Am. Sub. H. B. No. 493 As Passed by the House

As Passed by the House

130th General Assembly

Regular Session

2013-2014

Am. Sub. H. B. No. 493

Representatives Sears, Henne

Cosponsors: Representatives Hackett, Huffman, Stebelton, Wachtmann

A BILL

To amend sections 1561.31, 2305.25, 2305.252,

4121.129, 4121.45, 4123.01, 4123.26, 4123.27,

4123.29, 4123.291, 4123.292, 4123.32, 4123.322,

4123.34, 4123.35, 4123.353, 4123.36, 4123.37,

4123.40, 4123.41, 4123.411, 4123.47, 4123.511,

4123.512, 4123.54, 4123.542, 4123.66, 4123.82,

4123.83, 4125.05, 4729.80, and 4729.86; to enact

sections 4121.443, 4121.447, and 4123.323; to

repeal section 4121.419 of the Revised Code; and

to amend Section 1 of Sub. H.B. 34 of the 130th

General Assembly, as subsequently amended, to make

changes to Ohio's Workers' Compensation Law.

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

Section 1. That sections 1561.31, 2305.25, 2305.252,	13
4121.129, 4121.45, 4123.01, 4123.26, 4123.27, 4123.29, 4123.291,	14
4123.292, 4123.32, 4123.322, 4123.34, 4123.35, 4123.353, 4123.36,	15
4123.37, 4123.40, 4123.41, 4123.411, 4123.47, 4123.511, 4123.512,	16
4123.54, 4123.542, 4123.66, 4123.82, 4123.83, 4125.05, 4729.80,	17
and 4729.86 be amended and sections 4121.443, 4121.447, and	18
4123.323 of the Revised Code be enacted to read as follows:	19

Sec. 1561.31. Each deputy mine inspector shall inspect each	20
mine in the inspector's district, the owner, lessee, agent, or	21
operator of which is an employer as defined in section 4123.01 of	22
the Revised Code, or any other mine at which three or more persons	23
work, at intervals not exceeding three months between inspections,	24
and all other mines in the inspector's district as often as	25
practical, noting particularly the location and condition of	26
buildings, the condition of the boiler, machinery, workings of the	27
mine, the traveling ways and haulageways, the circulation and	28
condition of the air and drainage, and the condition of electrical	29
circuits and appliances. The inspector shall make tests for	30
poisonous, explosive, and noxious gases, and shall specifically	31
order compliance with any section of this chapter and Chapters	32
1563., 1565., and 1567. and sections 1509.09, 1509.12, 1509.13,	33
1509.14, 1509.15, 1509.17, and 1509.18 of the Revised Code that	34
the inspector finds is being violated.	35

Upon completion of the inspection of a mine, the inspector	36
shall fill out a report of the conditions found during inspections	37
on a form provided by the chief of the division of mineral	38
resources management, which form shall provide for statements as	39
to whether the laws are being observed or violated, and if	40
violated, the nature and extent thereof, the date of the	41
inspection, the number of persons employed in and about the mine,	42
whether or not ~~a certificate of compliance~~the proof of workers'	43
compensation coverage issued pursuant to section 4123.35 of the	44
Revised Code is posted and the date of expiration thereof, and	45
matters, things, and practices that specifically are covered by	46
law, order of the chief, or previous order of the inspector. The	47
inspector shall make this report in quadruplicate or	48
quintuplicate, and send the original to the chief, post a copy at	49
the mine, give a copy to the mine superintendent, and retain a	50
copy for the inspector's files. Where the miners of a mine have a	51
mine safety committee, the inspector shall post one additional	52
copy of the report of that mine at that mine for the use and	53
possession of the committee. The report required by this section	54
shall be known as the inspector's routine report.	55

If an inspector orders compliance with this chapter and	56
Chapters 1563., 1565., and 1567. and sections 1509.09, 1509.12,	57
1509.13, 1509.14, 1509.15, 1509.17, and 1509.18 of the Revised	58
Code, and is assured by the superintendent of the mine to which	59
the order applies that the order will be complied with, the	60
inspector shall revisit the mine within a reasonable period of	61
time and ascertain whether or not the order has been complied	62
with. The inspector shall report the inspector's findings to the	63
chief on a form to be provided by the chief, and take action to	64
enforce compliance.	65

Sec. 2305.25. As used in this section and sections 2305.251	66
to 2305.253 of the Revised Code:	67

(A)(1) "Health care entity" means an entity, whether acting	68
on its own behalf or on behalf of or in affiliation with other	69
health care entities, that conducts as part of its regular	70
business activities professional credentialing or quality review	71
activities involving the competence of, professional conduct of,	72
or quality of care provided by health care providers, including	73
both individuals who provide health care and entities that provide	74
health care.	75

(2) "Health care entity" includes any entity described in	76
division (A)(1) of this section, regardless of whether it is a	77
government entity; for-profit or nonprofit corporation; limited	78
liability company; partnership; professional corporation; state or	79
local society composed of physicians, dentists, optometrists,	80
psychologists, or pharmacists; or other health care organization.	81

(B) "Health insuring corporation" means an entity that holds	82
a certificate of authority under Chapter 1751. of the Revised	83
Code. "Health insuring corporation" includes wholly owned	84
subsidiaries of a health insuring corporation.	85

(1) An institution that has been registered or licensed by	87
the department of health as a hospital;	88

(2) An entity, other than an insurance company authorized to	89
do business in this state, that owns, controls, or is affiliated	90
with an institution that has been registered or licensed by the	91
department of health as a hospital.	92

(D) "Incident report or risk management report" means a	93
report of an incident involving injury or potential injury to a	94
patient as a result of patient care provided by health care	95
providers, including both individuals who provide health care and	96
entities that provide health care, that is prepared by or for the	97
use of a peer review committee of a health care entity and is	98
within the scope of the functions of that committee.	99

(E)(1) "Peer review committee" means a utilization review	100
committee, quality assessment committee, performance improvement	101
committee, tissue committee, credentialing committee, or other	102
committee that does either of the following:	103

(a) Conducts professional credentialing or quality review	104
activities involving the competence of, professional conduct of,	105
or quality of care provided by health care providers, including	106
both individuals who provide health care and entities that provide	107
health care;	108

(b) Conducts any other attendant hearing process initiated as	109
a result of a peer review committee's recommendations or actions.	110

(2) "Peer review committee" includes all of the following:

111

(a) A peer review committee of a hospital or long-term care	112
facility or a peer review committee of a nonprofit health care	113
corporation that is a member of the hospital or long-term care	114
facility or of which the hospital or facility is a member;	115

(b) A peer review committee of a community mental health	116
center;	117

(c) A board or committee of a hospital, a long-term care	118
facility, or other health care entity when reviewing professional	119
qualifications or activities of health care providers, including	120
both individuals who provide health care and entities that provide	121
health care;	122

(d) A peer review committee, professional standards review	123
committee, or arbitration committee of a state or local society	124
composed of members who are in active practice as physicians,	125
dentists, optometrists, psychologists, or pharmacists;	126

(e) A peer review committee of a health insuring corporation	127
that has at least a two-thirds majority of member physicians in	128
active practice and that conducts professional credentialing and	129
quality review activities involving the competence or professional	130
conduct of health care providers that adversely affects or could	131
adversely affect the health or welfare of any patient;	132

(f) A peer review committee of a health insuring corporation	133
that has at least a two-thirds majority of member physicians in	134
active practice and that conducts professional credentialing and	135
quality review activities involving the competence or professional	136
conduct of a health care facility that has contracted with the	137
health insuring corporation to provide health care services to	138
enrollees, which conduct adversely affects, or could adversely	139
affect, the health or welfare of any patient;	140

(g) A peer review committee of a sickness and accident	141
insurer that has at least a two-thirds majority of physicians in	142
active practice and that conducts professional credentialing and	143
quality review activities involving the competence or professional	144
conduct of health care providers that adversely affects or could	145
adversely affect the health or welfare of any patient;	146

(h) A peer review committee of a sickness and accident	147
insurer that has at least a two-thirds majority of physicians in	148
active practice and that conducts professional credentialing and	149
quality review activities involving the competence or professional	150
conduct of a health care facility that has contracted with the	151
insurer to provide health care services to insureds, which conduct	152
adversely affects, or could adversely affect, the health or	153
welfare of any patient;	154

(i) A peer review committee of any insurer authorized under	155
Title XXXIX of the Revised Code to do the business of medical	156
professional liability insurance in this state that conducts	157
professional quality review activities involving the competence or	158
professional conduct of health care providers that adversely	159
affects or could affect the health or welfare of any patient;	160

(j) A peer review committee of the bureau of workers'	161
compensation or the industrial commission that is responsible for	162
reviewing the professional qualifications and the performance of	163
providers certified by the bureau to participate in the health	164
partnership program or of providers conducting medical	165
examinations or file reviews for the bureau or the commission;	166

(k) Any other peer review committee of a health care entity.

167

(F) "Physician" means an individual authorized to practice	168
medicine and surgery, osteopathic medicine and surgery, or	169
podiatric medicine and surgery.	170

(G) "Sickness and accident insurer" means an entity	171
authorized under Title XXXIX of the Revised Code to do the	172
business of sickness and accident insurance in this state.	173

(H) "Tort action" means a civil action for damages for	174
injury, death, or loss to a patient of a health care entity. "Tort	175
action" includes a product liability claim, as defined in section	176
2307.71 of the Revised Code, and an asbestos claim, as defined in	177
section 2307.91 of the Revised Code, but does not include a civil	178
action for a breach of contract or another agreement between	179
persons.	180

Sec. 2305.252. (A) Proceedings and records within the scope	181
of a peer review committee of a health care entity shall be held	182
in confidence and shall not be subject to discovery or	183
introduction in evidence in any civil action against a health care	184
entity or health care provider, including both individuals who	185
provide health care and entities that provide health care, arising	186
out of matters that are the subject of evaluation and review by	187
the peer review committee. No individual who attends a meeting of	188
a peer review committee, serves as a member of a peer review	189
committee, works for or on behalf of a peer review committee, or	190
provides information to a peer review committee shall be permitted	191
or required to testify in any civil action as to any evidence or	192
other matters produced or presented during the proceedings of the	193
peer review committee or as to any finding, recommendation,	194
evaluation, opinion, or other action of the committee or a member	195
thereof. Information, documents, or records otherwise available	196
from original sources are not to be construed as being unavailable	197
for discovery or for use in any civil action merely because they	198
were produced or presented during proceedings of a peer review	199
committee, but the information, documents, or records are	200
available only from the original sources and cannot be obtained	201
from the peer review committee's proceedings or records. An	202
individual who testifies before a peer review committee, serves as	203
a representative of a peer review committee, serves as a member of	204
a peer review committee, works for or on behalf of a peer review	205
committee, or provides information to a peer review committee	206
shall not be prevented from testifying as to matters within the	207
individual's knowledge, but the individual cannot be asked about	208
the individual's testimony before the peer review committee,	209
information the individual provided to the peer review committee,	210
or any opinion the individual formed as a result of the peer	211
review committee's activities. An order by a court to produce for	212
discovery or for use at trial the proceedings or records described	213
in this section is a final order.	214

(B) Division (A) of this section applies to a peer review	215
committee of the bureau of workers' compensation that is	216
responsible for reviewing the professional qualifications and the	217
performance of providers certified by the bureau to participate in	218
the health partnership program created under sections 4121.44 and	219
4121.441 of the Revised Code, except that the proceedings and	220
records within the scope of the peer review committee are subject	221
to discovery or court subpoena and may be admitted into evidence	222
in any criminal action or administrative or civil action	223
initiated, prosecuted, or adjudicated by the bureau involving an	224
alleged violation of applicable statutes or administrative rules.	225
The bureau may share proceedings and records within the scope of	226
the peer review committee, including claimant records and claim	227
file information, with law enforcement agencies, licensing boards,	228
and other governmental agencies that are prosecuting,	229
adjudicating, or investigating alleged violations of applicable	230
statutes or administrative rules. Recipients of claimant records	231
and claim file information provided by the bureau pursuant to this	232
division shall take appropriate measures to maintain the	233
confidentiality of the information.	234

Sec. 4121.129. (A) There is hereby created the workers'	235
compensation audit committee consisting of at least three members.	236
One member shall be the member of the bureau of workers'	237
compensation board of directors who is a certified public	238
accountant. The board, by majority vote, shall appoint two	239
additional members of the board to serve on the audit committee	240
and may appoint additional members who are not board members, as	241
the board determines necessary. Members of the audit committee	242
serve at the pleasure of the board, and the board, by majority	243
vote, may remove any member except the member of the committee who	244
is the certified public accountant member of the board. The board,	245
by majority vote, shall determine how often the audit committee	246
shall meet and report to the board. If the audit committee meets	247
on the same day as the board holds a meeting, no member shall be	248
compensated for more than one meeting held on that day. The audit	249
committee shall do all of the following:	250

(1) Recommend to the board an ~~accounting~~actuarial firm to	251
perform the annual ~~audits~~analysis required under section 4123.47	252
of the Revised Code;	253

(2) Recommend an auditing firm for the board to use when	254
conducting audits under section 4121.125 of the Revised Code;	255

(3) Review the results of each annual audit and management	256
review and, if any problems exist, assess the appropriate course	257
of action to correct those problems and develop an action plan to	258
correct those problems;	259

(4) Monitor the implementation of any action plans created	260
pursuant to division (A)(3) of this section;	261

(5) Review all internal audit reports on a regular basis.

262

(B) There is hereby created the workers' compensation	263
actuarial committee consisting of at least three members. One	264
member shall be the member of the board who is an actuary. The	265
board, by majority vote, shall appoint two additional members of	266
the board to serve on the actuarial committee and may appoint	267
additional members who are not board members, as the board	268
determines necessary. Members of the actuarial committee serve at	269
the pleasure of the board and the board, by majority vote, may	270
remove any member except the member of the committee who is the	271
actuary member of the board. The board, by majority vote, shall	272
determine how often the actuarial committee shall meet and report	273
to the board. If the actuarial committee meets on the same day as	274
the board holds a meeting, no member shall be compensated for more	275
than one meeting held on that day. The actuarial committee shall	276
do both of the following:	277

(1) Recommend actuarial consultants for the board to use for	278
the funds specified in this chapter and Chapters 4123., 4127., and	279
4131. of the Revised Code;	280

(2) Review calculations on rate schedules and performance	281
prepared by the actuarial consultants with whom the board enters	282
into a contract.	283

(C)(1) There is hereby created the workers' compensation	284
investment committee consisting of at least four members. Two of	285
the members shall be the members of the board who serve as the	286
investment and securities experts on the board. The board, by	287
majority vote, shall appoint two additional members of the board	288
to serve on the investment committee and may appoint additional	289
members who are not board members. Each additional member the	290
board appoints shall have at least one of the following	291
qualifications:	292

(a) Experience managing another state's pension funds or	293
workers' compensation funds;	294

(b) Expertise that the board determines is needed to make	295
investment decisions.	296

Members of the investment committee serve at the pleasure of	297
the board and the board, by majority vote, may remove any member	298
except the members of the committee who are the investment and	299
securities expert members of the board. The board, by majority	300
vote, shall determine how often the investment committee shall	301
meet and report to the board. If the investment committee meets on	302
the same day as the board holds a meeting, no member shall be	303
compensated for more than one meeting held on that day.	304

(2) The investment committee shall do all of the following:

305

(a) Develop the investment policy for the administration of	306
the investment program for the funds specified in this chapter and	307
Chapters 4123., 4127., and 4131. of the Revised Code in accordance	308
with the requirements specified in section 4123.442 of the Revised	309
Code;	310

(b) Submit the investment policy developed pursuant to	311
division (C)(2)(a) of this section to the board for approval;	312

(c) Monitor implementation by the administrator of workers'	313
compensation and the bureau of workers' compensation chief	314
investment officer of the investment policy approved by the board;	315

(d) Recommend outside investment counsel with whom the board	316
may contract to assist the investment committee in fulfilling its	317
duties;	318

(e) Review the performance of the bureau of workers'	319
compensation chief investment officer and any investment	320
consultants retained by the administrator to assure that the	321
investments of the assets of the funds specified in this chapter	322
and Chapters 4123., 4127., and 4131. of the Revised Code are made	323
in accordance with the investment policy approved by the board and	324
~~that the best possible return on~~to assure compliance with the	325
investment ~~is achieved~~policy and effective management of the	326
funds.	327

Sec. 4121.443. (A) The bureau of workers' compensation may	328
summarily suspend the certification of a provider to participate	329
in the health partnership program created under sections 4121.44	330
and 4121.441 of the Revised Code without a prior hearing if the	331
bureau determines any of the following apply to the provider:	332

(1) The professional license, certification, or registration	333
held by the provider has been revoked or suspended.	334

(2) The provider has been convicted of or has pleaded guilty	335
to a violation of section 2913.48 or sections 2923.31 to 2923.36	336
of the Revised Code or any other criminal offense related to the	337
delivery of or billing for health care benefits.	338

(3) The continued participation by the provider in the health	339
partnership program presents a danger to the health and safety of	340
claimants.	341

(B) The bureau shall issue a written order of summary	342
suspension by certified mail or in person in accordance with	343
section 119.07 of the Revised Code. The order shall not be subject	344
to suspension by the court during pendency of any appeal filed	345
under section 119.12 of the Revised Code. If the provider subject	346
to the summary suspension requests an adjudicatory hearing by the	347
bureau, the date set for the hearing shall be not later than	348
fifteen days, but not earlier than seven days, after the provider	349
requests the hearing, unless otherwise agreed to by both the	350
bureau and the provider.	351

(C) Any summary suspension imposed under this section shall	352
remain in effect, unless reversed on appeal, until a final	353
adjudication order issued by the bureau pursuant to this section	354
and Chapter 119. of the Revised Code takes effect. The bureau	355
shall issue its final adjudication order within seventy-five days	356
after completion of its hearing. A failure to issue the order	357
within the seventy-five-day time period shall result in	358
dissolution of the summary suspension order but shall not	359
invalidate any subsequent, final adjudication order.	360

Sec. 4121.447. Each contract the administrator of workers'	361
compensation enters into with a managed care organization under	362
division (B)(4) of section 4121.44 of the Revised Code shall	363
require the managed care organization to enter into a data	364
security agreement with the state board of pharmacy governing the	365
managed care organization's use of the board's drug database	366
established and maintained under section 4729.75 of the Revised	367
Code.	368

This section does not apply if the board does not establish	369
or maintain the drug database.	370

Sec. 4121.45. (A) There is hereby created a workers'	371
compensation ombudsperson system to assist claimants and employers	372
in matters dealing with the bureau of workers' compensation and	373
the industrial commission. The industrial commission nominating	374
council shall appoint a chief ombudsperson. The chief	375
ombudsperson, with the advice and consent of the ~~advisory~~	376
~~commission~~nominating council, may appoint such assistant	377
ombudspersons as the nominating council deems necessary. The	378
~~positions~~position of chief ombudsperson ~~and assistant~~	379
~~ombudspersons are~~is for ~~terms~~a term of six years. A person	380
appointed to the position of chief ombudsperson ~~or assistant~~	381
~~ombudspersons~~shall serve at the pleasure of the nominating	382
council. The chief ombudsperson may not be transferred, demoted,	383
or suspended during the person's tenure and may be removed by the	384
nominating council only ~~on the grounds of malfeasance or neglect~~	385
~~of duty~~ upon ~~notice and public hearing~~a vote of not fewer than	386
nine members of the nominating council. The ~~ombudspersons~~chief	387
ombudsperson shall devote ~~their~~the chief ombudsperson's full time	388
and attention to the duties of ~~their~~the ombudsperson's office.	389
The administrator of workers' compensation shall furnish the	390
~~ombudspersons~~chief ombudsperson with the office space, supplies,	391
and clerical assistance that will enable the ~~ombudspersons~~chief	392
ombudsperson and the ombudsperson system staff to perform their	393
duties effectively. The ombudsperson program shall be funded out	394
of the budget of the bureau and the chief ombudsperson and	395
~~assistant ombudspersons~~the ombudsperson system staff shall be	396
carried on the bureau payroll ~~but~~. The chief ombudsperson and the	397
ombudsperson system shall be under the direction of the nominating	398
council. The administrator and all employees of the bureau and the	399
commission shall give the ~~ombudspersons~~the ombudsperson system	400
staff full and prompt cooperation in all matters relating to the	401
duties of the ~~ombudspersons~~chief ombudsperson.	402

(B) The ~~ombudspersons~~ombudsperson system staff shall:

403

(1) Answer inquiries or investigate complaints made by	404
employers or claimants under this chapter and Chapter 4123. of the	405
Revised Code as they relate to the processing of a claim for	406
workers' compensation benefits;	407

(2) Provide claimants and employers with information	408
regarding problems which arise out of the functions of the bureau,	409
commission hearing officers, and the commission and the procedures	410
employed in the processing of claims;	411

(3) Answer inquiries or investigate complaints of an employer	412
as they relate to reserves established and premiums charged in	413
connection with the employer's account;	414

(4) Comply with Chapter 102. and sections 2921.42 and 2921.43	415
of the Revised Code and the nominating council's human resource	416
and ethics policies;	417

(5) Not express any opinions as to the merit of a claim or	418
the correctness of a decision by the various officers or agencies	419
as the decision relates to a claim for benefits or compensation.	420

For the purpose of carrying out the chief ombudsperson's	421
duties, the chief ombudsperson or the ~~chief ombudsperson's~~	422
~~assistants~~ombudsperson system staff, notwithstanding sections	423
4123.27 and 4123.88 of the Revised Code, has the right at all	424
reasonable times to examine the contents of a claim file and	425
discuss with parties in interest the contents of the file as long	426
as the ombudsperson does not divulge information that would tend	427
to prejudice the case of either party to a claim or that would	428
tend to compromise a privileged attorney-client or doctor-patient	429
relationship.	430

431

(1) Assist any service office in its duties whenever it	432
requires assistance or information that can best be obtained from	433
central office personnel or records;	434

(2) Annually assemble reports from each assistant	435
ombudsperson as to their activities for the preceding year	436
together with their recommendations as to changes or improvements	437
in the operations of the workers' compensation system. The chief	438
ombudsperson shall prepare a written report summarizing the	439
activities of the ombudsperson system together with a digest of	440
recommendations. The chief ombudsperson shall transmit the report	441
to the nominating council.	442

(3) Comply with Chapter 102. and sections 2921.42 and 2921.43	443
of the Revised Code and the nominating council's human resource	444
and ethics policies.	445

(D) No ombudsperson or assistant ombudsperson shall:

446

(1) Represent a claimant or employer in claims pending before	447
or to be filed with the administrator, a district or staff hearing	448
officer, the commission, or the courts of the state, nor shall an	449
ombudsperson or assistant ombudsperson undertake any such	450
representation for a period of one year after the ombudsperson's	451
or assistant ombudsperson's employment terminates or be eligible	452
for employment by the bureau or the commission or as a district or	453
staff hearing officer for one year;	454

