to injured or deceased workers whose immediateemployer was hired by such operator or owner at the time of theinjury or death.

B. Exclusive remedy shall not apply if:

1. An employer fails to secure the paYment of compensation dueto the employee as required by this act. An injured employee, orhis or her legal representative in case death results from theinjury, may, at his or her option, elect to claim compensation underthis act or to maintain a legal action in court for damages onaccount of the injury or death; or

2. The injury was caused by an intentional tort committed bythe employer. An intentional tort shall exist only when theemployee is injured as a result of willful, deliberate, specificintent of the employer to cause such injury. Allegations or proofthat the employer had knowledge that the injury was substantiallycertain to result from the employer's conduct shall not constitutean intentional tort. The employee shall plead facts that show it isat least as likely as it is not that the employer acted with thepurpose of injuring the employee. The issue of whether an act is anintentional tort shall be a question of law.

c. The immunity from civil liability described in subsection Aof this section shall apply regardless of whether the injured

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employee is denied compensation or deemed ineligible to receivecompensation under this act.

D. If an employer has failed to secure the payment ofcompensation for his or her injured employee as provided for in thisact, an injured employee, or his or her legal representative ifdeath results from the injury, may maintain an action in thedistrict court for damages on account of such injury.

E. The immunity created by the provisions of this section shallnot extend to action against another employer, or its employees, onthe same job as the injured or deceased worker where such otheremployer does not stand in the position of an intermediate orprincipal employer to the immediate employer of the injured ordeceased worker.

F. The immunity created by the provisions of this section shallnot extend to action against another employer, or its employees, onthe same job as the injured or deceased worker even though suchother employer may be considered as standing in the position of aspecial master of a loaned servant where such special master neitheris the immediate employer of the injured or deceased worker norstands in the position of an intermediate or principal employer tothe immediate employer of the injured or deceased worker.

G. This section shall not be construed to abrogate the loanedservant doctrine in any respect other than that described insubsection F of this section. Nothing in this act shall beconstrued to relieve the employer from any other penalty providedfor in this act for failure to secure the payment of compensationunder this act.

H. For the purpose of extending the immunity of this section,any architect, professional engineer, or land surveyor shall bedeemed an intermediate or principal employer for services performedat or on the site of a construction project, but this immunity shallnot extend to the negligent preparation of design plans andspecifications.

I. If the employer has failed to secure the payment ofcompensation as provided in this act or in the case of anintentional tort, the injured employee or his or her legal

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representative may maintain an action either before the Commissionor in the district court, but not both.


A. 1. a. Any person or entity who makes any material falsestatement or representation, who willfully andknowingly omits or conceals any material information,or who employs any device, scheme, or artifice, or whoaids and abets any person for the purpose of:

(1) obtaining any benefit or payment,

(2) increasing any claim for benefit or payment, or

(3) obtaining workers' compensation coverage underthis act,

shall be guilty of a felony.

b. A material false statement or representation includes,but is not limited to, attempting to obtain treatmentor compensation for body parts that were not injuredin the course and scope of employment.

c. Fifty percent (50%) of any criminal fine imposed andcollected under this section shall be paid andallocated in accordance with applicable law to theWorkers' Compensation Fund administered by theCommission.

2. Any person or entity with whom any person identified indivision (1) of subparagraph a of paragraph 1 of this subsection hasconspired to achieve the proscribed ends shall, by reason of suchconspiracy, be guilty as a principal of a felony.

B. A copy of division (1) of subparagraph a of paragraph 1 ofsubsection A of this section shall be included on all formsprescribed by the Commission for the use of injured employees

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claiming benefits and for the use of employers in responding toemployees' claims under this act.

C. Where the Commission or the Attorney General finds that aviolation of division (1) of subparagraph a of paragraph 1 ofsubsection A of this section has been committed, or that any othercriminal violations in furtherance of this act were committed, thechair of the Commission or the Attorney General shall refer thematter for appropriate action to the prosecuting attorney havingcriminal jurisdiction over the matter.

D. 1. a. There shall be established within the Office of theAttorney General a Workers' Compensation FraudInvestigation Unit, funded by the Commission. TheAttorney General shall appoint a Director of theWorkers' Compensation Fraud Investigation Unit, whomay also serve as the director of any other designatedinsurance fraud investigation division within theAttorney General's office.

b. (1 ) The Unit shall investigate workers' compensationfraud, any additional criminal violations thatmay be related to workers' compensation fraud,and any other insurance fraud matters as may beassigned at the discretion of the AttorneyGeneral.

(2) The Attorney General shall designate thepersonnel assigned to the Unit, who, on meetingthe qualifications established by the OklahomaCouncil on Law Enforcement Education andTraining, shall have the powers of specializedlaw enforcement officers of the State of Oklahomafor the purpose of conducting investigationsunder this subparagraph. Personnel hired asspecialized law enforcement officers shall have aminimum of three (3) years of certified lawenforcement experience or its equivalent innational or military law enforcement experienceas approved by the Oklahoma Council on LawEnforcement Education and Training.

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2. The Attorney General and his or her deputies and assistantsand the Director of the Workers' Compensation Fraud InvestigationUnit and his or her deputies and assistants shall be vested with thepower of enforcing the requirements of this section.

3. It shall be the duty of the Unit to assist the AttorneyGeneral in the performance of his or her duties. The Unit shalldetermine the identity of employees in this state who have violateddivision (1) of subparagraph a of paragraph 1 of subsection A ofthis section and report the violation to the Office of the AttorneyGeneral and the Commission. The Attorney General shall report theviolation to the prosecuting attorney having jurisdiction over thematter.

4. a. In the course of any investigation being conducted bythe Unit, the Attorney General and his or her deputiesand assistants and the Director and his or herdeputies and assistants shall have the power ofsubpoena and may:

(1) subpoena witnesses,

(2) administer oaths or affirmations and examine anyindividual under oath, and

(3) require and compel the production of records,books, papers, contracts, and other documents.

b. The issuance of subpoenas for witnesses shall beserved in the same manner as if issued by a districtcourt.

c. (1) Upon application by the commissioner or theDirector of the Unit, the district court locatedin the county where a subpoena was served mayissue an order compelling an individual to complywith the subpoena to testify.

(2) Any failure to obey the order of the court may bepunished as contempt.

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d. If any person has refused in connection with aninvestigation by the Director to be examined underoath concerning his or her affairs, then the Directoris authorized to conduct and enforce by allappropriate and available means any examination underoath in any state or territory of the United States inwhich any officer, director, or manager may thenpresently be to the full extent permitted by the lawsof the state or territory.

e. In addition to the punishments described in paragraph1 of subsection A of this section, any personproviding false testimony under oath or affirmation inthis state as to any matter material to anyinvestigation or hearing conducted under thissubparagraph, or any workers' compensation hearing,shall upon conviction be guilty of perjury.

5. Fees and mileage of the officers serving the subpoenas andof the witnesses in answer to subpoenas shall be as provided by law.

6 . a. Every carrier or employer who has reason to suspectthat a violation of division (1) of subparagraph a ofparagraph 1 of subsection A of this section hasoccurred shall be required to report all pertinentmatters to the unit.

b. No carrier or employer who makes a report for asuspected violation of division (1) of subparagraph aof paragraph 1 of subsection A of this section by anemployee shall be liable to the employee unless thecarrier or employer knowingly and intentionallyincluded false information in the report.

c. (1) Any carrier or employer who willfully andknowingly fails to report a violation underdivision (1) of subparagraph a of paragraph 1 ofsubsection A of this section shall be guilty of amisdemeanor and on conviction shall be punishedby a fine not to exceed One Thousand Dollars($1,000.00) .

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(2) Fifty percent (50%) of any criminal fine imposedand collected under this subparagraph shall bepaid and allocated in accordance with applicablelaw to the fund administered by the Commission.

d. Any employee may report suspected violations ofdivision (1) of subparagraph a of paragraph 1 ofsubsection A of this section. No employee who makes areport shall be liable to the employee whose suspectedviolations have been reported.

E. 1. For the purpose of imposing criminal sanctions or a finefor violation of the duties of this act, the prosecuting attorneyshall have the right and discretion to proceed against any person ororganization responsible for such violations, both corporate andindividual liability being intended by this act.

2. The prosecuting attorney of the district to whom a suspectedviolation of subsection A of this section, or any other criminalviolations that may be related thereto, have been referred shall,for the purpose of assisting him or her in such prosecutions, havethe authority to appoint as special deputy prosecuting attorneyslicensed attorneys-at-law in the employment of the Unit or any otherdesignated insurance fraud investigation division within theAttorney Generalis office. Such special deputy prosecutingattorneys shall, for the purpose of the prosecutions to which theyare assigned, be responsible to and report to the prosecutingattorney.

F. Notwithstanding any other provision of law, investigatoryfiles as maintained by the Attorney Generalis office and by the Unitshall be deemed confidential and privileged. The files may be madeopen to the public once the investigation is closed by the Directorof the Workers' Compensation Fraud Investigation Unit with theconsent of the Attorney General.

G. The Attorney General, with the cooperation and assistance ofthe Commission, is authorized to establish rules as may be necessaryto carry out the provisions of this section.

H. Nothing in this section shall be deemed to create a civilcause of action.

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I. The Commission shall include a statement on all forms fornotices and instructions to employees, employers, carriers andthird-party administrators that any person who commits workers'compensation fraud, upon conviction, shall be guilty of a felonypunishable by imprisonment, a fine or both.

J. If an injured employee is charged with workers' compensationfraud, any pending workers' compensation proceeding, includingbenefits, shall be stayed after the preliminary hearing is concludedand the claimant is bound over and shall remain stayed until thefinal disposition of the criminal case. All notice requirementsshall continue during the stay.

SECTION 7. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section 7 of Title 8SA, unless there iscreated a duplication in numbering, reads as follows:

A. An employer may not discriminate or retaliate against anemployee when the employee has in good faith:

1. Filed a claim under this act;

2. Retained a lawyer for representation regarding a claim underthis act;

3. Instituted or caused to be instituted any proceeding underthe provisions of this act; or

4. Testified or is about to testify in any proceeding under theprovisions of this act.

B. The Commission shall have exclusive jurisdiction to hear anddecide claims based on subsection A of this section.

C. If the Commission determines that the defendant violatedsubsection A of this section, the Commission may award the employeeback pay up to a maximum of One Hundred Thousand Dollars($100,000.00). Interim earnings or amounts earnable with reasonablediligence by the person discriminated against shall reduce the backpay otherwise allowable.

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D. The prevailing party shall be entitled to recover costs anda reasonable attorney fee.

E. No employer may discharge an employee during a period oftemporary total disability for the sole reason of being absent fromwork or for the purpose of avoiding payment of temporary totaldisability benefits to the injured employee.

F. Notwithstanding any other provision of this section, anemployer shall not be required to rehire or retain an employee who,after temporary total disability has been exhausted, is determinedby a physician to be physically unable to perform his or herassigned duties, or whose position is no longer available.

G. This section shall not be construed as establishing anexception to the employment at will doctrine.

H. The remedies provided for in this section shall be exclusivewith respect to any claim arising out of the conduct described insubsection A of this section.


A. No agreement by an employee to waive his or her right tocompensation shall be valid. No contract, regulation, or deviceshall operate to relieve the employer or carrier, in whole or inpart, from any liability created by this act, except as specificallyprovided in this act.

B. Any officer of a corporation, sole proprietor, partner of apartnership, member of a limited liability company, member of aprofessional association, or self-employed employer who is not asubcontractor and who owns and operates his or her own business may,by agreement or contract, exclude himself or herself from coverageor waive his or her right to coverage or compensation under thisact.


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No agreement by an employee to pay any portion of the premiumpaid by his or her employer to a carrier or a benefit fund ordepartment maintained by the employer for the purpose of providingcompensation or medical services and supplies as required by thisact shall be valid. Any employer who makes a deduction for suchpurposes from the pay of any employee entitled to the benefits ofthis act shall be guilty of a misdemeanor.


A. The right to any claim, benefit or compensation shall not bereleased or commuted except as provided by the AdministrativeWorkers' Compensation Act and, except for child support liens, isnot assignable and is not subject to garnishment, attachment, levy,execution, or any other legal process. Monetary compensation todependents of a deceased employee shall not constitute assets of theestate of the deceased employee and shall be payable to and for thebenefit of the dependents alone. Any amount withheld under theprovisions of this section shall be treated as if it were paid tothe employee as workers' compensation and paid by the employee tothe person or agency to whom the obligation is payable.

B. A lien against workers' compensation benefits is authorizedfor the purpose of enforcing a judgment for child support. Childsupport liens filed in accordance with Section 135 of Title 43 ofthe Oklahoma Statutes are specifically authorized and shall be paidin accordance with such statute without any order of the Commission.

C. Additionally, all income assignments or wage assignments forchild support issued pursuant to Section 1170 of Title 12 of theOklahoma Statutes or Section 237.7 of Title 56 of the OklahomaStatutes are specifically authorized and shall be paid in accordancewith such statutes without any order of the Commission.

D. In the event a child support lien is filed in a case beforethe Commission, an administrative law judge of the Commission shallrecognize such lien in any award of monetary benefits and theemployer or insurance carrier shall include the name of the personor government agency asserting the lien on any check for temporary

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total disability, permanent partial disability or permanent andtotal disability.


Compensation to alien nonresidents of the United States orCanada shall be the same in amount as provided for residents, exceptthat alien nonresident dependents in any foreign country shall belimited to the surviving spouse or children or, if there is nosurviving spouse or children, to the surviving father or mother whomthe employee has supported, either wholly or in part, for the periodof one (1) year before the date of the injury.


Compensation due an injured employee or his or her dependentsshall have the same preference as is allowed by law to an employeefor unpaid wages.


A. 1. A mental injury or illness is not a compensable injuryunless caused by a physical injury to the employee, and shall not beconsidered an injury arising out of and in the course and scope ofemployment or compensable unless demonstrated by a preponderance ofthe evidence; provided, however, that this physical injurylimitation shall not apply to any victim of a crime of violence.

2. No mental injury or illness under this section shall becompensable unless it is also diagnosed by a licensed psychiatristor psychologist and unless the diagnosis of the condition meets thecriteria established in the most current issue of the Diagnostic andStatistical Manual of Mental Disorders.

B. 1. Notwithstanding any other provision of this act, where aclaim is for mental injury or illness, the employee shall be limited

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to twenty-six (26) weeks of disability benefits unless it is shownby clear and convincing evidence that benefits should continue for aset period of time, not to exceed a total of fifty-two (52) weeks.

2. a. In cases where death results directly from the mentalinjury or illness within a period of one (1) year,compensation shall be paid the dependents as providedin other death cases under this act.

b. Death directly or indirectly related to the mentalinjury or illness occurring one (1) year or more fromthe incident resulting in the mental injury or illnessshall not be a compensable injury.


A. A cardiovascular, coronary, pulmonary, respiratory, orcerebrovascular accident or myocardial infarction causing injury,illness, or death is a compensable injury only if, in relation toother factors contributing to the physical harm, the course andscope of emploYment was the major cause.

B. 1. An injury or disease included in subsection A of thissection shall not be deemed to be a compensable injury unless it isshown that the exertion of the work necessary to precipitate thedisability or death was extraordinary and unusual in comparison tothe employee's usual work in the course of the employee's regularemploYment, or that some unusual and unpredicted incident occurredwhich is found to have been the major cause of the physical harm.

2. Physical or mental stress shall not be considered indetermining whether the employee or claimant has met his or herburden of proof.


A. 1. One month before the beginning of any fiscal year, theAttorney General shall provide to the Commission the estimated

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funding need of the Workers' Compensation Fraud Investigation Unitof the Office of Attorney General for the ensuing fiscal year.

2. The funding report shall itemize each position to beutilized in the Unit and funded by the Commission and make estimatesof all other budgetary line items necessary to provide support tothe Unit.

3. The report shall deduct unexpended and unencumbered balancesof the Unit from the previous fiscal year. Only the current need,excluding unexpended and unencumbered funds, shall be certified fora fund transfer authorized in this section.

B. On or before the first day of each fiscal year, theCommission shall certify to the State Treasurer that funds areavailable for transfer, on which certification the State Treasurershall transfer those funds from the Workers· Compensation Fund ofthe Commission to the fund account used for the maintenance,operation, and support of the Unit.


A. The Official Disability Guidelines - Treatment in WorkersCompensation (ODG) , published by the Work Loss Data Institute, is tobe recognized as the primary standard of reference, at the time oftreatment, in determining the frequency and extent of servicespresumed to be medically necessary and appropriate for compensableinjuries under this act, or in resolving such matters in the event adispute arises. The medical treatment guidelines are notrequirements, nor are they mandates or standards; they provideadvice by identifying the care most likely to benefit injuredworkers. The guidelines shall be evidence-based, scientificallyvalid, outcome-focused, and designed to reduce excessive orinappropriate medical care while safeguarding necessary medicalcare.

B. Physicians providing care to an employee shall prescribe forthe employee any necessary prescription drugs and over-the-counteralternatives to prescription medicine as clinically appropriate andas recommended under the Official Disability Guidelines.

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Prescriptions and nonprescription drugs that are not preferred,exceed or are not addressed by ODG require preauthorization and thepreauthorization request shall include the prescribing doctor's drugregimen plan of care and the anticipated dosage or range of dosages.


A. There is hereby created a Physician Advisory Committeecomprised of nine (9) members to be appointed as follows:

1. The Governor shall appoint three members, one of whom shallbe licensed in this state as a doctor of medicine and surgery, oneof whom shall be engaged in the practice of family medicine in arural community of the state, and one of whom shall be anosteopathic physician;

2. The President Pro Tempore of the Senate shall appoint threemembers, one of whom shall be licensed in this state as a doctor ofmedicine and orthopedic surgery, one of whom shall be licensed inthis state either as a doctor of medicine or a doctor of osteopathyand a neurosurgeon, and one of whom shall be licensed in this stateas a podiatric physician; and

3. The Speaker of the House of Representatives shall appointthree members, one of whom shall be licensed in this state as anosteopathic physician, one of whom shall be licensed in this stateeither as a doctor of medicine or a doctor of osteopathy and shallbe engaged in the practice of occupational medicine, and one of whomshall be licensed in this state as a chiropractic physician.

Any member serving on the effective date of this section shallserve the remainder of his or her term. Thereafter, each positionwill be filled by the appointing official for a term of three (3)years. Members shall be subject to reappointment, with any newappointee to serve out the remainder of the unexpired term of theCommittee member so replaced.

B. The Committee shall:

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1. Assist and advise the Workers' Compensation Commissionregarding utilization review as it relates to the medical practiceand treatment of work-related injuries. Such utilization reviewshall include a review of reasonable and necessary medicaltreatment; abusive practices; needless treatments, testing, orprocedures; or a pattern of billing in excess of or in violation ofthe Schedule of Medical Fees. The Physician Advisory Committeeshall review and make findings and recommendations to the Commissionwith respect to charges of inappropriate or unnecessary treatment orprocedures, abusive practices, or excessive billing disclosedthrough utilization review;

2. Assist the Commission in reviewing medical practices ofhealth care providers, including evaluations of permanent disabilityprovided by health care providers. The Committee shall review andmake findings and recommendations to the Commission with respect tocharges of abusive practices by health care providers providingmedical services or evaluations of permanent partial disabilitythrough the workers' compensation system;

3. After public hearing, review and make recommendations foracceptable deviations from the American Medical Association's"Guides to the Evaluation of Permanent Impairment";

4. After public hearing, adopt Physician Advisory CommitteeGuidelines (PACG) and protocols for only medical treatment notaddressed by the latest edition of the Official DisabilityGuidelines;

5. After public hearing, adopt Physician Advisory CommitteeGuidelines for the prescription and dispensing of any controlledsubstance included in Schedule II of the Uniform ControlledDangerous Substances Act if not addressed by the current edition ofthe Official Disability Guidelines;

6. Review utilization on cases or of providers when requestedby any employer, injured employee or insurer. The Committee mayissue a public or private censure to any provider for utilizationwhich is excessive or inadequate, or recommend the Commission ordertreatment within the treatment guidelines;

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7. Provide general recommendations to the Commission on theissues of injury causation and apportionment;

8. Conduct educational seminars for the Commission, employers,employees, and other interested parties;

9. Assist the Commission in accessing medical information fromscientific literature; and

10. Report its progress annually to the Governor, the PresidentPro Tempore of the Senate, and the Speaker of the House ofRepresentatives.

C. The Commission shall recognize the latest edition of theOfficial Disability Guidelines as the primary standard of reference,at the time of treatment, in determining the frequency and extent ofservices presumed to be medically necessary and appropriate forcompensable injuries under this act, or in resolving such matters inthe event a dispute arises.

D. Members of the Physician Advisory Committee shall receive nocompensation for serving on the Committee but shall be reimbursed bythe Commission for their necessary travel expenses incurred in theperformance of their duties in accordance with the State TravelReimbursement Act.

E. Meetings of the Physician Advisory Committee shall be calledby the Commission but held at least quarterly. The presence of amajority of the members shall constitute a quorum. No action shallbe taken by the Physician Advisory Committee without the affirmativevote of at least a majority of the members.

F. The Commission shall provide office supplies and personnelof the Commission to assist the Committee in the performance of itsduties.

G. Upon written request, the Insurance Commissioner, CompSourceOklahoma, and every approved self-insured employer in Oklahoma shallprovide the Committee with data necessary to the performance of itsduties.

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H. Any health care provider acting in good faith and within thescope of the provider's duties as a member of the Physician AdvisoryCommittee shall be immune from civil liability for making any reportor other information available to the judges of the Commission or tothe Commission or for assisting in the origination, investigation,or preparation of the report or other information so provided.


A. No hospital, physician, or other health care provider shallbill or attempt to collect any fee or any portion of a fee forservices rendered to an employee due to a work-related injury orreport to any credit-reporting agency any failure of the employee tomake the payment, when a claim for compensation has been filed underthis act and the hospital, physician, or health care provider hasreceived actual notice given in writing by the employee or theemployee's representative. Actual notice shall be deemed receivedby the hospital, physician, or health care provider five (5) daysafter mailing by certified mail by the employee or his or herrepresentative to the hospital, physician, or health care provider.

B. The notice shall include:

1. The name of the employer;

2. The name of the insurer, if known;

3 . The name of the employee receiving the services;

4. The general nature of the injury, if known; and

5. Where a claim has been filed, the claim number, if known.

C. When an injury or bill is found to be noncompensable underthis act, the hospital, physician, or other health care providershall be entitled to pursue the employee for any unpaid portion ofthe fee or other charges for authorized services provided to theemployee. Any applicable statute of limitations for an action forthe fees or other charges shall be tolled from the time notice isgiven to the hospital, physician, or other health care provider

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until a determination of noncompensability in regard to the injurywhich is the basis of the services is made, or if there is anappeal, until a final determination of noncompensability is renderedand all appeal deadlines have passed.

D. This section shall not avoid, modify, or amend any othersection or subsection of this act.

E. An order by the Commission under this section shall stay allproceedings for collection.


A. There is hereby created the Oklahoma Workers' CompensationCommission, an executive agency of the State of Oklahoma, whichshall have the exclusive responsibility and duty to carry out theprovisions of this act, except as otherwise provided.

B. The Commission shall consist of three (3) full-timecommissioners, each of whom must have been involved in the workers'compensation field for at least three (3) years, appointed by theGovernor: one of whom is chosen from a slate of three selected bythe Speaker of the House of Representatives, with all threeconfirmed by the Senate. The term of each appointee shall be six(6) years to administer the provisions of this act. The Governor

may request a subsequent slate of nominees from the Speaker of theHouse of Representatives if a suitable nominee is not found. Any orall of the commissioners may be reappointed for additional six-yearterms upon reconfirmation by the Senate. However, the initialcommissioners shall serve staggered terms of two (2), four (4), andsix (6) years, respectively, as determined by the Governor. If theLegislature is not in session at the time of appointment, theappointment shall be subject to confirmation by the Senate uponconvening of the next regular session of the Legislature.Membership on the Commission shall be a full-time position and nocommissioner shall have any other employment, unless authorized orexcused by law. Each commissioner shall receive a salary equal tothat paid to a district judge of this state.

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C. The Commission shall have the authority to adopt reasonablerules within its respective areas of responsibility including therules of procedure for administrative hearings, after notice andpublic hearing, for effecting the purposes of this act, inaccordance with the Oklahoma Administrative Procedures Act. Allrules, upon adoption, shall be published and be made available tothe public and, if not inconsistent with the law, shall be bindingin the administration of this act.

D. The principal office of the Commission shall be situated inthe City of Oklahoma City in quarters assigned by the Office ofManagement and Enterprise Services. The Commission shall maintainand keep open, during reasonable business hours, the office inOklahoma City, for the transaction of business, at which office itsofficial records and papers shall be kept. The Commission or anycommissioner may hold hearings in any city of this state.

E. The Governor shall appoint one of the commissioners to bechair of the Commission. In addition to other duties, the chair ofthe Commission shall have the following powers and duties:

1. To organize, direct and develop the administrative work ofthe administrative law judges, including but not limited todocketing, clerical, technical and financial work and establishmentof hours of operation;

2. To employ administrative staff for the Commission, withinbudgetary limitation; and

3. Such other duties and responsibilities authorized by law oras the Commission may prescribe.

F. All appeals or disputes arising from actions of thecommission shall be governed by provisions of this act and theCommission shall not be subject to the provisions of the OklahomaAdministrative Procedures Act, except as provided in this act.

G. When any commissioner of the Commission is disqualified forany reason to hear and participate in the determination of anymatter pending before the Commission, the Governor shall appoint aqualified person to hear and participate in the decision on theparticular matter. The special commissioner so appointed shall have

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all authority and responsibility with respect to the particularmatter before the Commission as if the person were a regularcommissioner of the Commission but shall have no authority orresponsibility with respect to any other matter before theCommission. A person appointed as a special commissioner of theCommission under the provisions of this subsection shall be entitledto receive a per diem equal to the annual salary of thecommissioners prorated for the number of days he or she serves inthe capacity of a special commissioner of the Commission.Furthermore, when a vacancy on the Commission occurs or is certainto occur, the position shall be filled pursuant to the provisions ofthis section.


A. In addition to its other duties and powers, the Commissionis given and granted full power and authority:

1. To appoint administrative law judges to hear all claims forcompensation, including claims based on injuries which occurredoutside this state for which compensation is payable under this act.An administrative law judge shall have been licensed to practice lawin this state for a period of not less than three (3) years andshall have not less than three (3) years of workers' compensationexperience prior to appointment;

2. To remand any case to an administrative law judge for thepurpose of taking additional evidence;

3. To assess penalties;

4. To prescribe rules governing the representation ofemployees, employers, and carriers in respect to claims before theCommission;

5. To make available all records in connection with all casesof personal injury to the Oklahoma Department of Labor. TheCommissioner of Labor may propose rules for the prevention ofinjuries and transmit the rules to the Commission. The Commission

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may recommend proposed rules for prevention of injuries to theCommissioner of Labor; and

6. To have and exercise all other powers and duties conferredor imposed by this act.

B. 1. In addition to the other powers and duties granted tothe Commission in this section and otherwise provided by law, theCommission is authorized to establish and impose reasonableadministrative fees to recover the cost of preparation of variousinformative materials distributed by the Commission.

2. The administrative fees shall be established by regulationof the Commission.

3. Funds derived from administrative fees shall be depositedinto the Workers' Compensation Fund to be used to defray expensesincurred in preparation and distribution of materials.


A. Commissioners shall be considered officers and shall takethe oath prescribed by the Oklahoma Constitution and the laws ofthis state.

B. 1. A majority of the Workers' Compensation Commission shallconstitute a quorum for the transaction of business, and vacanciesshall not impair the right of the remaining commissioners toexercise all the powers of the full Commission, so long as amajority remains.

2. Any investigation, inquiry, or hearing which the Commissionis authorized to hold or undertake may be held or undertaken by orbefore anyone commissioner of the Commission, or appointee actingfor him or her, under authorization of the Commission.

C. The Commission shall have a seal for authentication of itsjudgments, awards, and proceedings, on which shall be inscribed thewords: "Workers' Compensation Commission, State of Oklahoma".

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D. Except with respect to the Commission's authority to hearappeals of decisions from administrative law judges, any referencein this act to the Commission's ability to hear and decide therights of interested parties under this act shall not prevent itfrom delegating that responsibility to an administrative law judge.


A. 1. For the purpose of administering the provisions of thisact, the Workers' Compensation Commission is authorized:

a. to make rules necessary for the administration andoperation of the Commission,

b. to appoint and fix the compensation of temporarytechnical assistants, medical and legal advisers,clerical assistants and other officers and employees,and

c. to make such expenditures, including those forpersonal service, rent, books, periodicals, officeequipment, and supplies, and for printing and bindingas may be necessary.

2. a. Before the adoption, prescription, amendment,modification, or repeal of any rule, regulation, orform, the Commission shall give at least thirty (30)days' notice of its intended action.

b. The notice shall include a statement of the terms orsubstance of the intended action or description of thesubjects and issues involved, and the time, place, andmanner in which interested persons may present theirviews thereon.

c. The notice shall be mailed to any person specified bylaw or who shall have requested advance notice ofrule-making proceedings.

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3. The Commission shall afford all interested persons areasonable opportunity to submit written data, views, or arguments,and, if the Commission in its discretion shall so direct, oraltestimony or argument.

4. Each rule, regulation, or form adopted by the Commissionshall be effective twenty (20) days after adoption unless a laterdate is specified by law or in the rule itself.

5. All expenditures of the Commission in the administration ofthis act shall be allowed and paid from the Workers' CompensationFund on the presentation of itemized vouchers approved by theCommission.

B. 1. The Commission may appoint as many persons as may benecessary to be administrative law judges and in addition mayappoint such examiners, investigators, medical examiners, clerks,and other employees as it deems necessary to effectuate theprovisions of this act.

2. Employees appointed under this subsection shall receive anannual salary to be fixed by the Commission.

C. Additionally, the Commission shall have the following powersand duties:

1. To hear and approve compromise settlements;

2. To review and approve own-risk applications and group selfinsurance association applications;

3. To monitor own-risk, self-insurer and group self-insuranceprograms, in accordance with the rules of the Commission;

4. To contract with an appropriate state governmental entity,insurance carrier or approved service organization to process,investigate and pay valid claims against an impaired self-insurerwhich fails, due to insolvency or otherwise, to pay its workers'compensation obligations, charges for which shall be paid from theproceeds of security posted with the Commission as provided inSection 38 of this act;

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5. To establish a toll-free telephone number in order toprovide information and answer questions about the Commission;

6.bills;

7.developjudges.

8.

To hear and determine claims concerning disputed medical

To promulgate necessary rules for administering this act anduniform forms and procedures for use by administrative law

Such rules shall be reviewable by the Legislature;

To invest funds on behalf of the Multiple Injury Trust Fund;

9. To appoint a Commission Mediator to conduct informalsessions to attempt to resolve assigned disputes; and

10. Such other duties and responsibilities authorized by law.

D. It shall be the duty of an administrative law judge, underthe rules adopted by the Commission, to hear and determine claimsfor compensation and to conduct hearings and investigations and tomake such judgments, decisions, and determinations as may berequired by any rule or judgment of the Commission.


