As Passed by the House                        1            

122nd General Assembly                                             4            

   Regular Session                      Am. Sub. H. B. No. 362     5            

      1997-1998                                                    6            


REPRESENTATIVES THOMPSON-JOHNSON-AMSTUTZ-CATES-CORE-VESPER-CORBIN-  8            

                TERWILLEGER-BRADING-GARCIA-TAYLOR                  9            


                                                                   11           

                           A   B I L L                                          

             To amend sections 4121.01, 4121.02, 4121.03,          13           

                4121.09, 4121.10, 4121.34, and 4121.35 of the      14           

                Revised Code to designate the Chairperson  of the  15           

                Industrial Commission as the Chief Executive       16           

                Officer of the Commission; to change the title of  18           

                the chief administrative  officer of the           19           

                Commission to executive director;  to specify the  20           

                authority of the Chairperson; to limit the         22           

                authority of the members of the  Commission to     23           

                rulemaking, appeals, reconsiderations, and other   24           

                adjudicatory powers; to remove the requirement     25           

                that  the Commission appoint district and staff    27           

                hearing officers and to  require the Chairperson   28           

                to obtain the approval of at least one other       29           

                Commission  member prior to hiring district and    31           

                staff hearing officers; to require  the Governor   32           

                to appoint the Chairperson; and to make            34           

                appropriations for the Industrial  Commission for  35           

                the biennium beginning July 1, 1997, and ending    36           

                June 30, 1999.                                     37           




BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        38           

      Section 1.  That sections 4121.01, 4121.02, 4121.03,         40           

4121.09, 4121.10, 4121.34, and 4121.35 of the Revised Code be      41           

amended to read as follows:                                                     

      Sec. 4121.01.  (A)  As used in sections 4121.01 to 4121.29   50           

                                                          2      

                                                                 
of the Revised Code:                                               51           

      (A)(1)  "Place of employment" means every place, whether     53           

indoors or out, or underground, and the premises appurtenant       54           

thereto, where either temporarily or permanently any industry,     55           

trade, or business is carried on, or where any process or          56           

operation, directly or indirectly related to any industry, trade,  57           

or business, is carried on and where any person is directly or     58           

indirectly employed by another for direct or indirect gain or      59           

profit, but does not include any place where persons are employed  60           

in private domestic service or agricultural pursuits which do not  61           

involve the use of mechanical power.                               62           

      (B)(2)  "Employment" means any trade, occupation, or         64           

process of manufacture or any method of carrying on such trade,    65           

occupation, or process of manufacture in which any person may be   66           

engaged, except in such private domestic service or agricultural   67           

pursuits as do not involve the use of mechanical power.            68           

      (C)(3)  "Employer" means every person, firm, corporation,    70           

agent, manager, representative, or other person having control or  71           

custody of any employment, place of employment, or employee.       72           

      (D)(4)  "Employee" means every person who may be required    74           

or directed by any employer, in consideration of direct or         75           

indirect gain or profit, to engage in any employment, or to go,    76           

or work, or be at any time in any place of employment.             77           

      (E)(5)  "Frequenter" means every person, other than an       79           

employee, who may go in or be in a place of employment under       80           

circumstances which render him THE PERSON other than a             81           

trespasser.                                                        82           

      (F)(6)  "Deputy" means any person employed by the            84           

industrial commission or the bureau of workers' compensation,      85           

designated as a deputy by the commission or the administrator of   86           

workers' compensation, who possesses special, technical,           87           

scientific, managerial, professional, or personal abilities or     88           

qualities in matters within the jurisdiction of the commission or  89           

the bureau, and who may be engaged in the performance of duties    90           

                                                          3      

                                                                 
under the direction of the commission or the bureau calling for    91           

the exercise of such abilities or qualities.                       92           

      (G)(7)  "Order" means any decision, rule, regulation,        94           

direction, requirement, or standard, or any other determination    95           

or decision which THAT the bureau is empowered to and does make.   96           

      (H)(8)  "General order" means an order which THAT applies    100          

generally throughout the state to all persons, employments, or     101          

places of employment, or all persons, employments, or places of    102          

employment of a class under the jurisdiction of the bureau.  All   103          

other orders shall be considered special orders.                   104          

      (I)(9)  "Local order" means any ordinance, order, rule, or   106          

determination of the legislative authority of any municipal        107          

corporation, or any trustees, or board or officers of any          108          

municipal corporation upon any matter over which the bureau has    110          

jurisdiction.                                                                   