(2) Express any opinions as to the merit of a claim or the	455
correctness of a decision by the various officers or agencies as	456
the decision relates to a claim for benefits or compensation.	457

(E) The chief ombudsperson and assistant ombudspersons shall	458
receive compensation at a level established by the nominating	459
council commensurate with the individual's background, education,	460
and experience in workers' compensation or related fields. The	461
chief ombudsperson and assistant ombudspersons are full-time	462
permanent employees in the ~~classified civil~~unclassified service	463
of the state and are entitled to all benefits that accrue to such	464
employees, including, without limitation, sick, vacation, and	465
personal leaves. Assistant ombudspersons serve at the pleasure of	466
the chief ombudsperson.	467

(F) In the event of a vacancy in the position of chief	468
ombudsperson, the nominating council may appoint a person to serve	469
as acting chief ombudsperson until a chief ombudsperson is	470
appointed. The acting chief ombudsperson shall be under the	471
direction and control of the nominating council and may be removed	472
by the nominating council with or without just cause.	473

Sec. 4123.01. As used in this chapter:

474

(A)(1) "Employee" means:

475

(a) Every person in the service of the state, or of any	476
county, municipal corporation, township, or school district	477
therein, including regular members of lawfully constituted police	478
and fire departments of municipal corporations and townships,	479
whether paid or volunteer, and wherever serving within the state	480
or on temporary assignment outside thereof, and executive officers	481
of boards of education, under any appointment or contract of hire,	482
express or implied, oral or written, including any elected	483
official of the state, or of any county, municipal corporation, or	484
township, or members of boards of education.	485

As used in division (A)(1)(a) of this section, the term	486
"employee" includes the following persons when responding to an	487
inherently dangerous situation that calls for an immediate	488
response on the part of the person, regardless of whether the	489
person is within the limits of the jurisdiction of the person's	490
regular employment or voluntary service when responding, on the	491
condition that the person responds to the situation as the person	492
otherwise would if the person were on duty in the person's	493
jurisdiction:	494

(i) Off-duty peace officers. As used in division (A)(1)(a)(i)	495
of this section, "peace officer" has the same meaning as in	496
section 2935.01 of the Revised Code.	497

(ii) Off-duty firefighters, whether paid or volunteer, of a	498
lawfully constituted fire department.	499

(iii) Off-duty first responders, emergency medical	500
technicians-basic, emergency medical technicians-intermediate, or	501
emergency medical technicians-paramedic, whether paid or	502
volunteer, of an ambulance service organization or emergency	503
medical service organization pursuant to Chapter 4765. of the	504
Revised Code.	505

(b) Every person in the service of any person, firm, or	506
private corporation, including any public service corporation,	507
that (i) employs one or more persons regularly in the same	508
business or in or about the same establishment under any contract	509
of hire, express or implied, oral or written, including aliens and	510
minors, household workers who earn one hundred sixty dollars or	511
more in cash in any calendar quarter from a single household and	512
casual workers who earn one hundred sixty dollars or more in cash	513
in any calendar quarter from a single employer, or (ii) is bound	514
by any such contract of hire or by any other written contract, to	515
pay into the state insurance fund the premiums provided by this	516
chapter.	517

(c) Every person who performs labor or provides services	518
pursuant to a construction contract, as defined in section 4123.79	519
of the Revised Code, if at least ten of the following criteria	520
apply:	521

(i) The person is required to comply with instructions from	522
the other contracting party regarding the manner or method of	523
performing services;	524

(ii) The person is required by the other contracting party to	525
have particular training;	526

(iii) The person's services are integrated into the regular	527
functioning of the other contracting party;	528

(iv) The person is required to perform the work personally;

529

(v) The person is hired, supervised, or paid by the other	530
contracting party;	531

(vi) A continuing relationship exists between the person and	532
the other contracting party that contemplates continuing or	533
recurring work even if the work is not full time;	534

(vii) The person's hours of work are established by the other	535
contracting party;	536

(viii) The person is required to devote full time to the	537
business of the other contracting party;	538

(ix) The person is required to perform the work on the	539
premises of the other contracting party;	540

(x) The person is required to follow the order of work set by	541
the other contracting party;	542

(xi) The person is required to make oral or written reports	543
of progress to the other contracting party;	544

(xii) The person is paid for services on a regular basis such	545
as hourly, weekly, or monthly;	546

(xiii) The person's expenses are paid for by the other	547
contracting party;	548

(xiv) The person's tools and materials are furnished by the	549
other contracting party;	550

(xv) The person is provided with the facilities used to	551
perform services;	552

(xvi) The person does not realize a profit or suffer a loss	553
as a result of the services provided;	554

(xvii) The person is not performing services for a number of	555
employers at the same time;	556

(xviii) The person does not make the same services available	557
to the general public;	558

(xix) The other contracting party has a right to discharge	559
the person;	560

(xx) The person has the right to end the relationship with	561
the other contracting party without incurring liability pursuant	562
to an employment contract or agreement.	563

Every person in the service of any independent contractor or	564
subcontractor who has failed to pay into the state insurance fund	565
the amount of premium determined and fixed by the administrator of	566
workers' compensation for the person's employment or occupation or	567
if a self-insuring employer has failed to pay compensation and	568
benefits directly to the employer's injured and to the dependents	569
of the employer's killed employees as required by section 4123.35	570
of the Revised Code, shall be considered as the employee of the	571
person who has entered into a contract, whether written or verbal,	572
with such independent contractor unless such employees or their	573
legal representatives or beneficiaries elect, after injury or	574
death, to regard such independent contractor as the employer.	575

~~(d) Every person to whom all of the following apply:~~

576

~~(i) The person is a resident of a state other than this state~~	577
~~and is covered by that other state's workers' compensation law;~~	578

~~(ii) The person performs labor or provides services for that~~	579
~~person's employer while temporarily within this state;~~	580

~~(iii) The laws of that other state do not include the~~	581
~~provisions described in division (H)(4) of section 4123.54 of the~~	582
~~Revised Code.~~	583

(2) "Employee" does not mean:

584

(a) A duly ordained, commissioned, or licensed minister or	585
assistant or associate minister of a church in the exercise of	586
ministry;	587

(b) Any officer of a family farm corporation;

588

589

(d) An individual who otherwise is an employee of an employer	590
but who signs the waiver and affidavit specified in section	591
4123.15 of the Revised Code on the condition that the	592
administrator has granted a waiver and exception to the	593
individual's employer under section 4123.15 of the Revised Code.	594

Any employer may elect to include as an "employee" within	595
this chapter, any person excluded from the definition of	596
"employee" pursuant to division (A)(2) of this section. If an	597
employer is a partnership, sole proprietorship, individual	598
incorporated as a corporation, or family farm corporation, such	599
employer may elect to include as an "employee" within this	600
chapter, any member of such partnership, the owner of the sole	601
proprietorship, the individual incorporated as a corporation, or	602
the officers of the family farm corporation. In the event of an	603
election, the employer shall serve upon the bureau of workers'	604
compensation written notice naming the persons to be covered,	605
include such employee's remuneration for premium purposes in all	606
future payroll reports, and no person excluded from the definition	607
of "employee" pursuant to division (A)(2) of this section,	608
proprietor, individual incorporated as a corporation, or partner	609
shall be deemed an employee within this division until the	610
employer has served such notice.	611

For informational purposes only, the bureau shall prescribe	612
such language as it considers appropriate, on such of its forms as	613
it considers appropriate, to advise employers of their right to	614
elect to include as an "employee" within this chapter a sole	615
proprietor, any member of a partnership, an individual	616
incorporated as a corporation, the officers of a family farm	617
corporation, or a person excluded from the definition of	618
"employee" under division (A)(2) of this section, that they should	619
check any health and disability insurance policy, or other form of	620
health and disability plan or contract, presently covering them,	621
or the purchase of which they may be considering, to determine	622
whether such policy, plan, or contract excludes benefits for	623
illness or injury that they might have elected to have covered by	624
workers' compensation.	625

(B) "Employer" means:

626

(1) The state, including state hospitals, each county,	627
municipal corporation, township, school district, and hospital	628
owned by a political subdivision or subdivisions other than the	629
state;	630

(2) Every person, firm, professional employer organization as	631
~~defined in section 4125.01 of the Revised Code~~, and private	632
corporation, including any public service corporation, that (a)	633
has in service one or more employees or shared employees regularly	634
in the same business or in or about the same establishment under	635
any contract of hire, express or implied, oral or written, or (b)	636
is bound by any such contract of hire or by any other written	637
contract, to pay into the insurance fund the premiums provided by	638
this chapter.	639

All such employers are subject to this chapter. Any member of	640
a firm or association, who regularly performs manual labor in or	641
about a mine, factory, or other establishment, including a	642
household establishment, shall be considered an employee in	643
determining whether such person, firm, or private corporation, or	644
public service corporation, has in its service, one or more	645
employees and the employer shall report the income derived from	646
such labor to the bureau as part of the payroll of such employer,	647
and such member shall thereupon be entitled to all the benefits of	648
an employee.	649

(C) "Injury" includes any injury, whether caused by external	650
accidental means or accidental in character and result, received	651
in the course of, and arising out of, the injured employee's	652
employment. "Injury" does not include:	653

(1) Psychiatric conditions except where the claimant's	654
psychiatric conditions have arisen from an injury or occupational	655
disease sustained by that claimant or where the claimant's	656
psychiatric conditions have arisen from sexual conduct in which	657
the claimant was forced by threat of physical harm to engage or	658
participate;	659

(2) Injury or disability caused primarily by the natural	660
deterioration of tissue, an organ, or part of the body;	661

(3) Injury or disability incurred in voluntary participation	662
in an employer-sponsored recreation or fitness activity if the	663
employee signs a waiver of the employee's right to compensation or	664
benefits under this chapter prior to engaging in the recreation or	665
fitness activity;	666

(4) A condition that pre-existed an injury unless that	667
pre-existing condition is substantially aggravated by the injury.	668
Such a substantial aggravation must be documented by objective	669
diagnostic findings, objective clinical findings, or objective	670
test results. Subjective complaints may be evidence of such a	671
substantial aggravation. However, subjective complaints without	672
objective diagnostic findings, objective clinical findings, or	673
objective test results are insufficient to substantiate a	674
substantial aggravation.	675

(D) "Child" includes a posthumous child and a child legally	676
adopted prior to the injury.	677

(E) "Family farm corporation" means a corporation founded for	678
the purpose of farming agricultural land in which the majority of	679
the voting stock is held by and the majority of the stockholders	680
are persons or the spouse of persons related to each other within	681
the fourth degree of kinship, according to the rules of the civil	682
law, and at least one of the related persons is residing on or	683
actively operating the farm, and none of whose stockholders are a	684
corporation. A family farm corporation does not cease to qualify	685
under this division where, by reason of any devise, bequest, or	686
the operation of the laws of descent or distribution, the	687
ownership of shares of voting stock is transferred to another	688
person, as long as that person is within the degree of kinship	689
stipulated in this division.	690

(F) "Occupational disease" means a disease contracted in the	691
course of employment, which by its causes and the characteristics	692
of its manifestation or the condition of the employment results in	693
a hazard which distinguishes the employment in character from	694
employment generally, and the employment creates a risk of	695
contracting the disease in greater degree and in a different	696
manner from the public in general.	697

(G) "Self-insuring employer" means an employer who is granted	698
the privilege of paying compensation and benefits directly under	699
section 4123.35 of the Revised Code, including a board of county	700
commissioners for the sole purpose of constructing a sports	701
facility as defined in section 307.696 of the Revised Code,	702
provided that the electors of the county in which the sports	703
facility is to be built have approved construction of a sports	704
facility by ballot election no later than November 6, 1997.	705

(H) "Private employer" means an employer as defined in	706
division (B)(2) of this section.	707

(I) "Professional employer organization" has the same meaning	708
as in section 4125.01 of the Revised Code.	709

(J) "Public employer" means an employer as defined in	710
division (B)(1) of this section.	711

~~(I)~~(K) "Sexual conduct" means vaginal intercourse between a	712
male and female; anal intercourse, fellatio, and cunnilingus	713
between persons regardless of gender; and, without privilege to do	714
so, the insertion, however slight, of any part of the body or any	715
instrument, apparatus, or other object into the vaginal or anal	716
cavity of another. Penetration, however slight, is sufficient to	717
complete vaginal or anal intercourse.	718

~~(J)~~(L) "Other-states' insurer" means an insurance company	719
that is authorized to provide workers' compensation insurance	720
coverage in any of the states that permit employers to obtain	721
insurance for workers' compensation claims through insurance	722
companies.	723

~~(K)~~(M) "Other-states' coverage" means ~~insurance~~both of the	724
following:	725

(1) Insurance coverage ~~purchased~~secured by an eligible	726
employer for workers' compensation claims ~~that arise~~of employees	727
who are in employment relationships localized in a state ~~or states~~	728
other than this state ~~and that are filed by the employees of the~~	729
~~employer~~ or those ~~employee's~~employees' dependents~~, as~~	730
~~applicable, in that other state or those other states~~;	731

(2) Insurance coverage secured by an eligible employer for	732
workers' compensation claims that arise in a state other than this	733
state where an employer elects to obtain coverage through either	734
the administrator or an other-states' insurer.	735

(N) "Limited other-states coverage" means insurance coverage	736
provided by the administrator to an eligible employer for workers'	737
compensation claims of employees who are in an employment	738
relationship localized in this state but are temporarily working	739
in a state other than this state, or those employees' dependents.	740

Sec. 4123.26. (A) Every employer shall keep records of, and	741
furnish to the bureau of workers' compensation upon request, all	742
information required by the administrator of workers' compensation	743
to carry out this chapter. ~~In January of each year~~	744

(B) Except as otherwise provided in division (C) of this	745
section, every private employer ~~of the state~~ employing one or	746
more employees regularly in the same business, or in or about the	747
same establishment, shall ~~prepare and mail~~submit a payroll report	748
to the bureau ~~at its main office in Columbus a statement~~	749
~~containing~~. Until the policy year commencing July 1, 2015, a	750
private employer shall submit the payroll report in January of	751
each year. For a policy year commencing on or after July 1, 2015,	752
the employer shall submit the payroll report on or before August	753
fifteenth of each year unless otherwise specified by the	754
administrator in rules the administrator adopts. The employer	755
shall include all of the following information in the payroll	756
report, as applicable:	757

~~(A) The~~(1) For payroll reports submitted prior to July 1,	758
2015, the number of employees employed during the preceding year	759
from the first day of January through the thirty-first day of	760
December who are localized in this state;	761

~~(B)~~(2) For payroll reports submitted on or after July 1,	762
2015, the number of employees localized in this state employed	763
during the preceding policy year from the first day of July	764
through the thirtieth day of June;	765

(3) The number of such employees localized in this state	766
employed at each kind of employment and the aggregate amount of	767
wages paid to such employees;	768

~~(C)~~(4)(a) If an employer elects to ~~obtain~~secure	769
other-states' coverage or limited other-states' coverage pursuant	770
to section 4123.292 of the Revised Code through either the	771
administrator, if the administrator elects to offer such coverage,	772
or an other-states' insurer ~~for claims arising in a state or~~	773
~~states other than this state, all of~~ the ~~following~~ information:	774

~~(1) The amount of wages the employer paid to the employer's~~	775
~~employees for performing labor or providing services for the~~	776
~~employer in this state;~~	777

~~(2) The amount of wages the employer paid to the employer's~~	778
~~employees for performing labor or providing services for the~~	779
~~employer in a state or states other than this state.~~	780

~~The allocation of wages identified by the employer pursuant~~	781
~~to divisions (C)(1) and (2) of this section shall not be presumed~~	782
~~to be an indication of the law under which an employee is eligible~~	783
~~to receive compensation and benefits~~required under divisions	784
(B)(1) to (3) of this section and any additional information	785
required by the administrator in rules the administrator adopts,	786
with the advice and consent of the bureau of workers' compensation	787
board of directors, to allow the employer to secure other-states'	788
coverage or limited other-states' coverage.	789

~~(D)~~(5)(a) In accordance with the rules adopted by the	790
administrator pursuant to division ~~(D)~~(C) of section 4123.32 of	791
the Revised Code, if the employer employs employees who are	792
covered under the federal "Longshore and Harbor Workers'	793
Compensation Act," 98 Stat. 1639, 33 U.S.C. 901 et seq., and under	794
this chapter and Chapter 4121. of the Revised Code, both of the	795
following amounts:	796

~~(1)~~(i) The amount of wages the employer pays to those	797
employees when the employees perform labor and provide services	798
for which the employees are eligible to receive compensation and	799
benefits under the federal "Longshore and Harbor Workers'	800
Compensation Act;";	801

~~(2)~~(ii) The amount of wages the employer pays to those	802
employees when the employees perform labor and provide services	803
for which the employees are eligible to receive compensation and	804
benefits under this chapter and Chapter 4121. of the Revised Code.	805

(b) The allocation of wages identified by the employer	806
pursuant to divisions ~~(D)(1)~~(B)(5)(a)(i) and ~~(2)~~(ii) of this	807
section shall not be presumed to be an indication of the law under	808
which an employee is eligible to receive compensation and	809
benefits.	810

~~The information shall be furnished on a blank to be prepared~~	811
~~by the bureau. The bureau shall furnish the blanks to employers~~	812
~~free of charge upon request therefor. Every employer receiving~~	813
~~from the bureau any blank, with directions to fill out the same,~~	814
~~shall cause the same to be properly filled out so as to answer~~	815
~~fully and correctly all questions therein propounded, and give all~~	816
~~the information therein sought, or if unable to do so, the~~	817
~~employer shall give to the bureau in writing good and sufficient~~	818
~~reasons for such failure.~~(C) Beginning August 1, 2015, each	819
employer that is recognized by the administrator as a professional	820
employer organization shall submit a monthly payroll report	821
containing the number of employees employed during the preceding	822
calendar month, the number of those employees employed at each	823
kind of employment, and the aggregate amount of wages paid to	824
those employees.	825

(D) An employer described in division (B) of this section	826
shall submit the payroll report required under this section to the	827
bureau on a form prescribed by the bureau. The bureau may require	828
that the information required to be furnished be verified under	829
oath ~~and returned to the bureau within the period fixed by it or~~	830
~~by law~~. The bureau or any person employed by the bureau for that	831
purpose, may examine, under oath, any employer, or the officer,	832
agent, or employee thereof, for the purpose of ascertaining any	833
information which the employer is required to furnish to the	834
bureau.	835

(E) No private employer shall fail to furnish to the bureau	836
the ~~annual statement~~payroll report required by this section, nor	837
shall any employer fail to keep records of or furnish such other	838
information as may be required by the bureau under this section.	839

~~Whoever violates this section shall forfeit five hundred~~	840
~~dollars, to be collected in a civil action brought against the~~	841
~~employer in the name of the state, to be paid into the state~~	842
~~insurance fund and become a part thereof~~	843

(F) The administrator may adopt rules setting forth penalties	844
for failure to submit the payroll report required by this section,	845
including but not limited to exclusion from alternative rating	846
plans and discount programs.	847

Sec. 4123.27. Information contained in the ~~annual statement~~	848
payroll report provided for in section 4123.26 of the Revised	849
Code, and such other information as may be furnished to the bureau	850
of workers' compensation by employers in pursuance of that	851
section, is for the exclusive use and information of the bureau in	852
the discharge of its official duties, and shall not be open to the	853
public nor be used in any court in any action or proceeding	854
pending therein unless the bureau is a party to the action or	855
proceeding~~; but the~~. The information contained in the ~~statement~~	856
payroll report may be tabulated and published by the bureau in	857
statistical form for the use and information of other state	858
departments and the public. No person in the employ of the bureau,	859
except those who are authorized by the administrator of workers'	860
compensation, shall divulge any information secured by the person	861
while in the employ of the bureau in respect to the transactions,	862
property, claim files, records, or papers of the bureau or in	863
respect to the business or mechanical, chemical, or other	864
industrial process of any company, firm, corporation, person,	865
association, partnership, or public utility to any person other	866
than the administrator or to the superior of such employee of the	867
bureau.	868

Notwithstanding the restrictions imposed by this section, the	869
governor, select or standing committees of the general assembly,	870
the auditor of state, the attorney general, or their designees,	871
pursuant to the authority granted in this chapter and Chapter	872
4121. of the Revised Code, may examine any records, claim files,	873
or papers in possession of the industrial commission or the	874
bureau. They also are bound by the privilege that attaches to	875
these papers.	876

The administrator shall report to the director of job and	877
family services or to the county director of job and family	878
services the name, address, and social security number or other	879
identification number of any person receiving workers'	880
compensation whose name or social security number or other	881
identification number is the same as that of a person required by	882
a court or child support enforcement agency to provide support	883
payments to a recipient or participant of public assistance, as	884
that term is defined in section 5101.181 of the Revised Code, and	885
whose name is submitted to the administrator by the director under	886
section 5101.36 of the Revised Code. The administrator also shall	887
inform the director of the amount of workers' compensation paid to	888
the person during such period as the director specifies.	889

Within fourteen days after receiving from the director of job	890
and family services a list of the names and social security	891
numbers of recipients or participants of public assistance	892
pursuant to section 5101.181 of the Revised Code, the	893
administrator shall inform the auditor of state of the name,	894
current or most recent address, and social security number of each	895
person receiving workers' compensation pursuant to this chapter	896
whose name and social security number are the same as that of a	897
person whose name or social security number was submitted by the	898
director. The administrator also shall inform the auditor of state	899
of the amount of workers' compensation paid to the person during	900
such period as the director specifies.	901

The bureau and its employees, except for purposes of	902
furnishing the auditor of state with information required by this	903
section, shall preserve the confidentiality of recipients or	904
participants of public assistance in compliance with section	905
5101.181 of the Revised Code.	906

Sec. 4123.29. (A) The administrator of workers'	907
compensation, subject to the approval of the bureau of workers'	908
compensation board of directors, shall do all of the following:	909

(1) Classify occupations or industries with respect to their	910
degree of hazard and determine the risks of the different classes	911
according to the categories the national council on compensation	912
insurance establishes that are applicable to employers in this	913
state;	914

(2)(a) Fix the rates of premium of the risks of the classes	915
based upon the total payroll in each of the classes of occupation	916
or industry sufficiently large to provide a fund for the	917
compensation provided for in this chapter and to maintain a state	918
insurance fund from year to year. The administrator shall set the	919
rates at a level that assures the solvency of the fund. Where the	920
payroll cannot be obtained or, in the opinion of the	921
administrator, is not an adequate measure for determining the	922
premium to be paid for the degree of hazard, the administrator may	923
determine the rates of premium upon such other basis, consistent	924
with insurance principles, as is equitable in view of the degree	925
of hazard, and whenever in this chapter reference is made to	926
payroll or expenditure of wages with reference to fixing premiums,	927
the reference shall be construed to have been made also to such	928
other basis for fixing the rates of premium as the administrator	929
may determine under this section.	930

