STATE OF NEW YORK
        ________________________________________________________________________

                                          10561

                   IN ASSEMBLY

                                      June 3, 2024
                                       ___________

        Introduced  by  COMMITTEE  ON  RULES -- (at request of M. of A. Solages,
          Bronson) -- read once and referred to the Committee on Labor

        AN ACT to amend the workers' compensation   law   and   the    insurance
          law, in relation to increasing short-term disability benefits

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

     1    Section 1. Section 200 of the workers' compensation law, as amended by
     2  section 1 of part SS of chapter 54 of the laws of 2016,  is  amended  to
     3  read as follows:
     4    §  200.  Short  title. This article shall be known and may be cited as
     5  the "disability [benefits law] and  [the]  paid  family  leave  benefits
     6  law."
     7    § 2. Subdivisions 14, 15 and 22 of section 201 of the workers' compen-
     8  sation  law,    subdivision  14 as amended and subdivisions 15 and 22 as
     9  added by section 2 of part SS of chapter 54 of the  laws  of  2016,  are
    10  amended to read as follows:
    11    14.  "A  day  of  disability"  means any day on which the employee was
    12  prevented from performing work because of disability[, including any day
    13  which the employee uses for family leave,] and for  which  the  employee
    14  has not received [his or her] their regular remuneration.
    15    15.  "Family  leave"  shall  mean  any leave taken by an employee from
    16  work:   (a) to participate in  providing  care,  including  physical  or
    17  psychological  care,  for a family member of the employee made necessary
    18  by a serious health condition of the family member; or (b) to bond  with
    19  the  employee's  child  during the first twelve months after the child's
    20  birth, or the first twelve months after the placement of the  child  for
    21  adoption  or foster care with the employee or on or after January first,
    22  two thousand twenty-five until January first, two thousand  twenty-nine,
    23  for  the six weeks immediately following a stillbirth; or (c) because of
    24  any qualifying exigency as interpreted  under  the  family  and  medical
    25  leave    act,    29    U.S.C.S    §    2612(a)(1)(e)   and   29   C.F.R.
    26  S.825.126[(a)(1)-(8)], arising out of the fact that the spouse, domestic
    27  partner, child, or parent of the employee is on active duty (or has been