      (J)(10)  "Welfare" means comfort, decency, and moral         112          

well-being.                                                        113          

      (K)(11)  "Safe" or "safety," as applied to any employment    115          

or a place of employment, means such freedom from danger to the    116          

life, health, safety, or welfare of employees or frequenters as    117          

the nature of the employment will reasonably permit, including     118          

requirements as to the hours of labor with relation to the health  119          

and welfare of employees.                                          120          

      (B)  AS USED IN THE REVISED CODE:                            123          

      (1)  "INDUSTRIAL COMMISSION" MEANS THE CHAIRPERSON OF THE    125          

THREE-MEMBER INDUSTRIAL COMMISSION CREATED PURSUANT TO SECTION     126          

4121.02 OF THE REVISED CODE WHEN THE CONTEXT REFERS TO THE         128          

AUTHORITY VESTED IN THE CHAIRPERSON AS THE CHIEF EXECUTIVE                      

OFFICER OF THE THREE-MEMBER INDUSTRIAL COMMISSION PURSUANT TO      129          

DIVISIONS (A), (B), (C), AND (D) OF SECTION 4121.03 OF THE         134          

REVISED CODE.                                                                   

      (2)  "INDUSTRIAL COMMISSION" MEANS THE THREE-MEMBER          136          

INDUSTRIAL COMMISSION CREATED PURSUANT TO SECTION 4121.02 OF THE   137          

REVISED CODE WHEN THE CONTEXT REFERS TO THE AUTHORITY VESTED IN    139          

                                                          4      

                                                                 
THE THREE-MEMBER INDUSTRIAL COMMISSION PURSUANT TO DIVISION (E)    140          

OF SECTION 4121.03 OF THE REVISED CODE.                            141          

      (3)  "INDUSTRIAL COMMISSION" MEANS THE INDUSTRIAL            143          

COMMISSION AS A STATE AGENCY WHEN THE CONTEXT REFERS TO THE        144          

AUTHORITY VESTED IN THE INDUSTRIAL COMMISSION AS A STATE AGENCY.   146          

      Sec. 4121.02.  (A)  There is hereby created the industrial   155          

commission.  The commission shall consist of three members         156          

appointed by the governor, with the advice and consent of the      157          

senate.  One member shall be an individual who, on account of      158          

the individual's previous vocation, employment, or affiliations,   159          

can be classed as a representative of employers; one shall be an   161          

individual who, on account of the individual's previous vocation,  162          

employment, or affiliations, can be classed as a representative    164          

of employees; and one shall be an individual who, on account of    165          

the individual's previous vocation, employment, or affiliations,   167          

can be classed as a representative of the public.  Each member AT  168          

LEAST TWO MEMBERS shall have not less than six OR MORE years of    169          

recognized expertise in the field of workers' compensation, and    170          

at least one member shall be an attorney registered to practice    171          

law in this state.  No more than two members of the industrial     172          

commission shall belong to or be affiliated with the same          173          

political party.                                                   174          

      (B)  Within thirty days after the industrial commission      176          

nominating council submits its list to the governor under          177          

division (D) of this section, the governor shall make initial      178          

appointments to the commission.  Of the initial appointments, the  179          

member who is a representative of employees shall serve a term     180          

ending on June 30, 1995; the member who is a representative of     181          

employers shall serve a term ending on June 30, 1997; and the      182          

member who is a representative of the public shall serve a term    183          

ending on June 30, 1999.  Thereafter, terms of office are for six  184          

years, beginning on the first day of July and ending on the        185          

thirtieth day of June.                                             186          

      (C)  Each member shall hold office from the date of the      188          

                                                          5      

                                                                 
member's confirmation by the senate, as provided in division (E)   189          

of this section, until the end of the term for which the member    190          

was appointed, except that if a member has not been appointed by   191          

the end of the term, the member shall remain in office until a     192          

THE MEMBER'S successor takes office, or until a period of sixty    194          

days has elapsed, whichever occurs first.  However, if a member    195          

is appointed to fill a full term subsequent to an initial          196          

appointment, the term of office is as provided in division (B) of  197          

this section.  The governor shall not appoint any person to more   198          

than two full six-year terms of office on the commission.  This    199          

restriction does not prevent the governor from appointing a        200          

person to fill a vacancy caused by death, resignation, or removal  201          

of a commission member, or from appointing that person twice to    202          

full terms on the commission, or from appointing a person          203          

previously appointed to fill less than a full term twice to full   204          

terms on the commission.  Except for the public member's tenure    205          

as chairperson of the self-insuring employer's evaluation board,   206          

a member of the commission shall hold no other public office or    207          

position of trust or profit, engage in any other occupation or     208          

business, or serve on any committee of any political party and     209          

shall devote full time to the member's duties as a member of the   210          

commission.                                                                     