Any commissioner or employee of the Commission shall be entitledto receive his or her necessary traveling expenses as provided inthe State Travel Reimbursement Act. The expenses shall be certifiedby the person who incurred them and shall be allowed and paid onpresentation of vouchers approved by the Commission.


On or before the first day of the regular session of theLegislature, the Commission shall submit to the Governor and theLegislature a report of the administration of this act for thepreceding biennial period, together with such recommendations as theCommission may deem advisable.

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The Commission shall publish annually, on an aggregate basis,information pertaining to the distribution of workers' compensationinsurance premiums, losses, expenses, and net income to be compiledfrom reports required to be filed with the Insurance Commissioner orany similar information required to be filed by the InsuranceCommissioner regarding workers' compensation insurance. TheCommission shall also publish in the annual report informationregarding aggregate workers' compensation benefit distribution toclaimants, medical providers, and attorneys, if available.


The Governor may, at any time, remove any commissioner forinefficiency, neglect of duty, or misconduct in office, giving himor her in advance a copy of the charges preferred and an opportunityto be heard by a three-person panel consisting of the InsuranceCommissioner, the Lieutenant Governor, and the State Treasurer onnot less than ten (10) days' notice. A representative of theAttorney General's office shall attend the proceedings and on theGovernor's request shall advise or assist him or her in suchproceedings. Either party may procure the attendance and testimonyof witnesses as provided by the Code of Civil Procedure of thisstate. If a commissioner is removed, the Governor shall file in theoffice of the Secretary of State a complete statement of all chargesmade against the commissioner and his or her findings, together witha complete record of the proceeding and a transcript of thetestimony, which shall constitute a public record of the state.


A. The Workers' Compensation Commission shall be vested withjurisdiction over all claims filed pursuant to the AdministrativeWorkers' Compensation Act. All claims so filed shall be heard by

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the administrative law judge sitting without a jury. The Commissionshall have full power and authority to determine all questions inrelation to claims for compensation under the provisions of theAdministrative Workers' Compensation Act. The Commission, uponapplication of either party, shall order a hearing. Upon a hearing,either party may present evidence and be represented by counsel.Except as provided in this act, the decision of the administrativelaw judge shall be final as to all questions of fact and law. Thedecision of the administrative law judge shall be issued withinthirty (30) days following the submission of the case by theparties. The power and jurisdiction of the Commission over eachcase shall be continuing and it may, from time to time, make suchmodifications or changes with respect to former findings or ordersrelating thereto if, in its opinion, it may be justified.

B. In addition to the duties set forth in this section, theadministrative law judges shall have the following duties andpowers:

1. To hear and determine claims for compensation, to conducthearings and investigations, and to make such judgments, decisions,and determinations as may be required by any rule or judgment of theCommission;

2. To hear and determine challenges to an agreement toarbitrate under the Workers' Compensation Arbitration Act;

3. To assume duties within the Workers' Compensation Court ofExisting Claims as assigned by the Commission; and

4. To have and exercise all other powers and duties conferredor imposed by the Commission or this act.


A. There are established within the Office of the StateTreasurer three separate funds:

1. The "Workers' Compensation Fund";

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2. The "Multiple Injury Trust Fund"; and

3. The "Self-Insured Guaranty Fund".

B. No money shall be appropriated from these funds for anypurpose except for the use and benefit, or at the direction, of theCommission.

C. All funds established under this section shall beadministered, disbursed, and invested under the direction of theCommission and the State Treasurer.

D. All incomes derived through investment of the Workers'Compensation Fund and the Multiple Injury Trust Fund shall becredited as investment income to the fund that participated in theinvestment.

E. No monies deposited to these funds shall be subject to anydeduction, tax, levy, or any other type of assessment.

F. If the balance in the Multiple Injury Trust Fund becomesinsufficient to fully compensate those employees to whom it isobligated, payment shall be suspended until such time as theMultiple Injury Trust Fund is capable of meeting its obligations,paying all arrearages, and restoring normal benefit payments.

G. On the effective maturity dates of each investment, theinvestment shall be transferred to the State Treasurer for depositinto the Multiple Injury Trust Fund created in this section.

H. The Workers' Compensation Fund shall be used to fund theactivities of the Commission in administering this act and for anyother purposes related to this act that the Commission deemsappropriate, subject to the provisions of Section 165 of this act.

I. Unless provided otherwise in this act, all fines andpenalties assessed under this act shall be deposited into theWorkers' Compensation Fund.


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A. Each carrier writing compensation insurance in this stateshall pay to the Commission at the time of securing a license totransact business in this state One Thousand Dollars ($1,000.00) forthe privilege of qualifying with the Commission for the writing ofcompensation insurance.

B. Each self-insurer shall pay to the Commission One ThousandDollars ($1,000.00) at the time it is approved to self-insure theobligations under this act.

C. The Commission may assess third-party administrators anannual fee of One Thousand Dollars ($1,000.00).

D. Fees required pursuant to this section shall be depositedinto the Workers' Compensation Fund.


A. For the purposes of Sections 31 through 35 of this act, theterm "physically impaired person" means a person who, as a result ofaccident, disease, birth, military action, or any other cause, hassuffered:

1. The loss of the sight of one eye;

2. The loss by amputation of the whole or a part of a member ofthe body;

3. The loss of use or partial loss of use of a member such asis obvious and apparent from observation or examination by a personwho is not skilled in the medical profession; or

4. Any previous adjudications of disability adjudged anddetermined by the Workers' Compensation Court or the Workers'Compensation Commission or any disability resulting from separatelyadjudicated injuries and adjudicated occupational diseases eventhough arising at the same time. Provided, that any adjudication ofpreexisting disability to a part of the body shall not be combinablefor purposes of the Multiple Injury Trust Fund unless that part of

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the body was deemed to have been injured in the claim beingadjudicated.

B. This section shall apply to all adjudications of MultipleInjury Trust Fund claims heard by the Commission on or after theeffective date of this act.


A. The Multiple Injury Trust Fund shall be derived from thefollowing sources:

1. As soon as practicable after January 1 of each year, thecommissioners of the Workers' Compensation Commission shallestablish an assessment rate applicable to each mutual orinterinsurance association, stock company, CompSource Oklahoma, orother insurance carrier writing workers' compensation insurance inthis state, each employer carrying its own risk, and each groupself-insurance association, for amounts for purposes of computingthe assessment authorized by this section necessary to pay theannual obligations of the Multiple Injury Trust Fund determined onor before December 31 of each year by the MITF Director, providedfor in subsection P of this section, to be outstanding for the nextcalendar year, and to pay the allocations provided for in subsectionI of this section. The rate shall be equal for all parties requiredto pay the assessment. If CompSource begins operating as a mutualinsurance company, the Board of Directors for CompSource MutualInsurance Company shall have the power to disapprove the rateestablished by the MITF Director until the Multiple Injury TrustFund repays in full the amount due on any loan from CompSourceMutual Insurance Company or its predecessor CompSource Oklahoma. Ifthe MITF Director and CompSource have not agreed on the assessmentrate within thirty (30) days, the Commission shall set an assessmentrate sufficient to cover all foreseeable obligations of the MultipleInjury Trust Fund, including interest and principal owed by the Fundon any loan. The rate in effect on the effective date of this actshall remain effective through June 30, 2014;

2. The Oklahoma Tax Commission shall assess and collect fromany uninsured employer a temporary assessment at the rate of five

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percent (5%) of the total compensation for permanent totaldisability awards, permanent partial disability awards, and deathbenefits paid out during each quarter of the calendar year by theemployers;

3. The assessments shall be paid to the Tax Commission.Insurance carriers, self-insurers, group self-insurance associationsand CompSource Oklahoma shall pay the assessment in four equalinstallments not later than the fifteenth day of the month followingthe close of each quarter of the calendar year of the assessment.Assessments shall be determined based upon gross direct writtenpremiums, normal premiums or actual paid losses of the paying party,as applicable, during the calendar quarter for which the assessmentis due. Uninsured employers shall pay the assessment not later thanthe fifteenth day of the month following the close of each quarterof the calendar year of the assessment. For purposes of thissection, "uninsured employer" means an employer required by law tocarry workers' compensation insurance but who has failed orneglected to do so. Only one-third (1/3) of assessments againstinsurance carriers and CompSource Oklahoma may be charged topolicyholders and shall not be considered in determining whether anyrate is excessive. The remaining two-thirds (2/3) of assessmentsagainst insurance carriers and CompSource Oklahoma may not beincluded in any rate, premium, charge, fee, assessment or otheramount to be collected from a policyholder. Insurance carriers andCompSource Oklahoma shall not separately state the amount of theassessment on any invoice or billing assessment.

a. The assessment authorized in this section shall bedetermined using a rate equal to the proportion thatthe sum of the outstanding obligations of the MultipleInjury Trust Fund as determined pursuant to paragraph1 of this subsection and the allocations provided forin subsection I of this section bear to the combinedgross direct written premiums of all such insurers;all actual paid losses of all individual selfinsureds; and the normal premium of all group selfinsurance associations, for the year period fromJanuary 1 to December 31 preceding the assessment.

b. For purposes of this subsection:

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(1) "actual paid losses" means all medical andindemnity payments, including temporarydisability, permanent disability, and deathbenefits, and excluding loss adjustment expensesand reserves, and

(2) "normal premium" means a standard premium lessany discounts;

4. By April 15 of each year, the Insurance Commissioner, theMITF Director and each individual and group self-insured shallprovide the Commission with such information as the Commission maydetermine is necessary to effectuate the purposes of this section;

5. Each mutual or interinsurance association, stock company,CompSource Oklahoma, or other insurance carrier writing workers'compensation insurance in this state, and each employer carrying itsown risk, including each group self-insurance association, shall benotified by the Commission in writing of the rate for the assessmenton or before May 1 of each year in which a rate is determined. Therate determined by the Commission shall be in effect for fourcalendar quarters beginning July 1 following determination by theCommission; and

6. a. No mutual or interinsurance association, stockcompany, CompSource Oklahoma, or other insurancecarrier writing workers' compensation insurance inthis state may be assessed in any year an amountgreater than six percent (6%) of the gross directwritten premiums of that insurer.

b. No employer carrying its own risk may be assessed inany year an amount greater than six percent (6%) ofthe total actual paid losses of that individual selfinsured.

c. No group self-insurance association may be assessed inany year an amount greater than six percent (6%) ofthe normal premium of that group self-insuranceassociation.

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d. If the maximum assessment does not provide in anyoneyear an amount sufficient to make all necessarypayments for obligations of the Multiple Injury TrustFund and for the allocations provided for insubsection I of this section, the unpaid portion shallbe paid as soon thereafter as funds become available.

B. The Multiple Injury Trust Fund is hereby authorized toreceive and expend monies appropriated by the Legislature.

C. It shall be the duty of the Tax Commission to collect thepayments provided for in this act. The Tax Commission is herebyauthorized to bring an action for the recovery of any delinquent orunpaid payments required in this section.

D. Any mutual or interinsurance association, stock company, orother insurance company, which is subject to regulation by theInsurance Commissioner, or CompSource Oklahoma, failing to makepayments required in this act promptly and correctly, and failing toreport payment of the same to the Insurance Commission within ten(10) days of payment shall be subject to administrative penalties asallowed by law, including but not limited to a fine in the amount ofFive Hundred Dollars ($500.00) or an amount equal to one percent(1%) of the unpaid amount, whichever is greater, to be paid to theInsurance Commissioner.

E. Any employer carrying its own risk, or group self-insuranceassociation failing to make payments required in this act promptlyand correctly, and failing to report payment of the same to theCommission within ten (10) days of payment shall be subject toadministrative penalties as allowed by law, including but notlimited to a fine in the amount of Five Hundred Dollars ($500.00) oran amount equal to one percent (1%) of the unpaid amount, whicheveris greater, to be paid to the Commission.

F. 1. On or before the first day of April of each year, theState Treasurer shall advise the Commission, the MITF Director andthe Tax Commission of the amount of money held as of March 1 of thatyear by the State Treasurer to the credit of the Multiple InjuryTrust Fund. On or before the first day of November of each year,the State Treasurer shall advise the Commission, the MITF Directorand the Tax Commission of the amount of money held as of October 1

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of that year by the State Treasurer to the credit of the MultipleInjury Trust Fund.

2. Until such time as the Multiple Injury Trust Fund fullysatisfies any loan obligation payable to CompSource Mutual InsuranceCompany or its predecessor CompSource Oklahoma, the State Treasurershall:

a. advise the Chief Executive Officer of CompSource on orbefore the first day of April of the money held as ofMarch 1 of that year by the State Treasurer to thecredit of the Multiple Injury Trust Fund, and

b. advise the Chief Executive Officer of CompSource on orbefore the first day of November of the money held asof October 1 of that year by the State Treasurer tothe credit of the Multiple Injury Trust Fund.

G. Eighty percent (80%) of all sums held by the State Treasurerto the credit of the Multiple Injury Trust Fund may by order of theMITF Director be invested in or loaned on the pledge of any of thesecurities in which a state bank may invest the monies depositedtherein by the State Treasurer; or may be deposited in state ornational banks or trust companies upon insured time deposit bearinginterest at a rate no less than currently being paid upon insuredsavings accounts in the institutions. As used in this section,"insured" means insurance as provided by an agency of the federalgovernment. All such securities or evidence of indebtedness shallbe placed in the hands of the State Treasurer, who shall be thecustodian thereof, who shall collect the principal and interest whendue, and pay the same into the Multiple Injury Trust Fund. TheState Treasurer shall pay by vouchers drawn on the Multiple InjuryTrust Fund for the making of such investments, when signed by theMITF Director, upon delivery of such securities or evidence ofindebtedness to the State Treasurer. The MITF Director may sell anyof such securities, the proceeds thereof to be paid over to theState Treasurer for the Multiple Injury Trust Fund.

H. The refund provisions of Sections 227 through 229 of Title68 of the Oklahoma Statutes shall be applicable to any payments madeto the Multiple Injury Trust Fund. Refunds shall be paid from andout of the Multiple Injury Trust Fund.

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I. The Tax Commission shall pay, monthly, to the StateTreasurer to the credit of the Multiple Injury Trust Fund all moniescollected pursuant to the provisions of this section, less theannual sum of Two Million Five Hundred Fifty Thousand Dollars($2,550,000.00), of which One Million Two Hundred Seventy-fiveThousand Dollars ($1,275,000.00) shall be payable by the TaxCommission to the State Treasurer in equal monthly installments tothe credit of the Department of Labor, Six Hundred Thirty-sevenThousand Five Hundred Dollars ($637,500.00) shall be payable inequal monthly installments to the credit of the Office of theAttorney General, and six Hundred Thirty-seven Thousand Five HundredDollars ($637,500.00) shall be payable in equal monthly installmentsto the credit of the Oklahoma Department of Career and TechnologyEducation. Monies received by the Department of Labor under thissection shall be used for safety consultation and the regulation ofthe safety of public employees through the Occupational Safety andHealth Act of 1970. Monies received by the Office of the AttorneyGeneral shall be deposited to the credit of the Attorney General'sWorkers' Compensation Fraud Unit Revolving Fund created pursuant toSection 19.2 of Title 74 of the Oklahoma Statutes. Monies receivedby the Oklahoma Department of Career and Technology Education shallsupplement other funding to the Department for purposes ofimplementing the provisions of subsection B of Section 414 of Title40 of the Oklahoma Statutes. The State Treasurer shall payout ofthe Multiple Injury Trust Fund only upon the order and direction ofthe Workers' Compensation Commission acting under the provisionshereof.

J. The Commission shall promulgate rules as the Commissiondeems necessary to effectuate the provisions of this section.

K. The Insurance Commissioner shall promulgate rules relatingto insurers as defined in Title 36 of the Oklahoma Statutes, as theInsurance Commissioner deems necessary to effectuate the provisionsof this section.

L. The MITF Director shall have authority to fulfill allpayment obligations of the Multiple Injury Trust Fund.

M. The Multiple Injury Trust Fund may enter into an agreementwith any reinsurer licensed to sell reinsurance by the Insurance

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Commissioner pursuant to a competitive process administered by theDirector of Central Purchasing in the Office of Management andEnterprise Services.

N. Any dividend, rebate, or other distribution, payable byCompSource Oklahoma or any other workers' compensation insurancecarrier, to a state agency policyholder shall be paid to the StateTreasurer, and shall be credited as follows:

1. In the event of failure of the Multiple Injury Trust Fund tomeet all lawful obligations, the monies shall be credited to theMultiple Injury Trust Fund and shall be used by the Multiple InjuryTrust Fund to meet all lawful obligations of the Multiple InjuryTrust Fund; and

2. Otherwise, all future dividends made by CompSource Oklahomaor any workers' compensation insurance carrier, on behalf of stateagencies, shall be deposited to the credit of the General RevenueFund of the State Treasury.

O. The Workers' Compensation Commission shall be charged withthe administration and protection of the Multiple Injury Trust Fund.

P. The person serving as the Administrator of the MultipleInjury Trust Fund on the date of passage and approval of this actshall serve as the initial MITF Director, provided such person isserving as the Administrator of the Multiple Injury Trust Fund onthe effective date of this act. The MITF Director shall beappointed by and serve at the pleasure of the Governor.

Q. Any party interested shall have a right to bring aproceeding in the Supreme Court to review an award of the Commissionaffecting such Multiple Injury Trust Fund, in the same manner as isprovided by law with reference to other awards by the Commission.

R. The State Treasurer shall allocate to the Commission out ofthe Multiple Injury Trust Fund sufficient funds for administrationexpenses thereof in amounts to be fixed and approved by theAdministrator for the Multiple Injury Trust Fund, unless rejected bythe Commission.

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A. For actions in which the subsequent injury occurred on orafter November 1, 2005, if such combined disabilities constitutepermanent total disability, as defined in Section 2 of this act, theemployee shall receive full compensation as provided by law for thedisability resulting directly and specifically from the subsequentinjury. In addition, the employee shall receive compensation forpermanent total disability if the combination of injuries rendersthe employee permanently and totally disabled. The employer shallbe liable only for the degree of percent of disability which wouldhave resulted from the subsequent injury if there had been nopreexisting impairment. The compensation rate for permanent totaldisability awards from the Multiple Injury Trust Fund shall be thecompensation rate for permanent partial disability paid by theemployer in the last combinable compensable injury.

B. Permanent total disability awards from the Multiple InjuryTrust Fund shall be payable in periodic installments for a period offifteen (15) years or until the employee reaches sixty-five (65)years of age, whichever period is longer.

C. Permanent total disability awards from the Multiple InjuryTrust Fund shall accrue from the file date of the order of theWorkers' Compensation Commission finding the claimant to bepermanently and totally disabled.

D. Awards under this section shall abate upon the death, fromany cause, of the employee.

E. Reopening any prior claim other than the last claim againstthe employer shall not give a claimant the right to additionalMultiple Injury Trust Fund benefits.

F. The Multiple Injury Trust Fund shall have authority tocompromise a claim for less than the indicated amount of permanenttotal disability. An order entered after the effective date of thisact may be paid in periodic installments beginning on the date ofthe award, or may be commuted to a lump-sum payment or payments, byagreement of the claimant and the Multiple Injury Trust Fund.

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G. An attorney for a claimant against the Multiple Injury TrustFund shall be entitled to a fee equal to twenty percent (20%) ofpermanent disability benefits awarded. For awards entered after theeffective date of this act, the attorney fee shall be paid inperiodic installments by the attorney receiving every fifth check.All benefits awarded to the attorney shall be vested.

H. In the event a claimant receiving benefits for permanent andtotal disability from the Multiple Injury Trust Fund dies as aresult of his or her injury before the award has been fully paid,payments shall continue to the surviving spouse for five (5) yearsor upon remarriage, whichever occurs first. In no event shallpayments to the surviving spouse extend beyond the period ofbenefits awarded to the claimant.


A. The right to claim compensation for benefits from theMultiple Injury Trust Fund shall be forever barred unless a Noticeof Claim, on a form prescribed by the Workers' CompensationCommission, shall be filed with the Commission within two (2) yearsof the date of the last order for permanent partial disability fromthe latest claim against the employer.

B. When a claim for benefits from the Multiple Injury TrustFund is filed, unless claimant shall in good faith request a hearingand final determination thereon within three (3) years of the filingthereof, the same shall be barred.

C. An attorney who represents a respondent or insurance carrierin a claim against the last employer shall not represent theemployee in a subsequent claim against the Multiple Injury TrustFund.


ENR. S. B. NO. l062

A. The MITF Director shall be charged with the administrationand protection of the Multiple Injury Trust Fund and shall benotified by the Workers' Compensation Commission of all proceedingswhich may affect such fund.

B. The MITF Director shall have standing and the authority toappear in any case before the Commission in which the Commission isconsidering an award from the Multiple Injury Trust Fund.

C. Any party interested shall have a right to bring aproceeding in the Supreme Court to review an award of the Commissionaffecting such Multiple Injury Trust Fund, in the same manner as isnow provided by law with reference to other awards by theCommission.

D. The State Treasurer shall allocate to the MITF Directorsufficient funds for administration expenses thereof in amounts tobe fixed and approved by the Administrator for the Multiple InjuryTrust Fund, unless rejected by the Governor and Attorney General.


A. 1. Every employer shall secure compensation as providedunder this act to its employees for compensable injuries withoutregard to fault.

2. There shall be no liability for compensation under this actwhere the injury or death was substantially occasioned by thewillful intention of the injured employee to bring about suchcompensable injury or death.

B. The primary obligation to pay compensation is on theemployer, and the procurement of a policy of insurance by anemployer to cover the obligation in respect to this act shall notrelieve the employer of the obligation.


ENR. S. B. NO. 1062

A. If a subcontractor fails to secure compensation required bythis act, the prime contractor shall be liable for compensation tothe employees of the subcontractor unless there is an intermediatesubcontractor who has workers' compensation coverage.

B. 1. Any contractor or the contractor's insurance carrier whoshall become liable for the payment of compensation on account ofinjury to or death of an employee of his or her subcontractor mayrecover from the subcontractor the amount of the compensation paidor for which liability is incurred.

2. The claim for the recovery shall constitute a lien againstany monies due or to become due to the subcontractor from the primecontractor.

3. A claim for recovery shall not affect the right of theinjured employee or the dependents of the deceased employee torecover compensation due from the prime contractor or his or herinsurance carrier.

C. 1. a. When a sole proprietorship or partnership fails toelect to cover the sole proprietor or partners underthis act, the prime contractor is not liable underthis act for injuries sustained by the sole proprietoror partners if the sole proprietor or partners are notemployees of the prime contractor.

b. (1) A sole proprietor or the partners of apartnership who do not elect to be covered bythis act and be deemed employees thereunder andwho deliver to the prime contractor a currentcertification of noncoverage issued by theCommission shall be conclusively presumed not tobe covered by the law or to be employees of theprime contractor during the term of his or hercertification or any renewals thereof.

(2) A certificate of noncoverage may not be presentedto a subcontractor who does not have workers'compensation coverage.

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(3) This provision shall not affect the rights orcoverage of any employees of the sole proprietoror of the partnership.

2. The prime contractor's insurance carrier shall not be liablefor injuries to the sole proprietor or partners described in thissection who have provided a current certification of noncoverage,and the carrier shall not include compensation paid by the primecontractor to the sole proprietor or partners described above incomputing the insurance premium for the prime contractor.

3 . a. Any prime contractor who after being presented with acurrent certification of noncoverage by a soleproprietor or partnership compels the sole proprietoror partnership to payor contribute to workers'compensation coverage of that sole proprietor orpartnership shall be guilty of a misdemeanor.

b. Any prime contractor who compels a sole proprietor orpartnership to obtain a certification of noncoveragewhen the sole proprietor or partnership does notdesire to do so shall be guilty of a misdemeanor.

c. Any applicant who makes a false statement whenapplying for a certification of noncoverage or anyrenewals thereof shall be guilty of a felony.

D. 1. A certification of noncoverage issued by the Commissionshall be valid for two (2) years after the effective date statedthereon. Both the effective date and the expiration date shall belisted on the face of the certificate by the Commission. Thecertificate shall expire at midnight two (2) years from its issuedate, as noted on the face of the certificate.

2. The Commission may assess a fee not to exceed Fifty Dollars($50.00) with each application for a certification of noncoverage orany renewals thereof.

3. Any certification of noncoverage issued by the Commissionshall contain the social security number and notarized signature ofthe applicant. The notarization shall be in a form and mannerprescribed by the Commission.

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4. The Commission may prescribe by rule forms and proceduresfor issuing or renewing a certification of noncoverage.

E. If work is performed by an independent contractor on asingle-family residential dwelling occupied by the owner, or thepremises of such dwelling, or for a farmer whose cash payroll forwages, excluding supplies, materials and equipment, for thepreceding calendar year did not exceed One Hundred Thousand Dollars($100,000.00), such owner or farmer shall not be liable forcompensation under this act for injuries to the independentcontractor or his or her employees.


A. Any employer engaging in any exempted or excepted employmentmay at any time waive the exemptions or exceptions as to anyemployee or all employees engaged in the emploYment as the employermay elect by giving notice of waiver of the exemptions or exceptionsas provided in subsection B of this section.

B. Notice of waiver of exclusion or exemption referred to insubsection A of this section shall be given in accordance with thefollowing provisions:

1. Every employer who waives the exclusion or exemption shallpost, and keep posted, in and about the employer's place of businesstypewritten or printed notices to that effect in accordance with aform to be prescribed by the Commission, and the employer shall filea duplicate of the notice with the Commission; and

2. The notice shall be given at least thirty (30) days beforeany injury. However, if the injury occurs less than thirty (30)days after the date of emploYment, the notice, if given at the timeof emploYment, shall be sufficient notice.


ENR. S. B. NO. 1062

A. An employer shall secure compensation to employees underthis act in one of the following ways:

1. By insuring and keeping insured the payment of compensationwith any stock corporation, mutual association, or other concernsauthorized to transact the business of workers' compensationinsurance in this state. When an insurer issues a policy to provideworkers' compensation benefits under the provisions of this act, itshall file a notice with the Commission containing the name,address, and principal occupation of the employer, the number,effective date, and expiration date of the policy, and such otherinformation as may be required by the Commission. The notice shallbe filed by the insurer within thirty (30) days after the effectivedate of the policy. Any insurer who does not file the noticerequired by this paragraph shall be subject to a fine by theCommission of not more than One Thousand Dollars ($1,000.00);

2. By obtaining and keeping in force guaranty insurance withany company authorized to do guaranty business in this state. Eachcompany that issues workers' compensation guaranty insurance shallfile a copy of the contract with the Commission within thirty (30)days after the effective date of the contract. Any company thatdoes not file a copy of the contract as required by this paragraphshall be subject to a fine by the Commission of not more than OneThousand Dollars ($1,000.00);

3. By furnishing satisfactory proof to the Commission of theemployer's financial ability to pay the compensation. TheCommission, under rules adopted by the Insurance Department, shallrequire any employer that has:

a. less than one hundred employees or less than OneMillion Dollars ($1,000,000.00) in net assets to:

(1) deposit with the Commission securities, anirrevocable letter of credit or a surety bondpayable to the state, in an amount determined bythe Commission which shall be at least an averageof the yearly claims for the last three (3)years, or

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(2) provide proof of excess coverage with such termsand conditions as is commensurate with theirability to pay the benefits required by theprovisions of this act, and

b. one hundred or more employees and One Million Dollars($1,000,000.00) or more in net assets to:

(1) secure a surety bond payable to the state, or anirrevocable letter of credit, in an amountdetermined by the Commission which shall be atleast an average of the yearly claims for thelast three (3) years, or

(2) provide proof of excess coverage with terms andconditions that are commensurate with theirability to pay the benefits required by theprovisions of this act;

4. By forming a group self-insurance association consisting oftwo or more employers which shall have a common interest and whichshall have entered into an agreement to pool their liabilities underthe Administrative Workers' Compensation Act. Such agreement shallbe subject to rules of the Commission. Any employer, uponapplication to become a member of a group self-insuranceassociation, shall file with the Commission a notice, in such formas prescribed by the Commission, acknowledging that the employeraccepts joint and several liability. Upon approval by theCommission of such application for membership, said member shall bea qualified self-insured employer; or

5. By any other security as may be approved by the Commissionand the Insurance Department.

B. The Commission may waive the requirements of this section inan amount which is commensurate with the ability of the employer topay the benefits required by the provisions of this act.Irrevocable letters of credit required by this subsection shallcontain such terms as may be prescribed by the Commission and shallbe issued for the benefit of the state by a financial institutionwhose deposits are insured by the Federal Deposit InsuranceCorporation.

ENR. S. B. NO. 1062

C. An employer who does not fulfill the requirements of thissection is not relieved of the obligation to pay compensation underthis act. The security required under this section, including anyinterest, shall be maintained by the Commission as provided in thisact until each claim for benefits is paid, settled, or lapses underthis act, and costs of administration of such claims are paid.

D. Failure on the part of any employer to secure the payment ofcompensation provided in this act shall have the effect of enablingthe Commission to assert the rights of an injured employee againstthe employer.

E. Any employer that knowingly provides false information tothe Commission for purposes of securing or maintaining a selfinsurance permit shall be guilty of a ~elony and subject to amaximum fine of Ten Thousand Dollars ($10,000.00).


A. In order that the liability for compensation may beeffectively administered, the employer's carrier may discharge theobligations and duties of the employer under this act if theemployer is not a self-insurer.

B. For the purpose of an employer's carrier discharging theobligation and duties of the employer:

1. An employer's knowledge of an injury shall constitute thecarrier's knowledge of the injury;

2. The Commission shall have jurisdiction over the carrier tothe same extent it has over the employer under this act; and

3. Any determinations by the Commission shall be binding on thecarrier to the same extent as they are on the employer.


ENR. S. B. NO. 1062

A. 1. Any employer who fails to secure compensation requiredunder this act, upon conviction, shall be guilty of a misdemeanorand subject to a fine of up to Ten Thousand Dollars ($10,000.00) tobe deposited in the Workers' Compensation Fund.

2. This subsection shall not affect any other liability of theemployer under this act.

B. 1. Whenever the Commission has reason to believe that anyemployer required to secure the payment of compensation under thisact has failed to do so, the Commission shall serve on the employera proposed judgment declaring the employer to be in violation ofthis act and containing the amount, if any, of the civil penalty tobe assessed against the employer under paragraph 5 of thissubsection.

2. a. An employer may contest a proposed judgment of theCommission issued under paragraph 1 of this subsectionby filing with the Commission, within twenty (20) daysof receipt of the proposed judgment, a written requestfor a hearing.

b. The request for a hearing does not need to be in anyparticular form but shall specify the grounds on whichthe person contests the proposed judgment, theproposed assessment, or both.

c. If a written request for hearing is not filed with theCommission within the time specified in subparagraph aof this paragraph, the proposed judgment, the proposedpenalty, or both, shall be a final judgment of theCommission and shall not be subject to further reviewby any court, except if the employer shows good causewhy it did not timely contest the judgment or penalty.

d. A proposed judgment by the Commission under thissection shall be prima facie correct, and the burdenis on the employer to prove that the proposed judgmentis incorrect.

ENR. S. B. NO. 1062

3 . a. If the employer alleges that a carrier has contractedto provide it workers' compensation insurance coveragefor the period in question, the employer shall includethe allegation in its request for hearing and shallname the carrier.