(b) If an employer elects to obtain other-states' coverage,	931
including limited other-states' coverage, pursuant to section	932
4123.292 of the Revised Code through ~~either~~ the administrator, if	933
the administrator elects to offer such coverage, ~~or an~~	934
~~other-states' insurer,~~ calculate the employer's premium for the	935
state insurance fund in the same manner as otherwise required	936
under division (A) of this section and section 4123.34 of the	937
Revised Code, except that ~~when~~ the administrator ~~determines the~~	938
~~expenditure of wages, payroll, or both upon which to base~~may	939
establish in rule an alternative calculation of the employer's	940
premium~~, the administrator shall use only~~to appropriately account	941
for the expenditure of wages, payroll, or both attributable to the	942
labor performed and services provided by that employer's employees	943
when those employees performed labor and provided services in this	944
state ~~only~~ and ~~to which the~~in the other state or states for which	945
the employer elects to secure other-states' coverage ~~does not~~	946
~~apply~~.	947

(c) If an employer elects to obtain other-states' coverage	948
pursuant to section 4123.292 of the Revised Code through an	949
other-states' insurer, calculate the employer's premium for the	950
state insurance fund in the same manner as otherwise required	951
under division (A) of this section and section 4123.34 of the	952
Revised Code, except that when the administrator determines the	953
expenditure of wages, payroll, or both upon which to base the	954
employer's premium, the administrator shall use only the	955
expenditure of wages, payroll, or both attributable to the labor	956
performed and services provided by that employer's employees when	957
those employees performed labor and provided services in this	958
state only and to which the other-states' coverage does not apply.	959
The administrator may adopt rules setting forth the information	960
that an employer electing to obtain other-states' coverage through	961
an other-states' insurer shall report for purposes of determining	962
the expenditure of wages, payroll, or both attributable to the	963
labor performed and services provided in this state.	964

(d) The administrator in setting or revising rates shall	965
furnish to employers an adequate explanation of the basis for the	966
rates set.	967

(3) Develop and make available to employers who are paying	968
premiums to the state insurance fund alternative premium plans.	969
Alternative premium plans shall include retrospective rating	970
plans. The administrator may make available plans under which an	971
advanced deposit may be applied against a specified deductible	972
amount per claim.	973

(4)(a) Offer to insure the obligations of employers under	974
this chapter under a plan that groups, for rating purposes,	975
employers, and pools the risk of the employers within the group	976
provided that the employers meet all of the following conditions:	977

(i) All of the employers within the group are members of an	978
organization that has been in existence for at least two years	979
prior to the date of application for group coverage;	980

(ii) The organization was formed for purposes other than that	981
of obtaining group workers' compensation under this division;	982

(iii) The employers' business in the organization is	983
substantially similar such that the risks which are grouped are	984
substantially homogeneous;	985

(iv) The group of employers consists of at least one hundred	986
members or the aggregate workers' compensation premiums of the	987
members, as determined by the administrator, are ~~expected~~	988
estimated to exceed one hundred fifty thousand dollars during the	989
coverage period;	990

(v) The formation and operation of the group program in the	991
organization will substantially improve accident prevention and	992
claims handling for the employers in the group;	993

(vi) Each employer seeking to enroll in a group for workers'	994
compensation coverage has an ~~industrial insurance~~ account in good	995
standing with the bureau of workers' compensation ~~such that at the~~	996
~~time the agreement is processed no outstanding premiums,~~	997
~~penalties, or assessments are due from any of the employers~~. The	998
administrator shall adopt rules setting forth the criteria by	999
which the administrator will determine whether an employer's	1000
account is in good standing.	1001

(b) If an organization sponsors more than one employer group	1002
to participate in group plans established under this section, that	1003
organization may submit a single application that supplies all of	1004
the information necessary for each group of employers that the	1005
organization wishes to sponsor.	1006

(c) In providing employer group plans under division (A)(4)	1007
of this section, the administrator shall consider an employer	1008
group as a single employing entity for purposes of group rating.	1009
No employer may be a member of more than one group for the purpose	1010
of obtaining workers' compensation coverage under this division.	1011

(d) At the time the administrator revises premium rates	1012
pursuant to this section and section 4123.34 of the Revised Code,	1013
if the premium rate of an employer who participates in a group	1014
plan established under this section changes from the rate	1015
established for the previous year, the administrator, in addition	1016
to sending the invoice with the rate revision to that employer,	1017
shall send a copy of that invoice to the third-party administrator	1018
that administers the group plan for that employer's group.	1019

(e) In providing employer group plans under division (A)(4)	1020
of this section, the administrator shall establish a program	1021
designed to mitigate the impact of a significant claim that would	1022
come into the experience of a private, state fund group-rated	1023
employer or a taxing district employer for the first time and be a	1024
contributing factor in that employer being excluded from a	1025
group-rated plan. The administrator shall establish eligibility	1026
criteria and requirements that such employers must satisfy in	1027
order to participate in this program. For purposes of this	1028
program, the administrator shall establish a discount on premium	1029
rates applicable to employers who qualify for the program.	1030

(f) In no event shall division (A)(4) of this section be	1031
construed as granting to an employer status as a self-insuring	1032
employer.	1033

(g) The administrator shall develop classifications of	1034
occupations or industries that are sufficiently distinct so as not	1035
to group employers in classifications that unfairly represent the	1036
risks of employment with the employer.	1037

(5) Generally promote employer participation in the state	1038
insurance fund through the regular dissemination of information to	1039
all classes of employers describing the advantages and benefits of	1040
opting to make premium payments to the fund. To that end, the	1041
administrator shall regularly make employers aware of the various	1042
workers' compensation premium packages developed and offered	1043
pursuant to this section.	1044

(6) Make available to every employer who is paying premiums	1045
to the state insurance fund a program whereby the employer or the	1046
employer's agent pays to the claimant or on behalf of the claimant	1047
the first fifteen thousand dollars of a compensable workers'	1048
compensation medical-only claim filed by that claimant that is	1049
related to the same injury or occupational disease. No formal	1050
application is required; however, an employer must elect to	1051
participate by telephoning the bureau after July 1, 1995. Once an	1052
employer has elected to participate in the program, the employer	1053
will be responsible for all bills in all medical-only claims with	1054
a date of injury the same or later than the election date, unless	1055
the employer notifies the bureau within fourteen days of receipt	1056
of the notification of a claim being filed that it does not wish	1057
to pay the bills in that claim, or the employer notifies the	1058
bureau that the fifteen thousand dollar maximum has been paid, or	1059
the employer notifies the bureau of the last day of service on	1060
which it will be responsible for the bills in a particular	1061
medical-only claim. If an employer elects to enter the program,	1062
the administrator shall not reimburse the employer for such	1063
amounts paid and shall not charge the first fifteen thousand	1064
dollars of any medical-only claim paid by an employer to the	1065
employer's experience or otherwise use it in merit rating or	1066
determining the risks of any employer for the purpose of payment	1067
of premiums under this chapter. A certified health care provider	1068
shall extend to an employer who participates in this program the	1069
same rates for services rendered to an employee of that employer	1070
as the provider bills the administrator for the same type of	1071
medical claim processed by the bureau and shall not charge,	1072
assess, or otherwise attempt to collect from an employee any	1073
amount for covered services or supplies that is in excess of that	1074
rate. If an employer elects to enter the program and the employer	1075
fails to pay a bill for a medical-only claim included in the	1076
program, the employer shall be liable for that bill and the	1077
employee for whom the employer failed to pay the bill shall not be	1078
liable for that bill. The administrator shall adopt rules to	1079
implement and administer division (A)(6) of this section. Upon	1080
written request from the bureau, the employer shall provide	1081
documentation to the bureau of all medical-only bills that they	1082
are paying directly. Such requests from the bureau may not be made	1083
more frequently than on a semiannual basis. Failure to provide	1084
such documentation to the bureau within thirty days of receipt of	1085
the request may result in the employer's forfeiture of	1086
participation in the program for such injury. The provisions of	1087
this section shall not apply to claims in which an employer with	1088
knowledge of a claimed compensable injury or occupational disease,	1089
has paid wages in lieu of compensation or total disability.	1090

(B) The administrator, with the advice and consent of the	1091
board, by rule, may do both of the following:	1092

(1) Grant an employer who ~~makes~~pays the employer's	1093
~~semiannual~~annual estimated premium ~~payment at least one month~~in	1094
full prior to the ~~last day on which the payment may be made~~	1095
~~without penalty~~start of the policy year for which the estimated	1096
premium is due, a discount as the administrator fixes from time to	1097
time;	1098

(2) Levy a minimum annual administrative charge upon risks	1099
where ~~semiannual~~ premium reports develop a charge less than the	1100
administrator considers adequate to offset administrative costs of	1101
processing.	1102

(C)(1) The administrator shall include all of the following	1103
information in the notice of premium rate that is applicable to an	1104
employer who is not a base-rated employer for the upcoming policy	1105
year:	1106

(a) The mathematical equation, expressed algebraically, used	1107
by the administrator to determine the employer's premium rate;	1108

(b) A definition of each variable used in the mathematical	1109
equation described in division (C)(1)(a) of this section;	1110

(c) The mathematical equation described in division (C)(1)(a)	1111
of this section with the specific numbers applicable to the	1112
employer included in the equation.	1113

(2) With respect to the mathematical equation described in	1114
division (C)(1)(c) of this section, the administrator shall	1115
highlight those numbers over which the employer has direct	1116
control.	1117

(3) If an employer has elected to pay the employer's premiums	1118
electronically through the web site maintained by the bureau, the	1119
administrator shall include the information required under	1120
division (C)(1) of this section in the notice of premium rate sent	1121
to that employer electronically. The administrator is not required	1122
to send that information to such an employer through any other	1123
means.	1124

Sec. 4123.291. (A) An adjudicating committee appointed by	1125
the administrator of workers' compensation to hear any matter	1126
specified in divisions (B)(1) to (7) of this section shall hear	1127
the matter within sixty days of the date on which an employer	1128
files the request, protest, or petition. An employer desiring to	1129
file a request, protest, or petition regarding any matter	1130
specified in divisions (B)(1) to (7) of this section shall file	1131
the request, protest, or petition to the adjudicating committee on	1132
or before twenty-four months after the administrator sends notice	1133
of the determination about which the employer is filing the	1134
request, protest, or petition.	1135

(B) An employer who is adversely affected by a decision of an	1136
adjudicating committee appointed by the administrator may appeal	1137
the decision of the committee to the administrator or the	1138
administrator's designee. The employer shall file the appeal in	1139
writing within thirty days after the employer receives the	1140
decision of the adjudicating committee. The administrator or the	1141
designee shall hear the appeal and hold a hearing, provided that	1142
the decision of the adjudicating committee relates to one of the	1143
following:	1144

(1) An employer request for a waiver of a default in the	1145
payment of premiums pursuant to section 4123.37 of the Revised	1146
Code;	1147

(2) An employer request for the settlement of liability as a	1148
noncomplying employer under section 4123.75 of the Revised Code;	1149

(3) An employer petition objecting to ~~the~~an assessment ~~of a~~	1150
~~premium~~made pursuant to section 4123.37 of the Revised Code and	1151
the rules adopted pursuant to that section;	1152

(4) An employer request for the abatement of penalties	1153
assessed pursuant to section 4123.32 of the Revised Code and the	1154
rules adopted pursuant to that section;	1155

(5) An employer protest relating to an audit finding or a	1156
determination of a manual classification, experience rating, or	1157
transfer or combination of risk experience;	1158

(6) Any decision relating to any other risk premium matter	1159
under Chapters 4121., 4123., and 4131. of the Revised Code;	1160

(7) An employer petition objecting to the amount of security	1161
required under division (D) of section 4125.05 of the Revised Code	1162
and the rules adopted pursuant to that section.	1163

(C) The bureau of workers' compensation board of directors,	1164
based upon recommendations of the workers' compensation actuarial	1165
committee, shall establish the policy for all adjudicating	1166
committee procedures, including, but not limited to, specific	1167
criteria for manual premium rate adjustment.	1168

Sec. 4123.292. (A) Notwithstanding sections 4123.35 and	1169
4123.82 of the Revised Code, an employer may elect to obtain	1170
other-states' coverage through an other-states' insurer or, if the	1171
administrator of workers' compensation elects to offer such	1172
coverage, through the administrator pursuant to division (B) of	1173
this section. An employer who elects to obtain other-states'	1174
coverage shall submit a written notice to the administrator	1175
stating that election on a form prescribed by the administrator	1176
and, if the employer elects to obtain that coverage through an	1177
other-states' insurer, the name of the other-states' insurer	1178
through whom the employer has obtained that coverage. If an	1179
employer fails to pay the employer's premium for other-states'	1180
coverage, the administrator shall consider the employer to be	1181
noncompliant for the purposes of having other-states' coverage ~~but~~	1182
~~shall not consider the employer to be a noncomplying employer for~~	1183
~~purposes of this chapter or Chapter 4121., 4127., or 4131. of the~~	1184
~~Revised Code unless the employer otherwise fails to comply with~~	1185
and the employer's premiums in this state for any and all	1186
noncompliant periods of time shall be calculated in the same	1187
manner as otherwise required under division (A) of section 4123.29	1188
and section ~~4123.35~~4123.34 of the Revised Code, using both the	1189
wages reported in this state and the wages that the employer	1190
claimed would be reported to the other-states' insurer for	1191
securing coverage.	1192

(B) The administrator may ~~secure~~offer other-states' coverage	1193
to allow an employer who wishes to obtain other-states' coverage	1194
pursuant to this section and who elects to ~~obtain~~secure that	1195
coverage through the administrator for workers' compensation	1196
claims ~~arising in a state or states other than this state~~. If the	1197
administrator elects to secure a vehicle through which the	1198
administrator will provide other-states' coverage, the	1199
administrator shall follow the competitive bidding requirements	1200
specified in Chapter 125. of the Revised Code to select one or	1201
more other-states' ~~insurer~~insurers, and the administrator, with	1202
the advice and consent of the bureau of workers' compensation	1203
board of directors, shall award ~~the~~a contract to provide	1204
other-states' coverage for employers located in this state to ~~the~~	1205
one or more other-states' ~~insurer~~insurers that isare the lowest	1206
and best ~~bidder~~bidders.	1207

(C) ~~If the administrator elects to secure other-states'~~	1208
~~coverage pursuant to division (B) of this section, the~~	1209
~~administrator shall calculate an employer's premium for~~	1210
~~other-states' coverage provided through the administrator~~	1211
~~separately from calculating any other premiums or assessments~~	1212
~~charged under this chapter or Chapter 4121., 4127., or 4131. of~~	1213
~~the Revised Code. The administrator shall calculate the employer's~~	1214
~~other-states' coverage premium in the same manner the~~	1215
~~administrator calculates an employer's premium for the state~~	1216
~~insurance fund pursuant to division (A) of section 4123.29 and~~	1217
~~section 4123.34 of the Revised Code, except that, when calculating~~	1218
~~the employer's premium for other-states' coverage under this~~	1219
~~division, the administrator shall do all of the following:~~	1220

~~(1) Base the employer's other-states' coverage premium on the~~	1221
~~terms specified in the contract the administrator enters into with~~	1222
~~an insurance company pursuant to division (B) of this section;~~	1223

~~(2) When determining the expenditure of wages, payroll, or~~	1224
~~both upon which to base the employer's other-states' coverage~~	1225
~~premium, use only the amount of wages, payroll, or both the~~	1226
~~employer paid to the employer's employees for performing labor or~~	1227
~~providing services for the employer in a state or states other~~	1228
~~than this state;~~	1229

~~(3) Not take into account the amount of wages, payroll, or~~	1230
~~both the employer paid to the employer's employees for performing~~	1231
~~labor or providing services for the employer in this state or any~~	1232
~~compensation or benefits paid for claims covered by the state~~	1233
~~insurance fund~~Notwithstanding sections 4123.35 and 4123.82 of the	1234
Revised Code, the administrator may offer limited other-states'	1235
coverage to allow an employer who wishes to obtain limited	1236
other-states' coverage pursuant to this section. An employer who	1237
elects to obtain limited other-states' coverage shall submit a	1238
written notice to the administrator stating that election on a	1239
form prescribed by the administrator.	1240

If the administrator elects to secure a vehicle through which	1241
the administrator will provide limited other-states' coverage, the	1242
administrator shall follow the competitive bidding requirements	1243
specified in Chapter 125. of the Revised Code to select one or	1244
more other-states' insurers and, with the advice and consent of	1245
the board, award a contract to provide limited other-states'	1246
coverage to the lowest and best bidders.	1247

(D) If the administrator elects to ~~secure~~offer other states'	1248
coverage or limited other-states' coverage, the administrator,	1249
with the advice and consent of the board, shall adopt rules to	1250
implement divisions (B) and (C) of this section.	1251

(E) ~~An other-states' insurer that provides other-states'~~	1252
~~coverage to an employer pursuant to this section shall do all of~~	1253
~~the following when calculating the employer's premium for that~~	1254
~~coverage:~~	1255

~~(1) When determining the amount of wages, payroll, or both~~	1256
~~upon which to base the employer's premium, use only the amount of~~	1257
~~wages, payroll, or both the employer paid to the employer's~~	1258
~~employees for performing labor or providing services for the~~	1259
~~employer in a state or states other than this state;~~	1260

~~(2) Not take into account the amount of wages, payroll, or~~	1261
~~both the employer paid to the employer's employees for performing~~	1262
~~labor or providing services for the employer in this state or any~~	1263
~~compensation or benefits paid for claims otherwise covered by this~~	1264
~~chapter or Chapter 4121., 4127., or 4131. of the Revised Code;~~	1265

~~(3) Take into account any other factors the other-states'~~	1266
~~insurer uses to calculate premiums for workers' compensation~~	1267
~~insurance.~~	1268

~~(F)~~ The board and the individual members thereof, the	1269
administrator, and the bureau of workers' compensation shall not	1270
incur any obligation or liability if another state determines that	1271
the other-states' coverage or limited other-states' coverage	1272
provided under this section does not satisfy the requirements	1273
specified in that state's workers' compensation law for obtaining	1274
workers' compensation coverage in that state.	1275

Sec. 4123.32. The administrator of workers' compensation,	1276
with the advice and consent of the bureau of workers' compensation	1277
board of directors, shall adopt rules with respect to the	1278
collection, maintenance, and disbursements of the state insurance	1279
fund including all of the following:	1280

(A) ~~A rule providing that the premium security deposit~~	1281
~~collected from any employer entitles the employer to the benefits~~	1282
~~of this chapter for the remainder of the six months and also for~~	1283
~~an additional adjustment period of two months, and, thereafter, if~~	1284
~~the employer pays the premium due at the close of any six-month~~	1285
~~period, coverage shall be extended for an additional eight-month~~	1286
~~period beginning from the end of the six-month period for which~~	1287
~~the employer pays the premium due;~~	1288

~~(B)~~ A rule providing for ascertaining the correctness of any	1289
employer's report of estimated or actual expenditure of wages and	1290
the determination and adjustment of proper premiums and the	1291
payment of those premiums by the employer ~~for or during any period~~	1292
~~less than eight months and notwithstanding any payment or~~	1293
~~determination of premium made when exceptional conditions or~~	1294
~~circumstances in the judgment of the administrator justify the~~	1295
~~action~~;	1296

~~(C)~~(B) Such special rules as the administrator considers	1297
necessary to safeguard the fund and that are just in the	1298
circumstances, covering the rates to be applied where one employer	1299
takes over the occupation or industry of another or where an	1300
employer first makes application for state insurance, and the	1301
administrator may require that if any employer transfers a	1302
business in whole or in part or otherwise reorganizes the	1303
business, the successor in interest shall assume, in proportion to	1304
the extent of the transfer, as determined by the administrator,	1305
the employer's account and shall continue the payment of all	1306
contributions due under this chapter;	1307

~~(D)~~(C) A rule providing that an employer who employs an	1308
employee covered under the federal "Longshore and Harbor Workers'	1309
Compensation Act," 98 Stat. 1639, 33 U.S.C. 901 et seq., and this	1310
chapter and Chapter 4121. of the Revised Code shall be assessed a	1311
premium in accordance with the expenditure of wages, payroll, or	1312
both attributable to only labor performed and services provided by	1313
such an employee when the employee performs labor and provides	1314
services for which the employee is not eligible to receive	1315
compensation and benefits under that federal act.	1316

~~(E)~~(D) A rule providing for all of the following:

1317

(1) If~~, within two months immediately after the expiration of~~	1318
~~the six-month period,~~ an employer fails to file a report of the	1319
employer's actual payroll expenditures ~~for the period~~pursuant to	1320
section 4123.26 of the Revised Code for private employers or	1321
pursuant to section 4123.41 of the Revised Code for public	1322
employers, the premium ~~found to be~~and assessments due from the	1323
employer for the period shall be calculated based on the estimated	1324
payroll of the employer used in calculating the estimated premium	1325
due, increased ~~in an amount equal to one per cent of the premium,~~	1326
~~but the increase shall not be less than three nor more than~~	1327
~~fifteen dollars~~by ten per cent;	1328

(2) ~~The premium determined by the administrator to be due~~	1329
~~from an employer shall be payable on or before the end of the~~	1330
~~coverage period established by the premium security deposit, or~~	1331
~~within the time specified by the administrator if the period for~~	1332
~~which the advance premium has been paid is less than eight months.~~	1333
(a) If an employer fails to pay the premium or assessments when	1334
due for a policy year commencing prior to July 1, 2015, the	1335
administrator may add a late fee penalty of not more than thirty	1336
dollars to the premium plus an additional penalty amount as	1337
follows:	1338

~~(a)~~(i) For a premium from sixty-one to ninety days past due,	1339
the prime interest rate, multiplied by the premium due;	1340

~~(b)~~(ii) For a premium from ninety-one to one hundred twenty	1341
days past due, the prime interest rate plus two per cent,	1342
multiplied by the premium due;	1343

~~(c)~~(iii) For a premium from one hundred twenty-one to one	1344
hundred fifty days past due, the prime interest rate plus four per	1345
cent, multiplied by the premium due;	1346

~~(d)~~(iv) For a premium from one hundred fifty-one to one	1347
hundred eighty days past due, the prime interest rate plus six per	1348
cent, multiplied by the premium due;	1349

~~(e)~~(v) For a premium from one hundred eighty-one to two	1350
hundred ten days past due, the prime interest rate plus eight per	1351
cent, multiplied by the premium due;	1352

~~(f)~~(vi) For each additional thirty-day period or portion	1353
thereof that a premium remains past due after it has remained past	1354
due for more than two hundred ten days, the prime interest rate	1355
plus eight per cent, multiplied by the premium due.	1356

(b) For purposes of division (D)(2)(a) of this section,	1357
"prime interest rate" means the average bank prime rate, and the	1358
administrator shall determine the prime interest rate in the same	1359
manner as a county auditor determines the average bank prime rate	1360
under section 929.02 of the Revised Code.	1361

(c) If an employer fails to pay the premium or assessments	1362
when due for a policy year commencing on or after July 1, 2015,	1363
the administrator may assess a penalty at the interest rate	1364
established by the state tax commissioner pursuant to section	1365
5703.47 of the Revised Code.	1366

