1     
WILDLAND FIRE WORKERS' COMPENSATION

2     
AMENDMENTS

3     
2019 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Jeffrey D. Stenquist

6     
Senate Sponsor: ____________

7     

8     LONG TITLE
9     General Description:
10          This bill creates a fund to address certain workers' compensation costs.
11     Highlighted Provisions:
12          This bill:
13          ▸     enacts the Wildland Fire Response Workers' Compensation Liability Fund Act,
14     including:
15               •     defining terms;
16               •     creating the fund, subject to a cap;
17               •     requiring reporting;
18               •     creating a grant program; and
19               •     authorizing rulemaking; and
20          ▸     makes technical and conforming amendments.
21     Money Appropriated in this Bill:
22          None
23     Other Special Clauses:
24          None
25     Utah Code Sections Affected:
26     AMENDS:
27          65A-8-204, as last amended by Laws of Utah 2017, Chapter 210

28     ENACTS:
29          65A-16-101, Utah Code Annotated 1953
30          65A-16-102, Utah Code Annotated 1953
31          65A-16-201, Utah Code Annotated 1953
32          65A-16-202, Utah Code Annotated 1953
33     

34     Be it enacted by the Legislature of the state of Utah:
35          Section 1. Section 65A-8-204 is amended to read:
36          65A-8-204. Wildland Fire Suppression Fund created.
37          (1) There is created an expendable special revenue fund known as the "Wildland Fire
38     Suppression Fund."
39          (2) The fund shall be administered by the division to pay:
40          (a) wildfire suppression costs on eligible lands, including for an eligible entity that has
41     entered into a cooperative agreement, as described in Section 65A-8-203; and
42          (b) the charge imposed by the division to fund the Wildland Fire Response Workers'
43     Compensation Liability Fund created in Section 65A-16-201.
44          (3) The contents of the fund shall include:
45          (a) interest and earnings from the investment of fund money;
46          (b) money appropriated by the Legislature;
47          (c) costs recovered from successful investigations;
48          (d) federal funds received by the division for wildfire management costs;
49          (e) suppression costs billed to an eligible entity that does not participate in a
50     cooperative agreement;
51          (f) suppression costs paid to the division by another state agency;
52          (g) costs recovered from settlements and civil actions related to wildfire suppression;
53          (h) restitution payments ordered by a court following a criminal adjudication;
54          (i) the balance of the fund as of July 1, 2016;
55          (j) money deposited by the Division of Finance, pursuant to Section 59-21-2; [and]
56          (k) money transferred by the Division of Finance, pursuant to Section 63J-1-314[.]; and
57          (l) money transferred pursuant to Section 65A-16-201.
58          (4) Fund money shall be invested by the state treasurer with the earnings and interest

59     accruing to the fund.
60          Section 2. Section 65A-16-101 is enacted to read:
61     
CHAPTER 16. WILDLAND FIRE RESPONSE WORKERS' COMPENSATION

62     
LIABILITY FUND ACT

63     
Part 1. General Provisions

64          65A-16-101. Title.
65          This chapter is known as the "Wildland Fire Response Workers' Compensation
66     Liability Fund Act."
67          Section 3. Section 65A-16-102 is enacted to read:
68          65A-16-102. Definitions.
69          As used in this chapter:
70          (1) "Catastrophic" is as defined by rule made by the division in accordance with Title
71     63G, Chapter 3, Utah Administrative Rulemaking Act.
72          (2) "Catastrophic injury" means an injury that:
73          (a) is catastrophic or results in death; and
74          (b) arises out of and in the course of a qualified firefighter responding to a wildland
75     fire.
76          (3) "Catastrophic workers' compensation claim" means a claim for workers'
77     compensation benefits under Title 34A, Chapter 2, Workers' Compensation Act, on the basis of
78     a catastrophic injury.
79          (4) "Fund" means the Wildland Fire Response Workers' Compensation Liability Fund
80     created in Section 65A-16-201.
81          (5) "Local government" means a county, city, town, special service district, or local
82     district.
83          (6) "Qualified wildland firefighter" is defined by rule made by the division in
84     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
85          (7) "Responding to a wildland fire" is defined by rule made by the division in
86     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
87          (8) "Workers' compensation costs" is defined by rule made by the division in
88     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
89          Section 4. Section 65A-16-201 is enacted to read:

90     
Part 2. Fund Provisions

91          65A-16-201. Creation of fund.
92          (1) (a) There is created an expendable special revenue fund known as the "Wildland
93     Fire Response Workers' Compensation Liability Fund."
94          (b) The fund shall consist of:
95          (i) money deposited into the fund from a charge imposed by the division in an amount:
96          (A) related to the division's administration of the Wildland Fire Suppression Fund
97     created in Section 65A-8-204; and
98          (B) agreed to by the division and the eligible entities, as defined in Section 65A-8-203,
99     that enter into a cooperative agreement with the division;
100          (ii) money appropriated by the Legislature;
101          (iii) money received from the federal government for purposes of the fund;
102          (iv) money received from a local government for purposes of the fund;
103          (v) money received from a nongovernmental organization for purposes of the fund; and
104          (vi) interest or other earnings accrued in accordance with Subsection (1)(c)(ii).
105          (c) The state treasurer shall:
106          (i) invest the money in the fund following the procedures and requirements of Title 51,
107     Chapter 7, State Money Management Act; and
108          (ii) deposit all interest or other earnings derived from each investment described in
109     Subsection (1)(c)(i) into the fund.
110          (2) If at the end of the fiscal year the balance in the fund exceeds $10,000,000, the
111     amount in excess of $10,000,000 shall be transferred to the Wildland Fire Suppression Fund
112     created in Section 65A-8-204.
113          (3) The division shall report to the Natural Resources, Agriculture, and Environmental
114     Quality appropriations subcommittee concerning the operations of the fund by no later than a
115     November 2020 meeting of the appropriations subcommittee.
116          Section 5. Section 65A-16-202 is enacted to read:
117          65A-16-202. Grants for increases in workers' compensation costs as a result of a
118     catastrophic injury.
119          (1) In accordance with this section, the division may issue a grant from the fund to
120     compensate a local government for an increase in the local government's workers'

121     compensation costs on the basis of the local government having a catastrophic workers'
122     compensation claim.
123          (2) Consistent with this chapter, the division shall make rules, in accordance with Title
124     63G, Chapter 3, Utah Administrative Rulemaking Act, for administering the grants.
125          (3) The rules made under this section shall:
126          (a) describe the documentation necessary to establish:
127          (i) the amount of an increase in workers' compensation costs on the basis of the local
128     government having a catastrophic workers' compensation claim; and
129          (ii) the number of years the local government will experience an increase in workers'
130     compensation insurance costs on the basis of the local government having a catastrophic
131     workers' compensation claim;
132          (b) require that a local government apply for grant money on an annual basis; and
133          (c) include any other provision the division considers appropriate.