      (D)  In making appointments to the commission, the governor  212          

shall select the members from the list of the names submitted by   213          

the industrial commission nominating council pursuant to this      214          

division.  Within thirty days after the effective date of this     215          

section, the nominating council shall submit to the governor for   217          

the initial appointments a list containing three separate names    218          

for the employer, employee, and public members to be filled.       219          

Within seven days of the submission of the initial list, the       220          

governor shall either appoint individuals from the list or                      

request the nominating council to submit another list of three     221          

names for each member the governor has not appointed from the      222          

original list, which list the nominating council shall submit to   224          

                                                          6      

                                                                 
the governor within seven days of the governor's request.  The                  

governor then shall appoint, within seven days of the submission   225          

of the second list, individuals from either list to fill each      226          

position for which the governor has not made an appointment from   227          

the original list.  Thereafter, within sixty days of a vacancy     228          

occurring as a result of the expiration of a term and within       229          

thirty days after other vacancies occurring on the commission,     230          

the nominating council shall submit an initial list containing     231          

three names for each vacancy.  Within seven days of the            232          

submission of the initial list, the governor shall either appoint  233          

individuals from the list or request the nominating council to     234          

submit another list of three names for each member the governor    235          

has not appointed from the original list, which list the           236          

nominating council shall submit to the governor within fourteen    237          

days of the governor's request.  The governor then shall appoint,  238          

within seven days of the submission of the second list, one of     239          

the individuals from either list to fill the vacancy for which     240          

the governor has not made an appointment from the original list.   241          

In order for a name of an individual to be submitted to the        242          

governor under this division, the nominating council shall         243          

approve the individual by an affirmative vote of not less than     244          

two-thirds of its members.                                         245          

      (E)  The governor shall notify the senate of the names of    247          

the individuals for whom the governor is making the initial        248          

appointments to the commission within thirty days after the        249          

submission of the names to the governor by the industrial          250          

commission nominating council under division (D) of this section.  251          

For appointments subsequent to the initial appointments under      252          

this division, if the appointment is to fill a member's term       253          

which is to expire, the governor shall notify the senate of the    254          

name of the individual to be appointed to fill that position by    255          

no later than the first day of June of the year that the term is   256          

to expire. For subsequent appointments to fill a vacancy on the    257          

commission occurring as a result of the death, resignation, or     258          

                                                          7      

                                                                 
removal of the commission member, the governor shall notify the    259          

senate of the name of the individual to be appointed to fill the   260          

remainder of that term within thirty days after the submission of  261          

the names to the governor by the nominating council under          262          

division (D) of this section.  For all appointments, the senate    263          

shall refer the matter to an appropriate standing committee for    264          

consideration of the appointments, and the committee shall hold a  265          

public hearing to consider the appointments.  After conclusion of  266          

the public hearing, the standing committee shall make its          267          

recommendations to the senate.  The senate shall not confirm any   268          

appointee if the individual does not meet the qualifications of    269          

division (A) of this section or if the individual has not been     270          

approved by the industrial commission nominating council as        271          

provided in division (D) of this section.  If the full senate      272          

fails to take a final vote on an appointment within thirty days    273          

after the governor submits the names to the senate under this      274          

division, the individual's appointment is deemed confirmed by the  275          

senate and the individual shall take the office of commission      276          

member subject to removal as provided in division (F) of this      277          

section.                                                                        

      (F)  The governor may remove or suspend a member of the      279          

commission pursuant to section 3.04 of the Revised Code.  The      280          

governor shall notify the senate of any decision to remove or      281          

suspend a commission member.  The senate shall refer the matter    282          

to an appropriate standing committee for consideration and the     283          

committee shall hold a public hearing to consider the matter.  At  284          

the hearing, the governor or the governor's authorized             285          

representative may present evidence and give testimony in support  286          

of the decision.  The commission member or the member's            287          

authorized representatives may appear and present evidence and     288          

testimony.  After conclusion of the public hearing, the committee  289          

shall make its recommendation to the senate.                       290          

      Upon receipt of a recommendation from the standing           292          

committee, the senate shall vote on the issue of whether to        293          

                                                          8      

                                                                 
advise and consent to the removal or suspension of the member.     294          

The senate shall vote on the matter within sixty legislative days  295          

from the date the governor communicates the decision to remove or  297          

suspend the member.                                                298          

      (G)  The governor shall determine the compensation of the    300          

members of the commission, based upon such facts as the governor   302          

considers appropriate, provided that the salary of each member                  

shall be no less than seventy-five thousand dollars per year.  In  304          

addition, each commission member shall receive an annual salary    305          

increase based upon the average salary increases of other state    306          

department directors for that year, not to exceed five per cent    307          

per year.                                                                       