(3) Notwithstanding the interest rates specified in division	1367
~~(E)~~(D)(2)(a) or (c) of this section, at no time shall the	1368
additional penalty amount assessed under division ~~(E)~~(D)(2)(a) or	1369
(c) of this section exceed fifteen per cent of the premium due.	1370

(4) If an employer recognized by the administrator as a	1371
professional employer organization fails to make a timely payment	1372
of premiums or assessments as required by section 4123.35 of the	1373
Revised Code, the administrator shall revoke the professional	1374
employer organization's registration pursuant to section 4125.06	1375
of the Revised Code.	1376

(5) An employer may appeal a late fee penalty or additional	1377
penalty to an adjudicating committee pursuant to section 4123.291	1378
of the Revised Code.	1379

~~For purposes of division (E) of this section, "prime interest~~	1380
~~rate" means the average bank prime rate, and the administrator~~	1381
~~shall determine the prime interest rate in the same manner as a~~	1382
~~county auditor determines the average bank prime rate under~~	1383
~~section 929.02 of the Revised Code.~~	1384

~~(5)~~(6) If the employer files an appropriate payroll report,	1385
within the time provided by law ~~or within the time specified by~~	1386
~~the administrator if the period for which the employer paid an~~	1387
~~estimated premium is less than eight months~~, the employer shall	1388
not be in default and division ~~(E)~~(D)(2) of this section shall not	1389
apply if the employer pays the premiums within fifteen days after	1390
being first notified by the administrator of the amount due.	1391

~~(6)~~(7) Any deficiencies in the amounts of the premium	1392
security deposit paid by an employer ~~for any period~~prior to July	1393
1, 2015, shall be subject to an interest charge of six per cent	1394
per annum from the date the premium obligation is incurred. In	1395
determining the interest due on deficiencies in premium security	1396
deposit payments, a charge in each case shall be made against the	1397
employer in an amount equal to interest at the rate of six per	1398
cent per annum on the premium security deposit due but remaining	1399
unpaid sixty days after notice by the administrator.	1400

~~(7)~~(8) Any interest charges or penalties provided for in	1401
divisions ~~(E)~~(D)(2) and ~~(6)~~(7) of this section shall be credited	1402
to the employer's account for rating purposes in the same manner	1403
as premiums.	1404

~~(F)~~(E) A rule providing that each employer, on the occasion	1405
of instituting coverage under this chapter for an effective date	1406
prior to July 1, 2015, shall submit a premium security deposit.	1407
The deposit shall be calculated equivalent to thirty per cent of	1408
the semiannual premium obligation of the employer based upon the	1409
employer's estimated expenditure for wages for the ensuing	1410
six-month period plus thirty per cent of an additional adjustment	1411
period of two months but only up to a maximum of one thousand	1412
dollars and not less than ten dollars. The administrator shall	1413
review the security deposit of every employer who has submitted a	1414
deposit which is less than the one-thousand-dollar maximum. The	1415
administrator may require any such employer to submit additional	1416
money up to the maximum of one thousand dollars that, in the	1417
administrator's opinion, reflects the employer's current payroll	1418
expenditure for an eight-month period.	1419

~~(G)~~(F) A rule providing that each employer, on the occasion	1420
of instituting coverage under this chapter, shall submit an	1421
application fee and an application for coverage that completely	1422
provides all of the information required for the administrator to	1423
establish coverage for that employer, and that the employer's	1424
failure to pay the application fee or to provide all of the	1425
information ~~completely~~requested on the application may be grounds	1426
for the administrator to deny coverage for that employer.	1427

~~(H)~~(G) A rule providing that, in addition to any other	1428
remedies permitted in this chapter, the administrator may	1429
discontinue an employer's coverage if the employer fails to pay	1430
the premium due on or before the premium's due date.	1431

~~(I)~~(H) A rule providing that if after a final adjudication it	1432
is determined that an employer has failed to pay an obligation,	1433
billing, account, or assessment that is greater than one thousand	1434
dollars on or before its due date, the administrator may	1435
discontinue the employer's coverage in addition to any other	1436
remedies permitted in this chapter, and that the administrator	1437
shall not discontinue an employer's coverage pursuant to this	1438
division prior to a final adjudication regarding the employer's	1439
failure to pay such obligation, billing, account, or assessment on	1440
or before its due date.	1441

~~(J)~~(I) As used in divisions (G) and (H) ~~and (I)~~ of this	1442
section:	1443

(1) "Employer" has the same meaning as in ~~division (B) of~~	1444
section 4123.01 of the Revised Code except that "employer" does	1445
not include the state, a state hospital, or a state university or	1446
college.	1447

(2) "State university or college" has the same meaning as in	1448
section 3345.12 of the Revised Code and also includes the Ohio	1449
agricultural research and development center and OSU extension.	1450

(3) "State hospital" means the Ohio state university hospital	1451
and its ancillary facilities and the medical university of Ohio at	1452
Toledo hospital.	1453

Sec. 4123.322. (A) ~~Notwithstanding any provision to the~~	1454
~~contrary in section 4123.32 or 4123.41 of the Revised Code, the~~	1455
The administrator of workers' compensation, with the advice and	1456
consent of the bureau of workers' compensation board of directors,	1457
~~may~~shall adopt rules ~~with respect to the collection, maintenance,~~	1458
~~and disbursements of the state insurance fund to provide for a~~	1459
~~system of prospective payment of workers' compensation premiums.~~	1460
~~If the administrator elects to adopt rules~~ establishing a	1461
prospective payment system, ~~those rules~~which shall include all of	1462
the following:	1463

(1) ~~A requirement that, notwithstanding section 4123.26 of~~	1464
~~the Revised Code, on or before the thirtieth day of June of each~~	1465
~~year, or such other date as the administrator establishes, every~~	1466
~~employer mentioned in division (B)(2) of section 4123.01 of the~~	1467
~~Revised Code shall file with the bureau of workers' compensation~~	1468
~~an estimate of the employer's payroll for the immediately~~	1469
~~following twelve-month period or other period as the administrator~~	1470
~~establishes;~~	1471

~~(2)~~ A requirement that upon an initial application for	1472
coverage, ana private employer ~~mentioned in division (B)(2) of~~	1473
~~section 4123.01 of the Revised Code~~ shall file with the	1474
application an estimate of the employer's payroll for the	1475
~~unexpired~~ period ~~from the date of application to the period ending~~	1476
~~on the following thirtieth day of June or other date as~~	1477
~~established by~~ the administrator determines pursuant to ~~division~~	1478
~~(A)(1) of this section~~rules the administrator adopts, and shall	1479
pay the amount the administrator determines by rule in order to	1480
establish coverage for the employer as described in division	1481
(B)(12) of section 4121.121 of the Revised Code;	1482

~~(3) A requirement that, notwithstanding section 4123.26 or~~	1483
~~4123.41 of the Revised Code, on or before the first day of January~~	1484
~~of each year, or such other date as the administrator establishes,~~	1485
~~every employer mentioned in division (B)(1) of section 4123.01 of~~	1486
~~the Revised Code, except for a state agency or a state university~~	1487
~~or college, shall file with the bureau an estimate of the~~	1488
~~employer's payroll for the immediately following twelve-month~~	1489
~~period or other period as the administrator establishes;~~	1490

~~(4)~~(2) A requirement that upon an initial application for	1491
coverage, ana public employer ~~mentioned in division (B)(1) of~~	1492
~~section 4123.01 of the Revised Code~~, except for a state agency or	1493
state university or college, shall file with the application an	1494
estimate of the employer's payroll for the ~~unexpired~~ period ~~from~~	1495
~~the date of application to the period ending on the following~~	1496
~~thirty-first day of December or other date as established by~~ the	1497
administrator determines pursuant to ~~division (A)(3) of this~~	1498
~~section~~rules the administrator adopts, and shall pay the amount	1499
the administrator determines by rule in order to establish	1500
coverage for the employer as described in division (B)(12) of	1501
section 4121.121 of the Revised Code;	1502

~~(5) The assessment of a penalty if an employer fails to~~	1503
~~timely file the estimates of payroll required by the rules adopted~~	1504
~~pursuant to this section;~~	1505

~~(6)~~(3) A requirement that an employer complete periodic	1506
payroll reports of actual expenditures for previous coverage	1507
periods for reconciliation with estimated payroll reports;	1508

~~(7)~~(4) The assessment of a penalty for late payroll	1509
reconciliation reports and for late payment of any reconciliation	1510
premium;	1511

~~(8)~~(5) The establishment of a transition period during which	1512
time the bureau shall determine the adequacy of existing premium	1513
security deposits of employers, the establishment of provisions	1514
for additional premium payments during that transition, the	1515
provision of a credit of those deposits toward the first premium	1516
due from an employer under the rules adopted under divisions	1517
(A)(1) to ~~(7)~~(4) of this section, and the establishment of	1518
penalties for late payment or failure to comply with the rules.	1519

(B) For purposes of division (A)~~(6)~~(3) of this section, an	1520
employer shall make timely payment of any premium owed when actual	1521
payroll expenditures exceeded estimated payroll, and the employer	1522
shall receive premium credit when the estimated payroll exceeded	1523
the actual payroll.	1524

(C) For purposes of division (A)~~(7)~~(4) of this section, if	1525
the employer's actual payroll substantially exceeds the estimated	1526
payroll, the administrator may assess additional penalties	1527
specified in rules the administrator adopts on the reconciliation	1528
premium.	1529

(D) As used in this section, "state university or college"	1530
has the same meaning as in section 4123.32 of the Revised Code.	1531

Sec. 4123.323. (A) Except as provided in division (B) of	1532
this section, a payment required under this chapter or Chapter	1533
4121. of the Revised Code, including a payment due for purposes of	1534
continuing coverage, is due on the date specified in those	1535
chapters, unless otherwise provided in a rule adopted by the	1536
administrator of workers' compensation, with the advice and	1537
consent of the bureau of workers' compensation board of directors.	1538

(B) For purposes of collection referrals to the attorney	1539
general under section 131.02 of the Revised Code, a premium	1540
payment is due thirty days after the date upon which a private	1541
employer must submit the payroll report for the corresponding	1542
policy year pursuant to section 4123.26 of the Revised Code or the	1543
date upon which a public employer must submit the payroll report	1544
for the corresponding policy year pursuant to section 4123.41 of	1545
the Revised Code, as applicable.	1546

Sec. 4123.34. It shall be the duty of the bureau of workers'	1547
compensation board of directors and the administrator of workers'	1548
compensation to safeguard and maintain the solvency of the state	1549
insurance fund and all other funds specified in this chapter and	1550
Chapters 4121., 4127., and 4131. of the Revised Code. The	1551
administrator, in the exercise of the powers and discretion	1552
conferred upon the administrator in section 4123.29 of the Revised	1553
Code, shall fix and maintain, with the advice and consent of the	1554
board, for each class of occupation or industry, the lowest	1555
possible rates of premium consistent with the maintenance of a	1556
solvent state insurance fund and the creation and maintenance of a	1557
reasonable surplus, after the payment of legitimate claims for	1558
injury, occupational disease, and death that the administrator	1559
authorizes to be paid from the state insurance fund for the	1560
benefit of injured, diseased, and the dependents of killed	1561
employees. In establishing rates, the administrator shall take	1562
into account the necessity of ensuring sufficient money is set	1563
aside in the premium payment security fund to cover any defaults	1564
in premium obligations. The administrator shall observe all of the	1565
following requirements in fixing the rates of premium for the	1566
risks of occupations or industries:	1567

(A) The administrator shall keep an accurate account of the	1568
money paid in premiums by each of the several classes of	1569
occupations or industries, and the losses on account of injuries,	1570
occupational disease, and death of employees thereof, and also	1571
keep an account of the money received from each individual	1572
employer and the amount of losses incurred against the state	1573
insurance fund on account of injuries, occupational disease, and	1574
death of the employees of the employer.	1575

(B) A portion of the money paid into the state insurance fund	1576
shall be set aside for the creation of a surplus fund account	1577
within the state insurance fund. Any references in this chapter or	1578
in Chapter 4121., 4125., 4127., or 4131. of the Revised Code to	1579
the surplus fund, the surplus created in this division, the	1580
statutory surplus fund, or the statutory surplus of the state	1581
insurance fund are hereby deemed to be references to the surplus	1582
fund account. The administrator may transfer the portion of the	1583
state insurance fund to the surplus fund account as the	1584
administrator determines is necessary to satisfy the needs of the	1585
surplus fund account and to guarantee the solvency of the state	1586
insurance fund and the surplus fund account. In addition to all	1587
statutory authority under this chapter and Chapter 4121. of the	1588
Revised Code, the administrator has discretionary and contingency	1589
authority to make charges to the surplus fund account. The	1590
administrator shall account for all charges, whether statutory,	1591
discretionary, or contingency, that the administrator may make to	1592
the surplus fund account. A revision of basic rates shall be made	1593
annually on the first day of July.	1594

Notwithstanding any provision of the law to the contrary, one	1595
hundred eighty days after the effective date on which	1596
self-insuring employers first may elect under division (D) of	1597
section 4121.66 of the Revised Code to directly pay for	1598
rehabilitation expenses, the administrator shall calculate the	1599
deficit, if any, in the portion of the surplus fund account that	1600
is used for reimbursement to self-insuring employers for all	1601
expenses other than handicapped reimbursement under section	1602
4123.343 of the Revised Code. The administrator, from time to	1603
time, may determine whether the surplus fund account has such a	1604
deficit and may assess all self-insuring employers who	1605
participated in the portion of the surplus fund account during the	1606
accrual of the deficit and who during that time period have not	1607
made the election under division (D) of section 4121.66 of the	1608
Revised Code the amount the administrator determines necessary to	1609
reduce the deficit.	1610

~~Revisions~~For policy years commencing prior to July 1, 2016,	1611
revisions of basic rates for private employers shall be in	1612
accordance with the oldest four of the last five calendar years of	1613
the combined accident and occupational disease experience of the	1614
administrator in the administration of this chapter, as shown by	1615
the accounts kept as provided in this section~~, excluding~~. For a	1616
policy year commencing on or after July 1, 2016, revisions of	1617
basic rates for private employers shall be in accordance with the	1618
oldest four of the last five policy years combined accident and	1619
occupational disease experience of the administrator in the	1620
administration of this chapter, as shown by the accounts kept as	1621
provided in this section.	1622

Revisions of basic rates for public employers shall be in	1623
accordance with the oldest four of the last five policy years of	1624
the combined accident and occupational disease experience of the	1625
administrator in the administration of this chapter, as shown by	1626
the accounts kept as provided in this section.	1627

In revising basic rates, the administrator shall exclude the	1628
experience of employers that are no longer active if the	1629
administrator determines that the inclusion of those employers	1630
would have a significant negative impact on the remainder of the	1631
employers in a particular manual classification~~; and the~~. The	1632
administrator shall adopt rules, with the advice and consent of	1633
the board, governing rate revisions, the object of which shall be	1634
to make an equitable distribution of losses among the several	1635
classes of occupation or industry, which rules shall be general in	1636
their application.	1637

(C) The administrator may apply that form of rating system	1638
that the administrator finds is best calculated to merit rate or	1639
individually rate the risk more equitably, predicated upon the	1640
basis of its individual industrial accident and occupational	1641
disease experience, and may encourage and stimulate accident	1642
prevention. The administrator shall develop fixed and equitable	1643
rules controlling the rating system, which rules shall conserve to	1644
each risk the basic principles of workers' compensation insurance.	1645

(D) The administrator, from the money paid into the state	1646
insurance fund, shall set aside into an account of the state	1647
insurance fund titled a premium payment security fund sufficient	1648
money to pay for any premiums due from an employer and uncollected	1649
~~that are in excess of the employer's premium security deposit~~.	1650

~~The fund shall be in the custody of the treasurer of state.~~	1651
~~All investment earnings of the fund shall be deposited in the~~	1652
~~fund. Disbursements from the fund shall be made by the bureau of~~	1653
~~workers' compensation upon order of the administrator to the state~~	1654
~~insurance fund.~~ The use of the moneys held by the premium payment	1655
security fund account is restricted to reimbursement to the state	1656
insurance fund of premiums due and uncollected ~~in excess of an~~	1657
~~employer's premium security deposit. The moneys constituting the~~	1658
~~premium payment security fund shall be maintained without regard~~	1659
~~to or reliance upon any other fund. This section does not prevent~~	1660
~~the deposit or investment of the premium payment security fund~~	1661
~~with any other fund created by this chapter, but the premium~~	1662
~~payment security fund is separate and distinct for every other~~	1663
~~purpose and a strict accounting thereof shall be maintained~~.	1664

(E) The administrator may grant discounts on premium rates	1665
for employers who meet either of the following requirements:	1666

(1) Have not incurred a compensable injury for one year or	1667
more and who maintain an employee safety committee or similar	1668
organization or make periodic safety inspections of the workplace.	1669

(2) Successfully complete a loss prevention program	1670
prescribed by the superintendent of the division of safety and	1671
hygiene and conducted by the division or by any other person	1672
approved by the superintendent.	1673

(F)(1) In determining the premium rates for the construction	1674
industry the administrator shall calculate the employers' premiums	1675
based upon the actual remuneration construction industry employees	1676
receive from construction industry employers, provided that the	1677
amount of remuneration the administrator uses in calculating the	1678
premiums shall not exceed an average weekly wage equal to one	1679
hundred fifty per cent of the statewide average weekly wage as	1680
defined in division (C) of section 4123.62 of the Revised Code.	1681

(2) Division (F)(1) of this section shall not be construed as	1682
affecting the manner in which benefits to a claimant are awarded	1683
under this chapter.	1684

(3) As used in division (F) of this section, "construction	1685
industry" includes any activity performed in connection with the	1686
erection, alteration, repair, replacement, renovation,	1687
installation, or demolition of any building, structure, highway,	1688
or bridge.	1689

(G) The administrator ~~of workers' compensation~~ shall not	1690
place a limit on the length of time that an employer may	1691
participate in the bureau of workers' compensation drug free	1692
workplace and workplace safety programs.	1693

Sec. 4123.35. (A) Except as provided in this section, and	1694
until the policy year commencing July 1, 2015, every private	1695
employer ~~mentioned in division (B)(2) of section 4123.01 of the~~	1696
~~Revised Code,~~ and every publicly owned utility shall pay	1697
semiannually in the months of January and July into the state	1698
insurance fund the amount of annual premium the administrator of	1699
workers' compensation fixes for the employment or occupation of	1700
the employer, the amount of which premium to be paid by each	1701
employer to be determined by the classifications, rules, and rates	1702
made and published by the administrator. The employer shall pay	1703
semiannually a further sum of money into the state insurance fund	1704
as may be ascertained to be due from the employer by applying the	1705
rules of the administrator~~, and a~~.	1706

Except as otherwise provided in this section, for a policy	1707
year commencing on or after July 1, 2015, every private employer	1708
and every publicly owned utility shall pay annually in the month	1709
of June immediately preceding the policy year into the state	1710
insurance fund the amount of estimated annual premium the	1711
administrator fixes for the employment or occupation of the	1712
employer, the amount of which estimated premium to be paid by each	1713
employer to be determined by the classifications, rules, and rates	1714
made and published by the administrator. The employer shall pay a	1715
further sum of money into the state insurance fund as may be	1716
ascertained to be due from the employer by applying the rules of	1717
the administrator. Upon receipt of the payroll report required by	1718
division (B) of section 4123.26 of the Revised Code, the	1719
administrator shall adjust the premium and assessments charged to	1720
each employer for the difference between estimated gross payrolls	1721
and actual gross payrolls, and any balance due to the	1722
administrator shall be immediately paid by the employer. Any	1723
balance due the employer shall be credited to the employer's	1724
account.	1725

For a policy year commencing on or after July 1, 2015, each	1726
employer that is recognized by the administrator as a professional	1727
employer organization shall pay monthly into the state insurance	1728
fund the amount of premium the administrator fixes for the	1729
employer for the prior month based on the actual payroll of the	1730
employer reported pursuant to division (C) of section 4123.26 of	1731
the Revised Code.	1732

A receipt ~~or certificate~~ certifying that payment has been	1733
made~~, along with a written notice as is required in section~~	1734
~~4123.54 of the Revised Code,~~ shall be ~~mailed immediately~~issued	1735
to the employer by the bureau of workers' compensation. The	1736
receipt ~~or certificate~~ is prima-facie evidence of the payment of	1737
the premium~~, and the proper~~. The administrator shall provide each	1738
employer written proof of workers' compensation coverage as is	1739
required in section 4123.83 of the Revised Code. Proper posting of	1740
the notice constitutes the employer's compliance with the notice	1741
requirement mandated in section ~~4123.54~~4123.83 of the Revised	1742
Code.	1743

~~If the administrator adopts rules to establish a prospective~~	1744
~~payment of premium under section 4123.322 of the Revised Code,~~	1745
~~every employer mentioned in division (B)(2) of section 4123.01 of~~	1746
~~the Revised Code and every publicly owned utility shall pay into~~	1747
~~the state insurance fund the amount of premium the administrator~~	1748
~~fixes for the employment or occupation of the employer, the amount~~	1749
~~of which premium to be paid by each employer to be determined by~~	1750
~~the classifications, rules, and rates made and published by the~~	1751
~~administrator and based upon the estimates and reconciliations~~	1752
~~required by the rules the administrator adopts under section~~	1753
~~4123.322 of the Revised Code.~~	1754

The bureau ~~of workers' compensation~~ shall verify with the	1755
secretary of state the existence of all corporations and	1756
organizations making application for workers' compensation	1757
coverage and shall require every such application to include the	1758
employer's federal identification number.	1759

AnA private employer ~~as defined in division (B)(2) of~~	1760
~~section 4123.01 of the Revised Code~~ who has contracted with a	1761
subcontractor is liable for the unpaid premium due from any	1762
subcontractor with respect to that part of the payroll of the	1763
subcontractor that is for work performed pursuant to the contract	1764
with the employer.	1765

Division (A) of this section providing for the payment of	1766
premiums semiannually does not apply to any employer who was a	1767
subscriber to the state insurance fund prior to January 1, 1914,	1768
or, until July 1, 2015, who may first become a subscriber to the	1769
fund in any month other than January or July. Instead, the	1770
semiannual premiums shall be paid by those employers from time to	1771
time upon the expiration of the respective periods for which	1772
payments into the fund have been made by them. After July 1, 2015,	1773
an employer who first becomes a subscriber to the fund on any day	1774
other than the first day of July shall pay premiums according to	1775
rules adopted by the administrator, with the advice and consent of	1776
the bureau of workers' compensation board of directors, for the	1777
remainder of the policy year for which the coverage is effective.	1778