5.fails toThousandWorkers'

b. The Commission shall promptly notify the carrier ofthe employer's allegation and of the date of hearing.

c. The carrier shall promptly, and no later than five (5)days before the hearing, respond in writing to theemployer's allegation by providing evidence ofcoverage for the period in question or byaffirmatively denying the employer's allegation.

4. Hearings under this section shall be procedurally conductedas provided in Sections 69 through 78 of this act.

The Commission may assess a fine against an employer whosecure the payment of compensation in an amount up to OneDollars ($1,000.00) per day of violation payable to theCompensation Fund.

6. If an employer fails to secure the payment of compensationor pay any civil penalty assessed against the employer after ajudgment issued under this section has become final by operation oflaw or on appeal, the Commission may petition the Oklahoma CountyDistrict Court or the district court of the county where theemployer's principal place of business is located for an orderenjoining the employer from engaging in further employment untilsuch time as the employer secures the payment of compensation ormakes full payment of all civil penalties.


A. Every employer who has secured compensation under theprovisions of this act shall keep posted in a conspicuous place inand about the employer's place of business typewritten or printednotices in accordance with a form prescribed by the Commission. The

ENR. S. B. NO. 1062

notices shall state that the employer has secured the paYment ofcompensation in accordance with the provisions of this act.

B. The notices shall contain the name and address of thecarrier, if any, with whom the employer has secured paYment ofcompensation and the date of the expiration of the policy.


A. Contents. Every policy or contract of insurance issued by acarrier to an employer to secure the paYment of compensation underthis act shall contain:

1. a. Provisions that identify the insured employer andeither identify each covered employee or describecovered employees by class or type of labor performedand the estimated number of employees of each suchclass or type.

b. No single policy of workers l compensation insurancemay be issued to any group of employers who areunaffiliated with one another in terms of ownership,control, or right to participate in the profits of theaffiliated enterprises;

2. Provisions that insolvency or bankruptcy of the employer ordischarge therein shall not relieve the carrier from payment ofcompensation for compensable injuries sustained by an employeeduring the term of the policy or contract;

3 . a. The agreement of the carrier that it shall promptlypay to the person entitled to compensation everyinstallment of compensation that may be awarded oragreed on and that this obligation shall not beaffected by any default of the employer or by anydefault in the giving of any notice required by thepolicy or otherwise.

ENR. S. B. NO. 1062

b. The agreement shall be construed to be a directobligation by the carrier to the person entitled tocompensation, enforceable in that person's name; and

4. Such other provisions as the Insurance Department allows orrequires carriers to include in workers' compensation policies.

B. Cancellation.

1. An employer may cancel coverage with a carrier by giving thecarrier at least thirty (30) days' notice, unless a shorter periodis permitted under subparagraph b of this paragraph.

a. Cancellation of coverage is effective at 12:01 a.m.thirty (30) days after the date the cancellationnotice is received by the carrier, unless a later dateis specified in the notice to the carrier.

b. (1) An employer may cancel coverage effective lessthan thirty (30) days after written notice isreceived by the carrier where the employerobtains other coverage or becomes a self-insurer.

(2) A cancellation under this subsection is effectiveimmediately on the effective date of the othercoverage or on authorization as a self-insurer.

2. a. A notice of cancellation from the carrier shall statethe hour and date that cancellation is effective.

b. A carrier shall not cancel coverage issued to anemployer under this act before the date specified forexpiration in the policy or contract or until at leastthirty (30) days have elapsed after a notice ofcancellation has been mailed to the Commission and tothe employer, or until ten (10) days have elapsedafter the notice has been mailed to the employer andto the Commission if the cancellation is fornonpayment of premium.

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c. If the employer procures other insurance within thenotice period, the effective date of the new policyshall be the cancellation date of the old policy.

3. Cancellation of coverage by an employer or a carrier shallin no way limit liability that was incurred under the policy orcontract before the effective date of cancellation.

C. Coverage.

1. No policy or contract of insurance shall be issued againstliability under this act unless the policy or contract covers theentire liability of the employer. Split coverage whereby someemployees of an employer are insured by one carrier and otheremployees are insured by another carrier, or a plan of selfinsurance, is expressly prohibited except for a policy issuedcovering the liability of an employer or of multiple employers as tospecific jobs, ventures, contracts, or undertakings, but only if thepolicy meets with the reasonable satisfaction and approval of theInsurance Commissioner that the policy is in the best interest ofthe employers and the employees concerned and does not unduly orimproperly affect the continuity of workers' compensation coverageby seriously and negatively affecting other carriers and agents withoutstanding policies issued to any of the employers in issue.

2. The terms of the policy or contract shall govern anyquestions of liability between the employer and the carrier.

D. Under such rules as may be adopted by the InsuranceCommissioner, and notwithstanding other provisions of this act, heor she may certify five or more employers as an insurance groupwhich shall be considered an employer for the purposes of this act.


A. Liability Unaffected.

1. a. The making of a claim for compensation against anyemployer or carrier for the injury or death of anemployee shall not affect the right of the employee,

ENR. S. B. NO. 1062

1. An employer oract for the injury ormaintain an action inthe injury or death.

or his or her dependents, to make a claim or maintainan action in court against any third party for theinjury.

b. The employer or the employer's carrier shall beentitled to reasonable notice and opportunity to joinin the action.

c. If the employer or employer's carrier join in theaction against a third party for injury or death, theyshall be entitled to a first lien on two-thirds (2/3)of the net proceeds recovered in the action thatremain after the payment of the reasonable costs ofcollection, for the payment to them of the amount paidand to be paid by them as compensation to the injuredemployee or his or her dependents.

2. The commencement of an action by an employee or his or herdependents against a third party for damages by reason of an injuryto which this act is applicable, or the adjustment of any claim,shall not affect the rights of the injured employee or his or herdependents to recover compensation, but any amount recovered by theinjured employee or his or her dependents from a third party shallbe applied as follows:

a. reasonable fees and costs of collection shall bededucted,

b. the employer or carrier, as applicable, shall receivetwo-thirds (2/3) of the remainder of the recovery orthe amount of the workers' compensation lien,whichever is less, and

c. the remainder of the recovery shall go to the injuredemployee or his or her dependents.

B. Subrogation.

carrier liable for compensation under thisdeath of an employee shall have the right totort against any third party responsible forHowever, the employer or the carrier shall

ENR. S. B. NO. 1062

notify the claimant in writing that the claimant has the right tohire a private attorney to pursue any benefits to which the claimantis entitled in addition to the subrogation interest against anythird party responsible for the injury or death.

2. After reasonable notice and opportunity to be represented inthe action has been given to the injured employee, the liability ofthe third party to the compensation beneficiary shall be determinedin the action, as well as the third party's liability to theemployer and carrier.

3. If the employer recovers against the third party, by suit orotherwise, the injured employee shall be entitled to any amountrecovered in excess of the amount that the employer and carrier havepaid or are liable for in compensation, after deducting reasonablecosts of collection.

4. An employer or carrier who is liable for compensation underthis act on account of injury or death of an employee shall beentitled to maintain a third-party action against the employer'suninsured motorist coverage or underinsured motorist coverage.


A. Any benefits payable to an injured employee under this actshall be reduced in an amount equal to, dollar-for-dollar, theamount of benefits the injured employee has previously received forthe same medical services or period of disability, whether thosebenefits were paid under a group health care service plan, a groupdisability policy, a group loss of income policy, a group accident,health, or accident and health policy, a self-insured employeehealth or welfare benefit plan, or a group hospital or medicalservice contract; provided, however, such reduction does not applyto any benefit received from a group policy for disability if theinjured employee has paid for the policy.

B. The claimant shall be required to disclose in a manner to bedetermined by the Commission the identity, address, or phone numberof any person or entity which has paid benefits described in thissection in connection with any claim under this act.

ENR. S. B. NO. 1062


A. Temporary Total Disability.

1. If the injured employee is temporarily unable to perform hisor her job or any alternative work offered by the employer, he orshe shall be entitled to receive compensation equal to seventypercent (70%) of the injured employee's average weekly wage, but notto exceed seventy percent (70%) of the state average weekly wage,for one hundred four (104) weeks. Provided, there shall be nopayment for the first three (3) days of the initial period oftemporary total disability. If an administrative law judge findsthat a consequential injury has occurred and that additional time isneeded to reach maximum medical improvement, temporary totaldisability may continue for a period of not more than an additionalfifty-two (52) weeks. Such finding shall be based upon a showing ofmedical necessity by clear and convincing evidence.

2. When the injured employee is released from active medicaltreatment by the treating physician for all body parts found by theCommission to be injured, or in the event that the employee, withouta valid excuse, misses three consecutive medical treatmentappointments, fails to comply with medical orders of the treatingphysician, or otherwise abandons medical care, the employer shall beentitled to terminate temporary total disability by notifying theemployee, or if represented, his or her counsel. If, however, anobjection to the termination is filed by the employee within ten(10) days of termination, the Commission shall set the matter withintwenty (20) days for a determination if temporary total disabilitycompensation shall be reinstated. The temporary total disabilityshall remain terminated unless the employee proves the existence ofa valid excuse for his or her failure to comply with medical ordersof the treating physician or his or her abandonment of medical care.The administrative law judge may appoint an independent medicalexaminer to determine if further medical treatment is reasonable andnecessary. The independent medical examiner shall not providetreatment to the injured worker, unless agreed upon by the parties.

B. Temporary Partial Disability.

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1. If the injured employee is temporarily unable to perform hisor her job, but may perform alternative work offered by theemployer, he or she shall be entitled to receive compensation equalto the greater of seventy percent (70%) of the difference betweenthe injured employee's average weekly wage before the injury and hisor her weekly wage for performing alternative work after the injury,but only if his or her weekly wage for performing the alternativework is less than the temporary total disability rate.

2. Compensation under this subsection may not exceed fifty-two(52) weeks.

3. If the employee refuses to perform the alternative workoffered by the employee, he or she shall not be entitled to benefitsunder subsection A of this section or under this section.

C. Permanent Partial Disability.

1. A permanent partial disability award or combination ofawards granted an injured worker may not exceed a permanent partialdisability rating of one hundred percent (100%) to any body part orto the body as a whole. The determination of permanent partialdisability shall be the responsibility of the Commission through itsadministrative law judges. Any claim by an employee forcompensation for permanent partial disability must be supported bycompetent medical testimony of a medical doctor, osteopathicphysician, or chiropractor, and shall be supported by objectivemedical findings, as defined in this act. The opinion of thephysician shall include employee's percentage of permanent partialdisability and whether or not the disability is job-related andcaused by the accidental injury or occupational disease. Aphysician's opinion of the nature and extent of permanent partialdisability to parts of the body other than scheduled members must bebased solely on criteria established by the current edition of theAmerican Medical Association's "Guides to the Evaluation ofPermanent Impairment". A copy of any written evaluation shall besent to both parties within seven (7) days of issuance. Medicalopinions addressing compensability and permanent disability must bestated within a reasonable degree of medical certainty. Any partymay submit the report of an evaluating physician.

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2. Permanent partial disability shall not be allowed to a partof the body for which no medical treatment has been received. Adetermination of permanent partial disability made by the Commissionor administrative law judge which is not supported by objectivemedical findings provided by a treating physician who is a medicaldoctor or doctor of osteopathy or a qualified independent medicalexaminer shall be considered an abuse of discretion.

3. The examining physician shall not deviate from the Guidesexcept as may be specifically provided for in the Guides.

4. In cases of permanent partial disability, the compensationshall be seventy percent (70%) of the employee's average weeklywage, not to exceed Three Hundred Twenty-three Dollars ($323.00) perweek, for a term not to exceed a total of three hundred fifty (350)weeks for the body as a whole.

5. Except pursuant to settlement agreements entered into by theemployer and employee, payment of a permanent partial disabilityaward shall be deferred and held in reserve by the employer orinsurance company if the employee has reached maximum medicalimprovement and has been released to return to work by his or hertreating physician, and then returns to his pre-injury or equivalentjob for a term of weeks determined by dividing the total dollarvalue of the award by seventy percent (70%) of the employee'saverage weekly wage.

a. The amount of the permanent partial disability awardshall be reduced by seventy percent (70%) of theemployee's average weekly wage for each week he worksin his pre-injury or equivalent job.

b. If, for any reason other than misconduct as defined inSection 2 of this act, the employer terminates theemployee or the position offered is not the pre-injuryor equivalent job, the remaining permanent partialdisability award shall be paid in a lump sum. If theemployee is discharged for misconduct, the employershall have the burden to prove that the employeeengaged in misconduct.

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c. If the employee refuses an offer to return to his preinjury or equivalent job, the permanent partialdisability award shall continue to be deferred andshall be reduced by seventy percent (70%) of theemployee's average weekly wage for each week herefuses to return to his pre-injury or equivalent job.

d. Attorney fees for permanent partial disability awards,as approved by the Commission, shall be calculatedbased upon the total permanent partial disabilityaward and paid in full at the time of the deferral.

e. Assessments pursuant to Sections 31, 98, 112 and 165of this act shall be calculated based upon the amountof the permanent partial disability award and shall bepaid at the time of the deferral.

6. Previous Disability: The fact that an employee has sufferedprevious disability or received compensation therefor shall notpreclude the employee from compensation for a later accidentalpersonal injury or occupational disease. In the event there existsa previous permanent partial disability, including a previous nonwork-related injury or condition which produced permanent partialdisability and the same is aggravated or accelerated by anaccidental personal injury or occupational disease, compensation forpermanent partial disability shall be only for such amount as wascaused by such accidental personal injury or occupational diseaseand no additional compensation shall be allowed for the preexistingdisability or impairment. Any such reduction shall not apply totemporary total disability, nor shall it apply to compensation formedical treatment.

a. If workers' compensation benefits have previously beenawarded through settlement or judicial oradministrative determination in Oklahoma, thepercentage basis of the prior settlement or awardshall conclusively establish the amount of permanentpartial disability determined to be preexisting. Ifworkers' compensation benefits have not previouslybeen awarded through settlement or judicial oradministrative determination in Oklahoma, the amount

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of preexisting permanent partial disability shall beestablished by competent evidence.

b. In all cases, the applicable reduction shall becalculated as follows:

(1) if the preexisting impairment is the result ofinjury sustained while working for the employeragainst whom workers' compensation benefits arecurrently being sought, any award of compensationshall be reduced by the current dollar valueattributable under the Administrative Workers'Compensation Act to the percentage of permanentpartial disability determined to be preexisting.The current dollar value shall be calculated bymultiplying the percentage of preexistingpermanent partial disability by the compensationrate in effect on the date of the accident orinjury against which the reduction will beapplied, and

(2) in all other cases, the employer against whombenefits are currently being sought shall beentitled to a credit for the percentage ofpreexisting permanent partial disability.

7. No paYments on any permanent partial disability order shallbegin until paYments on any preexisting permanent partial disabilityorders have been completed.

8. The whole body shall represent a maximum of three hundredfifty (350) weeks.

9. The permanent partial disability rate of compensation foramputation or permanent total loss of use of a scheduled memberspecified in Section 46 of this act shall be seventy percent (70%)of the employee's average weekly wage, not to exceed Three HundredTwenty-three Dollars ($323.00), multiplied by the number of weeksset forth for the member in Section 46 of this act, regardless ofwhether the injured employee is able to return to his or her preinjury or equivalent job.

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10. An injured employee who is eligible for permanent partialdisability under this subsection shall be entitled to receivevocational rehabilitation services provided by a technology centeror public secondary school offering vocational-technical educationcourses, or a member institution of The Oklahoma State System ofHigher Education, which shall include retraining and job placementto restore the employee to gainful employment. Vocationalrehabilitation services or training shall not extend for a period ofmore than fifty-two (52) weeks.

D. Permanent Total Disability.

1. In case of total disability adjudged to be permanent,seventy percent (70%) of the employee1s average weekly wages, butnot in excess of the state's average weekly wage, shall be paid tothe employee during the continuance of the disability until suchtime as the employee reaches the age of maximum Social Securityretirement benefits or for a period of fifteen (15) years, whicheveris longer. In the event the claimant dies of causes unrelated tothe injury or illness, benefits shall cease on the date of death.Provided, however, any person entitled to revive the action shallreceive a one-time lump-sum payment equal to twenty-six (26) weeksof weekly benefits for permanent total disability awarded theclaimant. If more than one person is entitled to revive the claim,the lump-sum payment shall be evenly divided between or among suchpersons. In the event the Commission awards both permanent partialdisability and permanent total disability benefits, the permanenttotal disability award shall not be due until the permanent partialdisability award is paid in full. If otherwise qualified accordingto the provisions of this act, permanent total disability benefitsmay be awarded to an employee who has exhausted the maximum periodof temporary total disability even though the employee has notreached maximum medical improvement.

2. The Commission shall annually review the status of anyemployee receiving benefits for permanent total disability againstthe last employer. The Commission shall require the employee toannually file an affidavit under penalty of perjury stating that heor she is not and has not been gainfully employed and is not capableof gainful employment. Failure to file such affidavit shall resultin suspension of benefits; provided, however, reinstatement ofbenefits may occur after proper hearing before the Commission.

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E. 1. The Workers' Compensation Commission shall hire orcontract for a Vocational Rehabilitation Director to oversee thevocational rehabilitation program of the Commission.

2. The Vocational Rehabilitation Director shall help injuredworkers return to the work force. If the injured employee is unableto return to his or her pre-injury or equivalent position due topermanent restrictions as determined by the treating physician, uponthe request of either party, the Vocational Rehabilitation Directorshall determine if it is appropriate for a claimant to receivevocational rehabilitation training or services, and will overseesuch training. If appropriate, the Vocational RehabilitationDirector shall issue administrative orders, including, but notlimited to, an order for a vocational rehabilitation evaluation forany injured employee unable to work for at least ninety (90) days.In addition, the Vocational Rehabilitation Director may assigninjured workers to vocational rehabilitation counselors forcoordination of recommended services. The cost of the servicesshall be paid by the employer. All administrative orders aresubject to appeal to the full Commission.

3. There shall be a presumption in favor of ordering vocationalrehabilitation services or training for an eligible injured employeeunder the following circumstances:

a. if the employee's occupation is truck driver orlaborer and the medical condition is traumatic braininjury, stroke or uncontrolled vertigo,

b. if the employee's occupation is truck driver orlaborer performing high-risk tasks and the medicalcondition is seizures,

c. if the employee's occupation is manual laborer and themedical condition is bilateral wrist fusions,

d. if the employee's occupation is assembly-line workerand the medical condition is radial head fracture withsurgical excision,

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e. if the employee's occupation is heavy laborer and themedical condition is myocardial infarction withcongestive heart failure,

f. if the employee's occupation is heavy manual laborerand the medical condition is multilevel neck or backfusions greater than two levels,

g. if the employee's occupation is laborer performingoverhead work and the medical condition is massiverotator cuff tears, with or without surgery,

h. if the employee's occupation is heavy laborer and themedical condition is recurrent inguinal herniafollowing unsuccessful surgical repair,

i. if the employee's occupation is heavy manual laborerand the medical condition is total knee replacement ortotal hip replacement,

j. if the employee's occupation is roofer and the medicalcondition is calcaneal fracture, medically orsurgically treated,

k. if the employee's occupation is laborer of any kindand the medical condition is total shoulderreplacement,

1. if the employee's occupation is laborer and themedical condition is amputation of a hand, arm, leg,or foot,

m. if the employee's occupation is laborer and themedical condition is tibial plateau fracture, pilonfracture,

n. if the employee's occupation is laborer and themedical condition is ankle fusion or knee fusion,

o. if the employee's occupation is driver or heavyequipment operator and the medical condition isunilateral industrial blindness, or

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p. if the employee's occupation is laborer and themedical condition is 3-, 4-, or 5-level positivediscogram of the cervical spine or lumbar spine,medically treated.

4. Upon the request of either party, or by order of anadministrative law judge, the Vocational Rehabilitation Directorshall assist the Workers' Compensation Commission in determining ifit is appropriate for a claimant to receive vocationalrehabilitation training or services. If appropriate, theadministrative law judge shall refer the employee to a qualifiedexpert for evaluation of the practicability of, need for and kind ofrehabilitation services or training necessary and appropriate inorder to restore the employee to gainful emploYment. The cost ofthe evaluation shall be paid by the employer. Following theevaluation, if the employee refuses the services or training orderedby the administrative law judge, or fails to complete in good faiththe vocational rehabilitation training ordered by the administrativelaw judge, then the cost of the evaluation and services or trainingrendered may, in the discretion of the administrative law judge, bededucted from any award of benefits to the employee which remainsunpaid by the employer. Upon receipt of such report, and afteraffording all parties an opportunity to be heard, the administrativelaw judge shall order that any rehabilitation services or training,recommended in the report, or such other rehabilitation services ortraining as the administrative law judge may deem necessary,provided the employee elects to receive such services, shall beprovided at the expense of the employer. Except as otherwiseprovided in this subsection, refusal to accept rehabilitationservices by the employee shall in no way diminish any benefitsallowable to an employee.

5. The administrative law judge may order vocationalrehabilitation before the injured,employee reaches maximum medicalimprovement, if the treating physician believes that it is likelythat the employee's injury will prevent the employee from returningto his or her former employment. In granting early benefits forvocational rehabilitation, the Commission shall consider temporaryrestrictions and the likelihood that such rehabilitation will returnthe employee to gainful emploYment earlier than if such benefits aregranted after the permanent partial disability hearing in the claim.

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6. Vocational rehabilitation services or training shall notextend for a period of more than fifty-two (52) weeks. A requestfor vocational rehabilitation services or training shall be filedwith the Commission by an interested party not later than sixty (60)days from the date of receiving permanent restrictions that preventthe injured employee from returning to his or her pre-injury orequivalent position.

7. If rehabilitation requires residence at or near the facilityor institution which is away from the employee's customaryresidence, reasonable cost of the employee's board, lodging, travel,tuition, books and necessary equipment in training shall be paid forby the insurer in addition to weekly compensation benefits to whichthe employee is otherwise entitled under the Administrative Workers'Compensation Act.

8. During the period when an employee is actively and in goodfaith being evaluated or participating in a retraining or jobplacement program for purposes of evaluating permanent totaldisability status, the employee shall be entitled to receivebenefits at the same rate as the employee's temporary totaldisability benefits for an additional fifty-two (52) weeks. Alltuition related to vocational rehabilitation services shall be paidby the employer or the employer's insurer on a periodic basisdirectly to the facility providing the vocational rehabilitationservices or training to the employee. The employer or employer'sinsurer may deduct the amount paid for tuition from compensationawarded to the employee.

F. Disfigurement.

1. If an injured employee incurs serious and permanentdisfigurement to any part of the body, the Commission may awardcompensation to the injured employee in an amount not to exceedFifty Thousand Dollars ($50,000.00).

2. No award for disfigurement shall be entered until twelve(12) months after the injury.

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3. An injured employee shall not be entitled to compensationunder this subsection if he or she receives an award for permanentpartial disability to the same part of the body.

G. Benefits for a single-event injury shall be determined bythe law in effect at the time of injury. Benefits for a cumulativetrauma injury or occupational disease or illness shall be determinedby the law in effect at the time the employee knew or reasonablyshould have known that the injury, occupational disease or illnesswas related to work activity. Benefits for death shall bedetermined by the law in effect at the time of death.


A. An injured employee who is entitled to receive permanentpartial disability compensation under Section 45 of this act shallreceive compensation for each part of the body in accordance withthe number of weeks for the scheduled loss set forth below.

1. Arm amputated at the elbow, or between the elbow andshoulder, two hundred seventy-five (275) weeks;

2. Arm amputated between the elbow and wrist, two hundredtwenty (220) weeks;

3. Leg amputated at the knee, or between the knee and the hip,two hundred seventy-five (275) weeks;

4. Leg amputated between the knee and the ankle, two hundredtwenty (220) weeks;

5. Hand amputated, two hundred twenty (220) weeks;

6. Thumb amputated, sixty-six (66) weeks;

7. First finger amputated, thirty-nine (39) weeks;

8. Second finger amputated, thirty-three (33) weeks;

9. Third finger amputated, twenty-two (22) weeks;

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10. Fourth finger amputated, seventeen (17) weeks;

11. Foot amputated, two hundred twenty (220) weeks;

12. Great toe amputated, thirty-three (33) weeks;

13. Toe other than great toe amputated, eleven (11) weeks;

14. Eye enucleated, in which there was useful vision, twohundred seventy-five (275) weeks;

15. Loss of hearing of one ear, one hundred ten (110) weeks;

16. Loss of hearing of both ears, three hundred thirty (330)weeks; and

17. Loss of one testicle, fifty-three (53) weeks; loss of bothtesticles, one hundred fifty-eight (158) weeks.

B. The permanent partial disability rate of compensation foramputation or permanent total loss of use of a scheduled memberspecified in this section shall be seventy percent (70%) of theemployee's average weekly wage, not to exceed Three Hundred Twentythree Dollars ($323.00), multiplied by the number of weeks as setforth in this section, regardless of whether or not the injuredemployee is able to return to his or her pre-injury job.

C. Other cases: In cases in which the Commission finds aninjury to a part of the body not specifically covered by theforegoing provisions of this section, the employee may be entitledto compensation for permanent partial disability. The compensationordered paid shall be seventy percent (70%) of the employee'saverage weekly wage, not to exceed Three Hundred Twenty-threeDollars ($323.00) for the number of weeks which the partialdisability of the employee bears to three hundred fifty (350) weeks.

D. 1. Compensation for amputation of the first phalange of adigit shall be one-half (1/2) of the compensation for the amputationof the entire digit.

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2. Compensation for amputation of more than one phalange of adigit shall be the same as for amputation of the entire digit.

E. 1. Compensation for the permanent loss of eighty percent(80%) or more of the vision of an eye shall be the same as for theloss of an eye.

2. In all cases of permanent loss of vision, the use ofcorrective lenses may be taken into consideration in evaluating theextent of loss of vision.

F. Compensation for amputation or loss of use of two or moredigits or one or more phalanges of two or more digits of a hand or afoot may be proportioned to the total loss of use of the hand or thefoot occasioned thereby but shall not exceed the compensation fortotal loss of a hand or a foot.

G. Compensation for permanent total loss of use of a membershall be the same as for amputation of the member.

H. The sum of all permanent partial disability awards,excluding awards against the Multiple Injury Trust Fund, shall notexceed three hundred fifty (350) weeks.


A. Time of death. If death does not result within one (1) yearfrom the date of the accident or within the first three (3) years ofthe period for compensation payments fixed by the compensationjudgment, a rebuttable presumption shall arise that the death didnot result from the injury.

B. Common law spouse. A common law spouse shall not beentitled to benefits under this section unless he or she obtains anorder from a court with competent jurisdiction ruling that a commonlaw marriage existed between the decedent and the surviving spouse.

C. Beneficiaries - Amounts. If an injury or occupationalillness causes death, weekly income benefits shall be payable asfollows:

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1. If there is a surviving spouse, a lump-sum payment of OneHundred Thousand Dollars ($100,000.00) and seventy percent (70%) ofthe lesser of the deceased employee's average weekly wage and thestate average weekly wage. In addition to the benefits theretoforepaid or due, two (2) years' indemnity benefit in one lump sum shallbe payable to a surviving spouse upon remarriage;

2. If there is a surviving spouse and a child or children, alump-sum payment of Twenty-five Thousand Dollars ($25,000.00) andfifteen percent (15%) of the lesser of the deceased employee'saverage weekly wage and the state average weekly wage to each child.If there are more than two children, each child shall receive a prorata share of Fifty Thousand Dollars ($50,000.00) and thirty percent(30%) of the deceased employee's average weekly wage;

3. If there is a child or children and no surviving spouse, alump-sum payment of Twenty-five Thousand Dollars ($25,000.00) andfifty percent (50%) of the lesser of the deceased employee's averageweekly wage and the state average weekly wage to each child. Ifthere are more than two children, each child shall receive a prorata share of one hundred percent (100%) of the lesser of thedeceased employee's average weekly wage and the state average weeklywage. With respect to the lump-sum payment, if there are more thansix children, each child shall receive a pro rata share of OneHundred Fifty Thousand Dollars ($150,000.00);

4. If there is no surviving spouse or children, each legalguardian, if financially dependent on the employee at the time ofdeath, shall receive twenty-five percent (25%) of the lesser of thedeceased employee's average weekly wage and the state average weeklywage until the earlier of death, becoming eligible for socialsecurity, obtaining full-time employment, or five (5) years from thedate benefits under this section begin; and

5. The employer shall pay the actual funeral expenses, notexceeding the sum of Ten Thousand Dollars ($10,000.00).

D. The weekly income benefits payable to the surviving spouseunder this section shall continue while the surviving spouse remainsunmarried. In no event shall this spousal weekly income benefit bediminished by the award to other beneficiaries. The weekly income

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benefits payable to any child under this section shall terminate onthe earlier of death, marriage, or reaching the age of eighteen(18). However, if the child turns eighteen (18) and is:

1. Enrolled as a full-time student in high school or is beingschooled by other means pursuant to the Oklahoma Constitution;

2. Enrolled as a full-time student in any accreditedinstitution of higher education or vocational or technologyeducation; or

3. Physically or mentally incapable of self-support,

then he or she may continue to receive weekly income benefits underthis section until the earlier of reaching the age of twenty-three(23) or, with respect to paragraphs 1 and 2 of this subsection, nolonger being enrolled as a student, and with respect to paragraph 3of this subsection, becoming capable of self-support.

E. If any member of the class of beneficiaries who receive apro rata share of weekly income benefits becomes ineligible tocontinue to receive benefits, the remaining members of the classshall receive adjusted weekly income benefits equal to the new classsize.

F. To receive benefits under this section, a beneficiary or hisor her guardian, if applicable, shall file a proof of loss form withthe Commission. All questions of dependency shall be determined asof the time of the injury. The employer shall initiate payment ofbenefits within fifteen (15) days of the Commission's determinationof the proper beneficiaries. The Commission shall appoint aguardian ad litem to represent known and unknown minor children andthe guardian ad litem shall be paid a reasonable fee for his or herservices.


When an injury or death is sustained by a minor employed inviolation of federal or state statutes relating to minimum ages foremployment of minors, disability or death benefits provided for by

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this act shall be doubled; provided, however, such penalty shall notapply when the minor misrepresents his or her age, in writing, tothe employer.


Notwithstanding any other provision of this act, no compensationfor temporary total disability shall be payable to an injuredemployee for any week for which the injured employee receivesunemploYment insurance benefits under the laws of this state or theunemployment insurance law of any other state. If a claim fortemporary total disability is controverted and later determined tobe compensable, temporary total disability shall be payable to aninjured employee for any week for which the injured employeereceives unemploYment benefits but only to the extent that thetemporary total disability otherwise payable exceeds theunemploYment benefits.


A. The employer shall promptly provide an injured employee withmedical, surgical, hospital, optometric, podiatric, and nursingservices, along any with medicine, crutches, ambulatory devices,artificial limbs, eyeglasses, contact lenses, hearing aids, andother apparatus as may be reasonably necessary in connection withthe injury received by the employee. The employer shall have theright to choose the treating physician.