      (H)  Before entering upon the duties of office, each member  310          

shall take and subscribe to the constitutional oath of office and  311          

swear and affirm that the member holds no position under any       312          

committee of a political party, which oath or affirmation the                   

member shall file in the office of the governor.  Each member      313          

shall give a bond in the sum of fifty thousand dollars, which      314          

bond shall be approved by the governor and filed with the          315          

treasurer of state.  All employees or deputies of the commission   316          

who receive or disburse state funds shall give a bond to the       317          

state in the amounts and surety approved by the industrial         318          

commission.                                                        319          

      Sec. 4121.03.  (A)  The governor shall appoint FROM AMONG    328          

THE MEMBERS OF THE INDUSTRIAL COMMISSION the initial chairperson   330          

of the industrial commission at the time of making initial         332          

appointments to the commission under section 4121.02 of the        333          

Revised Code, who.  THE CHAIRPERSON shall serve as chairperson     334          

for a term of one year.  Thereafter, the commission annually       335          

shall elect one of its members as chairperson.  No member shall    336          

be appointed or elected as chairperson for more than three         337          

consecutive one-year terms.  A majority of the commission          339          

constitutes a quorum to transact business.  No vacancy impairs     340          

the rights of the remaining members to exercise all of the powers  341          

                                                          9      

                                                                 
of the commission, so long as a majority remains.  Any             342          

investigation, inquiry, or hearing that the commission may hold    343          

or undertake may be held or undertaken by or before any one        344          

member of the commission, or by or before one of the deputies of   345          

the commission, except as otherwise provided in this chapter and   346          

Chapters 4123., 4127., and 4131. of the Revised Code, and every    347          

order made by a member, or by a deputy, when approved and          348          

confirmed by a majority of the members, and so shown on its        349          

record of proceedings, is the order of the commission AT THE       351          

PLEASURE OF THE GOVERNOR.  THE CHAIRPERSON IS THE HEAD OF THE      352          

COMMISSION AND ITS CHIEF EXECUTIVE OFFICER.                                     

      (B)  The commission CHAIRPERSON shall appoint a secretary,   355          

AFTER CONSULTATION WITH OTHER COMMISSION MEMBERS AND OBTAINING     356          

THE APPROVAL OF AT LEAST ONE OTHER COMMISSION MEMBER, AN           357          

EXECUTIVE DIRECTOR of the commission.  THE EXECUTIVE DIRECTOR      359          

SHALL SERVE AT THE PLEASURE OF THE CHAIRPERSON.  The secretary     360          

EXECUTIVE DIRECTOR, under the overall policy direction of the      363          

commission CHAIRPERSON, shall perform all of the following                      

duties:                                                            364          

      (1)  Act as chief administrative officer for the             366          

commission;                                                        367          

      (2)  Ensure that all commission personnel follow the rules   369          

of the commission;                                                 370          

      (3)  Ensure that all orders, awards, and determinations are  372          

properly heard and signed, prior to attesting to the documents;    373          

      (4)  Coordinate, to the fullest extent possible, commission  375          

activities with the bureau of workers' compensation activities;    376          

      (5)  Do all things necessary for the efficient and           378          

effective implementation of the duties of the commission.          379          

      The responsibilities assigned to the secretary EXECUTIVE     381          

DIRECTOR of the commission do not relieve the members of the       383          

commission CHAIRPERSON from final responsibility for the proper    384          

performance of the acts specified in this division.                386          

      (C)  The commission CHAIRPERSON shall do all of the          388          

                                                          10     

                                                                 
following:                                                                      

      (1)  Employ EXCEPT AS OTHERWISE PROVIDED IN THIS DIVISION,   390          

EMPLOY, promote, supervise, and remove, AND ESTABLISH THE          392          

COMPENSATION OF all employees as needed in connection with the     393          

performance of its THE COMMISSION'S duties under this chapter and  395          

Chapters 4123., 4127., and 4131. of the Revised Code and may       396          

assign to them their duties to the extent necessary to achieve     397          

the most efficient performance of its functions, and to that end   398          

may establish, change, or abolish positions, and assign and        399          

reassign duties and responsibilities of every employee of the      400          

commission.  The civil service status of any person employed by    401          

the commission prior to November 3, 1989, is not affected by this  402          

section.  Personnel employed by the bureau or the commission who   403          

are subject to Chapter 4117. of the Revised Code shall retain all  404          

of their rights and benefits conferred pursuant to that chapter    405          

as it presently exists or is hereafter amended and nothing in      406          

this chapter or Chapter 4123. of the Revised Code shall be         407          

construed as eliminating or interfering with Chapter 4117. of the  408          

Revised Code or the rights and benefits conferred under that       409          

chapter to public employees or to any bargaining unit.             410          

      (2)  Establish the compensation of HIRE DISTRICT AND staff   412          

hearing officers and their immediate supervisors and take          414          

whatever steps are necessary to achieve adequate compensation for  415          

other hearing officers AFTER CONSULTATION WITH OTHER COMMISSION    416          

MEMBERS AND OBTAINING THE APPROVAL OF AT LEAST ONE OTHER           417          

COMMISSION MEMBER;                                                              