The administrator, with the advice and consent of the board,	1779
shall adopt rules to permit employers to make periodic payments of	1780
the ~~semiannual~~ premium and assessment due under this division. The	1781
rules shall include provisions for the assessment of interest	1782
charges, where appropriate, and for the assessment of penalties	1783
when an employer fails to make timely premium payments. The	1784
administrator, in the rules the administrator adopts, may set an	1785
administrative fee for these periodic payments. An employer who	1786
timely pays the amounts due under this division is entitled to all	1787
of the benefits and protections of this chapter. Upon receipt of	1788
payment, the bureau ~~immediately~~ shall ~~mail~~issue a receipt or	1789
~~certificate~~ to the employer certifying that payment has been made,	1790
which receipt is prima-facie evidence of payment. Workers'	1791
compensation coverage under this chapter continues uninterrupted	1792
upon timely receipt of payment under this division.	1793

Every public employer, except public employers that are	1794
self-insuring employers under this section, shall comply with	1795
sections 4123.38 to 4123.41, and 4123.48 of the Revised Code in	1796
regard to the contribution of moneys to the public insurance fund.	1797

(B) Employers who will abide by the rules of the	1798
administrator and who may be of sufficient financial ability to	1799
render certain the payment of compensation to injured employees or	1800
the dependents of killed employees, and the furnishing of medical,	1801
surgical, nursing, and hospital attention and services and	1802
medicines, and funeral expenses, equal to or greater than is	1803
provided for in sections 4123.52, 4123.55 to 4123.62, and 4123.64	1804
to 4123.67 of the Revised Code, and who do not desire to insure	1805
the payment thereof or indemnify themselves against loss sustained	1806
by the direct payment thereof, upon a finding of such facts by the	1807
administrator, may be granted the privilege to pay individually	1808
compensation, and furnish medical, surgical, nursing, and hospital	1809
services and attention and funeral expenses directly to injured	1810
employees or the dependents of killed employees, thereby being	1811
granted status as a self-insuring employer. The administrator may	1812
charge employers who apply for the status as a self-insuring	1813
employer a reasonable application fee to cover the bureau's costs	1814
in connection with processing and making a determination with	1815
respect to an application.	1816

All employers granted status as self-insuring employers shall	1817
demonstrate sufficient financial and administrative ability to	1818
assure that all obligations under this section are promptly met.	1819
The administrator shall deny the privilege where the employer is	1820
unable to demonstrate the employer's ability to promptly meet all	1821
the obligations imposed on the employer by this section.	1822

(1) The administrator shall consider, but is not limited to,	1823
the following factors, where applicable, in determining the	1824
employer's ability to meet all of the obligations imposed on the	1825
employer by this section:	1826

(a) The employer employs a minimum of five hundred employees	1827
in this state;	1828

(b) The employer has operated in this state for a minimum of	1829
two years, provided that an employer who has purchased, acquired,	1830
or otherwise succeeded to the operation of a business, or any part	1831
thereof, situated in this state that has operated for at least two	1832
years in this state, also shall qualify;	1833

(c) Where the employer previously contributed to the state	1834
insurance fund or is a successor employer as defined by bureau	1835
rules, the amount of the buyout, as defined by bureau rules;	1836

(d) The sufficiency of the employer's assets located in this	1837
state to insure the employer's solvency in paying compensation	1838
directly;	1839

(e) The financial records, documents, and data, certified by	1840
a certified public accountant, necessary to provide the employer's	1841
full financial disclosure. The records, documents, and data	1842
include, but are not limited to, balance sheets and profit and	1843
loss history for the current year and previous four years.	1844

(f) The employer's organizational plan for the administration	1845
of the workers' compensation law;	1846

(g) The employer's proposed plan to inform employees of the	1847
change from a state fund insurer to a self-insuring employer, the	1848
procedures the employer will follow as a self-insuring employer,	1849
and the employees' rights to compensation and benefits; and	1850

(h) The employer has either an account in a financial	1851
institution in this state, or if the employer maintains an account	1852
with a financial institution outside this state, ensures that	1853
workers' compensation checks are drawn from the same account as	1854
payroll checks or the employer clearly indicates that payment will	1855
be honored by a financial institution in this state.	1856

The administrator may waive the requirements of divisions	1857
(B)(1)(a) and (b) of this section and the requirement of division	1858
(B)(1)(e) of this section that the financial records, documents,	1859
and data be certified by a certified public accountant. The	1860
administrator shall adopt rules establishing the criteria that an	1861
employer shall meet in order for the administrator to waive the	1862
requirements of divisions (B)(1)(a), (b), and (e) of this section.	1863
Such rules may require additional security of that employer	1864
pursuant to division (E) of section 4123.351 of the Revised Code.	1865

The administrator shall not grant the status of self-insuring	1866
employer to the state, except that the administrator may grant the	1867
status of self-insuring employer to a state institution of higher	1868
education, including its hospitals, that meets the requirements of	1869
division (B)(2) of this section.	1870

(2) When considering the application of a public employer,	1871
except for a board of county commissioners described in division	1872
(G) of section 4123.01 of the Revised Code, a board of a county	1873
hospital, or a publicly owned utility, the administrator shall	1874
verify that the public employer satisfies all of the following	1875
requirements as the requirements apply to that public employer:	1876

(a) For the two-year period preceding application under this	1877
section, the public employer has maintained an unvoted debt	1878
capacity equal to at least two times the amount of the current	1879
annual premium established by the administrator under this chapter	1880
for that public employer for the year immediately preceding the	1881
year in which the public employer makes application under this	1882
section.	1883

(b) For each of the two fiscal years preceding application	1884
under this section, the unreserved and undesignated year-end fund	1885
balance in the public employer's general fund is equal to at least	1886
five per cent of the public employer's general fund revenues for	1887
the fiscal year computed in accordance with generally accepted	1888
accounting principles.	1889

(c) For the five-year period preceding application under this	1890
section, the public employer, to the extent applicable, has	1891
complied fully with the continuing disclosure requirements	1892
established in rules adopted by the United States securities and	1893
exchange commission under 17 C.F.R. 240.15c 2-12.	1894

(d) For the five-year period preceding application under this	1895
section, the public employer has not had its local government fund	1896
distribution withheld on account of the public employer being	1897
indebted or otherwise obligated to the state.	1898

(e) For the five-year period preceding application under this	1899
section, the public employer has not been under a fiscal watch or	1900
fiscal emergency pursuant to section 118.023, 118.04, or 3316.03	1901
of the Revised Code.	1902

(f) For the public employer's fiscal year preceding	1903
application under this section, the public employer has obtained	1904
an annual financial audit as required under section 117.10 of the	1905
Revised Code, which has been released by the auditor of state	1906
within seven months after the end of the public employer's fiscal	1907
year.	1908

(g) On the date of application, the public employer holds a	1909
debt rating of Aa3 or higher according to Moody's investors	1910
service, inc., or a comparable rating by an independent rating	1911
agency similar to Moody's investors service, inc.	1912

(h) The public employer agrees to generate an annual	1913
accumulating book reserve in its financial statements reflecting	1914
an actuarially generated reserve adequate to pay projected claims	1915
under this chapter for the applicable period of time, as	1916
determined by the administrator.	1917

(i) For a public employer that is a hospital, the public	1918
employer shall submit audited financial statements showing the	1919
hospital's overall liquidity characteristics, and the	1920
administrator shall determine, on an individual basis, whether the	1921
public employer satisfies liquidity standards equivalent to the	1922
liquidity standards of other public employers.	1923

(j) Any additional criteria that the administrator adopts by	1924
rule pursuant to division (E) of this section.	1925

The administrator may adopt rules establishing the criteria	1926
that a public employer shall satisfy in order for the	1927
administrator to waive any of the requirements listed in divisions	1928
(B)(2)(a) to (j) of this section. The rules may require additional	1929
security from that employer pursuant to division (E) of section	1930
4123.351 of the Revised Code. The administrator shall not waive	1931
any of the requirements listed in divisions (B)(2)(a) to (j) of	1932
this section for a public employer who does not satisfy the	1933
criteria established in the rules the administrator adopts.	1934

(C) A board of county commissioners described in division (G)	1935
of section 4123.01 of the Revised Code, as an employer, that will	1936
abide by the rules of the administrator and that may be of	1937
sufficient financial ability to render certain the payment of	1938
compensation to injured employees or the dependents of killed	1939
employees, and the furnishing of medical, surgical, nursing, and	1940
hospital attention and services and medicines, and funeral	1941
expenses, equal to or greater than is provided for in sections	1942
4123.52, 4123.55 to 4123.62, and 4123.64 to 4123.67 of the Revised	1943
Code, and that does not desire to insure the payment thereof or	1944
indemnify itself against loss sustained by the direct payment	1945
thereof, upon a finding of such facts by the administrator, may be	1946
granted the privilege to pay individually compensation, and	1947
furnish medical, surgical, nursing, and hospital services and	1948
attention and funeral expenses directly to injured employees or	1949
the dependents of killed employees, thereby being granted status	1950
as a self-insuring employer. The administrator may charge a board	1951
of county commissioners described in division (G) of section	1952
4123.01 of the Revised Code that applies for the status as a	1953
self-insuring employer a reasonable application fee to cover the	1954
bureau's costs in connection with processing and making a	1955
determination with respect to an application. All employers	1956
granted such status shall demonstrate sufficient financial and	1957
administrative ability to assure that all obligations under this	1958
section are promptly met. The administrator shall deny the	1959
privilege where the employer is unable to demonstrate the	1960
employer's ability to promptly meet all the obligations imposed on	1961
the employer by this section. The administrator shall consider,	1962
but is not limited to, the following factors, where applicable, in	1963
determining the employer's ability to meet all of the obligations	1964
imposed on the board as an employer by this section:	1965

(1) The board as an employer employs a minimum of five	1966
hundred employees in this state;	1967

(2) The board has operated in this state for a minimum of two	1968
years;	1969

(3) Where the board previously contributed to the state	1970
insurance fund or is a successor employer as defined by bureau	1971
rules, the amount of the buyout, as defined by bureau rules;	1972

(4) The sufficiency of the board's assets located in this	1973
state to insure the board's solvency in paying compensation	1974
directly;	1975

(5) The financial records, documents, and data, certified by	1976
a certified public accountant, necessary to provide the board's	1977
full financial disclosure. The records, documents, and data	1978
include, but are not limited to, balance sheets and profit and	1979
loss history for the current year and previous four years.	1980

(6) The board's organizational plan for the administration of	1981
the workers' compensation law;	1982

(7) The board's proposed plan to inform employees of the	1983
proposed self-insurance, the procedures the board will follow as a	1984
self-insuring employer, and the employees' rights to compensation	1985
and benefits;	1986

(8) The board has either an account in a financial	1987
institution in this state, or if the board maintains an account	1988
with a financial institution outside this state, ensures that	1989
workers' compensation checks are drawn from the same account as	1990
payroll checks or the board clearly indicates that payment will be	1991
honored by a financial institution in this state;	1992

(9) The board shall provide the administrator a surety bond	1993
in an amount equal to one hundred twenty-five per cent of the	1994
projected losses as determined by the administrator.	1995

(D) The administrator shall require a surety bond from all	1996
self-insuring employers, issued pursuant to section 4123.351 of	1997
the Revised Code, that is sufficient to compel, or secure to	1998
injured employees, or to the dependents of employees killed, the	1999
payment of compensation and expenses, which shall in no event be	2000
less than that paid or furnished out of the state insurance fund	2001
in similar cases to injured employees or to dependents of killed	2002
employees whose employers contribute to the fund, except when an	2003
employee of the employer, who has suffered the loss of a hand,	2004
arm, foot, leg, or eye prior to the injury for which compensation	2005
is to be paid, and thereafter suffers the loss of any other of the	2006
members as the result of any injury sustained in the course of and	2007
arising out of the employee's employment, the compensation to be	2008
paid by the self-insuring employer is limited to the disability	2009
suffered in the subsequent injury, additional compensation, if	2010
any, to be paid by the bureau out of the surplus created by	2011
section 4123.34 of the Revised Code.	2012

(E) In addition to the requirements of this section, the	2013
administrator shall make and publish rules governing the manner of	2014
making application and the nature and extent of the proof required	2015
to justify a finding of fact by the administrator as to granting	2016
the status of a self-insuring employer, which rules shall be	2017
general in their application, one of which rules shall provide	2018
that all self-insuring employers shall pay into the state	2019
insurance fund such amounts as are required to be credited to the	2020
surplus fund in division (B) of section 4123.34 of the Revised	2021
Code. The administrator may adopt rules establishing requirements	2022
in addition to the requirements described in division (B)(2) of	2023
this section that a public employer shall meet in order to qualify	2024
for self-insuring status.	2025

Employers shall secure directly from the bureau central	2026
offices application forms upon which the bureau shall stamp a	2027
designating number. Prior to submission of an application, an	2028
employer shall make available to the bureau, and the bureau shall	2029
review, the information described in division (B)(1) of this	2030
section, and public employers shall make available, and the bureau	2031
shall review, the information necessary to verify whether the	2032
public employer meets the requirements listed in division (B)(2)	2033
of this section. An employer shall file the completed application	2034
forms with an application fee, which shall cover the costs of	2035
processing the application, as established by the administrator,	2036
by rule, with the bureau at least ninety days prior to the	2037
effective date of the employer's new status as a self-insuring	2038
employer. The application form is not deemed complete until all	2039
the required information is attached thereto. The bureau shall	2040
only accept applications that contain the required information.	2041

(F) The bureau shall review completed applications within a	2042
reasonable time. If the bureau determines to grant an employer the	2043
status as a self-insuring employer, the bureau shall issue a	2044
statement, containing its findings of fact, that is prepared by	2045
the bureau and signed by the administrator. If the bureau	2046
determines not to grant the status as a self-insuring employer,	2047
the bureau shall notify the employer of the determination and	2048
require the employer to continue to pay its full premium into the	2049
state insurance fund. The administrator also shall adopt rules	2050
establishing a minimum level of performance as a criterion for	2051
granting and maintaining the status as a self-insuring employer	2052
and fixing time limits beyond which failure of the self-insuring	2053
employer to provide for the necessary medical examinations and	2054
evaluations may not delay a decision on a claim.	2055

(G) The administrator shall adopt rules setting forth	2056
procedures for auditing the program of self-insuring employers.	2057
The bureau shall conduct the audit upon a random basis or whenever	2058
the bureau has grounds for believing that a self-insuring employer	2059
is not in full compliance with bureau rules or this chapter.	2060

The administrator shall monitor the programs conducted by	2061
self-insuring employers, to ensure compliance with bureau	2062
requirements and for that purpose, shall develop and issue to	2063
self-insuring employers standardized forms for use by the	2064
self-insuring employer in all aspects of the self-insuring	2065
employers' direct compensation program and for reporting of	2066
information to the bureau.	2067

The bureau shall receive and transmit to the self-insuring	2068
employer all complaints concerning any self-insuring employer. In	2069
the case of a complaint against a self-insuring employer, the	2070
administrator shall handle the complaint through the	2071
self-insurance division of the bureau. The bureau shall maintain a	2072
file by employer of all complaints received that relate to the	2073
employer. The bureau shall evaluate each complaint and take	2074
appropriate action.	2075

The administrator shall adopt as a rule a prohibition against	2076
any self-insuring employer from harassing, dismissing, or	2077
otherwise disciplining any employee making a complaint, which rule	2078
shall provide for a financial penalty to be levied by the	2079
administrator payable by the offending self-insuring employer.	2080

(H) For the purpose of making determinations as to whether to	2081
grant status as a self-insuring employer, the administrator may	2082
subscribe to and pay for a credit reporting service that offers	2083
financial and other business information about individual	2084
employers. The costs in connection with the bureau's subscription	2085
or individual reports from the service about an applicant may be	2086
included in the application fee charged employers under this	2087
section.	2088

(I) The administrator, notwithstanding other provisions of	2089
this chapter, may permit a self-insuring employer to resume	2090
payment of premiums to the state insurance fund with appropriate	2091
credit modifications to the employer's basic premium rate as such	2092
rate is determined pursuant to section 4123.29 of the Revised	2093
Code.	2094

(J) On the first day of July of each year, the administrator	2095
shall calculate separately each self-insuring employer's	2096
assessments for the safety and hygiene fund, administrative costs	2097
pursuant to section 4123.342 of the Revised Code, and for the	2098
portion of the surplus fund under division (B) of section 4123.34	2099
of the Revised Code that is not used for handicapped	2100
reimbursement, on the basis of the paid compensation attributable	2101
to the individual self-insuring employer according to the	2102
following calculation:	2103

(1) The total assessment against all self-insuring employers	2104
as a class for each fund and for the administrative costs for the	2105
year that the assessment is being made, as determined by the	2106
administrator, divided by the total amount of paid compensation	2107
for the previous calendar year attributable to all amenable	2108
self-insuring employers;	2109

(2) Multiply the quotient in division (J)(1) of this section	2110
by the total amount of paid compensation for the previous calendar	2111
year that is attributable to the individual self-insuring employer	2112
for whom the assessment is being determined. Each self-insuring	2113
employer shall pay the assessment that results from this	2114
calculation, unless the assessment resulting from this calculation	2115
falls below a minimum assessment, which minimum assessment the	2116
administrator shall determine on the first day of July of each	2117
year with the advice and consent of the bureau of workers'	2118
compensation board of directors, in which event, the self-insuring	2119
employer shall pay the minimum assessment.	2120

In determining the total amount due for the total assessment	2121
against all self-insuring employers as a class for each fund and	2122
the administrative assessment, the administrator shall reduce	2123
proportionately the total for each fund and assessment by the	2124
amount of money in the self-insurance assessment fund as of the	2125
date of the computation of the assessment.	2126

The administrator shall calculate the assessment for the	2127
portion of the surplus fund under division (B) of section 4123.34	2128
of the Revised Code that is used for handicapped reimbursement in	2129
the same manner as set forth in divisions (J)(1) and (2) of this	2130
section except that the administrator shall calculate the total	2131
assessment for this portion of the surplus fund only on the basis	2132
of those self-insuring employers that retain participation in the	2133
handicapped reimbursement program and the individual self-insuring	2134
employer's proportion of paid compensation shall be calculated	2135
only for those self-insuring employers who retain participation in	2136
the handicapped reimbursement program. The administrator, as the	2137
administrator determines appropriate, may determine the total	2138
assessment for the handicapped portion of the surplus fund in	2139
accordance with sound actuarial principles.	2140

The administrator shall calculate the assessment for the	2141
portion of the surplus fund under division (B) of section 4123.34	2142
of the Revised Code that under division (D) of section 4121.66 of	2143
the Revised Code is used for rehabilitation costs in the same	2144
manner as set forth in divisions (J)(1) and (2) of this section,	2145
except that the administrator shall calculate the total assessment	2146
for this portion of the surplus fund only on the basis of those	2147
self-insuring employers who have not made the election to make	2148
payments directly under division (D) of section 4121.66 of the	2149
Revised Code and an individual self-insuring employer's proportion	2150
of paid compensation only for those self-insuring employers who	2151
have not made that election.	2152

The administrator shall calculate the assessment for the	2153
portion of the surplus fund under division (B) of section 4123.34	2154
of the Revised Code that is used for reimbursement to a	2155
self-insuring employer under division (H) of section 4123.512 of	2156
the Revised Code in the same manner as set forth in divisions	2157
(J)(1) and (2) of this section except that the administrator shall	2158
calculate the total assessment for this portion of the surplus	2159
fund only on the basis of those self-insuring employers that	2160
retain participation in reimbursement to the self-insuring	2161
employer under division (H) of section 4123.512 of the Revised	2162
Code and the individual self-insuring employer's proportion of	2163
paid compensation shall be calculated only for those self-insuring	2164
employers who retain participation in reimbursement to the	2165
self-insuring employer under division (H) of section 4123.512 of	2166
the Revised Code.	2167

An employer who no longer is a self-insuring employer in this	2168
state or who no longer is operating in this state, shall continue	2169
to pay assessments for administrative costs and for the portion of	2170
the surplus fund under division (B) of section 4123.34 of the	2171
Revised Code that is not used for handicapped reimbursement, based	2172
upon paid compensation attributable to claims that occurred while	2173
the employer was a self-insuring employer within this state.	2174

(K) There is hereby created in the state treasury the	2175
self-insurance assessment fund. All investment earnings of the	2176
fund shall be deposited in the fund. The administrator shall use	2177
the money in the self-insurance assessment fund only for	2178
administrative costs as specified in section 4123.341 of the	2179
Revised Code.	2180

(L) Every self-insuring employer shall certify, in affidavit	2181
form subject to the penalty for perjury, to the bureau the amount	2182
of the self-insuring employer's paid compensation for the previous	2183
calendar year. In reporting paid compensation paid for the	2184
previous year, a self-insuring employer shall exclude from the	2185
total amount of paid compensation any reimbursement the	2186
self-insuring employer receives in the previous calendar year from	2187
the surplus fund pursuant to section 4123.512 of the Revised Code	2188
for any paid compensation. The self-insuring employer also shall	2189
exclude from the paid compensation reported any amount recovered	2190
under section 4123.931 of the Revised Code and any amount that is	2191
determined not to have been payable to or on behalf of a claimant	2192
in any final administrative or judicial proceeding. The	2193
self-insuring employer shall exclude such amounts from the paid	2194
compensation reported in the reporting period subsequent to the	2195
date the determination is made. The administrator shall adopt	2196
rules, in accordance with Chapter 119. of the Revised Code, that	2197
provide for all of the following:	2198

(1) Establishing the date by which self-insuring employers	2199
must submit such information and the amount of the assessments	2200
provided for in division (J) of this section for employers who	2201
have been granted self-insuring status within the last calendar	2202
year;	2203

(2) If an employer fails to pay the assessment when due, the	2204
administrator may add a late fee penalty of not more than five	2205
hundred dollars to the assessment plus an additional penalty	2206
amount as follows:	2207

(a) For an assessment from sixty-one to ninety days past due,	2208
the prime interest rate, multiplied by the assessment due;	2209

(b) For an assessment from ninety-one to one hundred twenty	2210
days past due, the prime interest rate plus two per cent,	2211
multiplied by the assessment due;	2212

(c) For an assessment from one hundred twenty-one to one	2213
hundred fifty days past due, the prime interest rate plus four per	2214
cent, multiplied by the assessment due;	2215

(d) For an assessment from one hundred fifty-one to one	2216
hundred eighty days past due, the prime interest rate plus six per	2217
cent, multiplied by the assessment due;	2218

(e) For an assessment from one hundred eighty-one to two	2219
hundred ten days past due, the prime interest rate plus eight per	2220
cent, multiplied by the assessment due;	2221

(f) For each additional thirty-day period or portion thereof	2222
that an assessment remains past due after it has remained past due	2223
for more than two hundred ten days, the prime interest rate plus	2224
eight per cent, multiplied by the assessment due.	2225

(3) An employer may appeal a late fee penalty and penalty	2226
assessment to the administrator.	2227

For purposes of division (L)(2) of this section, "prime	2228
interest rate" means the average bank prime rate, and the	2229
administrator shall determine the prime interest rate in the same	2230
manner as a county auditor determines the average bank prime rate	2231
under section 929.02 of the Revised Code.	2232

The administrator shall include any assessment and penalties	2233
that remain unpaid for previous assessment periods in the	2234
calculation and collection of any assessments due under this	2235
division or division (J) of this section.	2236