B. If the employer fails or neglects to provide medicaltreatment within five (5) days after actual knowledge is received ofan injury, the injured employee may select a physician to providemedical treatment at the expense of the employer; provided, however,that the injured employee, or another in the employee's behalf, mayobtain emergency treatment at the expense of the employer where suchemergency treatment is not provided by the employer.

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C. Diagnostic tests shall not be repeated sooner than six (6)months from the date of the test unless agreed to by the parties orordered by the Commission for good cause shown.

D. Unless recommended by the treating doctor at the timeclaimant reaches maximum medical improvement or by an independentmedical examiner, continuing medical maintenance shall not beawarded by the Commission. The employer or insurance carrier shallnot be responsible for continuing medical maintenance or painmanagement treatment that is outside the parameters established bythe Physician Advisory Committee or ODG. The employer or insurancecarrier shall not be responsible for continuing medical maintenanceor pain management treatment not previously ordered by theCommission or approved in advance by the employer or insurancecarrier.

E. An employee claiming or entitled to benefits under this act,shall, if ordered by the Commission or requested by the employer orinsurance carrier, submit himself or herself for medicalexamination. If an employee refuses to submit himself or herself toexamination, his or her right to prosecute any proceeding under thisact shall be suspended, and no compensation shall be payable for theperiod of such refusal.

F. For compensable injuries resulting in the use of a medicaldevice, ongoing service for the medical device shall be provided insituations including, but not limited to, medical device batteryreplacement, ongoing medication refills related to the medicaldevice, medical device repair, or medical device replacement.

G. The employer shall reimburse the employee for the actualmileage in excess of twenty (20) miles round-trip to and from theemployee's home to the location of a medical service provider forall reasonable and necessary treatment, for an evaluation of anindependent medical examiner and for any evaluation made at therequest of the employer or insurance carrier. The rate ofreimbursement for such travel expense shall be the officialreimbursement rate as established by the State Travel ReimbursementAct. In no event shall the reimbursement of travel for medicaltreatment or evaluation exceed six hundred (600) miles round trip.

H. Fee Schedule.

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1. The Commission shall conduct a review of the Fee Scheduleevery two (2) years. The Fee Schedule shall establish the maximumrates that medical providers shall be reimbursed for medical careprovided to injured employees, including, but not limited to,charges by physicians, dentists, counselors, hospitals, ambulatoryand outpatient facilities, clinical laboratory services, diagnostictesting services, and ambulance services, and charges for durablemedical equipment, prosthetics, orthotics, and supplies. The mostcurrent Fee Schedule established by the Administrator of theWorkers' Compensation Court prior to the effective date of thissection shall remain in effect, unless or until the Legislatureapproves the Commission's proposed Fee Schedule.

2. Reimbursement for medical care shall be prescribed andlimited by the Fee Schedule as adopted by the Commission, afternotice and public hearing, and after approval by the Legislature byjoint resolution. The director of the Employees Group InsuranceDivision of the Office of Management and Enterprise Services shallprovide the Commission such information as may be relevant for thedevelopment of the Fee Schedule. The Commission shall develop theFee Schedule in a manner in which quality of medical care is assuredand maintained for injured employees. The Commission shall give dueconsideration to additional requirements for physicians treating aninjured worker under this act, including, but not limited to,communication with claims representatives, case managers, attorneys,and representatives of employers, and the additional time requiredto complete forms for the Commission, insurance carriers, andemployers.

3. In making adjustments to the Fee Schedule, the Commissionshall use, as a benchmark, the reimbursement rate for each CurrentProcedural Terminology (CPT) code provided for in the fee schedulepublished by the Centers for Medicare and Medicaid Services of theU.S. Department of Health and Human Services for use in Oklahoma(Medicare Fee Schedule) on the effective date of this section,workers' compensation fee schedules employed by neighboring states,the latest edition of "Relative Values for Physicians" (RVP) , usual,customary and reasonable medical payments to workers' compensationhealth care providers in the same trade area for comparabletreatment of a person with similar injuries, and all other data theCommission deems relevant. For services not valued by CMS, the

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Commission shall establish values based on the usual, customary andreasonable medical payments to health care providers in the sametrade area for comparable treatment of a person with similarinjuries.

a. No reimbursement shall be allowed for any magneticresonance imaging (MRI) unless the MRI is provided byan entity that meets Medicare requirements for thepayment of MRI services or is accredited by theAmerican College of Radiology, the IntersocietalAccreditation Commission or the Joint Commission onAccreditation of Healthcare Organizations. For allother radiology procedures, the reimbursement rateshall be the lesser of the reimbursement rate allowedby the 2010 Oklahoma Fee Schedule and two hundredseven percent (207%) of the Medicare Fee Schedule.

b. For reimbursement of medical services for Evaluationand Management of injured employees as defined in theFee Schedule adopted by the Commission, thereimbursement rate shall not be less than one hundredfifty percent (150%) of the Medicare Fee Schedule.

c. Any entity providing durable medical equipment,prosthetics, orthotics or supplies shall be accreditedby a CMS-approved accreditation organization. If aphysician provides durable medical equipment,prosthetics, orthotics, prescription drugs, orsupplies to a patient ancillary to the patient'svisit, reimbursement shall be no more than ten percent(10%) above cost.

d. The Commission shall develop a reasonable stop-lossprovision of the Fee Schedule to provide for adequatereimbursement for treatment for major burns, severehead and neurological injuries, multiple systeminjuries, and other catastrophic injuries requiringextended periods of intensive care.

4. The right to recover charges for every type of medical carefor injuries arising out of and in the course of covered employmentas defined in this act shall lie solely with the Commission. When a

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medical care provider has brought a claim to the Commission toobtain payment for services, a party who prevails in full on theclaim shall be entitled to reasonable attorney fees.

5. Nothing in this section shall prevent an employer, insurancecarrier, group self-insurance association, or certified workplacemedical plan from contracting with a provider of medical care for areimbursement rate that is greater than or less than limitsestablished by the Fee Schedule.

6. A treating physician may not charge more than Four HundredDollars ($400.00) per hour for preparation for or testimony at adeposition or appearance before the Commission in connection with aclaim covered by the Administrative Workers' Compensation Act.

7. The Commission's review of medical and treatment chargespursuant to this section shall be conducted pursuant to the FeeSchedule in existence at the time the medical care or treatment wasprovided. The judgment approving the medical and treatment chargespursuant to this section shall be enforceable by the Commission inthe same manner as provided in this act for the enforcement of othercompensation payments.

8. Charges for prescription drugs dispensed by a pharmacy shallbe limited to ninety percent (90%) of the average wholesale price ofthe prescription, plus a dispensing fee of Five Dollars ($5.00) perprescription. "Average wholesale price" means the amount determinedfrom the latest publication designated by the Commission.Physicians shall prescribe and pharmacies shall dispense genericequivalent drugs when available. If the National Drug Code, or"NDC", for the drug product dispensed is for a repackaged drug, thenthe maximum reimbursement shall be the lesser of the originallabeler's NDC and the lowest-cost therapeutic equivalent drugproduct. Compounded medications shall be billed by the compoundingpharmacy at the ingredient level, with each ingredient identifiedusing the applicable NDC of the drug product, and the correspondingquantity. Ingredients with no NDC area are not separatelyreimbursable. Payment shall be based on a sum of the allowable feefor each ingredient plus a dispensing fee of Five Dollars ($5.00)per prescription.

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9. When medical care includes prescription drugs dispensed by aphysician or other medical care provider and the NDC for the drugproduct dispensed is for a repackaged drug, then the maximumreimbursement shall be the lesser of the original labeler's NDC andthe lowest-cost therapeutic equivalent drug product. PaYment shallbe based upon a sum of the allowable fee for each ingredient plus adispensing fee of Five Dollars ($5.00) per prescription. Compoundedmedications shall be billed by the compounding pharmacy.

10. Implantables are paid in addition to proceduralreimbursement paid for medical or surgical services. Amanufacturer's invoice for the actual cost to a physician, hospitalor other entity of an implantable device shall be adjusted by thephysician, hospital or other entity to reflect, at the timeimplanted, all applicable discounts, rebates, considerations andproduct replacement programs and shall be provided to the payer bythe physician or hospital as a condition of paYment for theimplantable device. If the physician, or an entity in which thephysician has a financial interest other than an ownership interestof less than five percent (5%) in a publically traded company,provides implantable devices, this relationship shall be disclosedto patient, employer, insurance company, third-party commission,certified workplace medical plan, case managers, and attorneysrepresenting claimant and defendant. If the physician, or an entityin which the physician has a financial interest other than anownership interest of less than five percent (5%) in a publicallytraded company, buys and resells implantable devices to a hospitalor another physician, the markup shall be limited to ten percent(10%) above cost.

11. PaYment for medical care as required by this act shall bedue within forty-five (45) days of the receipt by the employer orinsurance carrier of a complete and accurate invoice, unless theemployer or insurance carrier has a good-faith reason to requestadditional information about such invoice. Thereafter, theCommission may assess a penalty up to twenty-five percent (25%) forany amount due under the Fee Schedule that remains unpaid on thefinding by the Commission that no good-faith reason existed for thedelay in paYment. If the Commission finds a pattern of an employeror insurance carrier willfully and knowingly delaying paYments formedical care, the Commission may assess a civil penalty of not morethan Five Thousand Dollars ($5,000.00) per occurrence.

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12. If an employee fails to appear for a scheduled appointmentwith a physician, the employer or insurance company shall pay to thephysician a reasonable charge, to be determined by the Commission,for the missed appointment. In the absence of a good-faith reasonfor missing the appointment, the Commission shall order the employeeto reimburse the employer or insurance company for the charge.

13. Physicians providing treatment under this act shalldisclose under penalty of perjury to the Commission, on a formprescribed by the Commission, any ownership or interest in anyhealth care facility, business, or diagnostic center that is not thephysician's primary place of business. The disclosure shall includeany employee leasing arrangement between the physician and anyhealth care facility that is not the physician's primary place ofbusiness. A physician's failure to disclose as required by thissection shall be grounds for the Commission to disqualify thephysician from providing treatment under this act.

I. Formulary. The Commission by rule shall adopt a closedformulary. Rules adopted by the Commission shall allow an appealsprocess for claims in which a treating doctor determines anddocuments that a drug not included in the formulary is necessary totreat an injured employee's compensable injury. The Commission byrule shall require the use of generic pharmaceutical medications andclinically appropriate over-the-counter alternatives to prescriptionmedications unless otherwise specified by the prescribing doctor, inaccordance with applicable state law.


The employer shall pay one hundred percent (100%) of the medicalexpenses, subject to the Fee Schedule, with no maximum dollar orduration limits for all compensable injuries.


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The employer shall not be liable for any of the paYments formedical services and supplies under this act if the Commissiondetermines that there was not a compensable injury.


A. An injured employee claiming to be entitled to benefitsunder this act shall submit to physical examination and treatment byanother qualified physician, designated or approved by theCommission, as the Commission may require from time to time ifreasonable and necessary.

B. In cases where the Commission directs examination ortreatment, proceedings shall be suspended, and no compensation shallbe payable for any period during which the employee refuses tosubmit to examination and treatment or otherwise obstructs theexamination or treatment.

C. Failure of the employee to obey a judgment of the Commissionfor an examination or treatment for a period of one (1) month fromthe date of the judgment shall bar the right of the claimant tofurther compensation in respect to the injury.


Except in cases of hernia, which are specifically covered bySection 61 of this act, where an injured employee unreasonablyrefuses to submit to a surgical operation which has been advised byat least two qualified physicians and where the recommendedoperation does not involve unreasonable risk of life or additionalserious physical impairment, the Commission shall take the refusalinto consideration when determining compensation for permanentpartial or permanent total disability.


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A. If an employer or carrier believes that a charge for medicalservices or supplies under this act is unreasonable, it may submitthe charge to the Commission for review. If the Commissiondetermines that the charge is unreasonable, it may amend the chargesto reflect the Fee Schedule established under Section 50 of thisact, if applicable, or in accordance with reasonable market ratesfor the services or supplies provided.

B. The provisions of this section relating to charges shall notapply if a written contract exists between the employer and theperson who renders the medical service or supplies.


A. If the employer has previously contracted with a certifiedworkplace medical plan, the employer shall select for the injuredemployee a treating physician from the physicians listed within thenetwork of the certified workplace medical plan. The employee mayapply for a change of physician by utilizing the dispute resolutionprocess set out in the certified workplace medical plan on file withthe State Department of Health.

B. If the employer is not covered by a certified workplacemedical plan, the employer shall select the treating physician. TheCommission on application of the employee shall order one change oftreating physician. Upon the Commission's granting of theapplication, the employer shall provide a list of three physiciansfrom whom the employee may select the replacement.


A. If an injured employee misses two or more scheduledappointments for treatment, he or she shall no longer be eligible toreceive benefits under this act, unless his or her absence was:

1. Caused by extraordinary circumstances beyond the employee'scontrol as determined by the Commission; or

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2. The employee gave the employer at least two (2) hours priornotice of the absence and had a valid excuse.

B. Inability to get transportation to or from the appointmentshall not be considered extraordinary circumstances nor a validexcuse for the absence.


A. 1. Every hospital or other person furnishing the injuredemployee with medical services shall permit its records to be copiedby and shall furnish full written information to the Commission, theWorkers' Compensation Fraud Investigation Unit, the employer, thecarrier, and the employee or the employee's dependents.

2. The reasonable cost of copies shall be paid by the requestorto the health care or medical service provider furnishing them.

B. No person who in good faith under subsection A of thissection or under rules established by the Commission reports medicalinformation shall incur legal liability for the disclosure of theinformation.


A. 1. Compensation under this act based on the employee'saverage weekly wage shall be computed by dividing the employee'sgross earnings by the number of full weeks of employment with theemployer, up to a maximum of fifty-two (52) weeks.

2. If the injured employee was working on a piece basis, theaverage weekly wage shall be determined by dividing the earnings ofthe employee by the number of hours required to earn the wagesduring the period not to exceed fifty-two (52) weeks preceding theweek in which the accident occurred and by multiplying this hourlywage by the number of hours in a full-time workweek in theemployment.

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B. Overtime earnings are to be added to the regular weeklywages and shall be computed by dividing the overtime earnings by thenumber of weeks worked by the employee in the same emploYment underthe contract of hire in force at the time of the accident, not toexceed a period of fifty-two (52) weeks preceding the accident.

C. If, because of exceptional circumstances, the average weeklywage cannot be fairly and justly determined by the above formulas,the Commission may determine the average weekly wage by a methodthat is just and fair to all parties concerned.

D. The benefit level for members of the National Guard and anyauthorized voluntary or uncompensated worker rendering services as afirefighter, peace officer or civil defense worker shall bedetermined by using the wages of the employee in his or her regularoccupation.


The Physician Advisory Committee may recommend the adoption of amethod or system to evaluate permanent disability that shall deviatefrom, or be used in place of or in combination with the Guides.Such recommendation shall be made to the Commission which may adoptthe recommendation in part or in whole. The adopted method orsystem shall be submitted by the Director to the Governor, theSpeaker of the House of Representatives and the President ProTempore of the Senate within the first ten (10) legislative days ofa regular session of the Legislature. Such method or system sosubmitted shall be subject to disapproval by joint or concurrentresolution of the Legislature during the legislative session inwhich submitted. If disapproved, the existing method of determiningpermanent partial disability shall continue in effect. If theLegislature takes no action on the method or system submitted by theDirector, the method or system shall become operative thirty (30)days following the adjournment of the Legislature.


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A. A hernia is not a compensable injury unless the injuredemployee can prove by a preponderance of the evidence that it meetsthe definition of "compensable injury" under this act and:

1.

suddento the

The occurrence of theeffort, severe strain,abdominal wall;

hernia followed as the result ofor the application of force directly

2. There was severe pain in the hernial region;

3. The pain caused the employee's work to be substantiallyaffected;

4. Notice of the occurrence was given to the employer withinfive (5) days thereafter; and

5. The physical distress following the occurrence of the herniawas such as to require the attendance of a licensed physician.

B. 1. Notwithstanding the provisions of Section 45 of thisact, if it is determined that a hernia is a compensable injury undersubsection A of this section, the injured employee shall be entitledto temporary total disability for six (6) weeks.

2. If the injured employee refuses to permit the herniaoperation if recommended by a physician, he or she shall be entitledto temporary total disability for thirteen (13) weeks in addition toappropriate medical care.

C. If the injured employee dies within one (1) year as a directand sole result of the hernia or a radical operation of the hernia,the deceased employee's dependents shall be entitled to deathcompensation under Section 48 of this act.


A. Notwithstanding the provisions of Section 45 of this act, ifan employee suffers a nonsurgical soft tissue injury, temporarytotal disability compensation shall not exceed eight (8) weeks,regardless of the number of parts of the body to which there is a

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nonsurgical soft tissue injury. An employee who is treated with aninjection or injections shall be entitled to an extension of anadditional eight (8) weeks. An employee who has been recommended bya treating physician for surgery for a soft tissue injury maypetition the Workers' Compensation Commission for one extension oftemporary total disability compensation and the Commission may orderan extension, not to exceed sixteen (16) additional weeks. If thesurgery is not performed within thirty (30) days of the approval ofthe surgery by the employer, its insurance carrier, or an order ofthe Commission authorizing the surgery, and the delay is caused bythe employee acting in bad faith, the benefits for the extensionperiod shall be terminated and the employee shall reimburse theemployer any temporary total disability compensation he or shereceived beyond eight (8) weeks. An epidural steroid injection, orany procedure of the same or similar physical invasiveness, shallnot be considered surgery.

B. For purposes of this section, "soft tissue injury" meansdamage to one or more of the tissues that surround bones and joints.Soft tissue injury includes, but is not limited to, sprains,strains, contusions, tendonitis and muscle tears. Cumulative traumais to be considered a soft tissue injury. Soft tissue injury doesnot include any of the following:

1. Injury to or disease of the spine, spinal discs, spinalnerves or spinal cord, where corrective surgery is performed;

2. Brain or closed-head injury as evidenced by:

a. sensory or motor disturbances,

b. communication disturbances,

c. complex integrated disturbances of cerebral function,

d. episodic neurological disorders, or

e. other brain and closed-head injury conditions at leastas severe in nature as any condition provided insubparagraphs a through d of this paragraph; or

3. Any joint replacement.

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A. Within ten (10) days after the date of receipt of notice orof knowledge of injury or death, the employer shall send to theCommission a report setting forth:

1. The name, address, and business of the employer;

2. The name, address, and occupation of the employee;

3. The cause and nature of the injury or death;

4. The year, month, day, approximately when, and the particularlocality where, the injury or death occurred; and

5. Such other information as the Commission may require.

B. Additional reports with respect to the injury and of thecondition of the employee shall be sent by the employer to theCommission at such time and in such manner as the Commission mayprescribe. However, an employer may refuse to provide anyinformation that it deems privileged or confidential.

C. Any report provided for in subsection A or B of this sectionshall not be evidence of any fact stated in the report in anyproceeding with respect to the injury or death on account of whichthe report is made.

D. The mailing of any report in a stamped envelope, properlyaddressed, within the time prescribed in subsection A or B of thissection, shall be in compliance with this section. In addition, theCommission shall establish a means of electronic delivery of anyreport or other information required by this section.

E. 1. Any employer who after notice refuses to send any reportrequired by this section shall be subject to a civil penalty in anamount of Five Hundred Dollars ($500.00) for each refusal.

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2. Whenever the employer has failed or refused to comply asprovided in this section, the Commission may serve on the employer aproposed judgment declaring the employer to be in violation of thisact and containing the amount, if any, of the civil penalty to beassessed against the employer under this section.

F. An employer may contest a proposed judgment of theCommission issued under subsection E of this section by filing withthe Commission, within twenty (20) days of receipt of the proposedjudgment, a written request for a hearing. If a written request forhearing is not filed with the Commission within this time, theproposed judgment, proposed penalty, or both, shall be a finaljudgment of the Commission. The request for a hearing does not needto be in any particular form but shall specify the grounds on whichthe person contests the proposed judgment, the proposed assessment,or both. A proposed judgment by the Commission under this sectionshall be prima facie correct, and the burden is on the employer toprove that the proposed judgment is incorrect.

G. Hearings conducted under this section shall proceed asprovided in Sections 69 through 78 of this act.

H. If an employer fails to pay any civil penalty assessedagainst the employer after a judgment issued under this section hasbecome final by operation of law, the Commission may petition thedistrict court of the county where the employer's principal place ofbusiness is located for an order enjoining the employer fromengaging in further employment or conduct of business until suchtime as the employer makes all required reports and pays all civilpenalties.


A. Any person or entity may make written application to theState Commissioner of Health to have a workplace medical plancertified that provides management of quality treatment to injuredemployees for injuries and diseases compensable under this act.Each application for certification shall be accompanied by a fee ofOne Thousand Five Hundred Dollars ($1,500.00). A workplace medicalplan may be certified to provide services to a limited geographic

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area. A certificate is valid for a five-year period, unless revokedor suspended. Application for certification shall be made in theform and manner and shall set forth information regarding theproposed program for providing services as the State Commissioner ofHealth may prescribe. The information shall include, but not belimited to:

1. A list of the names of all medical providers who shallprovide services under the plan, together with appropriate evidenceof compliance with any licensing or certification requirements forthose providers to practice in this state; and

2. A description of the places and manner of providing servicesunder the plan.

B. The State Commissioner of Health shall not certify a planunless he or she finds that the plan:

1. Proposes to provide quality services for all medicalservices which:

a. may be required by this act in a manner that istimely, effective and convenient for the employee, and

b. utilize medical treatment guidelines and protocolsconsistent with those established by the OfficialDisability Guidelines;

2. Is reasonably geographically convenient to residents of thearea for which it seeks certification;

3. Provides appropriate financial incentives to reduce servicecosts and utilization without sacrificing the quality of service;

4. Provides adequate methods of peer review, utilization reviewand dispute resolution to prevent inappropriate, excessive ormedically unnecessary treatment, and excludes participation in theplan by those providers who violate these treatment standards;

5. Provides aggressive case management for injured employeesand a program for early return to work;

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6. Provides a timely and accurate method of reporting to theState Commissioner of Health necessary information regarding medicalservice costs and utilization to enable the State Commissioner ofHealth to determine the effectiveness of the plan;

7. Authorizes necessary emergency medical treatment for aninjury provided by a provider of medical, surgical, and hospitalservices who is not a part of the plan; and

8. Does not discriminate against or exclude from participationin the plan any category of providers of medical, surgical, orhospital services and includes an adequate number of each categoryof providers of medical, surgical, and hospital services to giveparticipants access to all categories of providers and does notdiscriminate against ethnic minority providers of medical services.

C. The State Commissioner of Health may accept findings,licenses or certifications of other state agencies as satisfactoryevidence of compliance with a particular requirement of thissection.

D. Except for self-insured employers, if any insurer does notcontract with or provide access to a certified workplace medicalplan, an insured, after sixty (60) days' written notice to itsinsurance carrier, shall be authorized to contract independentlywith a plan of his or her choice for a period of one (1) year, toprovide medical care under this act. The insured shall beauthorized to contract, after sixty (60) days' written notice to itsinsurance carrier, for additional one-year periods if the insurerhas not contracted with or provided access to a certified workplacemedical plan.

E. If an employer is not experience-rated when it participatesin a certified workplace medical plan, its workers' compensationinsurer shall grant a ten-percent premium reduction.

F. The State Commissioner of Health shall refuse to certify orshall revoke or suspend the certification of a plan if the StateCommissioner of Health finds that the program for providing medicalor health care services fails to meet the requirements of thissection, or service under the plan is not being provided inaccordance with the terms of the plan.

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G. The State Commissioner of Health shall implement a sitevisit protocol for employees of the State Department of Health toperform an inspection of a certified workplace medical plan toensure that medical services to an employee and the medicalmanagement of the employee's needs are adequately met in a timelymanner and that the certified workplace medical plan is complyingwith all other applicable provisions of this act and the StateDepartment of Health. This protocol shall include, but not belimited to:

1. A site visit shall be made to each certified workplacemedical plan not less often than once every year, but not later thanthirty (30) days following the anniversary date of issuance of theinitial or latest renewal certificate;

2. A site visit shall determine whether or not a certifiedworkplace medical plan is operating in accordance with its latestapplication to the State Department of Health;

3. Compliant operations shall include, but not be limited to:

a. timely and effective medical services available withreasonable geographic convenience,

b. treatment guidelines and protocols consistent with theOfficial Disability Guidelines, and

c. effective programs for utilization review, casemanagement, grievances, and dispute resolution;

4. Performance of a site visit shall include:

a. inspection of organizational documentation,

b. inspection of systems documentation and processes,

c. random or systematic sampling of closed and open casemanagement cases,

d. workplace medical plan employee and managementinterviews, as appropriate;

ENR. S. B. NO. 1062

5. An initial site visit may occur with an interval of lessthan twelve (12) months to a recently certified plan, or a sitevisit may occur more often than once in every twelve (12) months ifthe State Commissioner of Health has reason to suspect that a planis not operating in accordance with its certification;

6. If a deficient practice is identified during a site visit,the State Department of Health shall require a certified workplacemedical plan to submit a timely and acceptable written plan ofcorrection, and then may perform a follow-up visit or visits toensure that the deficient practice has been eliminated;

7. If a deficient practice is not remedied by a certifiedworkplace medical plan on a timely basis, the State Commissioner ofHealth shall revoke or suspend the certification of the plan;

8. In addition to the certification fee required pursuant tosubsection A of this section, certified workplace medical plansshall pay the State Department of Health:

a. One Thousand Five Hundred Dollars ($1,500.00) for aninitial annual site visit, and

b. One Thousand Dollars ($1,000.00) for each follow-upvisit, but only if less than two site visits occur ina twelve-month period; and

9. In addition to the site visit fee required pursuant toparagraph 8 of this subsection, employees of the State Department ofHealth may charge to the certified workplace medical plan reasonabletravel and travel-related expenses for the site visit such asovernight lodging and meals. A certified workplace medical planshall reimburse travel expenses to the State Department of Health atrates equal to the amounts then currently allowed under the StateTravel Reimbursement Act.

I. The State Board of Health shall adopt such rules as may benecessary to implement the provisions of this section. Such rulesshall authorize any person to petition the State Commissioner ofHealth for decertification of a certified workplace medical plan for

ENR. S. B. NO. 1062

a material violation of any rules promulgated pursuant to thissection.


A. If an employee suffers from an occupational disease asdefined in this section and is disabled or dies as a result of thedisease, the employee, or, in case of death, his or her dependents,shall be entitled to compensation as if the disability or death werecaused by injury arising out of work activities within the scope ofemployment, except as otherwise provided in this section.

B. No compensation shall be payable for an occupational diseaseif the employee, at the time of entering into the employment of theemployer by whom the compensation would otherwise be payable,falsely represented himself or herself in writing as not havingpreviously been disabled, laid off, or compensated in damages orotherwise, because of the disease.

C. 1. If an occupational disease is aggravated by any otherdisease or infirmity, not itself compensable, or if disability ordeath from any other cause, not itself compensable, is aggravated,prolonged, accelerated, or in any way contributed to by anoccupational disease, the compensation payable shall be reduced andlimited to the proportion only of the compensation that would bepayable if the occupational disease were the major cause of thedisability or death as the occupational disease, as a causativefactor, bears to all the causes of the disability or death.

2. The reduction in compensation is to be effected by reducingthe number of weekly or monthly payments or the amounts of thepayments, as under the circumstances of the particular case may befor the best interest of the claimant.

D. 1. "Occupational disease " , as used in this act, unless thecontext otherwise requires, means any disease that results indisability or death and arises out of and in the course of theoccupation or employment of the employee or naturally follows orunavoidably results from an injury as that term is defined in thisact. A causal connection between the occupation or employment and

ENR. S. B. NO. 1062

the occupational disease shall be established by a preponderance ofthe evidence.

2. No compensation shall be payable for any contagious orinfectious disease unless contracted in the course and scope ofemployment in or immediately connected with a hospital or sanatoriumin which persons suffering from that disease are cared for ortreated.

3. No compensation shall be payable for any ordinary disease oflife to which the general public is exposed.

E. 1. When compensation is payable for an occupationaldisease, the employer in whose employment the employee was lastinjuriously exposed to the hazards of the disease and the carrier,if any, on the risk when the employee was last injuriously exposedunder the employer shall be liable.

2. The amount of the compensation shall be based on the averageweekly wage of the employee when last injuriously exposed under theemployer, and the notice of injury and claim for compensation shallbe given and made to that employer.

F. 1. An employer shall not be liable for any compensation foran occupational disease unless:

a. the disease is due to the nature of an employment inwhich the hazards of the disease actually exist andare characteristic thereof and peculiar to the trade,occupation, process, or employment and is actuallyincurred in the course and scope of his or heremployment. This includes any disease due to orattributable to exposure to or contact with anyradioactive material by an employee in the course andscope of his or her employment,

b. disablement or death results within three (3) years incase of silicosis or asbestosis, or one (1) year incase of any other occupational disease, except adiseased condition caused by exposure to X-rays,radioactive substances, or ionizing radiation, after

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the last injurious exposure to the disease in theemployment, or

c. in case of death, death follows continuous disabilityfrom the disease, commencing within the period, forwhich compensation has been paid or awarded or timelyclaim made as provided in subparagraph b of thisparagraph and results within seven (7) years after thelast exposure.

2. However, in case of a diseased condition caused by exposureto X-rays, radioactive substances, or ionizing radiation only, thelimitations expressed do not apply.


A. As used in this act, unless the context otherwise requires:

1. "Asbestosis" means the characteristic fibrotic condition ofthe lungs caused by the inhalation of asbestos dust; and

2. "Silicosis" means the characteristic fibrotic condition ofthe lungs caused by the inhalation of silica dust.

B. In the absence of conclusive evidence in favor of the claim,disability or death from silicosis or asbestosis shall be presumednot to be due to the nature of any occupation within the provisionof this section unless during the ten (10) years immediatelypreceding the date of disablement the employee has been exposed tothe inhalation of silica dust or asbestos dust over a period of notless than five (5) years, two (2) years of which shall have been inthis state, under a contract of employment performed in this state.However, if the employee has been employed by the same employerduring the entire five-year period, his or her right to compensationagainst the employer shall not be affected by the fact that he orshe had been employed during any part of the period outside of thisstate.

C. Except as otherwise provided in this section, compensationfor disability from uncomplicated silicosis or asbestosis shall be

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payable in accordance with the provisions of Sections 45 and 48 ofthis act.

D. 1. In case of disability or death from silicosis orasbestosis complicated with tuberculosis of the lungs, compensationshall be payable as for uncomplicated silicosis or asbestosis,provided that the silicosis or asbestosis was an essential factor inthe causing of disability or death.

2. In case of disability or death from silicosis or asbestosiscomplicated with any other disease, or from any other diseasecomplicated with silicosis or asbestosis, the compensation shall bereduced as provided in subsection C of Section 65 of this act.

E. 1. When an employee, though not actually disabled, is foundby the Commission to be affected by silicosis or asbestosis to sucha degree as to make it unduly hazardous for him or her to continuein an employment involving exposure to the hazards of the disease,the Commission may order that he or she be removed from his or heremployment. In such a case, or in case he or she has already beendischarged from the employment and is unemployed, he or she shall beentitled to compensation until he or she can obtain steadyemployment in some other suitable occupation in which there are nohazards of the disease.