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15841-03-4

        A. 10561                            2

     1  notified of an impending call or order to  active  duty)  in  the  armed
     2  forces of the United States.
     3    22.  "Health  care  provider"  shall  mean  for the purpose of [family
     4  leave] this article, a person licensed under article one  hundred  thir-
     5  ty-one,  one  hundred  thirty-one-B, one hundred thirty-two, one hundred
     6  thirty-three, one  hundred  thirty-six,  one  hundred  thirty-nine,  one
     7  hundred  forty-one, one hundred forty-three, one hundred forty-four, one
     8  hundred fifty-three, one hundred fifty-four, one  hundred  fifty-six  or
     9  one  hundred  fifty-nine of the education law or a person licensed under
    10  the public health law, article one hundred forty of the education law or
    11  article one hundred sixty-three of the education law.
    12    § 3. Section 203-a of the  workers'  compensation  law,  as  added  by
    13  section  4  of  part SS of chapter 54 of the laws of 2016, is amended to
    14  read as follows:
    15    § 203-a. Retaliatory action prohibited  for  [family]  leave.  1.  The
    16  provisions of section one hundred twenty of this chapter and section two
    17  hundred  forty-one  of  this  article  shall be applicable to family and
    18  disability leave.
    19    2. Nothing in this section shall be deemed  to  diminish  the  rights,
    20  privileges,  or remedies of any employee under any collective bargaining
    21  agreement or employment contract.
    22    § 4. Section 203-b of the  workers'  compensation  law,  as  added  by
    23  section  4  of  part SS of chapter 54 of the laws of 2016, is amended to
    24  read as follows:
    25    § 203-b. Reinstatement following [family] leave. Any eligible employee
    26  of a covered employer who takes leave under this article shall be  enti-
    27  tled,  on  return from such leave, to be restored by the employer to the
    28  position of employment held by the employee when the leave commenced, or
    29  to be restored to a comparable position with comparable employment bene-
    30  fits, pay and other terms and conditions of employment.  The  taking  of
    31  family  or  disability leave shall not result in the loss of any employ-
    32  ment benefit accrued prior to the date on  which  the  leave  commenced.
    33  Nothing  in  this  section  shall  be  construed to entitle any restored
    34  employee to the accrual of any seniority or employment  benefits  during
    35  any  period  of  leave,  or  any right, benefit or position to which the
    36  employee would have been entitled had the employee not taken the leave.
    37    § 5. Section 203-c of the  workers'  compensation  law,  as  added  by
    38  section  4  of  part SS of chapter 54 of the laws of 2016, is amended to
    39  read as follows:
    40    § 203-c.  Health insurance during [family] leave. In  accordance  with
    41  the  Family  and  Medical Leave Act (29 U.S.C. §§ 2601-2654), during any
    42  period of family or disability leave the  employer  shall  maintain  any
    43  existing  health  benefits  of the employee in force for the duration of
    44  such leave as if the employee had continued to work from the date [he or
    45  she] they commenced family or disability leave until the date [he or she
    46  returns] they return to employment.
    47    § 6. Section 204 of the  workers'  compensation  law,  as  amended  by
    48  section  5  of  part SS of chapter 54 of the laws of 2016, is amended to
    49  read as follows:
    50    § 204. Disability and family leave during  employment.  1.  Disability
    51  benefits  shall  be  payable  to  an eligible employee for disabilities,
    52  beginning with the eighth day of disability and  thereafter  during  the
    53  continuance  of disability, subject to the limitations as to maximum and
    54  minimum amounts and duration and other  conditions  and  limitations  in
    55  this  section  and  in  sections two hundred five and two hundred six of
    56  this article. Family leave benefits shall  be  payable  to  an  eligible

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     1  employee for the first full day when family leave is required and there-
     2  after  during  the  continuance of the need for family leave, subject to
     3  the limitations as to maximum and minimum amounts and duration and other
     4  conditions  and  limitations in this section and in sections two hundred
     5  five and two hundred six of this article. Successive periods of disabil-
     6  ity or family leave caused by the same or related injury or sickness  or
     7  qualifying  event shall shall be deemed a single period of disability or
     8  family leave only if separated by less than three months.
     9    2. (a) The weekly benefit for family leave that occurs (i) on or after
    10  January first, two thousand eighteen shall not exceed eight weeks during
    11  any fifty-two week calendar period and shall be  fifty  percent  of  the
    12  employee's average weekly wage but shall not exceed fifty percent of the
    13  state  average weekly wage, (ii) on or after January first, two thousand
    14  nineteen shall not exceed ten weeks during any fifty-two  week  calendar
    15  period  and shall be fifty-five percent of the employee's average weekly
    16  wage but shall not exceed fifty-five percent of the state average weekly
    17  wage, (iii) on or after January first, two  thousand  twenty  shall  not
    18  exceed  ten weeks during any fifty-two week calendar period and shall be
    19  sixty percent of the employee's average weekly wage but shall not exceed
    20  sixty percent of the state average weekly wage, and  (iv)  on  or  after
    21  January  first  of  each  succeeding year, shall not exceed twelve weeks
    22  during any fifty-two week  calendar  period  and  shall  be  sixty-seven
    23  percent  of  the  employee's  average  weekly  wage but shall not exceed
    24  sixty-seven percent of the New York state average weekly wage in effect.
    25  The superintendent of financial services shall have discretion to  delay
    26  the  increases  in  the  family leave benefit level provided in subpara-
    27  graphs (ii), (iii), and (iv) of this paragraph by one or  more  calendar
    28  years.  In determining whether to delay the increase in the family leave
    29  benefit for any year, the superintendent  of  financial  services  shall
    30  consider:  (1) the current cost to employees of the family leave benefit
    31  and any expected change in the cost after the benefit increase; (2)  the
    32  current  number  of  insurers  issuing  insurance policies with a family
    33  leave benefit and any expected change in the number of insurers  issuing
    34  such  policies after the benefit increase; (3) the impact of the benefit
    35  increase on employers' business and the overall stability of the program
    36  to the extent that information is readily available; (4) the  impact  of
    37  the  benefit  increase  on the financial stability of the disability and
    38  family leave insurance market  and  carriers;  and  (5)  any  additional
    39  factors that the superintendent of financial services deems relevant. If
    40  the  superintendent  of  financial  services  delays the increase in the
    41  family leave benefit level for one or more calendar  years,  the  family
    42  leave  benefit  level  that  shall take effect immediately following the
    43  delay shall be the same benefit level that would have taken  effect  but
    44  for  the  delay.  The weekly benefits for family leave that occurs on or
    45  after January first, two thousand eighteen shall not be  less  than  one
    46  hundred dollars per week except that if the employee's wages at the time
    47  of family leave are less than one hundred dollars per week, the employee
    48  shall  receive [his or her] their full wages. Benefits may be payable to
    49  employees for paid family leave taken intermittently or for less than  a
    50  full  work week in increments of one full day or one fifth of the weekly
    51  benefit.
    52    (b) The weekly benefit which the  disabled  employee  is  entitled  to
    53  receive  for  the first twelve weeks of disability commencing: (i) on or
    54  after January first, two thousand twenty-six shall be fifty-five percent
    55  of the employee's average weekly wage but shall not exceed fifty percent
    56  of the state average weekly wage (ii) on or  after  January  first,  two