(M) As used in this section, "paid compensation" means all	2237
amounts paid by a self-insuring employer for living maintenance	2238
benefits, all amounts for compensation paid pursuant to sections	2239
4121.63, 4121.67, 4123.56, 4123.57, 4123.58, 4123.59, 4123.60, and	2240
4123.64 of the Revised Code, all amounts paid as wages in lieu of	2241
such compensation, all amounts paid in lieu of such compensation	2242
under a nonoccupational accident and sickness program fully funded	2243
by the self-insuring employer, and all amounts paid by a	2244
self-insuring employer for a violation of a specific safety	2245
standard pursuant to Section 35 of Article II, Ohio Constitution	2246
and section 4121.47 of the Revised Code.	2247

(N) Should any section of this chapter or Chapter 4121. of	2248
the Revised Code providing for self-insuring employers'	2249
assessments based upon compensation paid be declared	2250
unconstitutional by a final decision of any court, then that	2251
section of the Revised Code declared unconstitutional shall revert	2252
back to the section in existence prior to November 3, 1989,	2253
providing for assessments based upon payroll.	2254

(O) The administrator may grant a self-insuring employer the	2255
privilege to self-insure a construction project entered into by	2256
the self-insuring employer that is scheduled for completion within	2257
six years after the date the project begins, and the total cost of	2258
which is estimated to exceed one hundred million dollars or, for	2259
employers described in division (R) of this section, if the	2260
construction project is estimated to exceed twenty-five million	2261
dollars. The administrator may waive such cost and time criteria	2262
and grant a self-insuring employer the privilege to self-insure a	2263
construction project regardless of the time needed to complete the	2264
construction project and provided that the cost of the	2265
construction project is estimated to exceed fifty million dollars.	2266
A self-insuring employer who desires to self-insure a construction	2267
project shall submit to the administrator an application listing	2268
the dates the construction project is scheduled to begin and end,	2269
the estimated cost of the construction project, the contractors	2270
and subcontractors whose employees are to be self-insured by the	2271
self-insuring employer, the provisions of a safety program that is	2272
specifically designed for the construction project, and a	2273
statement as to whether a collective bargaining agreement	2274
governing the rights, duties, and obligations of each of the	2275
parties to the agreement with respect to the construction project	2276
exists between the self-insuring employer and a labor	2277
organization.	2278

A self-insuring employer may apply to self-insure the	2279
employees of either of the following:	2280

(1) All contractors and subcontractors who perform labor or	2281
work or provide materials for the construction project;	2282

(2) All contractors and, at the administrator's discretion, a	2283
substantial number of all the subcontractors who perform labor or	2284
work or provide materials for the construction project.	2285

Upon approval of the application, the administrator shall	2286
mail a certificate granting the privilege to self-insure the	2287
construction project to the self-insuring employer. The	2288
certificate shall contain the name of the self-insuring employer	2289
and the name, address, and telephone number of the self-insuring	2290
employer's representatives who are responsible for administering	2291
workers' compensation claims for the construction project. The	2292
self-insuring employer shall post the certificate in a conspicuous	2293
place at the site of the construction project.	2294

The administrator shall maintain a record of the contractors	2295
and subcontractors whose employees are covered under the	2296
certificate issued to the self-insured employer. A self-insuring	2297
employer immediately shall notify the administrator when any	2298
contractor or subcontractor is added or eliminated from inclusion	2299
under the certificate.	2300

Upon approval of the application, the self-insuring employer	2301
is responsible for the administration and payment of all claims	2302
under this chapter and Chapter 4121. of the Revised Code for the	2303
employees of the contractor and subcontractors covered under the	2304
certificate who receive injuries or are killed in the course of	2305
and arising out of employment on the construction project, or who	2306
contract an occupational disease in the course of employment on	2307
the construction project. For purposes of this chapter and Chapter	2308
4121. of the Revised Code, a claim that is administered and paid	2309
in accordance with this division is considered a claim against the	2310
self-insuring employer listed in the certificate. A contractor or	2311
subcontractor included under the certificate shall report to the	2312
self-insuring employer listed in the certificate, all claims that	2313
arise under this chapter and Chapter 4121. of the Revised Code in	2314
connection with the construction project for which the certificate	2315
is issued.	2316

A self-insuring employer who complies with this division is	2317
entitled to the protections provided under this chapter and	2318
Chapter 4121. of the Revised Code with respect to the employees of	2319
the contractors and subcontractors covered under a certificate	2320
issued under this division for death or injuries that arise out	2321
of, or death, injuries, or occupational diseases that arise in the	2322
course of, those employees' employment on that construction	2323
project, as if the employees were employees of the self-insuring	2324
employer, provided that the self-insuring employer also complies	2325
with this section. No employee of the contractors and	2326
subcontractors covered under a certificate issued under this	2327
division shall be considered the employee of the self-insuring	2328
employer listed in that certificate for any purposes other than	2329
this chapter and Chapter 4121. of the Revised Code. Nothing in	2330
this division gives a self-insuring employer authority to control	2331
the means, manner, or method of employment of the employees of the	2332
contractors and subcontractors covered under a certificate issued	2333
under this division.	2334

The contractors and subcontractors included under a	2335
certificate issued under this division are entitled to the	2336
protections provided under this chapter and Chapter 4121. of the	2337
Revised Code with respect to the contractor's or subcontractor's	2338
employees who are employed on the construction project which is	2339
the subject of the certificate, for death or injuries that arise	2340
out of, or death, injuries, or occupational diseases that arise in	2341
the course of, those employees' employment on that construction	2342
project.	2343

The contractors and subcontractors included under a	2344
certificate issued under this division shall identify in their	2345
payroll records the employees who are considered the employees of	2346
the self-insuring employer listed in that certificate for purposes	2347
of this chapter and Chapter 4121. of the Revised Code, and the	2348
amount that those employees earned for employment on the	2349
construction project that is the subject of that certificate.	2350
Notwithstanding any provision to the contrary under this chapter	2351
and Chapter 4121. of the Revised Code, the administrator shall	2352
exclude the payroll that is reported for employees who are	2353
considered the employees of the self-insuring employer listed in	2354
that certificate, and that the employees earned for employment on	2355
the construction project that is the subject of that certificate,	2356
when determining those contractors' or subcontractors' premiums or	2357
assessments required under this chapter and Chapter 4121. of the	2358
Revised Code. A self-insuring employer issued a certificate under	2359
this division shall include in the amount of paid compensation it	2360
reports pursuant to division (L) of this section, the amount of	2361
paid compensation the self-insuring employer paid pursuant to this	2362
division for the previous calendar year.	2363

Nothing in this division shall be construed as altering the	2364
rights of employees under this chapter and Chapter 4121. of the	2365
Revised Code as those rights existed prior to September 17, 1996.	2366
Nothing in this division shall be construed as altering the rights	2367
devolved under sections 2305.31 and 4123.82 of the Revised Code as	2368
those rights existed prior to September 17, 1996.	2369

As used in this division, "privilege to self-insure a	2370
construction project" means privilege to pay individually	2371
compensation, and to furnish medical, surgical, nursing, and	2372
hospital services and attention and funeral expenses directly to	2373
injured employees or the dependents of killed employees.	2374

(P) A self-insuring employer whose application is granted	2375
under division (O) of this section shall designate a safety	2376
professional to be responsible for the administration and	2377
enforcement of the safety program that is specifically designed	2378
for the construction project that is the subject of the	2379
application.	2380

A self-insuring employer whose application is granted under	2381
division (O) of this section shall employ an ombudsperson for the	2382
construction project that is the subject of the application. The	2383
ombudsperson shall have experience in workers' compensation or the	2384
construction industry, or both. The ombudsperson shall perform all	2385
of the following duties:	2386

(1) Communicate with and provide information to employees who	2387
are injured in the course of, or whose injury arises out of	2388
employment on the construction project, or who contract an	2389
occupational disease in the course of employment on the	2390
construction project;	2391

(2) Investigate the status of a claim upon the request of an	2392
employee to do so;	2393

(3) Provide information to claimants, third party	2394
administrators, employers, and other persons to assist those	2395
persons in protecting their rights under this chapter and Chapter	2396
4121. of the Revised Code.	2397

A self-insuring employer whose application is granted under	2398
division (O) of this section shall post the name of the safety	2399
professional and the ombudsperson and instructions for contacting	2400
the safety professional and the ombudsperson in a conspicuous	2401
place at the site of the construction project.	2402

(Q) The administrator may consider all of the following when	2403
deciding whether to grant a self-insuring employer the privilege	2404
to self-insure a construction project as provided under division	2405
(O) of this section:	2406

(1) Whether the self-insuring employer has an organizational	2407
plan for the administration of the workers' compensation law;	2408

(2) Whether the safety program that is specifically designed	2409
for the construction project provides for the safety of employees	2410
employed on the construction project, is applicable to all	2411
contractors and subcontractors who perform labor or work or	2412
provide materials for the construction project, and has as a	2413
component, a safety training program that complies with standards	2414
adopted pursuant to the "Occupational Safety and Health Act of	2415
1970," 84 Stat. 1590, 29 U.S.C.A. 651, and provides for continuing	2416
management and employee involvement;	2417

(3) Whether granting the privilege to self-insure the	2418
construction project will reduce the costs of the construction	2419
project;	2420

(4) Whether the self-insuring employer has employed an	2421
ombudsperson as required under division (P) of this section;	2422

(5) Whether the self-insuring employer has sufficient surety	2423
to secure the payment of claims for which the self-insuring	2424
employer would be responsible pursuant to the granting of the	2425
privilege to self-insure a construction project under division (O)	2426
of this section.	2427

(R) As used in divisions (O), (P), and (Q), "self-insuring	2428
employer" includes the following employers, whether or not they	2429
have been granted the status of being a self-insuring employer	2430
under division (B) of this section:	2431

(1) A state institution of higher education;

2432

(2) A school district;

2433

(3) A county school financing district;

2434

(4) An educational service center;

2435

(5) A community school established under Chapter 3314. of the	2436
Revised Code;	2437

(6) A municipal power agency as defined in section 3734.058	2438
of the Revised Code.	2439

(S) As used in this section:

2440

(1) "Unvoted debt capacity" means the amount of money that a	2441
public employer may borrow without voter approval of a tax levy;	2442

(2) "State institution of higher education" means the state	2443
universities listed in section 3345.011 of the Revised Code,	2444
community colleges created pursuant to Chapter 3354. of the	2445
Revised Code, university branches created pursuant to Chapter	2446
3355. of the Revised Code, technical colleges created pursuant to	2447
Chapter 3357. of the Revised Code, and state community colleges	2448
created pursuant to Chapter 3358. of the Revised Code.	2449

Sec. 4123.353. (A) A public employer, except for a board of	2450
county commissioners described in division (G) of section 4123.01	2451
of the Revised Code, a board of a county hospital, or a publicly	2452
owned utility, who is granted the status of self-insuring employer	2453
pursuant to section 4123.35 of the Revised Code shall do all of	2454
the following:	2455

(1) Reserve funds as necessary, in accordance with sound and	2456
prudent actuarial judgment, to cover the costs the public employer	2457
may potentially incur to remain in compliance with this chapter	2458
and Chapter 4121. of the Revised Code;	2459

(2) Include all activity under this chapter and Chapter 4121.	2460
of the Revised Code in a single fund on the public employer's	2461
accounting records;	2462

(3) Within ninety days after the last day of each fiscal	2463
year, prepare and maintain a report of the reserved funds	2464
described in division (A)(1) of this section and disbursements	2465
made from those reserved funds;	2466

~~(4) Within ninety days after the last day of each fiscal~~	2467
~~year, obtain a written report prepared by a member of the American~~	2468
~~academy of actuaries, certifying whether the reserved funds~~	2469
~~described in division (A)(1) of this section are sufficient to~~	2470
~~cover the costs the public employer may potentially incur to~~	2471
~~remain in compliance with this chapter and Chapter 4121. of the~~	2472
~~Revised Code, are computed in accordance with accepted loss~~	2473
~~reserving standards, and are fairly stated in accordance with~~	2474
~~sound loss reserving principles~~.	2475

(B) A public employer who is subject to division (A) of this	2476
section shall make the reports required by that division available	2477
for inspection by the administrator of workers' compensation and	2478
any other person at all reasonable times during regular business	2479
hours.	2480

Sec. 4123.36. Whenever an employer fails to pay a premium	2481
due,and the administrator of workers' compensation determines the	2482
employer's account to be uncollectible, the administrator shall	2483
cover the default ~~in excess of the employer's premium security~~	2484
~~deposit~~ by transfer of money from the premium payment security	2485
fund account to the state insurance fund. ~~The transfer establishes~~	2486
~~coverage of the employer for the immediately completed six-month~~	2487
~~period together with the ensuing two-month adjustment period and~~	2488
~~the employer is not liable to respond in damages at common law or~~	2489
~~by statute for injuries or death of any employees wherever~~	2490
~~occurring during that eight-month period. Payments from the~~	2491
~~premium payment security fund may not be used to cover a default~~	2492
~~of an employer with respect to any period longer than eight~~	2493
~~months.~~ Thereafter, the employer shall be considered a	2494
noncomplying employer under this chapter and shall not be entitled	2495
to the benefits and protection of this chapter ~~until the employer~~	2496
~~again establishes coverage pursuant to this chapter through~~	2497
~~reimbursement to the premium payment security fund for the money~~	2498
~~paid to the state insurance fund, on account of the default,~~	2499
~~payment of any semiannual premium obligations due but in default,~~	2500
~~and submission of a new premium security deposit pursuant to~~	2501
~~section 4123.32 of the Revised Code~~.	2502

Sec. 4123.37. In this section "amenable employer" has the	2503
same meaning as "employer" as defined in division ~~(J)~~(I) of	2504
section 4123.32 of the Revised Code.	2505

If the administrator of workers' compensation finds that any	2506
person, firm, or private corporation, including any public service	2507
corporation, is, or has been at any time after January 1, 1923, an	2508
amenable employer and has not complied with section 4123.35 of the	2509
Revised Code the administrator shall determine the period during	2510
which the person, firm, or corporation was an amenable employer	2511
and shall forthwith give notice of the determination to the	2512
employer. Within twenty days thereafter the employer shall furnish	2513
the bureau with the payroll covering the period included in the	2514
determination and, if the employer is an amenable employer at the	2515
time of the determination, ~~shall pay a premium security deposit~~	2516
~~for the eight months next succeeding the date of the determination~~	2517
~~and~~ shall pay into the state insurance fund the amount of premium	2518
and assessments applicable to such payroll. If the administrator	2519
determines that the employer is an amenable employer prior to the	2520
policy year commencing July 1, 2015, the administrator may require	2521
the employer to pay a premium security deposit.	2522

If the employer does not furnish the payroll and pay the	2523
applicable premium, assessments, and, if applicable, the premium	2524
security deposit within the twenty days, the administrator shall	2525
forthwith make an assessment of the ~~premium~~amounts due from the	2526
employer for the period the administrator determined the employer	2527
to be an amenable employer ~~including the premium security deposit~~	2528
~~according to section 4123.32 of the Revised Code~~ if the employer	2529
is an amenable employer at the time of the determination, basing	2530
the assessment upon the information in the possession of the	2531
administrator.	2532

The administrator shall give to the employer assessed written	2533
notice of the assessment. The notice shall be mailed to the	2534
employer at the employer's residence or usual place of business by	2535
certified mail. Unless the employer to whom the notice of	2536
assessment is directed files with the bureau within twenty days	2537
after receipt thereof, a petition in writing, verified under oath	2538
by the employer, or the employer's authorized agent having	2539
knowledge of the facts, setting forth with particularity the items	2540
of the assessment objected to, together with the reason for the	2541
objections, the assessment shall become conclusive and the amount	2542
thereof shall be due and payable from the employer so assessed to	2543
the state insurance fund. When a petition objecting to an	2544
assessment is filed the bureau shall assign a time and place for	2545
the hearing of the same and shall notify the petitioner thereof by	2546
certified mail. When an employer files a petition the assessment	2547
made by the administrator shall become due and payable ten days	2548
after notice of the finding made at the hearing has been sent by	2549
certified mail to the party assessed. An appeal may be taken from	2550
any finding to the court of common pleas of Franklin county upon	2551
the execution by the party assessed of a bond to the state in	2552
double the amount found due and ordered paid by the bureau	2553
conditioned that the party will pay any judgment and costs	2554
rendered against it for the premium.	2555

When no petition objecting to an assessment is filed or when	2556
a finding is made affirming or modifying an assessment after	2557
hearing, a certified copy of the assessment as affirmed or	2558
modified may be filed by the administrator in the office of the	2559
clerk of the court of common pleas in any county in which the	2560
employer has property or in which the employer has a place of	2561
business. The clerk, immediately upon the filing of the	2562
assessment, shall enter a judgment for the state against the	2563
employer in the amount shown on the assessment. The judgment may	2564
be filed by the clerk in a loose leaf book entitled "special	2565
judgments for state insurance fund." The judgment shall bear the	2566
same rate of interest, have the same effect as other judgments,	2567
and be given the same preference allowed by law on other judgments	2568
rendered for claims for taxes. An assessment or judgment under	2569
this section shall not be a bar to the adjustment of the	2570
employer's account upon the employer furnishing the employer's	2571
payroll records to the bureau.	2572

The administrator, for good cause shown, may waive a default	2573
in the payment of premium where the default is of less than sixty	2574
days' duration, and upon payment by the employer of the premium	2575
for the period, the employer and the employer's employees are	2576
entitled to all of the benefits and immunities provided by this	2577
chapter.	2578

Sec. 4123.40. On or before the first day of July of every	2579
year, the administrator of workers' compensation shall estimate	2580
the gross payroll of all state employers for the succeeding	2581
biennium or fiscal year.	2582

The administrator shall determine and certify for the office	2583
of budget and management that rate or rates which, when applied to	2584
the gross payroll estimate, will produce an amount equal to the	2585
estimated cost of awards or claim payments to be made during the	2586
like fiscal period, as determined by the administrator.	2587

The rate certified shall be applied and made a part of the	2588
gross payroll calculation for the period for which the foregoing	2589
estimates have been made, in conformity with section 125.21 of the	2590
Revised Code. The amounts collected shall be remitted to the	2591
bureau of workers' compensation as provided in section 125.21 of	2592
the Revised Code.	2593

If the historical amounts remitted to the bureau ~~for a fiscal~~	2594
~~period~~ are greater or less than ~~actual~~historical awards or claim	2595
payments ~~for the like period by reason of an error in the prior~~	2596
~~estimates of gross payroll or awards or payments~~, the ~~overage or~~	2597
~~shortage~~difference shall be ~~included~~returned to the state	2598
employer or recovered by the bureau in a manner determined by the	2599
administrator ~~in determining the rate for the next succeeding~~	2600
~~fiscal period~~.	2601

In fixing the amount of contribution to be made by the state	2602
and each of its departments, agencies, and instrumentalities, the	2603
administrator shall classify departments, agencies, and	2604
instrumentalities into such groups as will equitably determine the	2605
contributions in accordance with their expected individual	2606
accident experience so that the state and its departments,	2607
agencies, and instrumentalities contribute an amount sufficient to	2608
meet individual obligations and ~~maintain a solvent public~~	2609
~~insurance fund~~the obligations of the participants in total.	2610

Moneys collected from state employers shall not be used to	2611
pay compensation or other benefits attributable to service of	2612
persons as employees of counties or taxing districts therein, nor	2613
shall moneys collected from counties and taxing districts therein	2614
be used to pay compensation or other benefits attributable to	2615
service of persons as employees of the state.	2616

Sec. 4123.41. (A) By(1) For policy years that begin prior	2617
to January 1, 2016, by the first day of January of each year, the	2618
bureau of workers' compensation shall furnish to the county	2619
auditor of each county and the chief fiscal officer of each taxing	2620
district in a county and of each district activity and institution	2621
mentioned in section 4123.39 of the Revised Code forms containing	2622
the premium rates applicable to the county, district, district	2623
activity, or institution as an employer, on which to report the	2624
amount of money expended by the county, district, district	2625
activity, or institution during the previous twelve calendar	2626
months for the services of employees under this chapter.	2627

~~(B)~~ Each county auditor and each fiscal officer of a	2628
district, district activity, and institution shall calculate on	2629
the form it receives from the bureau under division (A) of this	2630
section the premium due as its proper contribution to the public	2631
insurance fund and issue a warrant in favor of the bureau for the	2632
amount due from the county, district, district activity, or	2633
institution to the public insurance fund.	2634

(2) For a policy year commencing on or after January 1, 2016,	2635
by the first day of November of each year, the bureau shall	2636
furnish to the county auditor of each county and the chief fiscal	2637
officer of each taxing district in a county and of each district	2638
activity and institution mentioned in section 4123.39 of the	2639
Revised Code forms showing the estimated premium due from the	2640
county, district, district activity, or institution for the	2641
forthcoming policy year.	2642

After the conclusion of each policy year, the county auditor	2643
of each county and the chief fiscal officer of each taxing	2644
district in a county and of each district activity and institution	2645
mentioned in section 4123.39 of the Revised Code shall, on or	2646
before the fifteenth day of February immediately following the	2647
conclusion of the policy year, report the amount of money expended	2648
by the county, district, district activity, or institution during	2649
the policy year for the services of employees under this chapter.	2650
The bureau shall adjust the premium and assessments charged to the	2651
employer for the difference between estimated gross payrolls and	2652
actual gross payrolls, and the employer immediately shall pay any	2653
balance due to the bureau. Any balance due the employer shall be	2654
credited to the employer's account.	2655

The administrator may adopt rules setting forth penalties for	2656
failure to submit the report of money expended as required by this	2657
division, including, but not limited to, exclusion from	2658
alternative rating plans and discount programs.	2659

(B)(1) Except as otherwise provided in division (B) of this	2660
section, payments due under this section shall be made according	2661
to the following schedule:	2662

~~(1) On~~(a) For payments of premium and assessments due for a	2663
policy year that commences prior to July 1, 2015:	2664

(i) On or before the fifteenth day of May ~~of each~~immediately	2665
following the conclusion of the policy year, no less than	2666
forty-five per cent of the annual amount due for the policy year;	2667

~~(2)~~(ii) On or before the first day of September immediately	2668
following the conclusion of ~~each~~the policy year, no less than the	2669
total amount due for the policy year.	2670

(b) For the policy year commencing January 1, 2015:

2671

(i) On or before the fifteenth day of May immediately	2672
following the conclusion of the policy year, no less than fifty	2673
per cent of the annual amount due for the policy year;	2674

(ii) On or before the first day of September immediately	2675
following the conclusion of the policy year, no less than the	2676
total amount due for the policy year.	2677

2678

(i) On or before the fifteenth day of May in that policy	2679
year, no less than fifty per cent of the annual premium estimated	2680
by the bureau.	2681

(ii) On or before the first day of September in that policy	2682
year, no less than the total amount of annual premium estimated by	2683
the bureau.	2684