2. When in any case the forced change of employment shall, inthe opinion of the Commission, require that the employee be givenspecial training in order to qualify him or her for anotheroccupation, the employer liable for compensation shall pay for thevocational rehabilitation and training provided for in this act.


A. 1. Except as otherwise provided in this section, notice ofdisability resulting from an occupational disease or cumulativetrauma shall be the same as in cases of accidental injury.

2. Written notice shall be given to the employer of anoccupational disease or cumulative trauma by the employee, or arepresentative of the employee in the case of incapacity or death,

ENR. S. B. NO. l062 Page ll7

within six (6) months after the first distinct manifestation of thedisease or cumulative trauma or within six (6) months after death.

B. An award or denial of award of compensation for anoccupational disease or cumulative trauma may be reviewed andcompensation increased, reduced, or terminated where previouslyawarded, or awarded where previously denied, only on proof of fraudor undue influence or of change of condition, and then only onapplication by a party in interest made not later than one (1) yearafter the denial of award or, where compensation has been awarded,after the award or the date when the last paYment was made under theaward, except in cases of silicosis or asbestosis, where the statuteof limitations shall be two (2) years.


A. Unless an employee gives oral or written notice to theemployer within thirty (30) days of the date an injury occurs, therebuttable presumption shall be that the injury was not workrelated. Such presumption must be overcome by a preponderance ofthe evidence.

B. Unless an employee gives oral or written notice to theemployer within thirty (30) days of the employee's separation fromemploYment, there shall be a rebuttable presumption that anoccupational disease or cumulative trauma injury did not arise outof and in the course of emploYment. Such presumption must beovercome by a preponderance of the evidence.


A. Time for Filing.

1. A claim for benefits under this act, other than anoccupational disease, shall be barred unless it is filed with theCommission within one (1) year from the date of the injury. Ifduring the one-year period following the filing of the claim theemployee receives no weekly benefit compensation and receives no

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medical treatment resulting from the alleged injury, the claim shallbe barred thereafter. For purposes of this section, the date of theinjury shall be defined as the date an injury is caused by anaccident as set forth in paragraph 9 of Section 2 of this act.

2. a. A claim for compensation for disability on account ofinjury which is either an occupational disease oroccupational infection shall be barred unless filedwith the Commission within two (2) years from the dateof the last injurious exposure to the hazards of thedisease or infection.

b. A claim for compensation for disability on account ofsilicosis or asbestosis shall be filed with theCommission within one (1) year after the time ofdisablement, and the disablement shall occur withinthree (3) years from the date of the last injuriousexposure to the hazard of silicosis or asbestosis.

c. A claim for compensation for disability on account ofa disease condition caused by exposure to X-rays,radioactive substances, or ionizing radiation onlyshall be filed with the Commission within two (2)years from the date the condition is made known to anemployee following examination and diagnosis by amedical doctor.

3. A claim for compensation on account of death shall be barredunless filed with the Commission within two (2) years of the date ofsuch a death.

4. If within six (6) months after the filing of a claim forcompensation no bona fide request for a hearing has been made withrespect to the claim, the claim may, on motion and after hearing, bedismissed with prejudice.

B. Time for Filing Additional Compensation.

1. In cases in which any compensation, including disability ormedical, has been paid on account of injury, a claim for additionalcompensation shall be barred unless filed with the Commission withinone (1) year from the date of the last payment of disability

ENR. S. B. NO. 1062

compensation or two (2) years from the date of the injury, whicheveris greater.

2. The statute of limitations provided in this subsection shallnot apply to claims for the replacement of medicine, crutches,ambulatory devices, artificial limbs, eyeglasses, contact lenses,hearing aids, and other apparatus permanently or indefinitelyrequired as the result of a compensable injury, when the employer orcarrier previously furnished such medical supplies, but replacementof such items shall not constitute paYment of compensation so as totoll the statute of limitations.

C. A claim for additional compensation shall specifically statethat it is a claim for additional compensation. Documents which donot specifically request additional benefits shall not be considereda claim for additional compensation.

D. If within six (6) months after the filing of a claim foradditional compensation no bona fide request for a hearing has beenmade with respect to the claim, the claim shall be dismissed withoutprejudice to the refiling of the claim within the limitation periodspecified in subsection B of this section.

E. Failure to File. Failure to file a claim within the periodprescribed in subsection A or B of this section shall not be a barto the right to benefits hereunder unless objection to the failureis made at the first hearing on the claim in which all parties ininterest have been given a reasonable notice and opportunity to beheard by the Commission.

F. Persons under Disability.

1. Notwithstanding any statute of limitation provided for inthis act, when it is established that failure to file a claim by aninjured employee or his or her dependents was induced by fraud, theclaim may be filed within one (1) year from the time of thediscovery of the fraud.

2. Subsections A and B of this section shall not apply to amental incompetent or minor so long as the person has no guardian orsimilar legal representative. The limitations prescribed insubsections A and B of this section shall apply to the mental

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incompetent or minor from the date of the appointment of a guardianor similar legal representative for that person, and when noguardian or similar representative has been appointed, to a minor onreaching the age of majority.

G. A latent injury or condition shall not delay or toll thelimitation periods specified in this section. This subsection shallnot apply to the limitation period for occupational diseasesspecified in paragraph 2 of subsection A of this section.


The Commission is authorized and directed to promulgate rules toestablish and implement a preliminary conference procedure designedto accomplish the following objectives:

1. To provide the claimant an opportunity to confer with alegal advisor on the staff of the Commission to be advised of his orher rights under this act and to ensure that the rights areprotected. The conference shall be held in the county where theaccident occurred, if the accident occurred in this state, unlessotherwise agreed to by the parties, or otherwise directed by theCommission;

2. To provide an opportunity for, but not compel, a bindingsettlement of some or all the issues present at the time;

3. To facilitate the resolution of issues without the expenseof litigation or attorney fees for either party; and

4. To authorize the legal advisor to approve compromisesettlements entered into while attending or as a result of thepreliminary conference and those joint petition settlements enteredinto under Section 87 of this act. Provided, however, the samelegal advisors shall not both advise the claimant and approve thejoint petition.


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A. Notice. Within ten (10) days after a claim for compensationhas been filed, the Commission shall notify the employer and anyother interested person of the filing of the claim.

B. Investigation - Hearing.

1. The Commission shall assign the claim to an administrativelaw judge who shall hold a hearing on application of any interestedparty, or on its own motion.

2. An application for a hearing shall clearly set forth thespecific issues of fact or law in controversy and the contentions ofthe party applying for the hearing.

3. If any party is not represented by a lawyer, theadministrative law judge shall define the issues to be heard.

4. If a hearing on the claim is ordered, the administrative lawjudge shall give the claimant and other interested parties ten (10)days' notice of the hearing served personally on the claimant andother parties, or by registered mail. The hearing shall be held inTulsa or Oklahoma County, as determined by the Commission.

5. The award, together with the statement of the findings offact and other matters pertinent to the issues, shall be filed withthe record of the proceedings, and a copy of the award shallimmediately be sent to the parties in or to counsels of record, ifany.

C. Evidence and Construction.

1. a. At the hearing the claimant and the employer may eachpresent evidence relating to the claim. Evidence maybe presented by any person authorized in writing forsuch purpose. The evidence may include verifiedmedical reports which shall be accorded such weight asmay be warranted when considering all evidence in thecase.

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b. Any determination of the existence or extent ofphysical impairment shall be supported by objectiveand measurable physical or mental findings.

2. When deciding any issue, administrative law judges and theCommission shall determine, on the basis of the record as a whole,whether the party having the burden of proof on the issue hasestablished it by a preponderance of the evidence.

3. Administrative law judges, the Commission, and any reviewingcourts shall strictly construe the provisions of this act.

4. In determining whether a party has met the burden of proofon an issue, administrative law judges and the Commission shallweigh the evidence impartially and without giving the benefit of thedoubt to any party.

D. Judgment. The judgment denying the claim or making theaward shall be filed in the office of the Commission, and a copyshall be sent by registered mail to the claimant and to the employeror to their attorneys.

E. No compensation for disability of an injured employee shallbe payable for any period beyond his or her death; provided,however, an award of compensation for disability may be made afterthe death of the injured employee for the period of disabilitypreceding death.

SECTION 72. NEW LAW A new section of law to be codifiedIn the Oklahoma Statutes as Section 72 of Title 85A, unless there iscreated a duplication in numbering, reads as follows:

A. Conduct of Hearing or Inquiry.

1. In making an investigation or inquiry or conducting ahearing, the administrative law judges and the Commission shall notbe bound by technical or statutory rules of evidence or by technicalor formal rules of procedure, except as provided by this act. Theadministrative law judges and the Commission may make suchinvestigation or inquiry, or conduct the hearing, in a manner asshall best ascertain the rights of the parties.

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2. Declarations of a deceased employee concerning the injurymay be received in evidence and may, if corroborated by otherevidence, be sufficient to establish the injury.

3. When deciding any issue, administrative law judges and theCommission shall determine, on the basis of the record as a whole,whether the party having the burden of proof on the issue hasestablished the proof by a preponderance of evidence.

4. Administrative law judges are required to make specific, onthe-record findings of ultimate facts responsive to the issuesshaped by the evidence as well as conclusions of law on which itsjudgment is to be rested.

B. Hearings to be Public - Records.

1 . a. Hearings before the Commission shall be open to thepublic and shall be stenographically reported. TheCommission is authorized to contract for the reportingof the hearings.

b. The Commission shall, by rule, provide for thepreparation of a record of all hearings and otherproceedings before it.

2. The Commission shall not be required to stenographicallyreport or prepare a record of joint petition hearings. Theadministrative law judge or legal advisor shall record the hearingat no cost to the parties.

C. Introduction of Evidence.

1. All oral evidence or documentary evidence shall be presentedto the designated representative of the Commission at the initialhearing on a controverted claim. The oral evidence shall bestenographically reported. Each party shall present all evidence atthe initial hearing. Further hearings for the purpose ofintroducing additional evidence shall be granted only at thediscretion of the hearing officer or Commission. A request for ahearing for the introduction of additional evidence shall show thesubstance of the evidence desired to be presented.

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2. a. Any party proposing to introduce medical reports ortestimony of physicians at the hearing of acontroverted claim shall, as a condition precedent tothe right to do so, furnish to the opposing party andto the Commission copies of the written reports of thephysicians of their findings and opinions at leastseven (7) days before the date of the hearing. If nowritten reports are available to a party, the partyshall notify in writing the opposing party and theCommission of the name and address of the physiciansproposed to be used as witnesses and the substance oftheir testimony at least seven (7) days before thehearing.

b. If the opposing party desires to cross-examine thephysician, he or she should notify the party whosubmits a medical report to him or her as soon aspracticable, in order that he or she may make everyeffort to have the physician present for the hearing.

3. A party failing to observe the requirements of thissubsection may not be allowed to introduce medical reports ortestimony of physicians at a hearing, except in the discretion ofthe hearing officer or the Commission.

4. The time periods may be waived by the consent of theparties.

D. Expert testimony shall not be allowed unless it satisfiesthe requirements of Federal Rule of Evidence 702 with annotationsand amendments.


A. The Commission shall have the power to preserve and enforceorder during any proceeding before it, to issue subpoenas for andadminister oaths to and compel the attendance and testimony ofwitnesses, and require the production of books, papers, documents,and other evidence.

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B. If any person or party attending any proceeding before theCommission disobeys or resists any lawful order or process,obstructs the hearing, neglects to produce any book, paper ordocument after having been ordered to do so, refuses to appear afterhaving been subpoenaed, refuses to take oath as a witness, refusesto be examined according to law, refuses to comply with any finaljudgment of an administrative law judge or the Commission orwillfully refuses to pay an uncontroverted medical or relatedexpense within forty-five (45) days after the respondent hasreceived the statement, the person or party, at the discretion ofthe administrative law judge or the Commission, may be found to bein contempt of the Commission and may be subject to a fine not toexceed Ten Thousand Dollars ($10,000.00).


In any proceeding for the enforcement of a claim forcompensation, there shall be a rebuttable presumption that:

1. The Commission has jurisdiction;

2. Sufficient notice was given; and

3. The injury was not occasioned by the willful intention ofthe injured employee to bring about the injury to himself or herselfor another.


The Commission may cause depositions of witnesses to be taken insuch manner as it may direct.


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Each witness who appears in obedience to a subpoena shall beentitled to the same fees as witnesses in a civil action in thedistrict court.


If the Commission is a party to or is otherwise interested in acourt proceeding under this act, it may employ attorneys to appearon its behalf. If requested by the Commission, it shall be the dutyof the Attorney General or the prosecuting attorneys of thedifferent districts to represent the Commission without extracompensation.


A. Any party feeling aggrieved by the judgment, decision, oraward made by the administrative law judge may, within ten (10) daysof issuance, appeal to the Workers' Compensation Commission. Afterhearing arguments, the Commission may reverse or modify the decisiononly if it determines that the decision was against the clear weightof the evidence or contrary to law. All such proceedings of theCommission shall be recorded by a court reporter, if requested byany party. Any judgment of the Commission which reverses a decisionof the administrative law judge shall contain specific findingsrelating to the reversal.

B. The appellant shall pay a filing fee of One Hundred Seventyfive Dollars ($175.00) to the Commission at the time of filing hisor her appeal. The fee shall be deposited in the Workers'Compensation Fund.

C. The judgment, decision or award of the Commission shall befinal and conclusive on all questions within its jurisdictionbetween the parties unless an action is commenced in the SupremeCourt of this state to review the judgment, decision or award withintwenty (20) days of being sent to the parties. Any judgment,decision or award made by an administrative law judge shall bestayed until all appeal rights have been waived or exhausted. The

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Supreme Court may modify, reverse, remand for rehearing, or setaside the judgment or award only if it was:

1. In violation of constitutional provisions;

2. In excess of the statutory authority or jurisdiction of theCommission;

3. Made on unlawful procedure;

4. Affected by other error of law;

5. Clearly erroneous in view of the reliable, material,probative and substantial competent evidence;

6. Arbitrary or capricious;

7. Procured by fraud; or

8. Missing findings of fact on issues essential to thedecision.

This action shall be commenced by filing with the Clerk of theSupreme Court a certified copy of the judgment, decision or award ofthe Commission attached to the petition by the complaint which shallspecify why the judgment, decision or award is erroneous or illegal.The proceedings shall be heard in a summary manner and shall haveprecedence over all other civil cases in the Supreme Court, exceptpreferred Corporation Commission appeals. The Supreme Court shallrequire the appealing party to file within forty-five (45) days fromthe date of the filing of an appeal or a judgment appealed from, atranscript of the record of the proceedings before the Commission,or such later time as may be granted by the Supreme Court onapplication and for good cause shown. The action shall be subjectto the law and practice applicable to other civil actions cognizablein the Supreme Court.

D. A fee of One Hundred Dollars ($100.00) per appeal to theSupreme Court shall be paid to the Commission and deposited in theWorkers ' Compensation Fund as costs for preparing, assembling,indexing and transmitting the record for appellate review. This feeshall be paid by the party taking the appeal. If more than one

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party to the action files an appeal from the same judgment, decisionor award, the fee shall be paid by the party whose petition in errorcommences the principal appeal.


If any employer fails to comply with a final compensationjudgment or award, any beneficiary of the judgment or award, or theCommission, may file a certified copy of the judgment or award inthe office of the district court clerk of any county in this statewhere any property of the employer may be found. At that time, thedistrict court clerk shall enter the judgment or award in thejudgment record of the county, and the judgment or award so recordedshall be a judgment and lien as are judgments of the district court,and enforceable as such.


A. Except where a joint petition settlement has been approved,the Commission may review any compensation judgment, award, ordecision. Such review may be done at any time within six (6) monthsof termination of the compensation period fixed in the originalcompensation judgment or award, on the Commission's own motion or onthe application of any party in interest, on the ground of a changein physical condition or on proof of erroneous wage rate. Onreview, the Commission may make a judgment or award terminating,continuing, decreasing, or increasing for the future thecompensation previously awarded, subject to the maximum limitsprovided for in this act.

B. The review and subsequent judgment or award shall be made inaccordance with the procedure prescribed in Sections 69 through 78of this act. No review shall affect any compensation paid under aprior order, judgment or award.

C. The Commission may correct any clerical error in anycompensation judgment or award within one (1) year from the date ofits issuance.

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D. Aging and the effects of aging on a compensable injury arenot to be considered in determining whether there has been a changein physical condition. Aging or the effect of aging on acompensable injury shall not be considered in determining permanentdisability under this section or any other section in this act.


If the court having jurisdiction over the claim or compensationjudgment proceedings determines that the proceedings have beencommenced or continued without reasonable grounds, the cost of theproceedings shall be assessed against the party who has commenced orcontinued the proceedings.


A. 1. a. Fees for legal services rendered in a claim shall notbe valid unless approved by the Commission.

b. An attorney representing an injured employee may onlyrecover attorney fees up to ten percent (10%) of anytemporary total disability or temporary partialdisability compensation and twenty percent (20%) ofany permanent partial disability, permanent totaldisability, or death compensation awarded to aninjured employee by the Commission from a controvertedclaim. If the employer makes a written offer tosettle permanent partial disability, permanent totaldisability, or death compensation and that offer isrejected, the employee's attorney may not recoverattorney fees in excess of thirty percent (30%) of thedifference between the amount of any award and thesettlement offer.

(1) Attorney fees may not be collected for recoveryon noncontroverted claims.

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(2) Attorney fees shall not be awarded on medicalbenefits or services.

(3) The fee for legal services rendered by anattorney representing an employee in connectionwith a change of physician requested by theinjured employee, controverted by the employer,and awarded by the Commission, shall be TwoHundred Dollars ($200.00).

(4) Attorney fees may include not more than tenpercent (10%) of the value, or reasonableestimate thereof, of vocational rehabilitationservices.

c. A "controverted claim" means that there has been acontested hearing before the Commission over whetherthere has been a compensable injury or whether theemployee is entitled to temporary total disability,temporary partial disability, permanent partialdisability, permanent total disability, or deathcompensation. A request for a change in physicianshall not trigger a controverted claim for purposes ofrecovering any attorney fees except the fees underdivision 3 of subparagraph b of this paragraph. Acontroverted claim shall not exist if the employee orhis or her representative has withheld pertinentinformation in his or her possession related to theclaim from the employer or has violated the provisionsof Section 6 of this act.

2. Any person who or entity that brings a controverted claimagainst the State Treasurer, as a custodian of the Multiple InjuryTrust Fund, shall provide notice of the claim to the Commission.Thereafter, the Commission shall direct fees for legal services bepaid from the Fund, in addition to any compensation award. The feesshall be authorized only on the difference between the amount ofcompensation controverted and the amount awarded from the Fund.

3. In any case where attorney fees are allowed by theCommission, the limitations expressed in subparagraph b of paragraph1 of this subsection shall apply.

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4. Medical providers may voluntarily contract with the attorneyfor the employee to recover disputed charges, and the provider maycharge a reasonable fee for the cost of collection.

B. An attorney representing an employee under this act may notrecover fees for services except as expressly provided in thissection.


A. 1. Every claim, request for benefits, controversion ofbenefits, request for a hearing, pleading, motion, and other paperof a party represented by an attorney shall be signed by at leastone attorney of record in his or her individual name, whose addressshall be stated. A party who is not represented by an attorneyshall sign his or her claim, request for benefits, request foradditional benefits, controversion of benefits, request for ahearing, pleading, motion, or other paper, and state his or heraddress.

2. The signature of an attorney or party constitutes acertificate by him or her that:

a. he or she has read the claim, request for benefits,request for additional benefits, controversion ofbenefits, request for a hearing, pleading, motion, orother paper,

b. to the best of his or her knowledge, information, andbelief formed after reasonable inquiry, it is wellgrounded in fact and is warranted by existing law or agood-faith argument for the extension, modification,or reversal of existing law, and

c. it is not brought for any improper purpose, such as toharass or to cause unnecessary delay or needlessincrease in the cost of litigation.

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3. If a claim, request for benefits, request for additionalbenefits, controversion of benefits, request for a hearing,pleading, motion, or other paper is not signed, it shall be strickenunless it is signed promptly after the omission is called to theattention of the pleader or movant.

4. If a claim, request for benefits, controversion of benefits,request for a hearing, pleading, motion, or other paper is signed inviolation of this act, the Commission, including administrative lawjudges, on motion or on their own initiative, shall impose on thesignatory, a represented party, or both, an appropriate sanction,which may include a judgment to pay to the other party or partiesthe amount of reasonable expenses incurred because of the filing ofa claim, request for benefits, request for additional benefits,controversion of benefits, request for a hearing, pleading, motion,or other paper, including a reasonable attorney fee.

B. Appropriate sanctions, including the amount of reasonableexpenses and attorney fees, may also be imposed against a party orits attorney who, without good cause shown, fails to appear for ahearing, deposition, or any other matter scheduled by the Commissionor administrative law judge, or who frivolously joins another party.


A. Compensation shall be paid by check, by electronic fundstransfer, issuance of debit cards, or by state warrant. PaYmentshall be made payable to the order of the person entitled to thecompensation and paid directly to the person entitled to thecompensation.

B. If the compensation beneficiary is a mental incompetent or aminor of tender years or immature judgment, the Commission, in theexercise of its discretion, may direct that paYment shall be made toa legally appointed guardian of the estate of the incompetent orminor.


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Clean claims for services rendered under this act are payablewithin thirty (30) days after receipt by the employer unlessdisputed as to compensability or amount. "Clean claim" means aclaim that has no defect or impropriety, including a lack of anyrequired substantiating documentation, or particular circumstancerequiring special treatment that impedes prompt payment.


A. 1. Each employer desiring to controvert an employee's rightto compensation shall file with the Commission on or before thefifteenth day following notice of the alleged injury or death astatement on a form prescribed by the Commission that the right tocompensation is controverted and the grounds for the controversion,the names of the claimant, employer, and carrier, if any, and thedate and place of the alleged injury or death.

2. Failure to file the statement of controversion shall notpreclude the employer's ability to controvert the claim or cause itto waive any defenses. The employer can make additional defensesnot included in the initial notice at any time.

B. If an employer is unable to obtain sufficient medicalinformation as to the alleged injury or death within fifteen (15)days following receipt of notice, although the employer has acted ingood faith and with all due diligence, the employer may apply inwriting for an extension of time for making payment of the firstinstallment or controverting the claim. This written application isto be postmarked within the fifteen-day period. The Commission may,in its discretion, grant the extension and fix the additional timeto be allowed. Filing of application for an extension shall not bedeemed to be a controversion of the claim.

C. The provisions in subsection B of this section shall notapply in cases where the physician is an employee of, on retainerwith, or has a written contract to provide medical services for theemployer.

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If the employer or carrier and the injured employee desire tosettle the claim, they shall file a joint petition for settlementwith the Commission. After the joint petition has been filed, theCommission shall order that all claims between the parties have beensettled. No appeal shall lie from a judgment or award denying ajoint petition.


A. In any case where an employer changes insurance carriers orwhere the employer having been self-insured, becomes insured or,having been insured, is approved to be self-insured, and the onlydispute in a claim against that employer is the proper source ofpayment of benefits, the Commission shall direct that theappropriate compensation benefits be paid on an equal basis by thecarriers or self-insured employer.

B. Upon resolution of the issue, the prevailing respondentshall be entitled to reimbursement from the other respondent of allmonies paid together with interest from the date of payment pursuantto Section 727.1 of Title 12 of the Oklahoma Statutes.


If the employer has made advance payments for compensation, theemployer shall be entitled to be reimbursed out of any unpaidinstallment or installments of compensation due. If the injuredemployee receives full wages during disability, he or she shall notbe entitled to compensation during the period. Any wages paid bythe employer, over the statutory temporary disability maximum, shallbe deducted from the permanent partial disability award. Suchdeduction shall be made after any such applicable attorney fee andany such assessment made pursuant to Sections 45 and 46 of this acthave been paid.



The Workers' Compensation Commission may require any employer tomake a deposit or bond with the Commission to secure the prompt andconvenient payment of compensation, and payments shall be made onjudgment of the Commission.


Compensation shall bear interest pursuant to Section 727.1 ofTitle 12 of the Oklahoma Statutes from the day an award is made byeither an administrative law judge or the full Workers' CompensationCommission on all accrued and unpaid compensation.


A. On making the first payment and on suspension of payment ofcompensation, if required by the Workers' Compensation Commission,the employer shall notify the Commission of that fact on a formprescribed by the Commission.

B. 1. Within thirty (30) days after the final payment ofcompensation has been made, the employer shall notify the Commissionwith a form prescribed by the Commission. This form shall statethat the final payment has been made, the total amount ofcompensation paid, the name of the employee and of any other personto whom compensation has been paid, and the date of the injury ordeath.

2. If the employer fails to notify the Commission within thirty(30) days, the Commission may assess against the employer a civilpenalty in an amount not to exceed One Hundred Dollars ($100.00).No penalty shall be assessed without notice to the employer andgiving the employer an opportunity to be heard by the Commission.

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On its own initiative at any time that compensation paYments arebeing made without an award, the Workers' Compensation Commissionmay, and in any case if the right to compensation has beencontroverted, if payments of compensation have been suspended, or ifan employer seeks to suspend paYments made under an award, or onapplication of an interested party, the Commission shall make suchinvestigation, cause such medical examination to be made, hold suchhearings, and take such further action as the Commission deemsproper for the protection of the rights of all parties.


An employee who is incarcerated shall not be eligible to receivemedical or disability benefits under this act.


A. On approval by the Insurance Commissioner, and following theadoption of such rules as the Insurance Commissioner deemsnecessary, each insurer issuing a policy under this act shall offer,as a part of the policy or as an optional endorsement to the policy,deductibles optional to the policyholder for benefits payable underthis act. Deductible amounts offered shall be fully disclosed tothe prospective policyholder in writing. The policyholderexercising the deductible option shall choose only one deductibleamount.

B. Optional deductibles shall be offered in each policyinsuring liability for workers' compensation that is issued,delivered, issued for delivery, or renewed under this act on orafter approval by the Insurance Commissioner, unless an insuredemployer and insurer agree to renegotiate a workers' compensationpolicy in effect on that date so as to include a provision allowingfor a deductible.

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C. If the policyholder exercises the option and chooses adeductible, the insured employer shall be liable for the amount ofthe deductible for benefits paid for each compensable claim of workinjury suffered by an employee. The insurer shall pay all or partof the deductible amount, whichever is applicable to a compensableclaim, to the person or medical provider entitled to the benefitsconferred by this act and seek reimbursement from the insuredemployer for the applicable deductible amount. The payment ornonpayment of deductible amounts by the insured employer to theinsurer shall be treated under the policy insuring the liability forworkers' compensation in the same manner as payment or nonpayment ofpremiums.

D. If the Insurance Commissioner determines it to be feasible,and under such rules as he or she may adopt, premium reduction fordeductibles may be determined before the application of anyexperience modification, premium surcharge, or premium discounts,and, to the extent that an employer's experience rating or safetyrecord is based on benefits paid, money paid by the insured employerunder a deductible as provided in this section may not be includedas benefits paid so as to harm the experience rating of theemployer.

E. This section shall not apply to employers who are approvedto self-insure against liability for workers' compensation or groupself-insurance funds for workers' compensation.


A. The Self-insurance Guaranty Fund shall be administered,supervised and protected by the Self-insurance Guaranty Fund Board.All self-insurers under this act shall participate in the fund as acondition of authority to self-insure in this state.

B. 1. The Self-insurance Guaranty Fund Board shall consist ofthe commissioners and two additional members to be appointed by theGovernor.

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2. The term of office for the two Governor appointees shall bethree (3) years, with the term of the initial appointees expiring onNovember I, 2014.

3. The chair and vice-chair of the Board shall be elected bythe Board from among its members.

4. Members of the Board shall not receive compensation forserving on the Board but shall be reimbursed from monies in the fundfor their necessary travel expenses incurred in the performance oftheir duties in accordance with the State Travel Reimbursement Act.

C. Meetings of the Board shall be held at least quarterly. Thepresence of a majority of the members constitutes a quorum. Noaction shall be taken by the Board without the affirmative vote ofat least a majority of the members.

D. The Office of the Attorney General shall provide legalcounsel to assist the Board in the performance of its duties.

E. No member or personnel of the Self-insurance Guaranty FundBoard, the Workers' Compensation commissioners or any employee ofthe Workers' Compensation Commission shall be liable in a civilproceeding for any act performed in good faith in the execution ofthat person's powers or duties pursuant to Sections 97 through 101of the Administrative Workers' Compensation Act.


The Self-insurance Guaranty Fund shall be for the purpose ofcontinuation of workers' compensation benefits due and unpaid orinterrupted due to the inability of a self-insurer to meet itscompensation obligations because its financial resources, securitydeposit, guaranty agreements, surety agreements and excess insuranceare either inadequate or not immediately accessible for the paymentof benefits. Monies in the fund, including interest, are notsubject to appropriation and shall be expended to compensateemployees for eligible benefits for a compensable injury under thisact, pay outstanding workers' compensation obligations of theimpaired self-insurer, and for all claims for related administrative

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fees, operating costs of the Self-insurance Guaranty Fund Board,attorney fees, and other costs reasonably incurred by the Board inthe performance of its duties. Expenditures from the fund shall bemade on warrants issued by the State Treasurer against claims asprescribed by law. The fund shall be subject to audit in the samemanner as state funds and accounts, the cost for which shall be paidfor from the fund. The Self-insurance Guaranty Fund Board shall beresponsible for all liabilities and obligations of the entities thatceased existence.


The Self-insurance Guaranty Fund shall be derived from thefollowing sources:

1. Any unexpended funds, including interest thereon, held bythe State Treasurer in the Individual Self-Insured Guaranty Fund orGroup Self-Insurance Association Guaranty Fund transferred to theSelf-insurance Guaranty Fundi

2. Until the Self-insurance Guaranty Fund contains Two MillionDollars ($2,000,000.00) or in the event the amount in the fund fallsbelow One Million Dollars ($1,000,000.00), an assessment againsteach private self-insurer and group self-insurance association basedon an assessment rate to be determined by the commissioners, notexceeding one percent (1%) of actual paid losses of the self-insurerduring the preceding calendar year, payable to the Tax Commissionfor deposit to the fund. The assessment against private selfinsurers shall be determined using a rate equal to the proportionthat the deficiency in the fund attributable to private selfinsurers bears to the actual paid losses of all private selfinsurers for the year period of January 1 through December 31preceding the assessment. The assessment against group selfinsurance associations shall be determined using a rate equal to theproportion that the deficiency in excess of the surplus of the GroupSelf-Insurance Association Guaranty Fund at the date of the transferattributable to group self-insurance associations bears to theactual paid losses of all group self-insurance associationscumulatively for any calendar year preceding the assessment. Eachself-insurer shall provide the Workers' Compensation Commission with

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such information as the Commission may determine is necessary toeffectuate the purposes of this paragraph. For purposes of thisparagraph, "actual paid losses" means all medical and indemnitypayments, including temporary disability, permanent disability, anddeath benefits, and excluding loss adjustment expenses and reserves.

a. The assessment shall be paid within thirty (30)calendar days after the date the commissioners notifythe self-insurer of the assessment.

b. A private employer or group self-insurance associationwhich ceases to be a self-insurer shall remain liablefor any and all assessments of the self-insurer asprovided in this paragraph based on actual paid lossesfor the calendar year period preceding the assessment.

c. Failure of a self-insurer to pay, or timely pay, anassessment required by this paragraph, or to reportpayment of the same to the Commission within ten (10)days of payment, shall be grounds for revocation bythe Commission of the self-insurer's permit to selfinsure in this state, after notice and hearing. Aformer self-insurer failing to make payments requiredby this paragraph promptly and correctly, or failingto report payment of the same to the Commission withinten (10) days of payment, shall be subject toadministrative penalties as allowed by law, includingbut not limited to, a fine in the amount of FiveHundred Dollars ($500.00) or an amount equal to onepercent (1%) of the unpaid amount, whichever isgreater, to be paid and deposited to the credit of theWorkers I Compensation Fund created in Section 28 ofthis act. It shall be the duty of the Tax Commissionto collect the assessment provided for in thisparagraph. The Tax Commission is authorized to bringan action for recovery of any delinquent or unpaidassessments.

d. An impaired self-insurer shall be exempt fromassessments beginning on the date of the Commission'sdesignation until the Commission determines the selfinsurer is no longer impaired.