        A. 10561                            4

     1  thousand  twenty-seven  shall be sixty percent of the employee's average
     2  weekly wage but shall not exceed fifty-five percent of the state average
     3  weekly wage; (iii) on or after January first, two thousand  twenty-eight
     4  shall  be  sixty-seven percent of the employee's weekly average wage but
     5  shall not exceed sixty percent of the state  average  weekly  wage;  and
     6  (iv)  on or after January first of each succeeding year, shall be sixty-
     7  seven percent of the employee's average weekly wage but shall not exceed
     8  sixty-seven percent of the state average weekly wage.  The weekly  bene-
     9  fit  which  the disabled employee is entitled to receive for the periods
    10  of disability after the twelfth week of disability and through the twen-
    11  ty-sixth week of disability on or  after  January  first,  two  thousand
    12  twenty-six  and  each  succeeding  year  shall  be thirty percent of the
    13  employee's average weekly wage but shall not exceed  thirty  percent  of
    14  the  state  average weekly wage.  The chair of the workers' compensation
    15  board, in consultation with the superintendent  of  financial  services,
    16  shall  have  discretion  to increase the benefit level for the period of
    17  disability after the twelfth week of disability through the twenty-sixth
    18  week of disability, provided that such benefit shall not  exceed  sixty-
    19  seven  percent  of the state average weekly wage. In determining whether
    20  to increase the disability benefit for any year, the chair of the  work-
    21  ers'  compensation  board  in  consultation  with  the superintendent of
    22  financial services shall consider factors including but not  limited  to
    23  utilization  of  the  current  benefit,  the expected utilization of any
    24  increase, the need for a benefit increase, the current contribution cost
    25  to employees and employers and the expected cost after any such  benefit
    26  increase;  the  current  number of insurers  issuing insurance  policies
    27  with  a  disability  benefit  and any expected change in the  number  of
    28  insurers  issuing   such   policies  after the benefit increase; and any
    29  additional factors that the chair of the workers' compensation board and
    30  the superintendent of financial services deems  relevant.    The  weekly
    31  benefit which the disabled employee is entitled to receive for disabili-
    32  ty  leave that occurs on or after January first, two thousand twenty-six
    33  shall not be less than one hundred dollars per week except that  if  the
    34  employee's  wages  at  the  time  of  disability leave are less than one
    35  hundred dollars per week, the employee shall receive their  full  wages.
    36  The  weekly  benefit  which the disabled employee is entitled to receive
    37  for disability commencing on or after May first, nineteen hundred eight-
    38  y-nine and prior to January first,  two  thousand  twenty-six  shall  be
    39  one-half  of the employee's weekly wage, but in no case shall such bene-
    40  fit exceed one hundred seventy dollars; except that  if  the  employee's
    41  average  weekly  wage  is less than twenty dollars, the benefit shall be
    42  such average weekly wage. The weekly benefit which the disabled employee
    43  is entitled to receive for disability commencing on or after July first,
    44  nineteen hundred eighty-four shall be one-half of the employee's  weekly
    45  wage,  but  in  no case shall such benefit exceed one hundred forty-five
    46  dollars; except that if the employee's average weekly wage is less  than
    47  twenty dollars, the benefit shall be such average weekly wage. The week-
    48  ly  benefit which the disabled employee is entitled to receive for disa-
    49  bility commencing on or after July first, nineteen hundred  eighty-three
    50  and  prior to July first, nineteen hundred eighty-four shall be one-half
    51  of the employee's average weekly wage, but in no case shall such benefit
    52  exceed one hundred thirty-five dollars nor be less than twenty  dollars;
    53  except  that  if  the employee's average weekly wage is less than twenty
    54  dollars the benefit shall be such average weekly wage. The weekly  bene-
    55  fit  which  the  disabled employee is entitled to receive for disability
    56  commencing on or after July first, nineteen  hundred  seventy-four,  and