(d) For a policy year commencing on or after January 1, 2017,	2685
the total amount of annual premium estimated by the bureau on or	2686
before the thirty-first day of December immediately preceding the	2687
start of the policy year.	2688

(2) The administrator, with the advice and consent of the	2689
bureau of workers' compensation board of directors, shall adopt	2690
rules to permit employers to make periodic payments of the premium	2691
and assessments due under this section. The rules shall include	2692
provisions for the assessment of interest charges, if appropriate,	2693
and for the assessment of penalties when an employer fails to make	2694
timely premium payments. The administrator may adopt rules to	2695
establish an administrative fee for those periodic payments.	2696

(C) The legislative body of any county, district, district	2697
activity, or institution may reimburse the fund from which the	2698
workers' compensation payments are made by transferring to the	2699
fund from any other fund of the county, district, district	2700
activity, or institution, the proportionate amount of the payments	2701
that should be chargeable to the fund, whether the fund is derived	2702
from taxation or otherwise. The proportionate amount of the	2703
payments chargeable to the fund may be based on payroll, relative	2704
exposure, relative loss experience, or any combination of these	2705
factors, as determined by the legislative body.	2706

(1) The workers' compensation program payments of any county,	2707
district, district activity, or institution may include all	2708
payments required by any bureau of workers' compensation rating	2709
plan.	2710

(2) The workers' compensation program payments of any county,	2711
district, district activity, or institution, except for a county	2712
board of developmental disabilities, a board of alcohol, drug	2713
addiction, and mental health services, a board of mental health	2714
services, and a board of alcohol and drug addiction services, also	2715
may include any of the following:	2716

(a) Direct administrative costs incurred in the management of	2717
the county, district, district activity, or institution's workers'	2718
compensation program;	2719

(b) Indirect costs that are necessary and reasonable for the	2720
proper and efficient administration of the workers' compensation	2721
program as documented in a cost allocation plan. The indirect cost	2722
plan shall conform to the United States office of management and	2723
budget circular A-87 "cost principles for state and local	2724
governments," 2 C.F.R. 225, as most recently amended on May 10,	2725
2004. The plan shall not authorize payment from the fund of any	2726
general government expense required to carry out the overall	2727
governmental responsibilities.	2728

(3) Within sixty days before a legislative body changes the	2729
method used for calculating the proportionate amount of the	2730
payments chargeable to the fund, it shall notify, consult with,	2731
and give information supporting the change to any elected official	2732
affected by the change. A transfer made pursuant to division	2733
(B)(2) of this section is not subject to section 5705.16 of the	2734
Revised Code.	2735

(D) Any county board of developmental disabilities, board of	2736
alcohol, drug addiction, and mental health services, board of	2737
mental health services, or board of alcohol and drug addiction	2738
services whose workers' compensation payments, on or before	2739
September 28, 2012, includes costs referred to in division (C)(2)	2740
of this section may continue to do so on and after September 28,	2741
2012.	2742

(E) The bureau may investigate the correctness of the	2743
information provided by the county auditor and chief fiscal	2744
officer under division ~~(B)~~(A) of this section, and if the bureau	2745
determines at any time that the county, district, district	2746
activity, or institution has not reported the correct information,	2747
the administrator of workers' compensation may make deductions or	2748
additions as the facts warrant and take those facts into	2749
consideration in determining the current or future contributions	2750
to be made by the county, district, district activity, or	2751
institution. If the county, district, district activity, or	2752
institution does not furnish the report in the time required by	2753
this section, the administrator may fix the amount of contribution	2754
the county, district, district activity, or institution must make	2755
and certify that amount for payment.	2756

(F) ~~The~~For payments of premium and assessments for a policy	2757
year prior to the policy year commencing January 1, 2015, the	2758
administrator shall provide a discount to any county, district,	2759
district activity, or institution that pays its total amount due	2760
to the public insurance fund on or before the fifteenth day of May	2761
of each year as its proper contribution for premiums. The	2762
administrator shall base the discount provided under this division	2763
on the savings generated by the early payment to the public	2764
insurance fund. The administrator may provide the discount through	2765
a refund to the county, district, district activity, or	2766
institution or an offset against the future contributions due to	2767
the public insurance fund from the county, district, district	2768
activity, or institution.	2769

(G) The administrator may impose an interest penalty for late	2770
payment of any amount due from a county, district, district	2771
activity, and institution at the interest rate established by the	2772
state tax commissioner pursuant to section 5703.47 of the Revised	2773
Code.	2774

~~(H) If the administrator adopts rules for the prospective~~	2775
~~payment of premium as permitted under section 4123.322 of the~~	2776
~~Revised Code, every employer mentioned in division (B)(1) of~~	2777
~~section 4123.01 of the Revised Code, except for a state agency or~~	2778
~~a state university or college as defined in section 4123.32 of the~~	2779
~~Revised Code, shall pay into the state insurance fund the amount~~	2780
~~of premium the administrator fixes for the employment or~~	2781
~~occupation of the employer, the amount of which premium to be paid~~	2782
~~by each employer to be determined by the classifications, rules,~~	2783
~~and rates made and published by the administrator and based upon~~	2784
~~the estimates and reconciliations required by the rules the~~	2785
~~administrator adopts under section 4123.322 of the Revised Code.~~	2786

Sec. 4123.411. (A) For the purpose of carrying out sections	2787
4123.412 to 4123.418 of the Revised Code, the administrator of	2788
workers' compensation, with the advice and consent of the bureau	2789
of workers' compensation board of directors, shall levy an	2790
assessment against all employers at a rate~~, of at least five but~~	2791
not to exceed ten cents per one hundred dollars of payroll, such	2792
rate to be determined annually for each employer group listed in	2793
divisions (A)(1) to (3) of this section, which will produce an	2794
amount no greater than the amount the administrator estimates to	2795
be necessary to carry out such sections for the period for which	2796
the assessment is levied. In the event the amount produced by the	2797
assessment is not sufficient to carry out such sections the	2798
additional amount necessary shall be provided from the income	2799
produced as a result of investments made pursuant to section	2800
4123.44 of the Revised Code.	2801

Assessments shall be levied according to the following	2802
schedule:	2803

(1) ~~Private~~For private fund employers, except self-insuring	2804
employers--:	2805

(a) For policy years commencing prior to July 1, 2015, in	2806
January and July of each year upon gross payrolls of the preceding	2807
six months;	2808

(b) For policy years commencing on or after July 1, 2015, in	2809
June of each year upon gross payrolls estimated for the next	2810
twelve months.	2811

(2) ~~Counties~~For counties and taxing district employers	2812
therein, except county hospitals that are self-insuring	2813
employers--:	2814

(a) For policy years commencing prior to January 1, 2015, in	2815
January of each year upon gross payrolls of the preceding twelve	2816
months;	2817

(b) For policy years commencing on or after January 1, 2015,	2818
in December of each year upon gross payrolls estimated for the	2819
next twelve months.	2820

(3) ~~The~~For the state as an employer--in January, April,	2821
July, and October of each year upon gross payrolls of the	2822
preceding three months or at other intervals as the administrator	2823
establishes.	2824

After the completion of each policy year that commences on or	2825
after July 1, 2015, for private fund employers or that commences	2826
on or after January 1, 2015, for counties and taxing district	2827
employers therein, the assessments levied under this section shall	2828
be adjusted for the difference between estimated gross payrolls	2829
and actual gross payrolls reported by the employer on the payroll	2830
report submitted by a private employer pursuant to section 4123.26	2831
of the Revised Code, or, for a public employer, submitted pursuant	2832
to section 4123.41 of the Revised Code.	2833

Amounts assessed in accordance with this section shall be	2834
collected from each employer as prescribed in rules the	2835
administrator adopts.	2836

The moneys derived from the assessment provided for in this	2837
section shall be credited to the disabled workers' relief fund	2838
created by section 4123.412 of the Revised Code. The administrator	2839
shall establish by rule classifications of employers within	2840
divisions (A)(1) to (3) of this section and shall determine rates	2841
for each class so as to fairly apportion the costs of carrying out	2842
sections 4123.412 to 4123.418 of the Revised Code.	2843

(B) For all injuries and disabilities occurring on or after	2844
January 1, 1987, the administrator, for the purposes of carrying	2845
out sections 4123.412 to 4123.418 of the Revised Code, shall levy	2846
an assessment against all employers at a rate per one hundred	2847
dollars of payroll, such rate to be determined annually for each	2848
classification of employer in each employer group listed in	2849
divisions (A)(1) to (3) of this section, which will produce an	2850
amount no greater than the amount the administrator estimates to	2851
be necessary to carry out such sections for the period for which	2852
the assessment is levied. The administrator annually shall	2853
establish the contributions due from employers for the disabled	2854
workers' relief fund at rates as low as possible but that will	2855
assure sufficient moneys to guarantee the payment of any claims	2856
against that fund.	2857

Amounts assessed in accordance with this division shall be	2858
billed at the same time premiums are billed and credited to the	2859
disabled workers' relief fund created by section 4123.412 of the	2860
Revised Code. The administrator shall determine the rates for each	2861
class in the same manner as the administrator fixes the rates for	2862
premiums pursuant to section 4123.29 of the Revised Code.	2863

(C) For a self-insuring employer, the bureau of workers'	2864
compensation shall pay to employees who are participants	2865
regardless of the date of injury, any amounts due to the	2866
participants under section 4123.414 of the Revised Code and shall	2867
bill the self-insuring employer, semiannually, for all amounts	2868
paid to a participant.	2869

Sec. 4123.47. (A) The administrator of workers' compensation	2870
shall have an actuarial ~~audits~~analysis of the state insurance	2871
fund and all other funds specified in this chapter and Chapters	2872
4121., 4127., and 4131. of the Revised Code made at least once	2873
each year. The ~~audits~~analysis shall be made and certified by	2874
recognized ~~insurance~~, credentialed property or casualty actuaries	2875
who shall be selected by the bureau of workers' compensation board	2876
of directors. ~~The audits shall cover the premium rates,~~	2877
~~classifications, and all other matters involving the~~	2878
~~administration of the state insurance fund and all other funds~~	2879
~~specified in this chapter and Chapters 4121., 4127., and 4131. of~~	2880
~~the Revised Code.~~ The expense of the ~~audits~~analysis shall be paid	2881
from the state insurance fund. The administrator shall make copies	2882
of the ~~audits~~analysis available to the workers' compensation	2883
audit committee at no charge and to the public at cost.	2884

(B) The auditor of state annually shall conduct an audit of	2885
the administration of this chapter by the industrial commission	2886
and the bureau of workers' compensation and the safety and hygiene	2887
fund. The cost of the audit shall be charged to the administrative	2888
costs of the bureau as defined in section 4123.341 of the Revised	2889
Code. The audit shall include audits of all fiscal activities,	2890
claims processing and handling, and employer premium collections.	2891
The auditor shall prepare a report of the audit together with	2892
recommendations and transmit copies of the report to the	2893
industrial commission, the board, the administrator, the governor,	2894
and to the general assembly. The auditor shall make copies of the	2895
report available to the public at cost.	2896

(C) The administrator may retain the services of a recognized	2897
actuary on a consulting basis for the purpose of evaluating the	2898
actuarial soundness of premium rates and classifications and all	2899
other matters involving the administration of the state insurance	2900
fund. The expense of services provided by the actuary shall be	2901
paid from the state insurance fund.	2902

Sec. 4123.511. (A) Within seven days after receipt of any	2903
claim under this chapter, the bureau of workers' compensation	2904
shall notify the claimant and the employer of the claimant of the	2905
receipt of the claim and of the facts alleged therein. If the	2906
bureau receives from a person other than the claimant written or	2907
facsimile information or information communicated verbally over	2908
the telephone indicating that an injury or occupational disease	2909
has occurred or been contracted which may be compensable under	2910
this chapter, the bureau shall notify the employee and the	2911
employer of the information. If the information is provided	2912
verbally over the telephone, the person providing the information	2913
shall provide written verification of the information to the	2914
bureau according to division (E) of section 4123.84 of the Revised	2915
Code. The receipt of the information in writing or facsimile, or	2916
if initially by telephone, the subsequent written verification,	2917
and the notice by the bureau shall be considered an application	2918
for compensation under section 4123.84 or 4123.85 of the Revised	2919
Code, provided that the conditions of division (E) of section	2920
4123.84 of the Revised Code apply to information provided verbally	2921
over the telephone. Upon receipt of a claim, the bureau shall	2922
advise the claimant of the claim number assigned and the	2923
claimant's right to representation in the processing of a claim or	2924
to elect no representation. If the bureau determines that a claim	2925
is determined to be a compensable lost-time claim, the bureau	2926
shall notify the claimant and the employer of the availability of	2927
rehabilitation services. No bureau or industrial commission	2928
employee shall directly or indirectly convey any information in	2929
derogation of this right. This section shall in no way abrogate	2930
the bureau's responsibility to aid and assist a claimant in the	2931
filing of a claim and to advise the claimant of the claimant's	2932
rights under the law.	2933

The administrator of workers' compensation shall assign all	2934
claims and investigations to the bureau service office from which	2935
investigation and determination may be made most expeditiously.	2936

The bureau shall investigate the facts concerning an injury	2937
or occupational disease and ascertain such facts in whatever	2938
manner is most appropriate and may obtain statements of the	2939
employee, employer, attending physician, and witnesses in whatever	2940
manner is most appropriate.	2941

The administrator, with the advice and consent of the bureau	2942
of workers' compensation board of directors, may adopt rules that	2943
identify specified medical conditions that have a historical	2944
record of being allowed whenever included in a claim. The	2945
administrator may grant immediate allowance of any medical	2946
condition identified in those rules upon the filing of a claim	2947
involving that medical condition and may make immediate payment of	2948
medical bills for any medical condition identified in those rules	2949
that is included in a claim. If an employer contests the allowance	2950
of a claim involving any medical condition identified in those	2951
rules, and the claim is disallowed, payment for the medical	2952
condition included in that claim shall be charged to and paid from	2953
the surplus fund created under section 4123.34 of the Revised	2954
Code.	2955

(B)(1) Except as provided in division (B)(2) of this section,	2956
in claims other than those in which the employer is a	2957
self-insuring employer, if the administrator determines under	2958
division (A) of this section that a claimant is or is not entitled	2959
to an award of compensation or benefits, the administrator shall	2960
issue an order no later than twenty-eight days after the sending	2961
of the notice under division (A) of this section, granting or	2962
denying the payment of the compensation or benefits, or both as is	2963
appropriate to the claimant. Notwithstanding the time limitation	2964
specified in this division for the issuance of an order, if a	2965
medical examination of the claimant is required by statute, the	2966
administrator promptly shall schedule the claimant for that	2967
examination and shall issue an order no later than twenty-eight	2968
days after receipt of the report of the examination. The	2969
administrator shall notify the claimant and the employer of the	2970
claimant and their respective representatives in writing of the	2971
nature of the order and the amounts of compensation and benefit	2972
payments involved. The employer or claimant may appeal the order	2973
pursuant to division (C) of this section within fourteen days	2974
after the date of the receipt of the order. The employer and	2975
claimant may waive, in writing, their rights to an appeal under	2976
this division.	2977

(2) Notwithstanding the time limitation specified in division	2978
(B)(1) of this section for the issuance of an order, if the	2979
employer certifies a claim for payment of compensation or	2980
benefits, or both, to a claimant, and the administrator has	2981
completed the investigation of the claim, the payment of benefits	2982
or compensation, or both, as is appropriate, shall commence upon	2983
the later of the date of the certification or completion of the	2984
investigation and issuance of the order by the administrator,	2985
provided that the administrator shall issue the order no later	2986
than the time limitation specified in division (B)(1) of this	2987
section.	2988

(3) If an appeal is made under division (B)(1) or (2) of this	2989
section, the administrator shall forward the claim file to the	2990
appropriate district hearing officer within seven days of the	2991
appeal. In contested claims other than state fund claims, the	2992
administrator shall forward the claim within seven days of the	2993
administrator's receipt of the claim to the industrial commission,	2994
which shall refer the claim to an appropriate district hearing	2995
officer for a hearing in accordance with division (C) of this	2996
section.	2997

(C) If an employer or claimant timely appeals the order of	2998
the administrator issued under division (B) of this section or in	2999
the case of other contested claims other than state fund claims,	3000
the commission shall refer the claim to an appropriate district	3001
hearing officer according to rules the commission adopts under	3002
section 4121.36 of the Revised Code. The district hearing officer	3003
shall notify the parties and their respective representatives of	3004
the time and place of the hearing.	3005

The district hearing officer shall hold a hearing on a	3006
disputed issue or claim within forty-five days after the filing of	3007
the appeal under this division and issue a decision within seven	3008
days after holding the hearing. The district hearing officer shall	3009
notify the parties and their respective representatives in writing	3010
of the order. Any party may appeal an order issued under this	3011
division pursuant to division (D) of this section within fourteen	3012
days after receipt of the order under this division.	3013

(D) Upon the timely filing of an appeal of the order of the	3014
district hearing officer issued under division (C) of this	3015
section, the commission shall refer the claim file to an	3016
appropriate staff hearing officer according to its rules adopted	3017
under section 4121.36 of the Revised Code. The staff hearing	3018
officer shall hold a hearing within forty-five days after the	3019
filing of an appeal under this division and issue a decision	3020
within seven days after holding the hearing under this division.	3021
The staff hearing officer shall notify the parties and their	3022
respective representatives in writing of the staff hearing	3023
officer's order. Any party may appeal an order issued under this	3024
division pursuant to division (E) of this section within fourteen	3025
days after receipt of the order under this division.	3026

(E) Upon the filing of a timely appeal of the order of the	3027
staff hearing officer issued under division (D) of this section,	3028
the commission or a designated staff hearing officer, on behalf of	3029
the commission, shall determine whether the commission will hear	3030
the appeal. If the commission or the designated staff hearing	3031
officer decides to hear the appeal, the commission or the	3032
designated staff hearing officer shall notify the parties and	3033
their respective representatives in writing of the time and place	3034
of the hearing. The commission shall hold the hearing within	3035
forty-five days after the filing of the notice of appeal and,	3036
within seven days after the conclusion of the hearing, the	3037
commission shall issue its order affirming, modifying, or	3038
reversing the order issued under division (D) of this section. The	3039
commission shall notify the parties and their respective	3040
representatives in writing of the order. If the commission or the	3041
designated staff hearing officer determines not to hear the	3042
appeal, within fourteen days after the expiration of the period in	3043
which an appeal of the order of the staff hearing officer may be	3044
filed as provided in division (D) of this section, the commission	3045
or the designated staff hearing officer shall issue an order to	3046
that effect and notify the parties and their respective	3047
representatives in writing of that order.	3048

Except as otherwise provided in this chapter and Chapters	3049
4121., 4127., and 4131. of the Revised Code, any party may appeal	3050
an order issued under this division to the court pursuant to	3051
section 4123.512 of the Revised Code within sixty days after	3052
receipt of the order, subject to the limitations contained in that	3053
section.	3054

(F) Every notice of an appeal from an order issued under	3055
divisions (B), (C), (D), and (E) of this section shall state the	3056
names of the claimant and employer, the number of the claim, the	3057
date of the decision appealed from, and the fact that the	3058
appellant appeals therefrom.	3059

(G) All of the following apply to the proceedings under	3060
divisions (C), (D), and (E) of this section:	3061

(1) The parties shall proceed promptly and without	3062
continuances except for good cause;	3063

(2) The parties, in good faith, shall engage in the free	3064
exchange of information relevant to the claim prior to the conduct	3065
of a hearing according to the rules the commission adopts under	3066
section 4121.36 of the Revised Code;	3067

(3) The administrator is a party and may appear and	3068
participate at all administrative proceedings on behalf of the	3069
state insurance fund. However, in cases in which the employer is	3070
represented, the administrator shall neither present arguments nor	3071
introduce testimony that is cumulative to that presented or	3072
introduced by the employer or the employer's representative. The	3073
administrator may file an appeal under this section on behalf of	3074
the state insurance fund; however, except in cases arising under	3075
section 4123.343 of the Revised Code, the administrator only may	3076
appeal questions of law or issues of fraud when the employer	3077
appears in person or by representative.	3078

(H) Except as provided in section 4121.63 of the Revised Code	3079
and division (K) of this section, payments of compensation to a	3080
claimant or on behalf of a claimant as a result of any order	3081
issued under this chapter shall commence upon the earlier of the	3082
following:	3083

(1) Fourteen days after the date the administrator issues an	3084
order under division (B) of this section, unless that order is	3085
appealed;	3086

(2) The date when the employer has waived the right to appeal	3087
a decision issued under division (B) of this section;	3088

(3) If no appeal of an order has been filed under this	3089
section or to a court under section 4123.512 of the Revised Code,	3090
the expiration of the time limitations for the filing of an appeal	3091
of an order;	3092

(4) The date of receipt by the employer of an order of a	3093
district hearing officer, a staff hearing officer, or the	3094
industrial commission issued under division (C), (D), or (E) of	3095
this section.	3096

(I) ~~Payments~~Except as otherwise provided in division (B) of	3097
section 4123.66 of the Revised Code, payments of medical benefits	3098
payable under this chapter or Chapter 4121., 4127., or 4131. of	3099
the Revised Code shall commence upon the earlier of the following:	3100

(1) The date of the issuance of the staff hearing officer's	3101
order under division (D) of this section;	3102

(2) The date of the final administrative or judicial	3103
determination.	3104

(J) The administrator shall charge the compensation payments	3105
made in accordance with division (H) of this section or medical	3106
benefits payments made in accordance with division (I) of this	3107
section to an employer's experience immediately after the employer	3108
has exhausted the employer's administrative appeals as provided in	3109
this section or has waived the employer's right to an	3110
administrative appeal under division (B) of this section, subject	3111
to the adjustment specified in division (H) of section 4123.512 of	3112
the Revised Code.	3113

(K) Upon the final administrative or judicial determination	3114
under this section or section 4123.512 of the Revised Code of an	3115
appeal of an order to pay compensation, if a claimant is found to	3116
have received compensation pursuant to a prior order which is	3117
reversed upon subsequent appeal, the claimant's employer, if a	3118
self-insuring employer, or the bureau, shall withhold from any	3119
amount to which the claimant becomes entitled pursuant to any	3120
claim, past, present, or future, under Chapter 4121., 4123.,	3121
4127., or 4131. of the Revised Code, the amount of previously paid	3122
compensation to the claimant which, due to reversal upon appeal,	3123
the claimant is not entitled, pursuant to the following criteria:	3124

(1) No withholding for the first twelve weeks of temporary	3125
total disability compensation pursuant to section 4123.56 of the	3126
Revised Code shall be made;	3127

(2) Forty per cent of all awards of compensation paid	3128
pursuant to sections 4123.56 and 4123.57 of the Revised Code,	3129
until the amount overpaid is refunded;	3130

(3) Twenty-five per cent of any compensation paid pursuant to	3131
section 4123.58 of the Revised Code until the amount overpaid is	3132
refunded;	3133

