WORKERS COMP:  RESERVE OFFICERS                                                             S.B. 387:

                                                                                                      FLOOR SUMMARY

Senate Bill 387 (as reported without amendment)

Sponsor:  Senator Tonya Schuitmaker

Committee:  Reforms, Restructuring and Reinventing

CONTENT

The bill would amend the definition the Worker's Disability Compensation Act to include a reserve or auxiliary police officer as an employee of the State for purposes of the Act when he or she was performing duties in that capacity.

Specifically, the bill would amend the Act's definition of "employee" to require a reserve or auxiliary officer to be considered an employee of the State when performing duties or services as a reserve or auxiliary officer.  The State would have to exercise all the rights and obligations of an employer and carrier under the Act.

"Reserve or auxiliary officer" would mean an individual authorized on a voluntary or irregular basis by a duly authorized police agency of this State or a political subdivision of the State to act as a law enforcement officer, who is responsible for the preservation of the peace, the prevention and detection of crime, and the enforcement of the general criminal laws of this State.

For purposes of calculating compensation, the bill would require a reserve or auxiliary officer to be considered to be receiving the greater of his or her average weekly wage at the time of injury or death, or the State average weekly wage at the time of injury or death.

MCL 418.161                                                             Legislative Analyst:  Glenn Steffens

FISCAL IMPACT

The bill would have a minor negative fiscal impact on State government and no fiscal impact on local units of government.  By making reserve or auxiliary police officers eligible for worker's compensation benefits, the bill would increase the number of employees covered under the State's worker's compensation program, which would result in increased costs to the system.  It is unknown at this time how many reserve or auxiliary police officers are employed in the State, or how many of them would be injured and begin collecting benefits under the bill.  It would be reasonable to expect the bill to result in a relatively small number of new claims, which would have a minor, but negative fiscal impact on State government.

Date Completed:  10-2-13                                                     Fiscal Analyst:  Josh Sefton

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.