House File 515 - Introduced HOUSE FILE 515 BY COMMITTEE ON LABOR (SUCCESSOR TO HF 311) (COMPANION TO LSB 1780SS BY WARD) A BILL FOR An Act relating to the interest rate on weekly workers’ 1 compensation payments that are not paid when due and 2 including applicability date provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1780HV (1) 84 av/nh

H.F. 515 Section 1. Section 535.3, subsection 1, Code 2011, is 1 amended to read as follows: 2 1. Interest shall be allowed on all money due on judgments 3 and decrees of courts at a rate calculated according to section 4 668.13 , except . However, for interest due pursuant to section 5 85.30 for which the rate shall be ten percent per year interest 6 shall accrue from the date each weekly compensation payment is 7 due at an annual rate equal to the one-year treasury constant 8 maturity published by the federal reserve in the H15 report 9 settled immediately prior to or on July 1 each year plus two 10 percent, applicable to all weekly compensation payments due 11 during the fiscal year beginning on July 1 and ending the 12 following June 30 . 13 Sec. 2. APPLICABILITY. This Act applies to interest due 14 pursuant to section 85.30 on weekly compensation payments 15 payable for personal injuries arising out of and in the course 16 of employment under chapters 85, 85A, and 85B, that occur on 17 or after July 1, 2011. 18 EXPLANATION 19 This bill provides that the interest rate on weekly workers’ 20 compensation payments that are not paid when due is equal 21 to the one-year treasury constant maturity published by the 22 federal reserve in the H15 report settled immediately prior 23 to July 1 plus 2 percent for all weekly compensation payments 24 due during the fiscal year beginning on July 1 and ending 25 the following June 30. The bill is applicable to injuries 26 compensable under the state’s workers’ compensation laws that 27 occur on or after July 1, 2011. Currently, the interest rate 28 on such weekly workers’ compensation payments not paid when 29 due, is 10 percent per year. 30 -1- LSB 1780HV (1) 84 av/nh 1/ 1