        A. 10561                            5

     1  prior to July first, nineteen hundred eighty-three, shall be one-half of
     2  the  employee's  average  weekly wage, but in no case shall such benefit
     3  exceed ninety-five dollars nor be less than twenty dollars; except  that
     4  if  the  employee's average weekly wage is less than twenty dollars, the
     5  benefit shall be such average weekly wage. The weekly benefit which  the
     6  disabled employee is entitled to receive for disability commencing on or
     7  after  July  first,  nineteen  hundred  seventy and prior to July first,
     8  nineteen hundred seventy-four shall be one-half of the employee's  aver-
     9  age  weekly  wage, but in no case shall such benefit exceed seventy-five
    10  dollars nor be less than twenty dollars; except that if  the  employee's
    11  average  weekly  wage  is  less than twenty dollars the benefit shall be
    12  such average weekly wage.  [For any period of  disability  less  than  a
    13  full  week,  the  benefits  payable  shall be calculated by dividing the
    14  weekly benefit by the number of the employee's normal work days per week
    15  and multiplying the quotient by the number of normal work days  in  such
    16  period of disability.] Benefits may be payable to employees for disabil-
    17  ity  leave  taken  intermittently  or  for less than a full work week in
    18  increments of one full day or one-fifth of the weekly benefit. The week-
    19  ly benefit for a disabled employee  who  is  concurrently  eligible  for
    20  benefits  in  the  employment  of  more than one covered employer shall,
    21  within the maximum and minimum herein provided, be one-half of the total
    22  of the employee's average weekly wages received from  all  such  covered
    23  employers,  and shall be allocated in the proportion of their respective
    24  average weekly wage payments.
    25    (c) Provided that the provisions of paragraph (b) of this  subdivision
    26  concerning  benefits  on or after January first, two thousand twenty-six
    27  and subparagraphs (i) and (ii) of paragraph (a) of subdivision three  of
    28  section  two  hundred  nine  of  this article may be waived by a covered
    29  employer subject to a collective bargaining agreement with a  bona  fide
    30  labor  organization  in effect on January first, two thousand twenty-six
    31  for employees subject to such  collective  bargaining  agreement  for  a
    32  disability commencing between January first, two thousand twenty-six and
    33  until  January  first,  two  thousand twenty-nine; and provided that for
    34  such waiver to be valid, it shall explicitly reference this section  and
    35  be  agreed  to by the bona fide labor organization. Nothing herein shall
    36  prevent a collective bargaining agreement from providing temporary disa-
    37  bility benefits greater than the benefits required herein.
    38    § 7. Subdivision 2 of section 206 of the workers' compensation law, as
    39  amended by section 7 of part SS of chapter 54 of the laws  of  2016,  is
    40  amended to read as follows:
    41    2.  If  an  employee  who  is  eligible  for disability benefits under
    42  section two hundred three or two hundred seven of this article is  disa-
    43  bled  and has claimed or subsequently claims workers' compensation bene-
    44  fits under this chapter or benefits under  the  volunteer  firefighters'
    45  benefit  law  or  the volunteer ambulance workers' benefit law, and such
    46  claim is controverted on the ground that the employee's  disability  was
    47  not  caused  by an accident that arose out of and in the course of [his]
    48  their employment or by an occupational disease, or by an injury in  line
    49  of  duty  as  a volunteer firefighter or volunteer ambulance worker, the
    50  employee shall be entitled in the first  instance  to  receive  benefits
    51  under  this  article for [his or her] their disability. If benefits have
    52  been paid under this article in respect to a disability alleged to  have
    53  arisen  out  of  and  in the course of the employment or by reason of an
    54  occupational disease, or in line of duty as a volunteer firefighter or a
    55  volunteer ambulance worker, the employer or carrier or the chair  making
    56  such  payment  may,  at  any  time before award of workers' compensation