      (3) FIRE STAFF AND DISTRICT HEARING OFFICERS WHEN THE        419          

CHAIRPERSON FINDS APPROPRIATE AFTER OBTAINING THE APPROVAL OF AT   420          

LEAST ONE OTHER COMMISSION MEMBER;                                 421          

      (4)  Maintain its THE office FOR THE COMMISSION in Columbus  425          

and may hold sessions at any place within the state;               426          

      (4)  Hear appeals and reconsiderations as provided in        428          

section 4123.511 of the Revised Code;                              429          

      (5)  To the maximum extent possible, use electronic data     431          

                                                          11     

                                                                 
processing equipment for the issuance of orders immediately        432          

following a hearing, scheduling of hearings and medical            433          

examinations, tracking of claims, retrieval of information, and    434          

any other matter within the commission's jurisdiction, and shall   435          

provide and input information into the electronic data processing  436          

equipment as necessary to effect the success of the claims         437          

tracking system established pursuant to division (B)(15) of        438          

section 4121.121 of the Revised Code;                              439          

      (6)  EXERCISE ALL ADMINISTRATIVE AND NONADJUDICATORY POWERS  442          

AND DUTIES CONFERRED UPON THE COMMISSION BY CHAPTERS 4121.,        443          

4123., 4127., AND 4131. OF THE REVISED CODE;                       444          

      (7)  APPROVE ALL CONTRACTS FOR SPECIAL SERVICES.             446          

      (D)  The commission CHAIRPERSON IS RESPONSIBLE FOR ALL       448          

ADMINISTRATIVE MATTERS AND may secure for itself THE COMMISSION    450          

facilities, equipment, and supplies necessary to house itself THE  451          

COMMISSION, any employees, and files and records under its THE     453          

COMMISSION'S control and to discharge any duty imposed upon it     455          

THE COMMISSION by law, the expense thereof to be audited and paid  457          

in the same manner as other state expenses.  For that purpose,     458          

the commission CHAIRPERSON, separately from the budget prepared    459          

by the administrator of workers' compensation, shall prepare and   460          

submit to the office of budget and management a budget for each    461          

biennium according to sections 101.55 and 107.03 of the Revised    462          

Code.  The budget submitted shall cover the costs of the           463          

commission and staff and district hearing officers in the          464          

discharge of any duty imposed upon the CHAIRPERSON, THE            465          

commission, and hearing officers by law.                           466          

      (E)  The commission is responsible for the establishment of  468          

A MAJORITY OF THE COMMISSION CONSTITUTES A QUORUM TO TRANSACT      470          

BUSINESS.  NO VACANCY IMPAIRS THE RIGHTS OF THE REMAINING MEMBERS  471          

TO EXERCISE ALL OF THE POWERS OF THE COMMISSION, SO LONG AS A      472          

MAJORITY REMAINS.  ANY INVESTIGATION, INQUIRY, OR HEARING THAT     473          

THE COMMISSION MAY HOLD OR UNDERTAKE MAY BE HELD OR UNDERTAKEN BY  474          

OR BEFORE ANY ONE MEMBER OF THE COMMISSION, OR BEFORE ONE OF THE   475          

                                                          12     

                                                                 
DEPUTIES OF THE COMMISSION, EXCEPT AS OTHERWISE PROVIDED IN THIS   476          

CHAPTER AND CHAPTERS 4123., 4127., AND 4131. OF THE REVISED CODE.  479          

EVERY ORDER MADE BY A MEMBER, OR BY A DEPUTY, WHEN APPROVED AND    480          

CONFIRMED BY A MAJORITY OF THE MEMBERS, AND SO SHOWN ON ITS        481          

RECORD OF PROCEEDINGS, IS THE ORDER OF THE COMMISSION.  THE        482          

COMMISSION MAY HOLD SESSIONS AT ANY PLACE WITHIN THE STATE.  THE   483          

COMMISSION IS RESPONSIBLE FOR ALL OF THE FOLLOWING:                484          

      (1)  ESTABLISHING the overall adjudicatory policy and        486          

management of the commission under this chapter and Chapters       487          

4123., 4127., and 4131. of the Revised Code, except for those      488          

administrative matters within the jurisdiction of the              489          

CHAIRPERSON, bureau of workers' compensation, and the              490          

administrator of workers' compensation under those chapters;       491          

      (2)  HEARING APPEALS AND RECONSIDERATIONS UNDER THIS         493          

CHAPTER AND CHAPTERS 4123., 4127., AND 4131. OF THE REVISED CODE;  495          

      (3)  ENGAGING IN RULEMAKING WHERE REQUIRED BY THIS CHAPTER   498          

OR CHAPTER 4123., 4127., OR 4131. OF THE REVISED CODE.             499          

      Sec. 4121.09.  The industrial commission shall have an       508          

official seal for the authentication of its orders and             509          

proceedings, upon which seal shall be engraved "The Industrial     510          

Commission of Ohio," and such other design as the commission       511          

prescribes.  The courts in this state shall take judicial notice                

