BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                        SB 623|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
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                                   THIRD READING 


          Bill No:  SB 623
          Author:   Lara (D)
          Amended:  4/14/15  
          Vote:     21  

           SENATE LABOR & IND. REL. COMMITTEE:  5-0, 4/8/15
           AYES:  Mendoza, Stone, Jackson, Leno, Mitchell

           SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           SUBJECT:   Workers compensation:  benefits


          SOURCE:   California Applicants' Attorneys Association 
                    California Teamsters Public Affairs Council


          DIGEST:  This bill restates and reinforces existing law on the  
          right of undocumented workers to be eligible for benefits from  
          the Uninsured Employers Benefits Trust Fund and the Subsequent  
          Injuries Benefits Trust Fund.


          ANALYSIS:   


          Existing law: 


          1)Establishes a workers' compensation system that provides  
            benefits to an employee who suffers from an injury or illness  
            that arises out of and in the course of employment,  
            irrespective of fault.  This system requires all employers to  








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            secure payment of benefits by either securing the consent of  
            the Department of Industrial Relations (DIR) to self-insure or  
            by securing insurance against liability from an insurance  
            company duly authorized by the state.


          2)Provides that all protections, rights, and remedies available  
            under state law, except any reinstatement remedy prohibited by  
            federal law, are available to all individuals regardless of  
            immigration status who have applied for employment, or who are  
            or who have been employed, in California.  (Labor Code  
            §1171.5)


          3)Creates the Uninsured Employers Benefits Trust Fund (UEBTF),  
            which provides benefits for injured workers who are employed  
            by illegally uninsured employers.  Benefits awarded from the  
            UEBTF constitute a liquated damage against the illegally  
            uninsured employer, which the Director of DIR may pursue  
            against the employer and/or significant shareholders.  (Labor  
            Code §§ 3716-3717)


          4)Creates the Subsequent Injuries Benefits Trust Fund (SIBTF),  
            which provides additional compensation for injured workers who  
            are receiving permanent disability benefits and suffer a  
            second injury that the degree of injury caused by the second  
            injury is greater than what would have resulted from the first  
            permanent injury alone.  (Labor Code § 4751)


          5)Provides that a State may provide that an individual who is  
            not lawfully present in the United States is eligible for any  
            State or local public benefit for which such alien would  
            otherwise be ineligible through the enactment of a State law  
            which affirmatively provides for such eligibility.  (8 U.S.  
            Code § 1621(d))


          This bill:


          1)Restates and reiterates existing law, which currently allows  
            undocumented injured workers to be eligible for benefits from  







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            the UEBTF and the SIBTF.


          2)Declares the intent of the Legislature to override regulations  
            which prevent undocumented workers from accessing benefits  
            from the UEBTF and the SIBTF.


           NOTE:  See the Senate Labor and Industrial Relations Committee  
                 analysis for a full discussion of this bill.


          FISCAL EFFECT:   Appropriation:    Yes         Fiscal  
          Com.:YesLocal:   No


          SUPPORT:   (Verified4/8/15)


          California Applicants' Attorneys Association (co-source)
          California Teamsters Public Affairs Council (co-source)
          Association of California Insurance Companies
          California Association of Joint Powers Authorities
          California Chamber of Commerce
          California Coalition on Workers' Compensation
          California Conference of Machinists
          California Conference of the Amalgamated Transit Union
          California Labor Federation, AFL-CIO
          California Manufacturers and Technology Association
          California Nurses Association
          California Restaurant Association
          California Rural Legal Assistance Foundation
          Engineers & Scientists of California, AFTPE Local 20, AFL-CIO
          International Longshore and Warehouse Union
          Professional & Technical Engineers, IFTPE Local 21, AFL-CIO
          Utility Workers Union of America


          OPPOSITION:   (Verified4/8/15)


          None received









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          ARGUMENTS IN SUPPORT:      The California Applicants' Attorneys  
          Association (CAAA) and the California Chamber of Commerce  
          strongly support SB 623, arguing that SB 623 clarifies current  
          law so that no injured worker is refused benefits from the UEBTF  
          and the SIBTF   based on their immigration status.  CAAA argues  
          that it is time for the out-of-date Division of Workers'  
          Compensation regulations which allowed undocumented workers from  
          being excluded from these benefits.


          Prepared by:Gideon Baum / L. & I.R. / (916) 651-1556
          4/28/15 15:31:19


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