        A. 10561                            6

     1  benefits, or volunteer firefighters'  benefits  or  volunteer  ambulance
     2  workers'  benefits,  is made, file with the board a claim for reimburse-
     3  ment out of the proceeds of such award to the employee  for  the  period
     4  for which disability benefits were paid to the employee under this arti-
     5  cle,  and  shall  have  a lien against the full award for reimbursement,
     6  notwithstanding the provisions of section thirty-three of  this  chapter
     7  or  section  twenty-three  of the volunteer firefighters' benefit law or
     8  section twenty-three of the volunteer  ambulance  workers'  benefit  law
     9  provided the insurance carrier liable for payment of the award receives,
    10  before  such  award  is made, a copy of the claim for reimbursement from
    11  the employer, carrier or chair who paid disability benefits, or provided
    12  the board's decision and award directs such reimbursement therefrom.
    13    § 8. Paragraph (a) of subdivision 3 of section  209  of  the  workers'
    14  compensation  law,  as amended by section 10 of part SS of chapter 54 of
    15  the laws of 2016, is amended to read as follows:
    16    (a) Disability benefits. (i) The contribution of each such employee to
    17  the cost of disability benefits provided by this article shall  be  one-
    18  half of one per centum of the employee's wages paid to him or her on and
    19  after  July  first,  nineteen  hundred fifty, but not in excess of sixty
    20  cents per week.
    21    (ii) Beginning January first, two  thousand  twenty-six,  the  maximum
    22  employee  contribution  that a covered employer is authorized to collect
    23  from each employee for the cost of disability benefits provided by  this
    24  article  shall be one-half of one per centum of the employee's wages but
    25  shall not exceed two dollars and twenty cents per week provided,  howev-
    26  er, that the employee contribution shall be pursuant to subparagraph (i)
    27  of  this paragraph where such employee is covered under paragraph (c) of
    28  subdivision two of section two hundred four of this article.
    29    (iii) Beginning January first, two thousand twenty-nine,  the  maximum
    30  employee  contribution  that a covered employer is authorized to collect
    31  from each employee for the cost of disability benefits provided by  this
    32  article shall be one-half of one per centum of the employee's wages, but
    33  shall  not exceed forty percent of the average of the combination of all
    34  employee and employer  contributions  to  disability  benefits  provided
    35  pursuant to paragraph (b) of subdivision two of section two hundred four
    36  of  this  article during the prior calendar year, as determined annually
    37  by the superintendent of financial services pursuant to  subsection  (n)
    38  of  section  four thousand two hundred thirty-five of the insurance law.
    39  A self-insurer shall submit reports to the superintendent  of  financial
    40  services  for the purpose of determining forty percent of the average of
    41  the combination of all employee and employer contributions to disability
    42  benefits provided pursuant  to  paragraph  (b)  of  subdivision  two  of
    43  section two hundred four of this article during the prior calendar year,
    44  pursuant  to subsection (n) of section four thousand two hundred thirty-
    45  five of the insurance law.
    46    § 9. The opening paragraph of section 211 of the workers' compensation
    47  law, as amended by section 12 of part SS of chapter 54 of  the  laws  of
    48  2016, is amended to read as follows:
    49    A  covered employer, unless provided with a waiver pursuant to section
    50  204(2)(c), shall, with [his or her] such  employer's  own  contributions
    51  and  the contributions of [his] such employer's employees, provide disa-
    52  bility and after January first,  two  thousand  eighteen,  family  leave
    53  benefits to [his or her] such employer's employees in one or more of the
    54  following ways:

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     1    §  10.  The  opening paragraph and subdivision 1 of section 214 of the
     2  workers' compensation law, as amended by section 26 of part GG of  chap-
     3  ter 57 of the laws of 2013, are amended to read as follows:
     4    There  is  hereby  created  a fund which shall be known as the special
     5  fund for disability benefits to provide for the payment of  [disability]
     6  benefits  under  sections  two  hundred  seven, two hundred thirteen and
     7  attendance fees under section two hundred thirty-two of this article.
     8    1. As promptly as practicable after April first,  in  each  year,  the
     9  chairman  shall  ascertain  the  condition of the fund, and if as of any
    10  such date the net assets of the fund shall be  one  million  dollars  or
    11  more  below the sum of twelve million dollars, the chairman shall assess
    12  and collect an amount sufficient to restore the fund to an amount  equal
    13  to  twelve  million dollars.[.] Such assessment shall be included in the
    14  assessment rate established pursuant to subdivision two of  section  one
    15  hundred  fifty-one  of this chapter. Such assessments shall be deposited
    16  with the commissioner of taxation and finance  and  transferred  to  the
    17  benefit  of  such fund upon payment of debt service, if any, pursuant to
    18  section one hundred fifty-one of this chapter.
    19    § 11. Subdivision 1 of section 217 of the workers'  compensation  law,
    20  as  amended by section 16 of part SS  of chapter 54 of the laws of 2016,
    21  is amended to read as follows:
    22    1. Written notice and proof of disability or proof of need for  family
    23  leave shall be furnished to the employer by or on behalf of the employee
    24  claiming  benefits  or,  in  the  case  of  a claimant under section two
    25  hundred seven of this article, to the chair, within  thirty  days  after
    26  commencement  of  the  period  of  disability. Additional proof shall be
    27  furnished thereafter from time to time as the  employer  or  carrier  or
    28  chair  may  require  but  not more often than once each week. Such proof
    29  shall include a statement of disability  by  the  employee's  [attending
    30  physician or attending podiatrist or attending chiropractor or attending
    31  dentist  or  attending psychologist or attending certified nurse midwife
    32  or family leave care recipient's health care provider, or in the case of
    33  an employee who adheres to the faith  or  teachings  of  any  church  or
    34  denomination, and who in accordance with its creed, tenets or principles
    35  depends  for  healing  upon  prayer through spiritual means alone in the
    36  practice of  religion,  by  an  accredited  practitioner,]  health  care
    37  provider  containing facts and opinions as to such disability in compli-
    38  ance with regulations of the chair. Failure to furnish notice  or  proof
    39  within  the  time  and in the manner above provided shall not invalidate
    40  the claim but no benefits shall be required to be paid  for  any  period
    41  more  than  two  weeks  prior to the date on which the required proof is
    42  furnished unless it shall be shown to the satisfaction of the chair  not
    43  to  have  been  reasonably  possible to furnish such notice or proof and
    44  that such notice or proof was furnished as soon as  possible;  provided,
    45  however,  that  no  benefits shall be paid unless the required proof [of
    46  disability] is furnished within the period of actual disability or fami-
    47  ly leave that does not exceed the  statutory  maximum  period  permitted
    48  under  section  two  hundred four of this article. No limitation of time
    49  provided in this section shall run as against any disabled employee  who
    50  is  mentally  incompetent,  or  physically  incapable  of providing such
    51  notice as a result of a serious medical condition, or a minor so long as
    52  such person has no guardian of the person and/or property.
    53    § 12. Section 218 of the workers' compensation law, as added by  chap-
    54  ter  600 of the laws of 1949, subdivision 2 as amended by chapter 809 of
    55  the laws of 1985, is amended to read as follows:

        A. 10561                            8

     1    § 218. [Disability benefit] Benefit rights inalienable. 1. Any  agree-
     2  ment by an employee to waive [his] their rights under this article shall
     3  be void.
     4    2.  Disability  or  family  leave  benefits payable under this article
     5  shall not be assigned or released, except as provided in  this  article,
     6  and  shall  be  exempt  from  all  claims  of  creditors  and from levy,
     7  execution and attachment or other remedy for recovery or collection of a
     8  debt, which exemption may not be waived  provided,  however,  that  such
     9  benefits  shall  be  subject to an income execution or order for support
    10  enforcement pursuant to section fifty-two hundred forty-one or fifty-two
    11  hundred forty-two of the civil practice law and rules.
    12    § 13. Section 221 of the workers'  compensation  law,  as  amended  by
    13  section  19  of part SS of chapter 54 of the laws of 2016, is amended to
    14  read as follows:
    15    § 221. Determination of contested claims  for  disability  and  family
    16  leave  benefits.  In  accordance  with regulations adopted by the chair,
    17  within twenty-six weeks of written notice of  rejection  of  claim,  the
    18  employee  may file with the chair a notice that [his or her] their claim
    19  for disability or family leave benefits  has  not  been  paid,  and  the
    20  employee shall submit proof of disability or entitlement to family leave
    21  and  of  [his or her] their employment, wages and other facts reasonably
    22  necessary for determination of the employee's right  to  such  benefits.
    23  Failure  to file such notice within the time provided, may be excused if
    24  it can be shown not to have been reasonably  possible  to  furnish  such
    25  notice and that such notice was furnished as soon as possible. On demand
    26  the  employer  or  carrier  shall  forthwith  deliver  to  the board the
    27  original or a true copy of the health care provider's report,  wage  and
    28  employment  data  and  all  other documentation in the possession of the
    29  employer or carrier with respect to such claim.
    30    The chair or designee, shall have full power and authority  to  deter-
    31  mine  all issues in relation to every such claim for disability benefits
    32  required or provided under this article, and shall file its decision  in
    33  the office of the chairman. Upon such filing, the chairman shall send to
    34  the  parties  a  copy of the decision. Either party may present evidence
    35  and be represented by counsel at any hearing on such claim. The decision
    36  of the board shall be final as to all questions of fact and,  except  as
    37  provided in section twenty-three of this chapter, as to all questions of
    38  law.  Every decision shall be complied with in accordance with its terms
    39  within ten days thereafter except as permitted by law upon the filing of
    40  a request for review, and any payments due  under  such  decision  shall
    41  draw  simple  interest  from thirty days after the making thereof at the
    42  rate provided in section five thousand four of the  civil  practice  law
    43  and  rules. The chair shall adopt rules and regulations to carry out the
    44  provisions of this article including but not limited  to  resolution  of
    45  contested  claims  and requests for review thereof, and payment of costs
    46  for resolution of disputed claims by carriers.  Any  designated  process
    47  shall  afford  the parties the opportunity to present evidence and to be
    48  represented by counsel in any such proceeding. The chair shall have  the
    49  authority  to  provide for alternative dispute resolution procedures for
    50  claims arising under disability and  family  leave,  including  but  not
    51  limited to referral and submission of disputed claims to a neutral arbi-
    52  trator  under  the auspices of an alternative dispute resolution associ-
    53  ation pursuant to article seventy-five of the  civil  practice  law  and
    54  rules.  Neutral  arbitrator shall mean an arbitrator who does not have a
    55  material interest in the outcome of the  arbitration  proceeding  or  an
    56  existing  and  substantial  relationship,  including  but not limited to