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e. The Tax Commission shall determine the fund balance asof March 1 and September 1 of each year, and whenotherwise requested by the Workers' CompensationCommission, and shall advise the Workers' CompensationCommission in writing within thirty (30) days of eachsuch determination; and

3. Any interest accruing on monies paid into the fund.


On determination by the Commission that a self-insurer hasbecome an impaired self-insurer, the Commission shall secure releaseof the security required by Section 38 of this act and advise theSelf-insurance Guaranty Fund Board of the impairment. Claimsadministration, including processing, investigating and paying validclaims against an impaired self-insurer under this act, may includepayment by the surety that issued the surety bond or be under acontract between the Commission and an insurance carrier,appropriate state governmental entity or an approved serviceorganization, as approved by the Commission.

SECTION 100. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section 100 of Title 85A, unless thereis created a duplication in numbering, reads as follows:

A. The Self-insurance Guaranty Fund Board shall be a party ininterest in all proceedings involving compensation claims against animpaired self-insurer whose compensation claims have been paid orassumed by the Commission and shall have all rights of subrogationof the impaired self-insurer. In such proceedings, the Board mayassume and exercise all rights and defenses of the impaired selfinsurer, including, but not limited to, the right to:

1. Appear, defend and appeal claims;

2. Receive notice of, investigate, adjust, compromise, settleand pay claims; and

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3. Investigate, handle and contest claims.

B. The Board may:

1. Retain such persons as are necessary to handle claims andperform other duties of the Board;

2. Sue or be sued;

3. Negotiate and become a party to such contracts as arenecessary to carry out the purposes of this act; and

4. Exercise any other powers necessary to perform its dutiesunder this act as prescribed by the Commission.


A. On or before the first day of July each year, the Commissionshall prepare, make public and submit a report for the priorcalendar year to the Governor, the President Pro Tempore of theSenate, the Speaker of the House of Representatives, and each memberof the Legislature, containing a statement of the number of awardsmade and the causes of the accidents leading to the injuries forwhich the awards were made, total work load data of theadministrative law judges, including a detailed report of the workload and judgments written by each judge, a detailed statement ofthe expenses of the Commission, together with any other matter whichthe Commission deems proper to report.

B. After public hearing and consultation with representativesof employers, insurance carriers, and employees, the Commissionshall implement, with the assistance of the Insurance Commissioner,by July 1, 2014, an electronic data interchange (EDI) system thatprovides relevant data concerning the Oklahoma workers' compensationsystem and the delivery of benefits to injured workers.

C. To assist the Commission in developing and implementing theEDI system, there is hereby created the Oklahoma Workers'Compensation Electronic Data Interchange Advisory Committee. Withinthirty (30) days of the effective date of this act, the Governor

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shall appoint five persons to serve as members of the advisorycommittee, one of whom shall be selected by the Governor as chair.The chair shall provide adequate notice of meetings of the advisorycommittee and public hearings as required by law.


A. The Workers' Compensation Commission shall adopt rulespermitting two or more employers, not otherwise subject to theprovisions of Section 150 of this act, to pool together liabilitiesunder this act for the purpose of qualifying as a group self-insurerand each such employer shall be classified as a self-insurer.

B. The Commission shall approve the distribution of allundistributed policyholders' surplus of a Workers I CompensationSelf-Insurance Program if the Program complies with the followingcriteria:

1. Has been in business for at least five (5) years;

2. Has its financial statements audited by a public accountingfirm which audits at least one corporate client which has assets inexcess of One Billion Dollars ($1,000,000,000.00) and on which theaccounting firm has issued an unqualified opinion as to the fairpresentation of the financial position of the Program showingadequate solvency and reserves; and

3. Is in compliance with the provisions of this act and allother regulations as required by the Commission.

C. A group self-insurer created pursuant to this section eitherprior to or after the effective date of this act shall not besubject to the provisions of the Oklahoma Securities Act.


The Workers I Compensation Commission shall adopt rulespermitting two or more group self-insurance associations to pool

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their liabilities under this act for the purpose of providing suchgroup self-insurance associations specific and aggregate excessinsurance.


No member or personnel of the Workers' Compensation Commission,the Self-insurance Guaranty Fund Board, or administrative law judgeshall be liable in a civil proceeding for any act performed in goodfaith in the performance of that person's powers or duties underthis act.


A. No employee of the Workers' Compensation Commission shall becompetent to testify on any matter concerning any information theemployee has received through the performance of the employee'sduties under the provisions of this act.

B. The commissioners and employees of the Commission shall notsolicit employment for any attorney or physician nor shall theyrecommend or refer any claimant or employer to an attorney orphysician. If any employee of the Commission makes such asolicitation, recommendation or reference, that person, uponconviction, shall be guilty of a misdemeanor punishable, for eachoffense, by a fine of not more than One Thousand Dollars ($1,000.00)or by imprisonment in the county jail not to exceed one (1) year, orby both such fine and imprisonment. The Commission shallimmediately terminate the employment of any employee who is guiltyof such solicitation, recommendation or reference. A commissionerguilty of such solicitation, recommendation or reference shall besubject to removal from office.

C. No administrative law judge shall engage in any ex partecommunication with any party to an action pending before theCommission or with any witness or medical provider regarding themerits of a specific matter pending before the judge for resolution.Any violation of this provision shall subject the judge to

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disqualification from the action or matter upon presentation of anapplication for disqualification.

SECTION 106. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section 106 of Title 8SA, unless thereis created a duplication in numbering, reads as follows:

The provisions of the Administrative Workers' Compensation Actshall be strictly construed by the Workers' Compensation Commissionand any appellate court reviewing a decision of the Workers'Compensation Commission.


Sections 107 through 120 of this act shall be known and may becited as the "Oklahoma Employee Injury Benefit Act".


A. As used in the Oklahoma Employee Injury Benefit Act:

1. "Benefit plan" means a plan established by a qualifiedemployer under the requirements of Section 110 of this act;

2. "Commission" means the Workers' Compensation Commissionunder the Administrative Workers' Compensation Act;

3. "Commissioner" means the Insurance Commissioner of the Stateof Oklahoma;

4. "Covered employee" means an employee whose employment with aqualified employer is principally located within the state;

S. "Employee" means any person defined as an employee pursuantto Section 2 of this act;

6. "Employer", except when otherwise expressly stated, means aperson, partnership, association, limited liability company,

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corporation, and the legal representatives of a deceased employer,or the receiver or trustee of a person, partnership, association,corporation, or limited liability company, department,instrumentality or institution of this state and divisions thereof,counties and divisions thereof and other political subdivisions ofthis state and public trusts employing a person included within theterm employee as defined in this section;

7. "Occupational injury" means an injury, including death, oroccupational illness, causing internal or external harm to the body,which arises out of and in the course of employment;

8. "Qualified employer" means an employer otherwise subject tothe Administrative Workers' Compensation Act that voluntarily electsto be exempt from such act by satisfying the requirements under thisact; and

9. "Surviving spouse" means the employee's spouse by reason ofa legal marriage recognized by the State of Oklahoma or under therequirements of a common law marriage in this state.

B. Unless otherwise defined in this section, defined terms inthe Administrative Workers' Compensation Act shall have the samemeaning in this act.


A. Any employer may voluntarily elect to be exempt from theAdministrative Workers' Compensation Act and become a qualifiedemployer if the employer:

1. Is in compliance with the notice requirements in subsectionsBand H of this section; and

2. Has established a written benefit plan as described inSection 110 of this act.

B. An employer that has elected to become a qualified employerby satisfying the requirements of this section shall notify theInsurance Commissioner in writing of the election and the date that

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the election is to become effective, which may not be sooner thanthe date that the qualified employer satisfies the employee noticerequirements in this section. Such qualified employer shall pay tothe Commissioner an annual nonrefundable fee of One Thousand FiveHundred Dollars ($1,500.00) on the date of filing written notice andevery year thereafter.

C. The Commissioner shall collect and maintain the informationrequired under this section and shall monitor compliance with therequirements of this section. The Commissioner may also require anemployer to confirm its qualified-employer status. Subject tosubsection D of this section, the Commissioner shall adopt rulesdesignating the methods and procedures for confirming whether anemployer is a qualified employer, notifying an employer of anyqualifying deficiencies, and the consequences thereof. TheCommissioner shall record the date and time each notice ofqualified-employer status is received and the effective date ofqualified-employer election. The Commissioner shall maintain a liston its official website accessible by the public of all qualifiedemployers and the date and time such exemption became effective.

D. Except as otherwise expressly provided in this act, neitherthe Workers' Compensation Commission, the courts of this state, orany state administrative agencies shall promulgate rules or anyprocedures related to design, documentation, implementation,administration or funding of a qualified employer's benefit plan.

E. The Commissioner may designate an information collectionagent, implement an electronic reporting and public informationaccess program, and adopt rules as necessary to implement theinformation collection requirements of this section.

F. The Commissioner may prescribe rules and forms to be usedfor the qualified-employer notification and shall require thequalified employer to provide its name, address, contact person andphone number, federal tax identification number, number of personsemployed in this state as of a specified date, claim administrationcontact information, and a listing of all covered business locationsin the state. The Commissioner shall notify the Commissioner ofLabor of all qualified-employer notifications. The Department ofLabor shall provide such notifications to other governmentalagencies as it deems necessary.

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G. The Commissioner may contract with the Oklahoma EmploYmentSecurity Commission, the State Treasurer or the Department of Laborfor assistance in collecting the notification required under thissection or otherwise fulfilling the Commissioner's responsibilitiesunder this act. Such agencies shall cooperate with the Commissionerin enforcing the provisions of this section.

H. A qualified employer shall notify each of its employees inthe manner provided in this section that it is a qualified employer,that it does not carry workers' compensation insurance coverage andthat such coverage has terminated or been cancelled.

I. The qualified employer shall provide written notification toemployees as required by this section at the time the employee ishired or at the time of designation as a qualified employer. Thequalified employer shall post the employee notification required bythis section at conspicuous locations at the qualified employer'splaces of business as necessary to provide reasonable notice to allemployees. The Commissioner may adopt rules relating to the form,content, and method of delivery of the employee notificationrequired by this section.


A. An employer voluntarily electing to become a qualifiedemployer shall adopt a written benefit plan that complies with therequirements of this section. Qualified-employer status is optionalfor eligible employers. The benefit plan shall not become effectiveuntil the date that the qualified employer first satisfies thenotice requirements in Section 109 of this act.

B. The benefit plan shall provide for paYment of the same formsof benefits included in the Administrative Workers' Compensation Actfor temporary total disability, temporary partial disability,permanent partial disability, vocational rehabilitation, permanenttotal disability, disfigurement, amputation or permanent total lossof use of a scheduled member, death and medical benefits as a resultof an occupational injury, on a no-fault basis, with the samestatute of limitations, and with dollar, percentage, and duration

ENR. S. B. NO. 1062

limits that are at least equal to or greater than the dollar,percentage, and duration limits contained in Sections 45, 46 and 47of this act. For this purpose, the standards for determination ofaverage weekly wage, death beneficiaries, and disability under theAdministrative Workers' Compensation Act shall apply under theOklahoma Employee Injury Benefit Act; but no other provision of theAdministrative Workers' Compensation Act defining covered injuries,medical management, dispute resolution or other process, funding,notices or penalties shall apply or otherwise be controlling underthe Oklahoma Employee Injury Benefit Act, unless expresslyincorporated.

C. The benefit plan may provide for lump-sum payouts that are,as reasonably determined by the administrator of such plan appointedby the qualified employer, actuarially equivalent to expected futurepayments. The benefit plan may also provide for settlementagreements; provided, however, any settlement agreement by a coveredemployee shall be voluntary, entered into not earlier than the tenthbusiness day after the date of the initial report of injury, andsigned after the covered employee has received a medical evaluationfrom a nonemergency care doctor, with any waiver of rights beingconspicuous and on the face of the agreement. The benefit planshall pay benefits without regard to whether the covered employee,the qualified employer, or a third party caused the occupationalinjury; and provided further, that the benefit plan shall provideeligibility to participate in and provide the same forms and levelsof benefits to all Oklahoma employees of the qualified employer.The Administrative Workers' Compensation Act shall not define,restrict, expand or otherwise apply to a benefit plan.

D. No fee or cost to an employee shall apply to a qualifiedemployer's benefit plan.

E. The qualified employer shall provide to the Commissioner andcovered employees notice of the name, title, address, and telephonenumber for the person to contact for injury benefit claimsadministration, whether in-house at the qualified employer or athird-party administrator.


ENR. S. B. NO. 1062

A. A qualified employer may self-fund or insure benefitspayable under the benefit plan, employers' liability under this act,and any other insurable risk related to its status as a qualifiedemployer with any insurance carrier authorized to do business inthis state.

B. Insurance coverage or surety bond obtained by a qualifiedemployer shall be from an admitted or surplus lines insurer with anAM Best Rating of B+ or better. The Insurance Department has noduty to approve insurance rates charged for this coverage. Aqualified employer shall secure compensation to covered employees inone of the following ways:

1. Obtaining accidental insurance coverage in an amount equalto the compensation obligation;

2. Furnishing satisfactory proof to the Commissioner of theemployer's financial ability to pay the compensation. TheCommissioner, under rules adopted by the Insurance Department or theCommissioner for an individual self-insured employer, shall requirean employer that has:

a. less than one hundred employees or less than OneMillion Dollars ($1,000,000.00) in net assets to:

(1) deposit with the Commissioner securities, anirrevocable letter of credit or a surety bondpayable to the state, in an amount determined bythe Commissioner which shall be at least anaverage of the yearly claims for the last three(3) years, or

(2) provide proof of excess coverage with such termsand conditions as is commensurate with theirability to pay the benefits required by theprovisions of this act,

b. one hundred or more employees and One Million Dollars($1,000,000.00) or more in net assets to:

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(1) secure a surety bond payable to the state, or anirrevocable letter of credit, in an amountdetermined by the Commissioner which shall be atleast an average of the yearly claims for thelast three (3) years, or

(2) provide proof of excess coverage with such termsand conditions as is commensurate with theirability to pay the benefits required by theprovisions of this act; or

3. Any other security as may be approved by the Commissioner.

C. The Commissioner may waive the requirements of this sectionin an amount which is commensurate with the ability of the employerto pay the benefits required by the provisions of this act.Irrevocable letters of credit required by this section shall containsuch terms as may be prescribed by the Commissioner and shall beissued for the benefit of the state by a financial institution whosedeposits are insured by the Federal Deposit Insurance Corporation.

D. An employer who does not fulfill the requirements of thissection is not relieved of the obligation for compensation to acovered employee. The security required under this section,including any interest thereon, shall be maintained by theCommissioner as provided in this act until each claim for benefitsis paid, settled, or lapses under this act, and costs ofadministration of such claims are paid.

E. Any bond shall be filed and held by the Commissioner andshall be for the exclusive benefit of any covered employee of aqualified employer.

F. Any security held by the Commissioner may be used to make apaYment to or on behalf of a covered employee provided the followingrequirements are met:

1. The covered employee sustained an occupational injury thatis covered by the qualified employer's benefit plan;

2. The covered employee's claim for paYment of a specificmedical or wage replacement benefit amount has been accepted by the

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plan administrator of the benefit plan or acknowledged in a finaljudgment or court order assessing a specific dollar figure forbenefits payable under the benefit plan;

3. The covered employee is unable to receive payment from thebenefit plan or collect on such judgment or court order because thequalified employer has filed for bankruptcy or the benefit plan hasbecome insolvent; and

4. The covered employee is listed as an unsecured creditor ofthe qualified employer because of the acceptance of such claim bythe plan administrator of the benefit plan or judgment or courtorder assessing a specific dollar figure for benefits payable underthe benefit plan.

G. The Commissioner shall promulgate rules to carry out theprovisions of this section including those establishing theprocedure by which a covered employee may request and receivepayment from the security held by the Commissioner.

H. The benefit plan may provide some level of benefits forsickness, injury or death not due to an occupational injury.

I. A qualified employer shall hold harmless any insurance agentor broker who sold the employer a benefits program compliant withthe Oklahoma Employee Injury Benefit Act if the qualified employeris sued in district court for an injury arising in the course andscope of employment.


A. There are established within the Office of the StateTreasurer two separate funds:

1. The Oklahoma Option Insured Guaranty Fund; and

2. The Oklahoma Option Self-insured Guaranty Fund.

B. The funds established pursuant to subsection A of thissection shall be for the purpose of continuation of benefits under

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this act for covered claims that are due and unpaid or interrupteddue to the inability of the insurer or sponsor of a self-insuredplan, as applicable, to meet its compensation obligations becauseits financial resources, security deposit, guaranty agreements,surety agreements and excess insurance are either inadequate or notimmediately accessible for the payment of benefits. Monies in suchfunds, including interest, are not subject to appropriation andshall be expended to compensate employees for eligible benefits fora compensable injury under this act, pay outstanding workers'compensation obligations of the impaired insurer, and for all claimsfor related administrative fees, operating costs, attorney fees, andother costs reasonably incurred by the Oklahoma Property andCasualty Guaranty Association in the performance of its duties underthis act. Expenditures from such funds shall be made on warrantsissued by the State Treasurer against claims as prescribed by law.Such funds shall be subject to audit the same as state funds andaccounts, the cost for which shall be paid for from the funds. A"covered claim" has the meaning given to it pursuant to paragraph 7of Section 2004 of Title 36 of the Oklahoma Statutes.

C. The funds established under this section shall beadministered, disbursed, and invested under the direction of theOklahoma Property and Casualty Insurance Guaranty Associationestablished by Section 2005 of Title 36 of the Oklahoma Statutes.

D. The funds established under this section shall be fundedfrom the following sources:

1. Insured Guaranty Fund:

Until the Insured Guaranty Fund contains Two Million Dollars($2,000,000.00) or if the amount in the fund falls below One MillionDollars ($1,000,000.00), each insurer shall be assessed a fee equalto two percent (2%) of all gross direct premiums written during eachquarter of the calendar year for insurance covering a benefit planunder this act after deducting from such gross direct premiums,return premiums, unabsorbed portions of any deposit premiums, policydividends, safety refunds, savings and other similar returns paid orcredited to policyholders. The assessment shall be paid to theInsured Guaranty Fund, care of the Commission, no later than thefifteenth day of the month following the close of each quarter ofthe calendar year in which the gross direct premium is collected or

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collectible. No insurer may be assessed in any year an amountgreater than two percent (2%) of the net direct written premiums ofthat insurer or one percent (1%) of that surplus of the insurer asregards policyholders for the calendar year preceding the assessmenton the kinds of insurance in the account, whichever is less; and

2. Self-insured Guaranty Fund:

Until the Self-insured Guaranty Fund contains One MillionDollars ($1,000,000.00) or if the amount in the fund falls belowSeven Hundred Fifty Thousand Dollars ($750,000.00), each selfinsurer shall be assessed a fee at the rate of one percent (1%) ofthe total compensation for permanent partial disability awards paidout during each quarter of the calendar year by the employers. Thefee shall be paid to the Self-insured Guaranty Fund, care of theCommission, no later than the fifteenth day of the month followingthe close of each quarter of the calendar year. The fee shall bedetermined using a rate equal to the proportion that the deficiencyin the fund attributable to self-insurers bears to the actual paidlosses of all self-insurers for the preceding calendar year. Eachself-insurer shall provide the Commission with the informationnecessary to determine the amount of the fee to be assessed.

E. The Guaranty Association shall create a separate account foreach fund which may not be commingled with any other account managedby the Guaranty Association.

F. On determination by the Commission that a self-insurer hasbecome an impaired insurer, the Commission shall release thesecurity required by paragraph 2 of subsection B of Section 111 ofthis act and advise the Guaranty Association of the impairment.Claims administration, including processing, investigating andpaying valid claims against an impaired self-insurer under this act,may include payment by the surety that issued the surety bond or beunder a contract between the Commission and an insurance carrier,appropriate state governmental entity or an approved serviceorganization.

G. The Guaranty Association shall be a party in interest in allproceedings involving any claims for benefits under this act withrespect to an impaired insurer and shall have all rights ofsubrogation of the impaired insurer. In those proceedings, the

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Guaranty Association may assume and exercise all rights and defensesof the impaired insurer, including, but not limited to, the rightto:

1. Appear, defend and appeal claims;

2. Receive notice of, investigate, adjust, compromise, settleand pay claims; and

3. Investigate, handle and contest claims.

H. The Guaranty Association may also:

1. Retain persons necessary to handle claims and perform otherduties of the Guaranty Association;

2. Sue or be sued;

3. Negotiate and become a party to such contracts as arenecessary to carry out the purposes of this act; and

4. Exercise any other powers necessary to perform its dutiesunder this act.

I. No monies deposited to the funds shall be subject to anydeduction, tax, levy or any other type of assessment.

J. An impaired self-insurer shall be exempt from assessmentsuntil it is no longer impaired.

K. Unless provided otherwise in this act, all fines andpenalties assessed under this act shall be paid to the Commissionfor deposit into the funds established in this section in equalamounts.


A. In addition to the premium or surplus lines taxes collectedfrom carriers, the carriers shall pay annually to the Workers'Compensation Commission a fee, at the rate to be determined as

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provided in Section 115 of this act but not to exceed three percent(3%), on all written premiums resulting from the writing ofinsurance under this act on risks within the state.

B. The fee required pursuant to subsection A of this sectionshall be collected by the Workers I Compensation Commission from thecarriers at the same time and in the same manner as insurancepremium taxes under Title 36 of the Oklahoma Statutes and depositedinto the Oklahoma Option Insured Guaranty Fund.

C. 1. Assessments on which premium taxes are based shall bemade on forms prescribed by the Commission and shall be paid to theCommission.

2. Absent a waiver obtained from the Commission for good cause,the failure of the carrier to pay the assessment when due shall bereferred to the Commissioner for appropriate administrative actionagainst the Oklahoma certificate of authority of the delinquentinsurer.

D. PaYments shall be made by check payable to the Commission.


A. It shall be the duty of the Workers I Compensation Commissionto collect a fee from every self-insured employer at a rate to bedetermined as provided by Section 115 of this act but not to exceedthree percent (3%) of the written premium which would have to bepaid under Section 113 of this act by a carrier if the self-insuredemployer were insured by a carrier.

B. If the fee provided for under this section is not paidwithin thirty (30) days of the date provided in Section 115 of thisact, there shall be assessed a penalty for each thirty (30) days theamount so assessed remains unpaid which is equal to ten percent(10%) of the unpaid amounts and which shall be collected at the sametime as a part of the fee assessed.

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A. 1. The Workers' Compensation Commission, on or beforeDecember 31 of each year, shall determine the surplus, if any, inthe Oklahoma Option Insured Guaranty Fund, together with theadditional amounts necessary to properly administer this act for theensuing year.

2. The Commission shall determine the rate of assessment forcollections for that year on or before March 1 of the followingyear.

B. 1. The Commission shall notify each insurance carrier ofthe rate of assessment applicable to the Oklahoma Option InsuredGuaranty Fund for the preceding year, and fees shall be computed andpaid under the provisions of subsection B of Section 113 of this acton or before April 1 of the following year.

2. The Commission shall notify each self-insured employersubject to the fee of the rate of assessment applicable to theOklahoma Option Self-insured Fund for the preceding year, and feesshall be computed by the Commission and paid to the Oklahoma OptionSelf-insured Guaranty Fund by the self-insurer through payments madedirectly to the Workers' Compensation Commission on or before April1 of the following year.

C. The Commission shall have the authority to promulgate rulesfor administration of the assessment and fee collection process,including, but not limited to, rules applicable to the fundsestablished in Section 112 of this act.


A. A qualified employer's liability under the benefit plan andotherwise prescribed in this act shall be exclusive and in place ofall other liability of the qualified employer and any of itsemployees at common law or otherwise, for a covered employee'soccupational injury or loss of services, to the covered employee, or

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the spouse, personal representative, parents, or dependents of thecovered employee, or any other person. The exclusive remedyprotections provided by this subsection shall be as broad as theexclusive remedy protections of Section 5 of this act, and thuspreclude a covered employee's claim against a qualified employer,its employees, and insurer for negligence or other causes of action.

B. Except as otherwise provided by its benefit plan, orapplicable federal law, a qualified employer is only subject toliability in any action brought by a covered employee or his or herdependent family members for injury resulting from an occupationalinjury if the injury is the result of an intentional tort on thepart of the qualified employer. An intentional tort shall existonly when the covered employee is injured because of willful,deliberate, specific intent of the qualified employer to cause suchinjury. Allegations or proof that the qualified employer hadknowledge that such injury was substantially certain to result fromits conduct shall not constitute an intentional tort. The issue ofwhether an act is an intentional tort shall be a question of law forthe court or the duly appointed arbitrator, as applicable.

C. If an employee tests positive for intoxication, use of anillegal controlled substance, or a legal controlled substance thatis used in contravention with a treating physician's orders withintwenty-four (24) hours of being injured or reporting an injury, heor she shall not be eligible to receive benefits under a qualifiedemployer's benefit plan. In order to retain exclusive remedy andenjoy immunity from common law negligence claims, an employee shallbe entitled to receive benefits under a qualified employer's benefitplan if the employee can prove by a preponderance of the evidencethat the acts described by this section were not the major cause ofan injury.

D. Any benefits paid under a qualified employer's benefit planshall offset any other award against such qualified employer undersubsection B of this section.

E. Other than an action brought to enforce the provisions ofthe benefit plan, any action brought by a covered employee or his orher spouse, personal representative, parents, or dependents based ona claim against a qualified employer arising out of any occupational

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injury shall be filed no later than two (2) years from the date ofthe injury or death giving rise to such action.


A. A qualified employer or its insurers or other paymentsources shall be responsible for:

1. Compliance with any applicable federal law regarding theadministration of the plan and claims for benefits under such plan;

2. Any damage awarded against the qualified employer forintentional tort under Section 116 of this act, including any preand post-judgment interest on the award and reasonable court costsas may be lawfully awarded in the action; and

3. Reasonable attorney fees awarded against a qualifiedemployer under Section 116 of this act; provided, however, that anemployee's attorney fees that are contingent on a recovery under theterms of the benefit plan shall be payable by a qualified employeras part of and not in addition to such recovery. An award ofattorney fees in favor of a covered employee against a qualifiedemployer on a claim for intentional tort, excluding death, shall belimited to no more than twenty percent (20%) of any lost earningsawarded to the covered employee or his or her spouse, personalrepresentative, parents, or dependents of the covered employee underthe benefit plan and such award. Nothing in this paragraph shall beconstrued to restrict an award of fees and costs made under federallaw.

B. An employer who is not a qualified employer shall complywith the provisions of the Administrative Workers' Compensation Act.


A. If an employer denies a claimant's claim for benefits underthis act, the employer shall notify him or her in writing of thedecision or the need for additional information within fifteen (15)

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days after receipt of the claim. Unless otherwise provided by law,the adverse benefit determination letter shall contain anexplanation of why the claim was denied, including the planprovisions that were the basis for the denial, and a detaileddescription of how to appeal the determination. Additional claimprocedures consistent with this section may be specified in thebenefit plan.

B. The benefit plan shall provide the following minimum appealrights:

1. The claimant may appeal in writing an initial adversebenefit determination to an appeals committee within one hundredeighty (180) days following his or her receipt of the adversebenefit determination. The appeal shall be heard by a committeeconsisting of at least three people that were not involved in theoriginal adverse benefit determination. The appeals committee shallnot give any deference to the claimant's initial adverse benefitdetermination in its review;

2. The committee may request any additional information itdeems necessary to make a decision, including having the claimantsubmit to a medical exam;

3. The committee shall notify the claimant in writing of itsdecision, including an explanation of the decision and his or herright to judicial review;

4. Subject to the need for a reasonable extension of time dueto matters beyond the control of the benefit plan, the committeeshall review the determination and issue a decision no later thanforty-five (45) days from the date the notice of contest isreceived. No legal action may be brought by or with respect to aclaimant to recover benefits under the benefit plan before theforegoing claim procedures have been exhausted;

5. If any part of an adverse benefit determination is upheld bythe committee, the claimant may then file a petition for review withthe Commission sitting en banc within one (1) year after the datethe claimant receives notice that the adverse benefit determination,or part thereof, was upheld. The Commission en banc shall act asthe court of competent jurisdiction under 29 U.S.C.A. Section

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1132(e) (1), and shall possess adjudicative authority to renderdecisions in individual proceedings by claimants to recover benefitsdue to the claimant under the terms of the claimant's plan, toenforce the claimant's rights under the terms of the plan, or toclarify the claimant's rights to future benefits under the terms ofthe plan;

6. The Commission shall rely on the record established by theinternal appeal process and use an objective standard of review thatis not arbitrary or capricious. Any award by the administrative lawjudge or Commission shall be limited to benefits payable under theterms of the benefit plan and, to the extent provided herein,attorney fees and costs; and

7. If the claimant appeals to the Commission and any part ofthe adverse benefit determination is upheld, he or she may appeal tothe Oklahoma Supreme Court by filing with the Clerk of the SupremeCourt a certified copy of the decision of the Commission attached toa petition which shall specify why the decision is contrary to lawwithin twenty (20) days of the decision being issued. The SupremeCourt may modify, reverse, remand for rehearing, or set aside thedecision only if the decision was contrary to law.

The Supreme Court shall require the claimant to file withinforty-five (45) days from the date of the filing of an appeal atranscript of the record of the proceedings before the Commission,or such later time as may be granted by the Supreme Court onapplication and for good cause shown. The action shall be subjectto the law and practice applicable to comparable civil actionscognizable in the Supreme Court.

C. If any of the provisions in paragraphs 5 through 7 ofsubsection B of this section are determined to be unconstitutionalor otherwise unenforceable by the final nonappealable ruling of acourt of competent jurisdiction, then the following minimal appealprocedures will go into effect:

1. The appeal shall be heard by a committee consisting of atleast three people that were not involved in the original adversebenefit determination. The appeals committee shall not give anydeference to the claimant's initial adverse benefit determination inits review;

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2. The committee may request any additional information itdeems necessary to make a decision, including having the claimantsubmit to a medical exam;

3. The committee shall notify the claimant in writing of itsdecision, including an explanation of the decision and his or herright to judicial review;

4. The committee shall review the determination and issue adecision no later than forty-five (45) days from the date the noticeof contest is received;

5. If any part of an adverse benefit determination is upheld bythe committee, the claimant may then file a petition for review in aproper state district court; and

6. The district court shall rely on the record established bythe internal appeal process and use a deferential standard ofreview.

