Bill Text: NY A01251 | 2021-2022 | General Assembly | Introduced

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Bill Title: Requires an injured worker or person entitled to a death benefit to be provided with the option to have the compensation payment made through direct deposit, and requires such person be given notice of such option and the means necessary to enroll.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2021-01-28 - signed chap.9 [A01251 Detail]

Download: New_York-2021-A01251-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          1251

                               2021-2022 Regular Sessions

                   IN ASSEMBLY

                                     January 7, 2021
                                       ___________

        Introduced  by M. of A. REYES -- read once and referred to the Committee
          on Labor

        AN ACT to amend the workers' compensation law, in relation to the direct
          deposit of benefits; and amending a chapter of the laws of 2020 amend-
          ing the workers' compensation law relating to the  direct  deposit  of
          benefits,  as proposed in legislative bills numbers S.7210 and A.7579,
          in relation to the effectiveness thereof

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Subdivision  9 of section 25 of the workers' compensation
     2  law, as amended by a chapter of the laws of 2020 amending  the  workers'
     3  compensation law relating to the direct deposit of benefits, as proposed
     4  in  legislative  bills  numbers S.7210 and A.7579, is amended to read as
     5  follows:
     6    9. Direct deposit.  (a)  Compensation  payments  [or  any  portion  of
     7  compensation  payments]  shall  be  [allowed] required, upon the written
     8  request from an injured worker or a person entitled to a  death  benefit
     9  provided  by  this  chapter,  to be deposited directly in a bank for any
    10  purpose to an account in the name of such injured worker or person enti-
    11  tled to [a] death [benefit] benefits, [on forms provided by the  board,]
    12  and duly filed in accordance with such regulations. Each person eligible
    13  to receive payment of compensation or [a] death [benefit] benefits under
    14  this  section shall be notified of the option to receive such payment in
    15  the form of direct deposit from the carrier  or  self-insured  employer,
    16  such  notice  to be promulgated by the board. Such eligible person shall
    17  also be provided the [forms] means necessary to enroll in direct deposit
    18  pursuant to this paragraph in a manner specified by regulations  of  the
    19  board at the same time as notice is given pursuant to this paragraph.
    20    (b)  The board is hereby authorized to promulgate reasonable rules and
    21  regulations, as may be necessary, to administer the  direct  deposit  of
    22  [injured worker's] compensation payments. [In regard to the deposit of a

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07134-01-1
        A. 1251                             2

     1  portion  of  an  injured worker's compensation payment, such] Such regu-
     2  lations shall permit the deposit of [a payment] compensation payments to
     3  be split between multiple accounts by either a dollar  amount  or  exact
     4  percentage,  provided, however, such regulations may establish a minimum
     5  dollar amount and may limit  the  maximum  number  of  partial  deposits
     6  allowed.
     7    (c)  As  used in this subdivision, the term "bank" includes any finan-
     8  cial institution which is a member of the New York  automated  clearing-
     9  house or any financial institution designated by the board.
    10    (d) Notwithstanding any provision in this subdivision to the contrary,
    11  direct  deposit  of  any  compensation  payment  may not be made if such
    12  payment would be in violation of any federal or state law or regulation.
    13    § 2. Section 2 of a chapter of the laws of 2020 amending the  workers'
    14  compensation law relating to the direct deposit of benefits, as proposed
    15  in  legislative  bills  numbers S.7210 and A.7579, is amended to read as
    16  follows:
    17    § 2. This act shall take effect [immediately] July 1, 2021.
    18    § 3. This act shall take effect on the  same  date  and  in  the  same
    19  manner  as  a  chapter of the laws of 2020 amending the workers' compen-
    20  sation law relating to the direct deposit of benefits,  as  proposed  in
    21  legislative bills numbers S.7210 and A.7579, takes effect.