of such seal, and in all cases copies of orders, proceedings, or   512          

records in the office of the commission, certified by the          513          

secretary EXECUTIVE DIRECTOR of the commission under its seal,     515          

shall be equal to the original as evidence.                                     

      Sec. 4121.10.  The industrial commission shall be in         524          

continuous session and open for the transaction of business        525          

during all business hours of every day excepting Sundays and       526          

legal holidays.  The sessions of the commission shall be open to   527          

the public and shall stand and be adjourned without further                     

notice thereof on its record.  All of the proceedings of the       528          

commission shall be shown on its record, which shall be a public   529          

record, and all voting shall be had by calling the name of each    530          

                                                          13     

                                                                 
member of the industrial commission by the secretary EXECUTIVE     531          

DIRECTOR, and each member's vote shall be recorded on the record   532          

of proceedings as cast.  The commission shall keep a separate      533          

record of its proceedings relative to claims coming before it for  534          

compensation for injured and the dependents of killed employees,   535          

which record shall contain its findings and the award in each      536          

such claim for compensation considered by it, and in all such      537          

claims the reasons for the allowance or rejection thereof shall    538          

be stated in said record.                                                       

      Sec. 4121.34.  (A)  The industrial commission shall appoint  547          

a sufficient number of district DISTRICT hearing officers for the  549          

purpose of hearing SHALL HEAR the matters listed in division (B)   550          

of this section. District hearing officers are in the classified   552          

civil service of the state, are full-time employees of the         553          

INDUSTRIAL commission, and shall be persons admitted to the        555          

practice of law in this state.  District hearing officers shall    556          

not engage in any other activity that interferes with their        557          

full-time employment by the commission during normal working       558          

hours.                                                                          

      (B)  District hearing officers shall have original           560          

jurisdiction on all of the following matters:                      561          

      (1)  Determinations under section 4123.57 of the Revised     563          

Code;                                                              564          

      (2)  All appeals from a decision of the administrator of     566          

workers' compensation under division (B) of section 4123.511 of    567          

the Revised Code;                                                  568          

      (3)  All other contested claims matters under this chapter   570          

and Chapters 4123., 4127., and 4131. of the Revised Code, except   571          

those matters over which staff hearing officers have original      572          

jurisdiction.                                                      573          

      (C)  The administrator of workers' compensation shall make   575          

available to each district hearing officer the facilities and      576          

assistance of bureau employees and furnish all information         577          

necessary to the performance of the district hearing officer's     578          

                                                          14     

                                                                 
duties.                                                            579          

      (D)  A district hearing officer shall report to the          581          

inspection division of the bureau of workers' compensation         582          

suspected fraudulent activity pertaining to the operation of the   583          

workers' compensation system and its several insurance funds as    584          

evidenced during any hearing in which the hearing officer is                    

present or as evidenced by any material submitted for use in a     585          

hearing.  A district hearing officer shall be held harmless for    586          

submitting a report under this division.  The inspection division  587          

shall maintain in confidence the identity of any hearing officer   588          

who submits a report under this division.                                       

      Sec. 4121.35.  (A)  The industrial commission shall appoint  597          

staff STAFF hearing officers to SHALL consider and decide all      599          

matters specified in division (B) of this section.  All staff      600          

hearing officers are full-time employees of the INDUSTRIAL         601          

commission and shall be admitted to the practice of law in this    603          

state.  Staff hearing officers shall not engage in any other       605          

activity that interferes with their full-time employment by the    606          

commission during normal working hours.                                         