D. The provisions of this section shall apply to the extent notinconsistent with or preempted by any other applicable law or rule.

E. All intentional tort or other employers' liability claimsmay proceed through the appropriate state courts of Oklahoma,mediation, arbitration, or any other form of alternative disputeresolution or settlement process available by law.


This act shall be liberally construed to give the fullest effectof its provisions. Any conflict between this act and any other lawshall be resolved in favor of the operation of this act.



A. In any action brought to challenge, in whole or in part, theconstitutionality of this act, any party to such action may take adirect appeal from the decision of any lower court to the SupremeCourt and the Supreme Court shall retain the appeal. The SupremeCourt on an expedited basis shall consider any such appeal.

B. To the extent this act, or any part thereof, is declared tobe unconstitutional or unenforceable, it is specifically intendedthat:

1. For partial invalidity of this act, where any section ofthis act is ruled to be unconstitutional or invalid, the same shallnot affect the validity of this act as a whole, or any part thereofother than the part so decided to be unconstitutional or invalid;

2. Any employer that became a qualified employer under this actshall not be deemed to have failed to secure workers' compensationinsurance;

3. The rights and obligations of a qualified employer and itsemployees shall be subject to the exclusive remedy provisions ofSection 5 of this act and an employer that becomes a qualifiedemployer under this act shall be liable for injury to employees onlyto the extent to which an employer that complied with the provisionsof the Administrative Workers' Compensation Act would be liable toemployees in compensation for such injuries under the AdministrativeWorkers' Compensation Act; and

4. A qualified employer shall have ninety (90) days from anyfinal decision declaring this act or any part thereofunconstitutional to secure compliance with the AdministrativeWorkers' Compensation Act.


Sections 121 through 149 of this act shall be known and may becited as the "Workers' Compensation Arbitration Act".

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All agreements to arbitrate claims for injuries covered by theAdministrative Workers' Compensation Act shall be valid andenforceable in this state when:

1. The employer provides notice of the existence of anagreement to arbitrate to both the employee and the employer'sworkers' compensation insurance provider;

2. The employer files an alternative dispute resolution programwith the Workers' Compensation Commission, as defined in theAdministrative Workers' Compensation Act;

3. The employers' Certified Medical Plan files an alternativedispute resolution program with the Commission, as defined in theAdministrative Workers' Compensation Act; or

4. The agreement is subject to the Federal Arbitration Act andcontains a provision that requires that, in addition to otherremedies, any party to the arbitration be given the opportunity toappeal any decision on any issue of the arbitrator to the Workers'Compensation Commission.


A. Except as otherwise provided in the Workers' CompensationArbitration Act, a person gives notice to another person by takingaction that is reasonably necessary to inform the other person inordinary course, whether or not the other person acquires knowledgeof the notice.

B. A person has notice if the person has knowledge of thenotice or has received notice.

C. A person shall be deemed to have received notice when itcomes to the person's attention or the notice is delivered at theperson's place of residence or place of business, or at another

ENR. S. B. NO. 1062 Page 16S

location held out by the person as a place of delivery of thecommunications.


The Workers' Compensation Arbitration Act governs an agreementto arbitrate made on or after February I, 2014. The Workers'Compensation Arbitration Act governs an agreement to arbitrate madebefore February I, 2014, if all the parties to the agreement or tothe arbitration proceeding agree in writing.

SECTION 12S. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section 304 of Title 8SA, unless thereis created a duplication in numbering, reads as follows:

A. Except as otherwise provided in subsections Band C of thissection and in the laws of this state outside of this act, a partyto an agreement to arbitrate or to an arbitration proceeding maywaive, or the parties may vary the effect of, the requirements ofthis act to the extent permitted by law.

B. Before a controversy arises that is subject to an agreementto arbitrate, a party to the agreement may not:

1. Waive or agree to vary the effect of the requirements ofsubsection A of Section 126, subsection A of Section 127, Section128, subsection A or B of Section 138, Section 147 or Section 149 ofthis act;

2. Agree to unreasonably restrict the right to notice of theinitiation of an arbitration proceeding under Section 130 of thisact;

3. Agree to unreasonably restrict the right to disclosure ofany facts by an arbitrator under Section 133 of this act;

4. Waive the right of a party to an agreement to arbitrate tobe represented by a lawyer at any proceeding or hearing underSection 137 of this act; or

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5. Agree to conduct arbitration proceedings outside of thisstate.

C. A party to an agreement to arbitrate or to an arbitrationproceeding may not waive, or the parties may not vary the effect of,the requirements of this section or subsection A or C of Section124, Sections 128, 135 and 139, subsection D or E of Section 141,Sections 143, 144 and 145, or subsection A or B of Section 146 ofthis act.


A. Except as otherwise provided in Section 150 of this act, anapplication for judicial relief under this act shall be made byapplication and motion to the Commission and heard in the mannerprovided by law or rule of the Commission for making and hearingmotions.

B. Unless a civil action involving the agreement to arbitrateis pending, notice of an initial application and motion to theCommission under this act shall be served in the manner provided bylaw for the service of a summons in the filing of a civil action.Otherwise, notice of the motion shall be given in the mannerprovided by law or rule of court for serving motions in pendingcases.


A. A written agreement to submit any existing or subsequentcontroversy arising between the parties to arbitration is valid,enforceable, and irrevocable except on a ground that exists at lawor in equity for the revocation of a contract.

B. An arbitrator shall decide whether a condition precedent toarbitration has been fulfilled and whether a contract containing avalid agreement to arbitrate is enforceable.

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C. If a party to a proceeding challenges the existence of, orclaims that a controversy is not subject to, an agreement toarbitrate, the arbitration proceeding may continue pending finalresolution of the issue by the Commission, unless the Commissionotherwise orders.


A. On application and motion of a person showing an agreementto arbitrate and alleging another person's refusal to arbitrateunder the agreement:

1.motion,

If the refusing party does not appear or does not oppose thethe Commission shall order the parties to arbitrate; and

2. If the refusing party opposes the motion, the Commissionshall proceed summarily to decide the issue and order the parties toarbitrate unless it finds that there is no enforceable agreement toarbitrate. The Commission may also assess costs against the partyopposing the motion if it concludes the opposition was not broughtin good faith to be deposited in the Workers' Compensation Fundcreated by the Administrative Workers' Compensation Act.

B. On motion of a person alleging that an arbitrationproceeding has been initiated or threatened but that there is noagreement to arbitrate, the Commission shall proceed summarily todecide the issue. If the Commission finds that there is anenforceable agreement to arbitrate, it shall order the parties toarbitrate. The Commission may also assess costs against the partyopposing the motion if the Commission concludes the opposition wasnot brought in good faith to be deposited in the Workers'Compensation Fund created by the Administrative Workers'Compensation Act.

C. If the Commission finds that the parties have not enteredinto an enforceable arbitration agreement, the dispute shall beresolved under the Administrative Workers' Compensation Act.

D. If an action is initiated in district court to determinewhether an enforceable arbitration agreement exists, on motion by

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the responding party, that proceeding shall be transferred to theCommission for determination.

E. If a party challenges the enforceability of an arbitrationagreement, the underlying claim, including all benefits, shall bestayed until the Commission determines whether an enforceablearbitration agreement exists.


A. Before an arbitrator is appointed and authorized to act, theCommission, on application and motion of a party to an arbitrationproceeding and for good cause shown, may enter a judgment forprovisional remedies to protect the effectiveness of the arbitrationproceeding to the same extent and under the same conditions as ifthe controversy were the subject of a civil action.

B. After an arbitrator is appointed and authorized to act:

1. The arbitrator may issue further or revised orders forprovisional remedies, including interim awards, as the arbitratorfinds necessary to protect the effectiveness of the arbitrationproceeding and to promote the fair and expeditious resolution of thecontroversy, to the same extent and under the same conditions as ifthe controversy were the subject of a civil action; and

2. A party to an arbitration proceeding may move the Commissionfor a provisional remedy only if the matter is urgent and thearbitrator is not able to act timely or the arbitrator cannotprovide an adequate remedy.

C. A party does not waive a right of arbitration by making anapplication and motion under subsection A or B of this section.


A. A person shall initiate an arbitration proceeding by givingwritten notice to the Commission and the other parties to the

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arbitration agreement. Notice shall be served on the parties in themanner prescribed by the arbitration agreement, or, if thearbitration agreement does not address the method of notice, then bythe service of process for civil actions provided under Title 12 ofthe Oklahoma Statutes.

B. Notice of an arbitration proceeding shall contain:

1. The general nature of the controversy;

2. The remedy and alleged damages sought; and

3. A copy of the arbitration agreement governing thecontroversy.

C. An objection to the sufficiency of notice shall be made tothe Commission before the initial hearing with the appointedarbitrator.


A. Except as otherwise provided in subsection C of thissection, on application and motion of a party to an arbitrationagreement or arbitration proceeding, the Commission may orderconsolidation of separate arbitration proceedings as to all or someof the claims if:

1. There are separate agreements to arbitrate or separatearbitration proceedings between the same persons or one of them is aparty to a separate agreement to arbitrate or a separate arbitrationproceeding with a third person;

2. The claims subject to the agreements to arbitrate arise insubstantial part from the same transaction or series of relatedtransactions;

3. The existence of a common issue of law or fact creates thepossibility of conflicting decisions in the separate arbitrationproceedings; and

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4. Prejudice resulting from a failure to consolidate is notoutweighed by the risk of undue delay or prejudice to the rights ofor hardship to parties opposing consolidation.

B. The Commission may order consolidation of separatearbitration proceedings as to some claims and allow other claims tobe resolved in separate arbitration proceedings.

C. The Commission may not order consolidation of the claims ofa party to an agreement to arbitrate if the agreement prohibitsconsolidation.


A. If the parties to an arbitration agreement agree on a methodfor appointing an arbitrator, that method shall be followed, unlessthe method fails. If the parties have not agreed on a method, theagreed method fails, or an arbitrator appointed fails or is unableto act and a successor has not been appointed, the Commission, onmotion of a party to the arbitration proceeding, shall appoint thearbitrator. An arbitrator appointed by the Commission has all thepowers of an arbitrator designated by the arbitration agreement.

B. An individual who has a known, direct, and material interestin the outcome of the arbitration proceeding, or a known, existing,and substantial relationship with a party to the arbitrationproceeding, may not serve as an arbitrator unless agreed to inwriting by the parties.


A. Before accepting appointment, an individual who is requestedto serve as an arbitrator, after making a reasonable inquiry, shalldisclose to the parties to the arbitration agreement, the parties tothe arbitration proceeding, and any other arbitrators any knownfacts that a reasonable person would consider likely to affect theimpartiality of the arbitrator in the arbitration proceeding,including but not limited to:

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1. A financial or personal interest in the outcome of thearbitration proceeding; and

2. An existing or past relationship with any of the parties tothe agreement to arbitrate or the arbitration proceeding, theircounselor representatives, a witness, or another arbitrator.

B. An arbitrator has a continuing obligation to disclose to theparties to the arbitration agreement, the arbitration proceeding,and to any other arbitrators any facts that the arbitrator learnsafter accepting appointment which a reasonable person would considerlikely to affect the impartiality of the arbitrator.

C. If an arbitrator discloses a conflict under subsection A orB of this section, any party to the arbitration agreement or thearbitration proceeding may have the arbitrator removed by filing anotice of conflict with the Commission. If a notice of conflict isnot filed within ten (10) days of disclosure of the conflict, theparties waive their rights to have any order or award enteredvacated under Section 144 of this act.


If there is more than one arbitrator, the powers of anarbitrator shall be exercised by a majority of the arbitrators, butall of them shall conduct the hearing under Section 136 of this act.


A. Arbitrators and arbitration organizations providing servicesunder this act are immune from civil liability to the same extent asa judge of a court of this state acting in a judicial capacity.

B. The immunity afforded by this section supplements anyimmunity under other law.

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C. The failure of an arbitrator to make a disclosure requiredby Section 133 of this act shall not cause any loss of immunityunder this section.

D. An arbitrator or representative of an arbitrationorganization is not competent to testify in a judicial,administrative, or similar proceeding and may not be required toproduce records as to any statement, conduct, decision, or rulingoccurring during the arbitration proceeding, to the same extent as ajudge of a court of this state acting in a judicial capacity. Thissubsection shall not apply to:

1. The extent necessary to determine the claim of anarbitrator, arbitration organization, or representative of thearbitration organization against a party to the arbitrationproceeding; or

2. A hearing on an application and motion to vacate an awardunder paragraphs 1 or 2 of subsection A of Section 144 of this actif the movant establishes prima facie that a ground for vacating theaward exists.

E. If a person commences a civil action against an arbitrator,arbitration organization, or representative of an arbitrationorganization arising from the services of the arbitrator,organization, or representative or if a person seeks to compel anarbitrator or a representative of an arbitration organization totestify or produce records in violation of subsection D of thissection, and the court decides that the arbitrator, arbitrationorganization, or representative of an arbitration organization isimmune from civil liability or that the arbitrator or representativeof the organization is not competent to testify, the court shallaward to the arbitrator, organization, or representative reasonableattorney fees and other reasonable expenses of litigation.


A. Arbitrations shall be conducted in a fair and expeditiousmanner. The authority conferred on arbitrators includes, withoutlimitation, the power to hold conferences and hearings with the

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parties, determine the admissibility, relevance, materiality andweight of any evidence, as well as ask questions of any witnessesduring the proceedings.

B. An arbitrator may decide a request for summary dispositionof a claim or particular issue:

1. If all interested parties agree; or

2. On request of one party to the arbitration proceeding ifthat party gives notice to all other parties to the proceeding andthe other parties have a reasonable opportunity to respond.

C. If an arbitrator orders a hearing, the arbitrator shall seta time and place and give notice of the hearing not less than five(5) days before the hearing begins. Unless a party to thearbitration proceeding makes an objection to lack or insufficiencyof notice not later than the beginning of the hearing, the party'sappearance at the hearing waives the objection. On request of aparty to the arbitration proceeding and for good cause shown, orupon the arbitrator's own initiative, the arbitrator may adjourn thehearing from time to time as necessary but may not postpone thehearing to a time later than that fixed by the agreement toarbitrate for making the award unless the parties to the arbitrationproceeding consent to a later date. The arbitrator may hear anddecide the controversy on the evidence produced although a party whowas duly notified of the arbitration proceeding did not appear. TheCommission, on request, may direct the arbitrator to conduct thehearing promptly and render a timely decision.

D. At a hearing under subsection C of this section, a party tothe arbitration proceeding has a right to be heard, to presentevidence material to the controversy, and to cross-examine witnessesappearing at the hearing.

E. If an arbitrator ceases or is unable to act during thearbitration proceeding, a replacement arbitrator shall be appointedaccording to the rules of the arbitration organization through whichthe arbitration is being conducted or, in the absence of such rules,by application to the Commission.

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A. A party to an arbitration proceeding may be represented by alawyer.

B. Each party shall be responsible for payment of his or herlegal fees incurred during arbitration, except as provided for inSection 142 of this act.

C. The employee's attorney may not recover legal fees in excessof the limits described in Section 82 of this act.


A. An arbitrator may issue a subpoena for the attendance of awitness and for the production of records and other evidence at anyhearing and may administer oaths. A subpoena shall be served in themanner for service of subpoenas in a civil action and, uponapplication and motion to the Commission by a party to thearbitration proceeding or the arbitrator, enforced in the manner forenforcement of subpoenas in a civil action. A witness may beallowed to appear telephonically or by any other available meansthat allows contemporaneous cross-examination.

B. In order to make the proceedings fair, expeditious, andcost-effective, on request of a party or witness in an arbitrationproceeding, an arbitrator may permit a deposition of any witness tobe taken for use as evidence at the hearing, including a witness whocannot be subpoenaed for or is unable to attend a hearing. Thearbitrator shall determine the conditions under which the depositionis taken.

C. An arbitrator may permit such discovery as the arbitratordecides is appropriate in the circumstances, taking into account theneeds of the parties to the arbitration proceeding and otheraffected persons and the desirability of making the proceeding fair,expeditious, and cost-effective.

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D. If an arbitrator permits discovery under subsection C ofthis section, the arbitrator may order a party to the arbitrationproceeding to comply with the arbitrator's discovery-related orders,issue subpoenas for the attendance of a witness and for theproduction of records and other evidence at a discovery proceeding,and take action against a noncomplying party to the extent a courtcould if the controversy were the subject of a civil action in thisstate.

E. An arbitrator may issue a protective order to prevent thedisclosure of privileged information, confidential information,trade secrets, and other information protected from disclosure tothe extent a court could if the controversy were the subject of acivil action in this state.

F. All laws compelling a person under subpoena to testify andall fees for attending a judicial proceeding, a deposition, or adiscovery proceeding as a witness apply to an arbitration proceedingas if the controversy were the subject of a civil action in thisstate.

G. The Commission may enforce a subpoena or discovery-relatedorder for the attendance of a witness within this state and for theproduction of records and other evidence issued by an arbitrator inconnection with an arbitration proceeding in another state uponconditions determined by the Commission so as to make thearbitration proceeding fair, expeditious, and cost-effective.


If an arbitrator makes a pre-award ruling in favor of a party,the party may request the arbitrator to incorporate the ruling intoan award under Section 140 of this act. A prevailing party may makean application and motion to the Commission for an expeditedjudgment to confirm the award under Section 143 of this act, inwhich case the Commission shall summarily decide the motion. TheCommission shall issue a judgment to confirm the award unless thecourt vacates, modifies, or corrects the award under Section 144 or145 of this act.

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A. An arbitrator shall make a record of the award. Themay contain the evidence and conclusion upon which the awardbased unless the agreement of the parties specifies the typeaward to be issued. The record shall be signed or otherwiseauthenticated by any arbitrator who concurs with the award.arbitrator or the arbitration organization shall give noticeaward, including a copy of the award, to each party to thearbitration proceeding.

awardwasof

Theof the

B. An award shall be made within the time specified by theagreement to arbitrate or, if not specified therein, within the timeordered by the Commission. The Commission may extend or the partiesto the arbitration proceeding may agree in a record to extend thetime. The Commission or the parties may do so within or after thetime specified or ordered. A party waives any objection that anaward was not timely made unless the party gives notice of theobjection to the arbitrator before receiving notice of the award.


A. On motion by a party to an arbitration proceeding, thearbitrator may modify or correct an award:

1. On a ground stated in paragraph 1 or 3 of subsection A ofSection 145 of this act;

2. Because the arbitrator has not made a final and definiteaward upon a claim submitted by the parties to the arbitrationproceeding; or

3. To clarify the award.

B. A motion under subsection A of this section shall be madeand notice given to all parties within twenty (20) days after theaward is issued to the parties.

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C. A party to the arbitration proceeding shall give notice ofany objection to the motion within ten (10) days after receipt ofthe motion.

D. If a motion to the Commission is pending under Section 144or 145 of this act, the Commission may submit the claim to thearbitrator to consider whether to modify or correct the award:

1. On a ground stated in paragraph 1 or 3 of subsection A ofSection 145 of this act;

2. Because the arbitrator has not made a final and definiteaward upon a claim submitted by the parties to the arbitrationproceeding; or

3. To clarify the award.

E. An award modified or corrected under this section is subjectto Sections 143, 144 and 145 of this act.


A. An arbitrator may award benefits set forth in Sections 45,46, 47 and 51 of this act.

B. An arbitrator may award reasonable attorney fees and otherreasonable expenses of arbitration if the arbitrator finds that aparty was not acting in good faith throughout the arbitration.

C. As to all remedies other than those authorized bysubsections A and B of this section, an arbitrator may order suchremedies as the arbitrator considers just and appropriate under thecircumstances of the arbitration proceeding. The fact that such aremedy could not or would not be granted by the Commission is not aground for refusing to confirm an award under Section 143 of thisact or for vacating an award under Section 144 of this act.

D. An arbitrator's expenses and fees, together with otherexpenses, shall be paid by the employer.

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E. If an arbitrator awards relief under subsection A of thissection, the arbitrator shall specify in the award the basis in factjustifying and the basis in law authorizing the award.


After a party to an arbitration proceeding receives notice of anaward, the party may make an application and motion to theCommission for a judgment confirming the award at which time theCommission shall issue a confirming judgment unless the award ismodified or corrected under Section 141 or 145 of this act or isvacated under Section 144 of this act.


A. On an application and motion to the court by a party to anarbitration proceeding, the Commission shall vacate an award made inthe arbitration proceeding if:

1. The award was procured by corruption, fraud, or other unduemeans;

2. There was:

a. evident partiality by an arbitrator appointed as aneutral arbitrator,

b. corruption by an arbitrator, or

c. misconduct by an arbitrator prejudicing the rights ofa party to the arbitration proceeding;

3. An arbitrator refused to postpone the hearing upon showingof sufficient cause for postponement, refused to consider evidencematerial to the controversy, or otherwise conducted the hearingcontrary to Section 136 of this act, so as to prejudicesubstantially the rights of a party to the arbitration proceeding;

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4. An arbitrator exceeded his or her powers under this act;

5. The arbitration was conducted without proper notice of theinitiation of an arbitration as required in Section 130 of this actso as to prejudice substantially the rights of a party to thearbitration proceeding; or

6. It is determined that an arbitrator did not disclose aconflict under Section 133 of this act.

B. An application and motion under this section shall be filedwithin thirty (30) days after the movant receives notice of theaward or within thirty (30) days after the movant receives notice ofa modified or corrected award, unless the movant alleges that theaward was procured by corruption, fraud, or other undue means, inwhich case the motion shall be made within ninety (90) days afterthe ground is known or by the exercise of reasonable care would havebeen known by the movant.

C. If the Commission vacates an award it may order a rehearing.If the award is vacated on a ground stated in paragraph I, 2 or 6 ofsubsection A of this section, the rehearing shall be before a newarbitrator. If the award is vacated on a ground stated in paragraph3, 4 or 5 of subsection A of this section, the rehearing may bebefore the arbitrator who made the award or the arbitrator'ssuccessor. The arbitrator shall render the decision in therehearing within the same time as that provided in subsection B ofSection 140 of this act for an award.

D. If the Commission denies a motion to vacate an award, itshall confirm the award unless a motion to modify or correct theaward is pending.


A. On application and motion made within thirty (30) days aftermovant receives notice of the award or within thirty (30) days afterthe movant receives notice of a modified or corrected award, theCommission shall modify or correct the award if:

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1. There was an evident mathematical miscalculation or anevident mistake in the description of a person, thing, or propertyreferred to in the award;

2. The arbitrator has made an award on a claim not submitted tothe arbitrator and the award may be corrected without affecting themerits of the decision upon the claims submitted; or

3. The award is imperfect in a matter of form not affecting themerits of the decision on the claims submitted.

B. If a motion made under subsection A of this section isgranted, the Commission shall modify or correct and confirm theaward as modified or corrected. Otherwise, unless a motion tovacate is pending, the Commission shall confirm the award.

C. A motion to modify or correct an award under this sectionmay be joined with a motion to vacate the award.


A. On granting a motion to confirm or vacate an order, theCommission shall enter a judgment in conformity therewith. Thejudgment may be recorded, docketed and enforced as any otherjudgment in its jurisdiction.

B. On application of a prevailing party, the Commission mayaward reasonable attorney fees and other reasonable expenses oflitigation incurred in the proceeding.


The Commission has exclusive jurisdiction to enforce and enterjudgment confirming, vacating, correcting or modifying an awardunder this act.

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A. A party may appeal the following actions to the districtcourt as provided in Section 149 of this act:

1. An order denying a motion to compel arbitration;

2. An order granting a motion to stay arbitration;

3. An order confirming or denying confirmation of an award;

4. An order modifying or correcting an award;

5. An order vacating an award without directing a rehearing; or

6. A final judgment entered under the Workers' CompensationArbitration Act.


An application and motion under judicial review of a judgment oraward entered by the Commission under this act shall be made in thedistrict court in the county in which the agreement to arbitratespecifies the arbitration hearing is to be held or, if the hearinghas been held, in the court in the county in which it was held.Otherwise, the motion may be made in the district court in thecounty in which an adverse party resides or has a place of businessor, if no adverse party has a residence or place of business in thisstate, in the district court located either in Oklahoma City orTulsa. All subsequent motions shall be made in the court hearingthe initial motion unless the court otherwise directs.


A. 1. All public entities of this state, their agencies andinstrumentalities, authorities, and public trusts of which they are

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beneficiaries shall provide workers' compensation to their employeesand elected officials engaged in either governmental or proprietaryfunctions in accordance with this section. Compensation orindemnification for compensation shall be paid out of the funds ofthe public entities.

2. Except as otherwise provided, the state and all itsinstitutions of higher education, departments, instrumentalities,institutions, and public trusts of which it or they arebeneficiaries shall insure against liability for workers'compensation with CompSource Oklahoma and shall not be permitted toinsure with any other insurance carrier unless:

a. CompSource Oklahoma refuses to accept the risk whenthe application for insurance is made,

b. specifically authorized by law,

c. the state entity can obtain workers' compensationinsurance coverage at the same cost or at a lower costfrom another insurance carrier licensed in this state,or

d. CompSource Oklahoma begins operating as a mutualinsurance company.

3 . a. The state, all state institutions of higher educationexcept comprehensive universities, and all statedepartments, instrumentalities, institutions, andpublic trusts of which the state is a beneficiary, mayself-insure. Self-insurance administration may onlybe obtained through CompSource Oklahoma, unlessCompSource Oklahoma begins operating as a mutualinsurance company.

b. If CompSource Oklahoma begins operating as a mutualinsurance company:

(1) the state, all state institutions of highereducation except comprehensive universities, andall state departments, instrumentalities,institutions, and public trusts so electing to

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self-insure shall pay premiums set by CompSourceOklahoma which shall collect premiums, pay claimsand provide for excess insurance, and

(2) all dividends or profits accumulating from aself-insurance program shall be refunded to theparticipants on a formula devised by CompSourceOklahoma.

B. All counties, cities and towns, their instrumentalities andpublic trusts of which they are beneficiaries shall insure againsttheir liability for workers' compensation with CompSource Oklahomaor, through any combination of the following, may:

1. Insure with an insurance carrier licensed in this state;

2. Self-insure and make any appropriation of funds to covertheir risk;

3. Secure reinsurance or excess insurance over and above aself-insurance retention in any manner authorized by subsections Band C of Section 167 of Title 51 of the Oklahoma Statutes; or

4. Secure compensation for their employees in the mannerprovided in The Governmental Tort Claims Act, subsection C ofSection 167 of Title 51 of the Oklahoma Statutes.

C. Boards of education, their instrumentalities and publictrusts of which they are beneficiaries shall insure against theirliability for workers' compensation through any combination of thefollowing:

1. Insure with an insurance carrier licensed in Oklahoma;

2. Self-insure and make any appropriation of funds to covertheir risk; or

3. Secure reinsurance or excess insurance over and above aself-insurance retention in any manner authorized by subsection B ofSection 168 of Title 51 of the Oklahoma Statutes.

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D. Comprehensive universities shall insure against theirliability for workers' compensation with CompSource Oklahoma or, ifit can be demonstrated to the Board of Regents of the comprehensiveuniversity prior to the inception date of a workers' compensationpolicy that the policy will result in a lower cost than one withCompSource Oklahoma or if CompSource Oklahoma begins operating as amutual insurance company, through any combination of the following:

1. Insure with an insurance carrier licensed in Oklahoma; or

2. Self-insurance, making any appropriation of funds to covertheir risk.

E. In addition to any other provision of this section, city,county, city-county, and public trust hospitals may insure withother insurance carriers licensed in this state if it can bedemonstrated to the governing body of the hospital prior to theinception date of a workers I compensation policy each year that thepolicy will result in a lower cost than one with CompSource Oklahomaor if CompSource Oklahoma begins operating as a mutual insurancecompany.

F. For purposes of this act, all contracts of employment forstate, county, municipal, and state-funded educational entities andpublic trusts will be considered to have been entered into in thisstate regardless of where the work is performed.

G. When a person is employed by the state, a municipality, acounty, or by any political subdivision thereof, and, while off-dutyfrom the employment, is employed by a private employer, the privateemployer alone shall be liable for compensation under this act forany injury or death of the person arising out of and in the courseof employment which occurs during the hours of actual employment bythe private employer. The provisions of this subsection shall notrelieve the state, a municipality or a county, or any politicalsubdivision thereof, from providing disability benefits to which aperson may be entitled pursuant to a pension or retirement plan.The provisions of this subsection shall not preclude an employee orgroup of employees so employed from providing separate compensationcoverage for off-duty employment by a private employer.

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Any claimant may, upon the payment of the Workers' CompensationCommission's filing fee, dismiss any claim brought by the claimantat any time before final submission of the case to the Commissionfor decision. Such dismissal shall be without prejudice unless thewords "with prejudice" are included in the order. If any claim thatis filed within the statutory time permitted by Section 18 of thisact is dismissed without prejudice, a new claim may be filed withinone (1) year after the entry of the order dismissing the first claimeven if the statutory time for filing has expired.


A. The Workers' Compensation Commission shall establish aworkers' compensation counselor or ombudsman program to assistinjured workers, employers and persons claiming death benefits inobtaining benefits under this act. A special effort shall be madeto equip counselors or ombudsmen with sufficient resources to assistinjured workers through the system without the necessity ofretaining legal representation.

B. Workers' compensation counselors or ombudsmen shall provideinformation to injured workers; investigate complaints; communicatewith employers, insurance carriers, self-insurers, and health careproviders; provide informational seminars and workshops on workers'compensation for medical providers, insurance adjustors, andemployee and employer groups; and develop informational materialsfor employees, employers and medical providers.

C. The Commission shall mail a notice to the injured workerwithin ten (10) days of the filing of an Employer's First Notice ofInjury. The notice shall advise the injured worker of theavailability of the services of the Commission's counselor orombudsman program and of the availability of mediation and otherforms of alternative dispute resolution to assist the injuredworker. The Commission shall provide additional information as theCommission may determine necessary.

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D. The Commission shall develop a program that provides forannual training for own-risk employers and claims representativeshandling workers' compensation claims in Oklahoma. The trainingshall include information about the alternative dispute resolutionprogram, including counselor and ombudsman programs, mediation, andother services provided by the Commission.


A. The Workers' Compensation Commission shall develop analternative dispute resolution program which affords an injuredemployee the opportunity to obtain benefits by request or informalprocedure. The program shall include an increased emphasis onmaking mediation and other alternative dispute resolution programsaffordable and convenient to an injured employee not represented bycounsel.

B. Participation in an alternative dispute resolution programis not a prerequisite to the commencement of a claim for benefitsunder this act. A request for alternative dispute resolution or aconsent to participate in such program does not invoke thejurisdiction of the Commission.

C. Mediation shall be voluntary, informal, and nonbinding inany claim arising pursuant to the provisions of this act, except forclaims against the Multiple Injury Trust Fund and medical treatmentissues subject to a certified workplace medical plan. Provided,however, the parties may waive mediation and proceed directly to anadministrative hearing.