        A. 10561                            9

     1  pecuniary interests, with a party, counsel or representative of a party.
     2  Any determination made by alternative dispute resolution  shall  not  be
     3  reviewable by the board and the venue for any appeal shall be to a court
     4  of competent jurisdiction.
     5    §  14.  Section  228  of  the  workers'  compensation law, as added by
     6  section 27 of part GG of chapter 57 of the laws of 2013, is  amended  to
     7  read as follows:
     8    §  228.  Administrative  expenses.  1.  The  estimated annual expenses
     9  necessary  for  the  workers'  compensation  board  to  administer   the
    10  provisions of the disability and paid family leave benefits law shall be
    11  borne  by  all affected employers and included as part of the assessment
    12  rate generated pursuant  to  subdivision  two  of  section  one  hundred
    13  fifty-one of this chapter.
    14    2.  Annually, as soon as practicable after the first day of April, the
    15  chair and department of audit and  control  shall  ascertain  the  total
    16  amount of actual expenses.
    17    §  15.  Subsection (n) of section 4235 of the insurance law is amended
    18  by adding a new paragraph 4 to read as follows:
    19    (4)(A) The superintendent shall establish by September first  of  each
    20  year  the  maximum  employee  contribution  that  a covered employer, as
    21  defined in section two hundred two of the workers' compensation law,  is
    22  authorized  to  collect  from  each  employee for the cost of disability
    23  benefits provided pursuant to article nine of the workers'  compensation
    24  law  through  a  group accident and health insurance policy or through a
    25  self-funded employer for its employees.   Beginning January  first,  two
    26  thousand  twenty-six,  the maximum employee contribution amount shall be
    27  two dollars and twenty cents per week, and beginning January first,  two
    28  thousand  twenty-nine,  the  maximum employee contribution shall be one-
    29  half of one percent of the employee's wages but shall not  exceed  forty
    30  percent  of  the average of the combination of all employee and employer
    31  contributions to disability benefits provided pursuant to paragraph  (b)
    32  of  subdivision  two of section two hundred four of the workers' compen-
    33  sation law during the prior  calendar  year,  which  the  superintendent
    34  shall determine and publish on the department's website.
    35    (B)  A self-funded employer shall submit reports to the superintendent
    36  for the purpose of determining forty  percent  of  the  average  of  the
    37  combination  of  all  employee  and employer contributions to disability
    38  benefits provided pursuant  to  paragraph  (b)  of  subdivision  two  of
    39  section two hundred four of the workers' compensation law.  A self-fund-
    40  ed  employer  shall submit a report to the superintendent by July first,
    41  two thousand twenty-five that sets forth employee and employer  contrib-
    42  utions  to  disability  benefits  provided  pursuant to paragraph (b) of
    43  subdivision two of section two hundred four of the workers' compensation
    44  law for the year-ending two thousand twenty-four, in a format determined
    45  by the superintendent.  Beginning April first, two thousand  twenty-six,
    46  and annually thereafter, a self-funded employer shall submit a report to
    47  the  superintendent  that sets forth employee and employer contributions
    48  to disability benefits provided pursuant to paragraph (b) of subdivision
    49  two of section two hundred four of the workers' compensation law for the
    50  prior calendar year, in a format determined by the superintendent.
    51    § 16. Section 2605 of the insurance law is amended to read as follows:
    52    § 2605. Penalty for violating workers' compensation  law.  The  super-
    53  intendent may impose a penalty not to exceed twenty-five hundred dollars
    54  per  violation  upon  any  insurer  required  to  be  licensed under the
    55  provisions of this chapter, if, after notice to and a  hearing  of  such

        A. 10561                           10

     1  insurer,  [he]  the  superintendent  finds it has unreasonably failed to
     2  comply with the workers' compensation law.
     3    §  17.  This  act shall take effect immediately and shall apply to all
     4  policies issued, renewed, modified, altered,  or  amended  on  or  after
     5  January 1, 2026.