      (B)  Except as provided in division (D) of this section,     608          

staff hearing officers have original jurisdiction to hear and      609          

decide the following matters:                                      610          

      (1)  Applications for permanent total impairment awards      612          

pursuant to section 4123.58 of the Revised Code;                   613          

      (2)  Appeals from an order of a district hearing officer     615          

issued under division (C) of section 4123.511 of the Revised       616          

Code;                                                              617          

      (3)  Applications for additional awards for violation of a   619          

specific safety rule of the administrator of workers'              620          

compensation pursuant to Section 35 of Article II of the Ohio      621          

Constitution;                                                      622          

      (4)  Reviews of settlement agreements pursuant to section    624          

4123.65 of the Revised Code.  Decisions of the staff hearing       625          

officer under that section are final and not appealable to the     626          

                                                          15     

                                                                 
commission or to court under section 4123.511 or 4123.512 of the   627          

Revised Code.                                                      628          

      (C)  The decision of a staff hearing officer under division  630          

(D) of section 4123.511 of the Revised Code is the decision of     631          

the commission for the purposes of section 4123.512 of the         632          

Revised Code unless the commission hears an appeal under division  633          

(E) of section 4123.511 of the Revised Code.                       634          

      (D)  Staff hearing officers shall hold hearings on all       636          

matters referred to them for hearing.  Hearing procedures shall    637          

conform to the rules the commission adopts pursuant to section     638          

4121.36 of the Revised Code.                                       639          

      (E)  A staff hearing officer shall report to the inspection  641          

division of the bureau of workers' compensation suspected          642          

fraudulent activity pertaining to the operation of the workers'    643          

compensation system and its several insurance funds as evidenced   644          

during any hearing which the the hearing officer is present or as  645          

evidenced by any material submitted for use in a hearing.  A                    

staff hearing officer shall be held harmless for submitting a      646          

report under this division.  The inspection division shall         647          

maintain in confidence the identity of any hearing officer who     648          

submits a report under this division.                                           

      Section 2.  That existing sections 4121.01, 4121.02,         650          

4121.03, 4121.09, 4121.10, 4121.34, and 4121.35 of the Revised     651          

Code are hereby repealed.                                          652          

      Section 3.  All items in this section are hereby             654          

appropriated out of any moneys in the state treasury to the        655          

credit of the designated fund.  For all appropriations made in     656          

this section, those in the first column are for fiscal year 1998,  657          

and those in the second column are for fiscal year 1999.                        

                   OIC  INDUSTRIAL COMMISSION                      658          

FND ALI     ALI TITLE                    FY 1998        FY 1999    660          

Workers' Compensation Fund Group                                   662          

023 845-321 Operating Expenses    $   42,470,433 $   44,627,357    667          

023 845-410 Attorney General                                       669          

                                                          16     

                                                                 
            Payments              $    2,358,762 $    2,551,421    671          

023 845-402 Rent - William Green                                   673          

            Building              $    4,448,792 $    4,573,358    675          

821 845-605 Service Account       $      176,258 $      181,196    679          

TOTAL WCF Workers' Compensation                                    680          

   Fund Group                     $   49,454,245 $   51,933,332    683          

TOTAL ALL BUDGET FUND GROUPS      $   49,454,245 $   51,933,332    686          

      Rent - William Green Building                                689          

      The foregoing appropriation item 845-402, Rent - William     691          

Green Building, shall be used for rent and operating expenses for  692          

the space occupied by the Industrial Commission in the William     693          

Green Building.                                                                 

      Service Account                                              695          

      The foregoing appropriation item 845-605, Service Account,   697          

shall be used for any expense related to funds collected and       698          

deposited in Fund 821, such as coin copier expense, coin changer   699          

purchases, expenses related to conferences that produce revenue,   700          

publications that produce revenue, and replacement of furniture    701          

and equipment.                                                                  

      Section 4.  Within the limits set forth in this act, the     703          

Director of Budget and Management shall establish accounts         704          

indicating the source and amount of funds for each appropriation   705          

made in this act, and shall determine the form and manner in       706          

which appropriation accounts shall be maintained.                               

      The appropriations made in this act are subject to all       708          

provisions of H.B. 215 of the 122nd General Assembly that are      709          

generally applicable to such appropriations.                       710          

      Section 5.  Reissuance of Voided Warrants                    712          

      In order to provide funds for the reissuance of voided       714          

warrants pursuant to section 117.47 of the Revised Code, there is  715          

hereby appropriated, out of moneys in the state treasury from the  716          

fund credited as provided in section 117.47 of the Revised Code,   717          

that amount sufficient to pay such warrants when approved by the   718          

Office of Budget and Management.                                                