D. A Commission mediator, appointed by the Commission, shallconduct an informal mediation between the parties in regard toclaims for a closed period of lost time where the employee hasreturned to work, for medical benefits only, for reimbursement oftravel expenses and medical treatment, in cases in which theemployee is not represented by an attorney, or there is no record ofinsurance coverage. Such mediation shall be conducted by theCommission mediator within thirty (30) days of the filing of arequest for any such benefit.

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E. Upon the filing of a request for an administrative hearingon issues not specifically listed in subsection D of this section,the Commission shall set the case for prehearing before the assignedjudge within fifteen (15) days. At the prehearing, theadministrative law judge shall accept a waiver of mediation by theparties or appoint a mediator and issue an order reflecting suchappointment. The mediator shall contact the parties and schedule amediation session within thirty (30) days of such order, unlessotherwise agreed to by the parties.

F. Mediation is confidential and no part of the proceedingshall be considered a matter of public record. Recommendations ofthe mediator are not binding unless the parties enter into asettlement agreement. If an agreement is not reached, the resultsand statements made during the mediation are not admissible in anyfollowing proceeding.

G. The Commission shall be responsible for certifying thosepersons who are eligible and qualified to serve as mediators. Anindividual may be certified as a mediator if the applicant meets thequalifications as required by the Commission. A certified mediatormay be an attorney or nonattorney who has worked in the area ofOklahoma workers' compensation benefits for at least five (5) years.Mediators serving as Commission-certified mediators on the effectivedate of this section shall serve the remainder of their respectivefive-year certification periods and may reapply for successivecertification periods.

H. Each certified mediator shall remain on the list for five(5) years, unless removed. Mediators shall be required to completeat least six (6) hours of continuing education per two-year periodin the areas of mediation and workers' compensation. Proof ofcompliance with this requirement shall be submitted to theCommission. This continuing education requirement shall be inaddition to any other such general requirement which may be requiredby the Oklahoma State Bar Association. Cost of continuing educationis to be borne by the applicant.

I. Mediators shall be compensated at the rate or fee asdetermined by the mediator; provided, however, the rate or fee shallnot exceed a maximum rate to be established by the Commission by

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rule. The cost of mediation shall be paid by the respondent or itsinsurance carrier. A mediator must schedule mediations for aminimum two-hour block of time, and may not schedule more than onemediation to take place at a time.

J. At the time of a mediation, the claimant shall be inattendance unless all parties agree, and all parties shall berepresented during the entire mediation session by a person withfull settlement authority to settle any issue of the claim. If aparty does not have full settlement authority, or does notparticipate in good faith in the mediation process, the mediatorshall report to the assigned administrative law judge of theCommission who may for good cause shown assess costs, attorney fees,and sanctions.

K. To encourage early resolution of claims, an injured employeemay participate in mediation without counsel. Upon compromisesettlement of the claim, the parties may submit the settlementagreement to any administrative law judge for final approval.

SECTION 154. NEW LAW A new section of law to be codifiedin the Oklahoma Statutes as Section III of Title 85A, unless thereis created a duplication in numbering, reads as follows:

A. Any claim for any benefit under this act shall be commencedwith the filing of an Employee's First Notice of Claim forCompensation by the employee with the Workers' CompensationCommission. The claim shall contain a statement that all mattersstated therein are true and accurate and shall be signed by theclaimant and the claimant's agent, if any. Any person who signsthis statement or causes another to sign this statement knowing thestatement to be false shall be guilty of perjury. An individual whosigns on behalf of a claimant may be presumed to have theauthorization of the claimant and to be acting at the claimant'sdirection.

B. If an employer controverts any issue related to theEmployee's First Notice of Claim for Compensation, the employershall file a Notice of Contested Issues on a form prescribed by theCommission. All answers and defenses to claims or other documentsfiled on behalf of a respondent or the respondent's insurer in aworkers' compensation case shall contain a statement that all

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matters stated therein are true and accurate and shall be signed bythe respondent, the insurer, or their respective agents, if any.Any person who signs such a statement or causes another to sign sucha statement, knowing the statement to be false, shall be guilty ofperjury. An individual who signs on behalf of a respondent, itsinsurer, or its agent may be presumed to have the authorization ofthe respondent, its insurer or agent and to be acting at theirdirection.

C. Any party shall have the right to request a prehearingconference or administrative hearing before the Commission on anyissue. The Commission shall, within seven (7) days of the receiptof such notification, set the matter for prehearing conference oradministrative hearing at the earliest available time. In the eventthe compensability of a claim is contested, the respondent shallcomplete discovery and secure a medical evaluation of the claimantwithin sixty (60) days of the filing of a request for benefits.


A. The Workers' Compensation Commission shall create, maintainand review a list of licensed physicians who shall serve asindependent medical examiners from a list of licensed physicians whohave completed such course study as the Commission may require. Anindependent medical examiner must agree to examine an employeewithin forty-five (45) days of appointment. The Commission shall,to the best of its ability, include the most experienced andcompetent physicians in the specific fields of expertise utilizedmost often in the treatment of injured employees. The period ofqualification shall be two (2) years. Physicians may be qualifiedfor successive two-year periods. Physicians serving as independentmedical examiners on the effective date of this act shall serve theremainder of their respective two-year qualification periods and mayreapply for successive qualification periods. The Commission mayremove an independent medical examiner from the list for cause.

B. An administrative law judge may appoint an independentmedical examiner to assist in determining any issue before theCommission. In the event surgery is recommended by a treatingphysician, upon request of the employer, an independent medical

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examiner shall be appointed to determine the reasonableness andnecessity of the recommended surgery. Such independent medicalexaminer shall be qualified to perform the type of surgeryrecommended.

C. An independent medical examiner shall be selected from thelist of independent medical examiners within ten (10) days when theemployer or the employee petitions the Commission for the selectionof an independent medical examiner. The independent medicalexaminer shall be certified by a recognized specialty board in thearea or areas appropriate to the condition under review.

D. The Commission shall, to the best of its ability, maintain ageographic balance of independent medical examiners.

E. Counsel for the employee and employer are responsible fortransmittal of the employee's medical records to the independentmedical examiner within ten (10) days of appointment.

F. After a physical examination and review of medical recordsand other appropriate information, including depositions andsurveillance video, the independent medical examiner shall submit averified written report to the Commission and to the parties. Inthe event the independent medical examiner determines that moremedical treatment is necessary, the employer shall designate atreating physician to provide the indicated treatment.

G. Any independent medical examiner selected pursuant to theprovisions of this section shall be reimbursed for the medicalexamination, reports and fees in a reasonable and customary amountset by the Commission, and these costs shall be borne by theemployer.

H. The Commission shall create a review process to oversee on acontinuing basis the quality of performance and the timeliness ofthe submission of medical findings by independent medical examiners.

I. If the Commission does not follow the opinion of theindependent medical examiner on any issue, the administrative lawjudge or member of the Board of Review shall set out its reasons fordeviating from the opinion of the independent medical examiner. The

ENR. S. B. NO. 1062

opinion of the independent medical examiner shall be followed unlessthere is clear and convincing evidence to the contrary.

J. Upon receipt of an independent medical examiner's report,any party shall have the right to object to the introduction of thereport into evidence. The objection must be made by giving writtennotification to all parties and to the Commission within ten (10)days after receipt of the report. The employer shall be responsiblefor the reasonable charges of the physician for such testimony,preparation time, and the expense of the deposition.


For cases not covered by a certified workplace medical plan, andwhere the employer, insurance company, or own-risk employer do notprovide case management, case management may be granted by theWorkers' Compensation Commission on the request of any party, orwhen the Commission determines that case management is appropriate.The administrative law judge shall appoint a case manager from alist of qualified case managers developed, maintained andperiodically reviewed by the Commission. The period ofqualification shall be two (2) years. Case managers may bequalified for successive two-year periods. Case managers serving asqualified case managers on the effective date of this act shallserve the remainder of their respective two-year qualificationperiods and may reapply for successive qualification periods. Thereasonable and customary charges of a medical case manager appointedby the Commission shall be borne by the employer or insurancecarrier. One change of case manager per party shall be made uponapplication of any party.


When a compensable injury results in the loss of one or moreeyes, teeth, or members of the body, or the replacement of a joint,the employer shall furnish such prosthetic devices as may benecessary as determined by the Workers' Compensation Commission inthe treatment and rehabilitation of the injured worker for the

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lifetime of the worker. When a worker sustains a compensableinjury, arising out of and in the course of his or her employment,which results in damage to a prosthetic device with which suchworker is equipped, the employer shall repair or replace suchdevice. Provided, that a subsequent injury to the part of the bodyfor which a prosthetic device is provided shall terminate theobligation of the employer to provide such prosthetic device.


A. If the employee and employer shall reach an agreement forthe full, final and complete settlement of any issue of a claimpursuant to this act, a form designated as "Joint Petition" shall besigned by both the employer and employee, or representativesthereof, and shall be approved by the Workers' CompensationCommission or an administrative law judge, and filed with theCommission. In cases in which the employee is not represented bylegal counsel, the Commission or an administrative law judge shallhave jurisdiction to approve a full, final and complete settlementof any issue upon the filing of an Employer's First Notice ofInjury. There shall be no requirement for the filing of anEmployee's First Notice of Claim for Compensation to effect suchsettlement in cases in which the employee is not represented bylegal counsel.

B. In the event all issues of a claim are not fully, finallyand completely settled by a Joint Petition, the issues not settledby the parties and subject to the Commission's continuingjurisdiction must be noted by appendix to the Joint Petition or on aform created for such purpose by the Commission. The appendix mustbe signed by the parties and approved by the Commission as set forthherein.

C. In the absence of fraud, a Joint Petition shall be deemedbinding upon the parties thereto and a final adjudication of allrights pursuant to this act or the workers' compensation law ineffect at the time of the injury or final order of the Workers'Compensation Court. An official record shall be made by an officialCommission reporter of the testimony taken to effect the JointPetition.

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D. A good-faith effort shall be made on the part of anyinsurance carrier, CompSource Oklahoma, or group self-insured planto notify an insured employer of the possibility of and terms of anysettlement of a workers' compensation case pursuant to this section.Written comments or objections to settlements shall be filed withthe Commission and periodically shared with the management of theapplicable insurer. A written notice shall be made to allpolicyholders of their right to a good-faith effort by their insurerto notify them of any proposed settlement, if the policyholder sochooses.


A. Awards for permanent partial disability shall be madepursuant to Sections 45 and 46 of this act, less any sums previouslypaid which the Workers' Compensation Commission may find to be aproper credit thereon. When the award becomes final, the whole sumor any unpaid portion thereof shall operate as a final adjudicatedobligation and payment thereof may be enforced by the claimant or incase of the claimant's death, by the surviving beneficiary entitledto the proceeds as provided in Section 47 of this act.

B. Awards for permanent total disability shall entitle theclaimant to receive weekly income benefits for the period prescribedin this act. When an award for permanent total disability becomesfinal, the accrued portion thereof shall operate as a finaladjudicated obligation and payment thereof may be enforced by theclaimant or in case of the claimant's death, by the survivingbeneficiary entitled to the proceeds as provided in this act.Permanent total disability awards shall not be commuted to a lumpsum payment.


Every employer and insurance carrier who schedules any employeeas a person employed by the employer for the purpose of paying orcollecting insurance premiums on a workers' compensation insurance

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policy or who pays, receives or collects any premiums upon anyinsurance policy covering the liability of such employer under theworkers' compensation law by reason of or upon the basis of theemployment of any such employee shall be estopped to deny that suchemployee was employed by the employer.


A. A fee of One Hundred Forty Dollars ($140.00) per case,including any Joint Petition authorized by this act, shall becollected by the Workers' Compensation Commission and assessed ascosts to be paid by the party against whom any award becomes final,to be deposited as follows:

1. One Hundred Five Dollars ($105.00) to the credit of theWorkers' Compensation Fund created by this act;

2. Ten Dollars ($10.00) to the credit of the Attorney General'sWorkers' Compensation Fraud Unit Revolving Fund created by Section19.2 of Title 74 of the Oklahoma Statutes; and

3. Twenty-five Dollars ($25.00) to the credit of the Workers'Compensation Fund for purposes of implementing the provisions ofthis act, including strengthening and providing additional fundingfor the Attorney General's Workers' Compensation Fraud Unit,providing counseling services pursuant to the workers' compensationcounselor or ombudsman program and safety in the workplace.

B. A fee of One Hundred Thirty Dollars ($130.00) per action toreopen any case pursuant to Section 32 of this act shall becollected by the Commission and assessed as costs to be paid by theparty that reopens the case. The fee collected pursuant to thissubsection shall be deposited to the credit of the Workers'Compensation Fund for purposes of implementing the provisions ofthis act, including strengthening and providing additional fundingfor the Attorney General's Workers' Compensation Fraud Unit,providing counseling services pursuant to the workers' compensationcounselor or ombudsman program and safety in the workplace.

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A. Persons requesting and receiving copies of documents on filewith the Workers' Compensation Commission shall pay a fee to theCommission of One Dollar ($1.00) for each page copied. All fees socollected shall be deposited in the State Treasury in the Workers'Compensation Fund.

B. All penalties and fines imposed by the Commission, uponcollection, shall be deposited to the credit of the Workers'Compensation Fund.


A. Except as otherwise provided by state or federal law andsubject to the provisions of this section, an employer may inquireabout previous workers' compensation claims paid to an employeewhile the employee was employed by a previous employer. If theemployee fails to answer truthfully about any previous permanentpartial disability awards made pursuant to workers' compensationclaims, the employee shall be subject to discharge by the employer.

B. 1. All requests made to the Workers' CompensationCommission for information on prior workers' compensation claimsinvolving a worker, including written inquiries about prior claimsand requests to access a worker's compensation claim file, must bein writing, on a form prescribed by the Commission, and accompaniedby a fee of One Dollar ($1.00) per search request, not to exceed OneDollar ($1.00) per claims record of a particular worker. The feeshall be deposited to the credit of the Workers' Compensation Fund.The form shall require identification of the person requesting theinformation, and the person for whom a search is being made ifdifferent from the requester. The form must contain an affidavitsigned by the requester under penalty of perjury that theinformation sought is not requested for a purpose in violation ofstate or federal law. The form must be used by all repositories ofarchived Court claim files. All request forms shall be maintainedby the Commission as a public record, together with a record of a

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worker's written authorization permitting a search indexed by theworker's social security number as required by Section 3113 of Title74 of the Oklahoma Statutes. The request forms and authorizationsshall be indexed alphabetically by the last name of the worker.

2. This subsection shall not apply:

a. to requests for claims information made by a publicofficer or by a public employee in the performance ofhis or her duties on behalf of a governmental entityor as may be allowed by law,

b. to requests for claims information made by an insurer,self-insured employer, third-party claimsadministrator, or a legal representative thereof, whennecessary to process or defend a workers' compensationclaim,

c. when a worker or the worker's representative requestsreview of the worker's claims information,

d. when the disclosure is made for educational orresearch purposes and in such a manner that thedisclosed information cannot be used to identify anyworker who is the subject of a claim,

e. to requests for claims information made by a healthcare or rehabilitation provider or the provider'slegal representative when necessary to process paymentof health care or rehabilitation services rendered toa worker, and

f. to requests for claims information made by an employeror personnel service company, including but notlimited to an individual or entity, where the workerexecutes a written authorization permitting the searchand designating the employer or personnel servicecompany as the worker's representative for thatpurpose; however, nothing in this subparagraph shallrelieve the employer or personnel service company fromcomplying with the requirements of utilizing the formset forth in paragraph 1 of this subsection.

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A. There is hereby created an Advisory Council on Workers'Compensation.

B. The voting membership of the Advisory Council shall consistof nine (9) members. Any member serving on the effective date ofthis section shall serve the remainder of his or her term. Thechair of the Workers' Compensation Commission shall be an ex officiononvoting member.

1. The Governor shall appoint three members representingemployers in this state, one of whom shall be from a list ofnominees provided by the predominant statewide broad-based businessorganization.

2. The Speaker of the House of Representatives shall appointthree members representing employees in this state, one of whomshall be from a list of nominees provided by the most representativelabor organization in the state.

3. The President Pro Tempore of the Senate shall appoint threemembers, two who are attorneys representing the legal profession inthis state, one of whom shall be an attorney who practices primarilyin the area of defense of workers' compensation claims, and one ofwhom shall be an attorney who primarily represents claimants, and amedical doctor or doctor of osteopathy actively engaged in thetreatment of injured workers.

C. The term of office for appointees shall be as follows:

1 .by theSpeaker2015;

The term of office for three positions, one each appointedGovernor, the President Pro Tempore of the Senate and theof the House of Representatives shall expire on January I,

2. The term of office for three positions, one each appointedby the Governor, the President Pro Tempore of the Senate and the

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Speaker of the House of Representatives shall expire on January 1,2016; and

3. The term of office for three positions, one each appointedby the Governor, the President Pro Tempore of the Senate and theSpeaker of the House of Representatives shall expire on January 1,2017.

D. Thereafter, successors in office shall be appointed for athree-year term. Members shall be eligible to succeed themselves inoffice.

E. Any person appointed to fill a vacancy shall be appointedfor the unexpired portion of the term.

F. The chair and the vice-chair of the Advisory Council shallbe appointed by the Governor.

G. Members shall receive their traveling and other necessaryexpenses incurred in the performance of their duties as provided inthe State Travel Reimbursement Act.

H. Meetings of the Advisory Council shall be quarterly or ascalled by the chair or upon petition by a majority of the votingmembers. The presence of five voting members constitutes a quorum.No action shall be taken by the Advisory Council without theaffirmative vote of at least five members.

I. The Commission shall provide office supplies and personnelof the Commission to carry out any of the duties that have beenentrusted to the Advisory Council.

J. The Advisory Council shall analyze and review the workers'compensation system, the reports of the Commission, and trends inthe field of workers· compensation. The Advisory Council mayrecommend improvements and proper responses to developing trends.The Advisory Council shall report its findings annually to theGovernor, the Chief Justice of the Supreme Court, the President ProTempore of the Senate, and the Speaker of the House ofRepresentatives.

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K. In addition to other duties required by this section, theAdvisory Council shall consult with the Court regarding oversight ofindependent medical examiners as provided in Section 45 of this act.

L. The Advisory Council shall review the Oklahoma TreatmentGuidelines as provided in the Workers' Compensation Code, and reportthe findings of such review to the Commission as provided in thisact.


A. The Workers' Compensation Fund established by Section 28 ofthis act shall be used for the costs of administering this act andfor other purposes pursuant to legislative appropriation.

B. For the purpose of providing funds for the Workers'Compensation Fund, each mutual or interinsurance association, stockcompany, CompSource Oklahoma or other insurance carrier writingworkers' compensation insurance in this state shall pay to theOklahoma Tax Commission an assessment at a rate of one percent (1%)of all gross direct premiums written during each quarter of thecalendar year for workers' compensation insurance on risks locatedin this state after deducting from such gross direct premiums,return premiums, unabsorbed portions of any deposit premiums, policydividends, safety refunds, savings and other similar returns paid orcredited to policyholders. Such payments to the Tax Commissionshall be made not later than the fifteenth day of the monthfollowing the close of each quarter of the calendar year in whichsuch gross direct premium is collected or collectible.Contributions made by insurance carriers and CompSource Oklahoma,under the provisions of this section, shall be considered for thepurpose of computing workers' compensation rates.

C. When an employer is authorized to become a self-insurer, theCommission shall so notify the Tax Commission, giving the effectivedate of such authorization. The Tax Commission shall then assessand collect from the employers carrying their own risk an assessmentat the rate of two percent (2%) of the total compensation forpermanent total disability awards, permanent partial disabilityawards and death benefits paid out during each quarter of the

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calendar year by the employers. Such assessment shall be payable bythe employers and collected by the Tax Commission according to theprovisions of this section regarding payment and collection of theassessment created in subsection C of this section.

D. It shall be the duty of the Tax Commission to collect thepayments provided for in this act. The Tax Commission is herebyauthorized to bring an action for the recovery of any delinquent orunpaid payments required in this section. The Tax Commission mayalso enforce payments by proceeding in accordance with theprovisions of Section 98 of this act.

E. The Tax Commission shall pay monthly to the State Treasurerto the credit of the General Revenue Fund all monies collected underthe provisions of this section.

F. The refund provisions of Sections 227 through 229 of Title68 of the Oklahoma Statutes shall be applicable to any payments madepursuant to this section.


Any form, claim, answer or report to be filed by any person withthe Workers' Compensation Commission pursuant to this act shallcontain or be verified by a written declaration that such form,claim, answer or report is true and made under the penalty ofperjury.


A. 1. All unexpended funds, assets, property, records,personnel and any outstanding financial obligations and encumbrancesof the Workers' Compensation Court before the effective date of thissection are hereby transferred to the Workers' CompensationCommission. The personnel transferred shall retain leave, sick andannual time earned and any retirement and longevity benefits whichhave accrued during their employment with the state. The salariesof employees who are transferred shall not be reduced as a direct

ENR. S. B. NO. 1062

and immediate result of the transfer. There shall be no reductionin-force as a result of the transfer.

2. Any unexpended funds, including interest thereon, held bythe State Treasurer in an interest-bearing division special accountmaintained by the Workers' Compensation Court before the effectivedate of this act from which a self-insured employer's workers'compensation obligations are paid following nonpaYment by the selfinsured employer for any reason, including insolvency, shall betransferred to the Workers' Compensation Commission. Such fundsshall be expended by the Commission only for the purpose of payingworkers' compensation obligations of the self-insured employer, andcosts related to the administration of such obligations, to theextent of the availability of such funds.

B. 1. All unexpended funds, assets, property, and records andany outstanding financial obligations and encumbrances of theIndividual Self-Insured Guaranty Fund Board before the effectivedate of this act are hereby transferred to the Individual SelfInsured Guaranty Fund Board created in this act.

2. Any unexpended funds, including interest thereon, held bythe State Treasurer in the Individual Self-Insured Guaranty Fundbefore the effective date of this act, shall be transferred to theIndividual Self-Insured Guaranty Fund Board created by this act.Such funds shall be expended by the Board only as authorized in thisact.

C. 1. All unexpended funds, assets, property, and records andany outstanding financial obligations and encumbrances of the GroupSelf-Insurance Association Board before the effective date of thisact are hereby transferred to the Group Self-Insurance AssociationGuaranty Fund Board created in this act.

2. Any unexpended funds, including interest thereon, held bythe State Treasurer in the Group Self-Insurance Association GuarantyFund before the effective date of this act, shall be transferred tothe Group Self-Insurance Association Guaranty Fund Board created bythis act. Such funds shall be expended by the Board only asauthorized in this act.

ENR. S. B. NO. 1062

D. All property and records of the Physician Advisory Committeebefore the effective date of this act are hereby transferred to thePhysician Advisory Committee created in this act.

E. All property and records of the Advisory Council on Workers'Compensation before the effective date of this act are herebytransferred to the Advisory Council on Workers' Compensation createdin this act.

F. All unexpended funds, assets, property, records, personneland any outstanding financial obligations and encumbrances of theMultiple Injury Trust Fund before the effective date of this act arehereby transferred to the Multiple Injury Trust Fund created in thisact. The personnel transferred shall retain leave, sick and annualtime earned and any retirement and longevity benefits which haveaccrued during their employment with the state. The salaries ofemployees who are transferred shall not be reduced as a direct andimmediate result of the transfer. There shall be no reduction-inforce as a result of the transfer.

G. The Director of the Office of Management and EnterpriseServices is hereby directed to coordinate the transfer of funds,allotments, purchase orders, outstanding financial obligations orencumbrances provided for in subsections A and F of this section,and the transfer of funds, outstanding financial obligations orencumbrances provided for in subsections Band C of this section.


The time within which an act is to be done, as provided for inthis act, shall be computed by excluding the first day and includingthe last day. If the last day is a legal holiday as defined bySection 82.1 of Title 25 of the Oklahoma Statutes, it shall beexcluded.


ENR. S. B. NO. 1062

A. The Workers' Compensation Court shall be renamed theWorkers' Compensation Court of Existing Claims for the purpose ofhearing disputes relating to claims that arise before February 1,2014. The Court shall consist of the existing judges for theremainder of his or her term. Each judge of the Court shallcontinue to serve as the appointment to a designated numberedposition on the Court. The positions shall be numbered one throughten. The terms of the judges by position number shall expire on thefollowing dates:

position 1 shall expire 7-1-14.

Position 2 shall expire 7-1-14.









Provided, judges who are serving unexpired terms on the Workers'Compensation Court on the effective date of this section shall serveon the Court created by this section until their respective termsexpire as provided in this act. Thereafter, each position shall bedissolved. After a judge serves this term, such judge shall beeligible to reapply for an administrative law judge with theWorkers' Compensation commission.

When a vacancy on the Court occurs or is certain to occur, theWorkers' Compensation Commission shall assign administrative lawjudges from the Commission to assist in the duties of the Workers'Compensation Court of Existing Claims.

ENR. S. B. NO. 1062

B. A judge may be removed for cause by the Court on theJudiciary prior to the expiration of his or her term.

C. Each judge shall receive a salary equal to that paid to adistrict judge of this state, and shall devote full time to his orher duties and shall not engage in the private practice of lawduring the term in office.

D. The Court shall operate by the rules adopted by the Workers'Compensation Court prior to the effective date of this act.

E. The Court is hereby designated and confirmed as a court ofrecord, with respect to any matter within the limits of itsjurisdiction, and within such limits the judges thereof shallpossess the powers and prerogatives of the judges of the othercourts of record of this state, including the power to punish forcontempt those persons who disobey a subpoena, or refuse to be swornor to answer as a witness, when lawfully ordered to do so.

F. The principal office of the Court shall be situated in theCity of Oklahoma City in quarters assigned by the Office ofManagement and Enterprise Services. The Court may hold hearings inany city of this state.

G. All county commissioners and presiding district judges ofthis state shall make quarters available for the conducting ofhearings by a judge of the Court upon request by the Court.

H. Judges of the Workers' Compensation Court of Existing Claimsmay punish for direct contempt pursuant to Sections 565, 565.1 and566 of Title 21 of the Oklahoma Statutes.

I. The Court shall be vested with jurisdiction over all claimsfiled pursuant to the Workers' Compensation Code. All claims sofiled shall be heard by the judge sitting without a jury. The Courtshall have full power and authority to determine all questions inrelation to payment of claims for compensation under the provisionsof the Workers' Compensation Code. The Court, upon application ofeither party, shall order a hearing. Upon a hearing, either partymay present evidence and be represented by counsel. The decision ofthe Court shall be final as to all questions of fact and law;

ENR. S. B. NO. 1062

provided, the decision of the Court may be appealed to theCommission. The decision of the Court shall be issued within sixty(60) days following the submission of the case by the parties. Thepower and jurisdiction of the Court over each case shall becontinuing and it may, from time to time, make such modifications orchanges with respect to former findings or orders relating theretoif, in its opinion, it may be justified.

J. Any appeal of an order by the Workers' Compensation Court ofExisting Claims shall be heard by the Commission en banco TheCommission shall review the decision using an abuse of discretionstandard of review. Orders by the Commission may be appealed inaccordance with Section 78 of this act.

K. To protect the integrity of the transition from the Workers'Compensation Court to the administrative system created by this act,and to protect all rights and privileges of parties to claimsadjudicated by the Workers' Compensation Court, the Commission shallretain all remedies and responsibilities of the Workers'Compensation Court for as long as cases involving claims forcompensation accruing before the effective date of this act butfiled thereafter or which were pending before or adjudicated by theWorkers' Compensation Court shall remain open.

L. For an injury occurring before the effective date of thisact, all benefits and procedures to obtain benefits shall bedetermined by the workers' compensation law of this state in effecton the date of the injury. Administrative law judges of theCommission shall enforce all final orders of the Workers'Compensation Court in a manner to secure for all parties the dueprocess and equal protection guarantees of the Constitution of theState of Oklahoma.

M. All accrued rights and penalties incurred pursuant to afinal order of the Workers' Compensation Court shall be preserved.Administrative law judges of the Commission shall be authorized toissue orders and conduct legal proceedings to enforce all suchaccrued rights and penalties incurred. No accrued right, penaltyincurred, or proceeding begun by virtue of a statute repealed bythis act shall be abrogated by the terms of this act.

ENR. S. B. NO. 1062

SECTION 170. REPEALER18m-2, are hereby repealed.

74 O.S. 2011, Sections 18m-1 and

SECTION 171. REPEALER 85 O.S. 2011, Sections 301, 302,303, as amended by Section 1074, Chapter 304, O.S.L. 2012, 304, 305,306, 307, 308, 309, 310, 311, 312, 313, 314, 315, 316, 317, 318,319, 320, 321, 322, 323, 324, 325, 326, 327, as amended by Section 1of Enrolled Senate Bill No. 250 of the 1st Session of the 54thOklahoma Legislature, 328, 329, 330, 331, 332, 333, 334, 335, 336,337, 338, 339, 340, 341, 342, 343, 344, 345, 346, 347, 348, 349,350, 351, 352, 353, 354, 355, 356, 357, 358, 359, 360, 361, asamended by Section 1075, Chapter 304, O.S.L. 2012, 362, 363, 364,365, as amended by Section 1076, Chapter 304, O.S.L. 2012, 366, 367,368, 369, 370, as amended by Section 1077, Chapter 304, O.S.L. 2012,371, 372, 373, 374, 402, 403, as amended by Section 1082, Chapter304, O.S.L. 2012, 404, 405, 406, 407, 408, 409, 410, as last amendedby Section 1, Chapter 254, O.S.L. 2012, 411, 412, as amended bySection 1083, Chapter 304, O.S.L. 2012 and 413 (85 O.S. Supp. 2012,Sections 303, 361, 365, 370, 403, 410 and 412), are hereby repealed.

SECTION 172. Sections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14,15, 16, 17, 18, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37,38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 51, 52, 53, 54, 55,56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 71, 72, 73,74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 85, 86, 87, 88, 89, 90,91, 92, 93, 94, 95, 96, 97, 98, 99, 100, 101, 102, 103, 104, 105,106, 107, 108, 109, 110, 111, 112, 113, 114, 115, 116, 117, 118,119, 120, 121, 122, 123, 124, 125, 126, 127, 128, 130, 131, 132,133, 134, 135, 136, 137, 138, 139, 140, 141, 142, 143, 144, 145,146, 147, 148, 149, 150, 151, 152, 153, 154, 155, 156, 157, 158,159, 160, 161, 162, 163, 164, 165, 166, 167, 168, 169, 170 and 171of this act shall become effective February 1, 2014.

ENR. S. B. NO. 1062

Passed the Senate the 30th day of Apri , 20 3.

Passed the House of Representatives the 24th day of April, 2013.

pr~Of~of Representatives

OFFICE OF THE GOVERNOR

Received by the Office of the Governor this3j~

day of I2{lif , 20 !3 ,at LlOlP o'clock £? M.

By: (JJA~d f'of Oklahoma this -LaApproved by he Governor of the State

day of _0\% ' 20--13..--, at 3.'();/- o'clock~ M.

OFFICE OF THE SECRETARY OF STATE

day

By:

Received by the Office of the Secretary of State this

, at ~','2-?:J 0' clock M.

ENR. S. B. NO. 1062