                                                          17     

                                                                 
      Section 6.  Judgments Against State                          720          

      Any appropriations contained in this act, except those to    722          

be applied to or used for payment of guarantees by or on behalf    723          

of the state or for debt service on bonds, notes, or certificates  724          

of participation, may be used pursuant to section 2743.15,         725          

2743.19, or 2743.191 of the Revised Code for the purpose of        726          

satisfying judgments, settlements, or administrative awards                     

ordered or approved by the Court of Claims in connection with      727          

civil actions against the state.                                   728          

      Section 7.  Reappropriation of Unexpended Balances           730          

      Notwithstanding section 131.33 of the Revised Code,          732          

unexpended balances of appropriations and reappropriations         733          

against which encumbrances have been lawfully incurred by a state  734          

agency are, at the close of fiscal year 1997, to the extent of     735          

such encumbrances, hereby reappropriated from the funds from                    

which they were originally appropriated and reappropriated and,    736          

except for encumbrances for items of special order manufacture     737          

not available on term contract or open market, made available for  738          

the purpose of discharging such encumbrances for a period of five  739          

months from the end of the fiscal year.  Unexpended balances of    740          

appropriations and reappropriations against which encumbrances     741          

for items of special order manufacture not available on term                    

contract or in the open market have been lawfully incurred are,    742          

at the close of the fiscal year, to the extent of such             743          

encumbrances, hereby reappropriated and made available for the     744          

purpose of discharging such encumbrances for a period of five      745          

months from the end of the fiscal year or, if the Director of                   

Budget and Management approves, for a period of not more than      746          

twelve months from the end of the fiscal year.                     747          

      Any items for which unexpended balances are reappropriated   749          

beyond a five-month period from the end of the fiscal year shall   750          

be reported to the Controlling Board by the Director of Budget     751          

and Management.  The report on each such item shall include the    752          

item, the cost of the item, the vendor involved, and the delivery  753          

                                                          18     

                                                                 
date.  Such reports to the board shall be updated on a quarterly                

basis while the encumbrance remains open.                          754          

      After any such period, reappropriations made for the         756          

purpose of discharging encumbrances for operating expenses,        757          

defined as those encumbrances incurred for personal services,      758          

maintenance, and equipment, are canceled.  Reappropriations for    759          

encumbrances other than operating expenses or items of special     760          

manufacture not available on term contract or in the open market                

may be extended by obtaining the approval of the Director of       761          

Budget and Management.                                             762          

      Section 8.  The Chairperson of the Industrial Commission     764          

shall on or before December 31, 1997, and subsequently on or       766          

before June 30, 1998, December 31, 1998, and June 30, 1999,        767          

prepare and present a report to the chairperson and ranking                     

members of the standing committees of the House of                 768          

Representatives and Senate to which matters dealing with workers'  769          

compensation and the Industrial Commission are normally referred,  770          

and to ranking members of both committees. Each report shall       771          

contain information relative to the number of cases disposed of    772          

in the immediately preceding six-month period, the number of       773          

cases pending, and the number of cases on appeal as well as the    774          

efforts the Commission has made in maintaining and improving       775          

communication with the Administrator of Workers' Compensation and  776          

the Bureau of Workers' Compensation.                                            

      Section 9.  If any item of law that constitutes the whole    778          

or part of a codified or uncodified section of law contained in    779          

this act, or if any application of any item of law that            780          

constitutes the whole or part of a codified or uncodified section  781          

of law contained in this act, is held invalid, the invalidity      782          

does not affect other items of law or applications of items of     783          

law that can be given effect without the invalid item of law or    784          

application.  To this end, the items of law of which the codified  785          

and uncodified sections of law contained in this act are           786          

composed, and their applications, are independent and severable.                

                                                          19     

                                                                 
      Section 10.  Except as otherwise specifically provided in    788          

this act, the codified and uncodified sections of law contained    790          

in this act, and the items of law of which the codified and        791          

uncodified sections of law contained in this act are composed,     793          

are not subject to the referendum.  Therefore, under Ohio          794          

Constitution, Article II, Section 1d and section 1.471 of the      795          

Revised Code, the codified and uncodified sections of law                       

contained in this act, and the items of law of which the codified  796          

and uncodified sections of law contained in this act are           798          

composed, go into immediate effect when this act becomes law.      799          

      Section 11.  Sections 4121.01, 4121.02, 4121.03, 4121.34,    801          

and 4121.35 of the Revised Code, as amended by this act, and the   802          

items of law of which such sections of the Revised Code, as        803          

amended by this act, are composed, are subject to the referendum.  804          

Therefore, under Ohio Constitution, Article II, Section 1c and     805          

section 1.471 of the Revised Code, such sections as amended by     806          

this act, and the items of law of which such sections as amended   807          

by this act are composed, take effect on the ninety-first day      808          

after this act is filed with the Secretary of State.  If,          809          

however, a referendum petition is filed against any such section   810          

as amended by this act, or against any item of law of which any    811          

such section as amended by this act is composed, the section as    812          

amended, or item of law, unless rejected at the referendum, takes  814          

effect at the earliest time permitted by law.