(4) If, pursuant to an appeal under section 4123.512 of the	3134
Revised Code, the court of appeals or the supreme court reverses	3135
the allowance of the claim, then no amount of any compensation	3136
will be withheld.	3137

The administrator and self-insuring employers, as	3138
appropriate, are subject to the repayment schedule of this	3139
division only with respect to an order to pay compensation that	3140
was properly paid under a previous order, but which is	3141
subsequently reversed upon an administrative or judicial appeal.	3142
The administrator and self-insuring employers are not subject to,	3143
but may utilize, the repayment schedule of this division, or any	3144
other lawful means, to collect payment of compensation made to a	3145
person who was not entitled to the compensation due to fraud as	3146
determined by the administrator or the industrial commission.	3147

(L) If a staff hearing officer or the commission fails to	3148
issue a decision or the commission fails to refuse to hear an	3149
appeal within the time periods required by this section, payments	3150
to a claimant shall cease until the staff hearing officer or	3151
commission issues a decision or hears the appeal, unless the	3152
failure was due to the fault or neglect of the employer or the	3153
employer agrees that the payments should continue for a longer	3154
period of time.	3155

(M) Except as otherwise provided in this section or section	3156
4123.522 of the Revised Code, no appeal is timely filed under this	3157
section unless the appeal is filed with the time limits set forth	3158
in this section.	3159

(N) No person who is not an employee of the bureau or	3160
commission or who is not by law given access to the contents of a	3161
claims file shall have a file in the person's possession.	3162

(O) Upon application of a party who resides in an area in	3163
which an emergency or disaster is declared, the industrial	3164
commission and hearing officers of the commission may waive the	3165
time frame within which claims and appeals of claims set forth in	3166
this section must be filed upon a finding that the applicant was	3167
unable to comply with a filing deadline due to an emergency or a	3168
disaster.	3169

As used in this division:

3170

(1) "Emergency" means any occasion or instance for which the	3171
governor of Ohio or the president of the United States publicly	3172
declares an emergency and orders state or federal assistance to	3173
save lives and protect property, the public health and safety, or	3174
to lessen or avert the threat of a catastrophe.	3175

(2) "Disaster" means any natural catastrophe or fire, flood,	3176
or explosion, regardless of the cause, that causes damage of	3177
sufficient magnitude that the governor of Ohio or the president of	3178
the United States, through a public declaration, orders state or	3179
federal assistance to alleviate damage, loss, hardship, or	3180
suffering that results from the occurrence.	3181

Sec. 4123.512. (A) The claimant or the employer may appeal	3182
an order of the industrial commission made under division (E) of	3183
section 4123.511 of the Revised Code in any injury or occupational	3184
disease case, other than a decision as to the extent of disability	3185
to the court of common pleas of the county in which the injury was	3186
inflicted or in which the contract of employment was made if the	3187
injury occurred outside the state, or in which the contract of	3188
employment was made if the exposure occurred outside the state. If	3189
no common pleas court has jurisdiction for the purposes of an	3190
appeal by the use of the jurisdictional requirements described in	3191
this division, the appellant may use the venue provisions in the	3192
Rules of Civil Procedure to vest jurisdiction in a court. If the	3193
claim is for an occupational disease, the appeal shall be to the	3194
court of common pleas of the county in which the exposure which	3195
caused the disease occurred. Like appeal may be taken from an	3196
order of a staff hearing officer made under division (D) of	3197
section 4123.511 of the Revised Code from which the commission has	3198
refused to hear an appeal. The appellant shall file the notice of	3199
appeal with a court of common pleas within sixty days after the	3200
date of the receipt of the order appealed from or the date of	3201
receipt of the order of the commission refusing to hear an appeal	3202
of a staff hearing officer's decision under division (D) of	3203
section 4123.511 of the Revised Code. The filing of the notice of	3204
the appeal with the court is the only act required to perfect the	3205
appeal.	3206

If an action has been commenced in a court of a county other	3207
than a court of a county having jurisdiction over the action, the	3208
court, upon notice by any party or upon its own motion, shall	3209
transfer the action to a court of a county having jurisdiction.	3210

Notwithstanding anything to the contrary in this section, if	3211
the commission determines under section 4123.522 of the Revised	3212
Code that an employee, employer, or their respective	3213
representatives have not received written notice of an order or	3214
decision which is appealable to a court under this section and	3215
which grants relief pursuant to section 4123.522 of the Revised	3216
Code, the party granted the relief has sixty days from receipt of	3217
the order under section 4123.522 of the Revised Code to file a	3218
notice of appeal under this section.	3219

(B) The notice of appeal shall state the names of the	3220
administrator of workers' compensation, the claimant, and the	3221
employer,; the number of the claim,; the date of the order	3222
appealed from,; and the fact that the appellant appeals therefrom.	3223

The administrator ~~of workers' compensation~~, the claimant, and	3224
the employer shall be parties to the appeal and the court, upon	3225
the application of the commission, shall make the commission a	3226
party. The party filing the appeal shall serve a copy of the	3227
notice of appeal on the administrator at the central office of the	3228
bureau of workers' compensation in Columbus. The administrator	3229
shall notify the employer that if the employer fails to become an	3230
active party to the appeal, then the administrator may act on	3231
behalf of the employer and the results of the appeal could have an	3232
adverse effect upon the employer's premium rates.	3233

(C) The attorney general or one or more of the attorney	3234
general's assistants or special counsel designated by the attorney	3235
general shall represent the administrator and the commission. In	3236
the event the attorney general or the attorney general's	3237
designated assistants or special counsel are absent, the	3238
administrator or the commission shall select one or more of the	3239
attorneys in the employ of the administrator or the commission as	3240
the administrator's attorney or the commission's attorney in the	3241
appeal. Any attorney so employed shall continue the representation	3242
during the entire period of the appeal and in all hearings thereof	3243
except where the continued representation becomes impractical.	3244

(D) Upon receipt of notice of appeal, the clerk of courts	3245
shall provide notice to all parties who are appellees and to the	3246
commission.	3247

The claimant shall, within thirty days after the filing of	3248
the notice of appeal, file a petition containing a statement of	3249
facts in ordinary and concise language showing a cause of action	3250
to participate or to continue to participate in the fund and	3251
setting forth the basis for the jurisdiction of the court over the	3252
action. Further pleadings shall be had in accordance with the	3253
Rules of Civil Procedure, provided that service of summons on such	3254
petition shall not be required and provided that the claimant may	3255
not dismiss the complaint without the employer's consent if the	3256
employer is the party that filed the notice of appeal to court	3257
pursuant to this section. The clerk of the court shall, upon	3258
receipt thereof, transmit by certified mail a copy thereof to each	3259
party named in the notice of appeal other than the claimant. Any	3260
party may file with the clerk prior to the trial of the action a	3261
deposition of any physician taken in accordance with the	3262
provisions of the Revised Code, which deposition may be read in	3263
the trial of the action even though the physician is a resident of	3264
or subject to service in the county in which the trial is had. The	3265
bureau of workers' compensation shall pay the cost of the	3266
stenographic deposition filed in court and of copies of the	3267
stenographic deposition for each party from the surplus fund and	3268
charge the costs thereof against the unsuccessful party if the	3269
claimant's right to participate or continue to participate is	3270
finally sustained or established in the appeal. In the event the	3271
deposition is taken and filed, the physician whose deposition is	3272
taken is not required to respond to any subpoena issued in the	3273
trial of the action. The court, or the jury under the instructions	3274
of the court, if a jury is demanded, shall determine the right of	3275
the claimant to participate or to continue to participate in the	3276
fund upon the evidence adduced at the hearing of the action.	3277

(E) The court shall certify its decision to the commission	3278
and the certificate shall be entered in the records of the court.	3279
Appeals from the judgment are governed by the law applicable to	3280
the appeal of civil actions.	3281

(F) The cost of any legal proceedings authorized by this	3282
section, including an attorney's fee to the claimant's attorney to	3283
be fixed by the trial judge, based upon the effort expended, in	3284
the event the claimant's right to participate or to continue to	3285
participate in the fund is established upon the final	3286
determination of an appeal, shall be taxed against the employer or	3287
the commission if the commission or the administrator rather than	3288
the employer contested the right of the claimant to participate in	3289
the fund. The attorney's fee shall not exceed forty-two hundred	3290
dollars.	3291

(G) If the finding of the court or the verdict of the jury is	3292
in favor of the claimant's right to participate in the fund, the	3293
commission and the administrator shall thereafter proceed in the	3294
matter of the claim as if the judgment were the decision of the	3295
commission, subject to the power of modification provided by	3296
section 4123.52 of the Revised Code.	3297

(H)(1) An appeal from an order issued under division (E) of	3298
section 4123.511 of the Revised Code or any action filed in court	3299
in a case in which an award of compensation or medical benefits	3300
has been made shall not stay the payment of compensation or	3301
medical benefits under the award, or payment for subsequent	3302
periods of total disability or medical benefits during the	3303
pendency of the appeal. If, in a final administrative or judicial	3304
action, it is determined that payments of compensation or	3305
benefits, or both, made to or on behalf of a claimant should not	3306
have been made, the amount thereof shall be charged to the surplus	3307
fund account under division (B) of section 4123.34 of the Revised	3308
Code. In the event the employer is a state risk, the amount shall	3309
not be charged to the employer's experience, and the administrator	3310
shall adjust the employer's account accordingly. In the event the	3311
employer is a self-insuring employer, the self-insuring employer	3312
shall deduct the amount from the paid compensation the	3313
self-insuring employer reports to the administrator under division	3314
(L) of section 4123.35 of the Revised Code. If an employer is a	3315
state risk and has paid an assessment for a violation of a	3316
specific safety requirement, and, in a final administrative or	3317
judicial action, it is determined that the employer did not	3318
violate the specific safety requirement, the administrator shall	3319
reimburse the employer from the surplus fund account under	3320
division (B) of section 4123.34 of the Revised Code for the amount	3321
of the assessment the employer paid for the violation.	3322

(2)(a) Notwithstanding a final determination that payments of	3323
benefits made to or on behalf of a claimant should not have been	3324
made, the administrator or self-insuring employer shall award	3325
payment of medical or vocational rehabilitation services submitted	3326
for payment after the date of the final determination if all of	3327
the following apply:	3328

(i) The services were approved and were rendered by the	3329
provider in good faith prior to the date of the final	3330
determination.	3331

(ii) The services were payable under division (I) of section	3332
4123.511 of the Revised Code prior to the date of the final	3333
determination.	3334

(iii) The request for payment is submitted within the time	3335
limit set forth in section 4123.52 of the Revised Code.	3336

(b) Payments made under division (H)(1) of this section shall	3337
be charged to the surplus fund account under division (B) of	3338
section 4123.34 of the Revised Code. If the employer of the	3339
employee who is the subject of a claim described in division	3340
(H)(2)(a) of this section is a state fund employer, the payments	3341
made under that division shall not be charged to the employer's	3342
experience. If that employer is a self-insuring employer, the	3343
self-insuring employer shall deduct the amount from the paid	3344
compensation the self-insuring employer reports to the	3345
administrator under division (L) of section 4123.35 of the Revised	3346
Code.	3347

(c) Division (H)(2) of this section shall apply only to a	3348
claim under this chapter or Chapter 4121., 4127., or 4131. of the	3349
Revised Code arising on or after ~~the effective date of this~~	3350
~~amendment~~July 29, 2011.	3351

(3) A self-insuring employer may elect to pay compensation	3352
and benefits under this section directly to an employee or an	3353
employee's dependents by filing an application with the bureau of	3354
workers' compensation not more than one hundred eighty days and	3355
not less than ninety days before the first day of the employer's	3356
next six-month coverage period. If the self-insuring employer	3357
timely files the application, the application is effective on the	3358
first day of the employer's next six-month coverage period,	3359
provided that the administrator shall compute the employer's	3360
assessment for the surplus fund account due with respect to the	3361
period during which that application was filed without regard to	3362
the filing of the application. On and after the effective date of	3363
the employer's election, the self-insuring employer shall pay	3364
directly to an employee or to an employee's dependents	3365
compensation and benefits under this section regardless of the	3366
date of the injury or occupational disease, and the employer shall	3367
receive no money or credits from the surplus fund account on	3368
account of those payments and shall not be required to pay any	3369
amounts into the surplus fund account on account of this section.	3370
The election made under this division is irrevocable.	3371

(I) All actions and proceedings under this section which are	3372
the subject of an appeal to the court of common pleas or the court	3373
of appeals shall be preferred over all other civil actions except	3374
election causes, irrespective of position on the calendar.	3375

This section applies to all decisions of the commission or	3376
the administrator on November 2, 1959, and all claims filed	3377
thereafter are governed by sections 4123.511 and 4123.512 of the	3378
Revised Code.	3379

Any action pending in common pleas court or any other court	3380
on January 1, 1986, under this section is governed by former	3381
sections 4123.514, 4123.515, 4123.516, and 4123.519 and section	3382
4123.522 of the Revised Code.	3383

Sec. 4123.54. (A) Except as otherwise provided in divisions	3384
(I) and (K) of this section, every employee, who is injured or who	3385
contracts an occupational disease, and the dependents of each	3386
employee who is killed, or dies as the result of an occupational	3387
disease contracted in the course of employment, wherever such	3388
injury has occurred or occupational disease has been contracted,	3389
provided the same were not:	3390

(1) Purposely self-inflicted; or

3391

(2) Caused by the employee being intoxicated or under the	3392
influence of a controlled substance not prescribed by a physician	3393
where the intoxication or being under the influence of the	3394
controlled substance not prescribed by a physician was the	3395
proximate cause of the injury, is entitled to receive, either	3396
directly from the employee's self-insuring employer as provided in	3397
section 4123.35 of the Revised Code, or from the state insurance	3398
fund, the compensation for loss sustained on account of the	3399
injury, occupational disease, or death, and the medical, nurse,	3400
and hospital services and medicines, and the amount of funeral	3401
expenses in case of death, as are provided by this chapter.	3402

(B) For the purpose of this section, provided that an	3403
employer has posted written notice to employees that the results	3404
of, or the employee's refusal to submit to, any chemical test	3405
described under this division may affect the employee's	3406
eligibility for compensation and benefits pursuant to this chapter	3407
and Chapter 4121. of the Revised Code, there is a rebuttable	3408
presumption that an employee is intoxicated or under the influence	3409
of a controlled substance not prescribed by the employee's	3410
physician and that being intoxicated or under the influence of a	3411
controlled substance not prescribed by the employee's physician is	3412
the proximate cause of an injury under either of the following	3413
conditions:	3414

(1) When any one or more of the following is true:

3415

(a) The employee, through a qualifying chemical test	3416
administered within eight hours of an injury, is determined to	3417
have an alcohol concentration level equal to or in excess of the	3418
levels established in divisions (A)(1)(b) to (i) of section	3419
4511.19 of the Revised Code;	3420

(b) The employee, through a qualifying chemical test	3421
administered within thirty-two hours of an injury, is determined	3422
to have one of the following controlled substances not prescribed	3423
by the employee's physician in the employee's system that tests	3424
above the following levels in an enzyme multiplied immunoassay	3425
technique screening test and above the levels established in	3426
division (B)(1)(c) of this section in a gas chromatography mass	3427
spectrometry test:	3428

(i) For amphetamines, one thousand nanograms per milliliter	3429
of urine;	3430

(ii) For cannabinoids, fifty nanograms per milliliter of	3431
urine;	3432

(iii) For cocaine, including crack cocaine, three hundred	3433
nanograms per milliliter of urine;	3434

(iv) For opiates, two thousand nanograms per milliliter of	3435
urine;	3436

(v) For phencyclidine, twenty-five nanograms per milliliter	3437
of urine.	3438

(c) The employee, through a qualifying chemical test	3439
administered within thirty-two hours of an injury, is determined	3440
to have one of the following controlled substances not prescribed	3441
by the employee's physician in the employee's system that tests	3442
above the following levels by a gas chromatography mass	3443
spectrometry test:	3444

(i) For amphetamines, five hundred nanograms per milliliter	3445
of urine;	3446

(ii) For cannabinoids, fifteen nanograms per milliliter of	3447
urine;	3448

(iii) For cocaine, including crack cocaine, one hundred fifty	3449
nanograms per milliliter of urine;	3450

(iv) For opiates, two thousand nanograms per milliliter of	3451
urine;	3452

(v) For phencyclidine, twenty-five nanograms per milliliter	3453
of urine.	3454

(d) The employee, through a qualifying chemical test	3455
administered within thirty-two hours of an injury, is determined	3456
to have barbiturates, benzodiazepines, methadone, or propoxyphene	3457
in the employee's system that tests above levels established by	3458
laboratories certified by the United States department of health	3459
and human services.	3460

(2) When the employee refuses to submit to a requested	3461
chemical test, on the condition that that employee is or was given	3462
notice that the refusal to submit to any chemical test described	3463
in division (B)(1) of this section may affect the employee's	3464
eligibility for compensation and benefits under this chapter and	3465
Chapter 4121. of the Revised Code.	3466

(C)(1) For purposes of division (B) of this section, a	3467
chemical test is a qualifying chemical test if it is administered	3468
to an employee after an injury under at least one of the following	3469
conditions:	3470

(a) When the employee's employer had reasonable cause to	3471
suspect that the employee may be intoxicated or under the	3472
influence of a controlled substance not prescribed by the	3473
employee's physician;	3474

(b) At the request of a police officer pursuant to section	3475
4511.191 of the Revised Code, and not at the request of the	3476
employee's employer;	3477

(c) At the request of a licensed physician who is not	3478
employed by the employee's employer, and not at the request of the	3479
employee's employer.	3480

(2) As used in division (C)(1)(a) of this section,	3481
"reasonable cause" means, but is not limited to, evidence that an	3482
employee is or was using alcohol or a controlled substance drawn	3483
from specific, objective facts and reasonable inferences drawn	3484
from these facts in light of experience and training. These facts	3485
and inferences may be based on, but are not limited to, any of the	3486
following:	3487

(a) Observable phenomena, such as direct observation of use,	3488
possession, or distribution of alcohol or a controlled substance,	3489
or of the physical symptoms of being under the influence of	3490
alcohol or a controlled substance, such as but not limited to	3491
slurred speech, dilated pupils, odor of alcohol or a controlled	3492
substance, changes in affect, or dynamic mood swings;	3493

(b) A pattern of abnormal conduct, erratic or aberrant	3494
behavior, or deteriorating work performance such as frequent	3495
absenteeism, excessive tardiness, or recurrent accidents, that	3496
appears to be related to the use of alcohol or a controlled	3497
substance, and does not appear to be attributable to other	3498
factors;	3499

(c) The identification of an employee as the focus of a	3500
criminal investigation into unauthorized possession, use, or	3501
trafficking of a controlled substance;	3502

(d) A report of use of alcohol or a controlled substance	3503
provided by a reliable and credible source;	3504

(e) Repeated or flagrant violations of the safety or work	3505
rules of the employee's employer, that are determined by the	3506
employee's supervisor to pose a substantial risk of physical	3507
injury or property damage and that appear to be related to the use	3508
of alcohol or a controlled substance and that do not appear	3509
attributable to other factors.	3510

(D) Nothing in this section shall be construed to affect the	3511
rights of an employer to test employees for alcohol or controlled	3512
substance abuse.	3513

(E) For the purpose of this section, laboratories certified	3514
by the United States department of health and human services or	3515
laboratories that meet or exceed the standards of that department	3516
for laboratory certification shall be used for processing the test	3517
results of a qualifying chemical test.	3518

(F) The written notice required by division (B) of this	3519
section shall be the same size or larger than the ~~certificate~~	3520
proof of ~~premium payment notice~~workers' compensation coverage	3521
furnished by the bureau of workers' compensation and shall be	3522
posted by the employer in the same location as the ~~certificate~~	3523
proof of ~~premium payment notice~~workers' compensation coverage or	3524
the certificate of self-insurance.	3525

(G) If a condition that pre-existed an injury is	3526
substantially aggravated by the injury, and that substantial	3527
aggravation is documented by objective diagnostic findings,	3528
objective clinical findings, or objective test results, no	3529
compensation or benefits are payable because of the pre-existing	3530
condition once that condition has returned to a level that would	3531
have existed without the injury.	3532

(H)(1) Whenever, with respect to an employee of an employer	3533
who is subject to and has complied with this chapter, there is	3534
possibility of conflict with respect to the application of	3535
workers' compensation laws because the contract of employment is	3536
entered into and all or some portion of the work is or is to be	3537
performed in a state or states other than Ohio, the employer and	3538
the employee may agree to be bound by the laws of this state or by	3539
the laws of some other state in which all or some portion of the	3540
work of the employee is to be performed. The agreement shall be in	3541
writing and shall be filed with the bureau of workers'	3542
compensation within ten days after it is executed and shall remain	3543
in force until terminated or modified by agreement of the parties	3544
similarly filed. If the agreement is to be bound by the laws of	3545
this state and the employer has complied with this chapter, then	3546
the employee is entitled to compensation and benefits regardless	3547
of where the injury occurs or the disease is contracted and the	3548
rights of the employee and the employee's dependents under the	3549
laws of this state are the exclusive remedy against the employer	3550
on account of injury, disease, or death in the course of and	3551
arising out of the employee's employment. If the agreement is to	3552
be bound by the laws of another state and the employer has	3553
complied with the laws of that state, the rights of the employee	3554
and the employee's dependents under the laws of that state are the	3555
exclusive remedy against the employer on account of injury,	3556
disease, or death in the course of and arising out of the	3557
employee's employment without regard to the place where the injury	3558
was sustained or the disease contracted. If an employer and an	3559
employee enter into an agreement under this division, the fact	3560
that the employer and the employee entered into that agreement	3561
shall not be construed to change the status of an employee whose	3562
continued employment is subject to the will of the employer or the	3563
employee, unless the agreement contains a provision that expressly	3564
changes that status.	3565

(2) ~~If any employee or the employee's dependents pursue~~	3566
~~workers' compensation benefits or recover damages from the~~	3567
~~employer under the laws of another state, the amount awarded or~~	3568
~~recovered, whether paid or to be paid in future installments,~~	3569
~~shall be credited on the amount of any award of compensation or~~	3570
~~benefits made to the employee or the employee's dependents by the~~	3571
~~bureau.~~ If an employee or the employee's dependents ~~pursue or~~	3572
receive an award of compensation or benefits under this chapter or	3573
Chapter 4121., 4127., or 4131. of the Revised Code for the same	3574
injury, occupational disease, or death for which the employee or	3575
the employee's dependents previously pursued or otherwise elected	3576
to accept workers' compensation benefits and received a decision	3577
on the merits as defined in section 4123.542 of the Revised Code	3578
under the laws of another state or recovered damages under the	3579
laws of another state, the claim shall be disallowed and the	3580
administrator or any self-insuring employer, by any lawful means,	3581
may collect ~~the~~from the employee or the employee's dependents	3582
any of the following:	3583

(i) The amount of compensation or benefits paid to or on	3584
behalf of the employee or the employee's dependents by the	3585
administrator or a self-insuring employer pursuant to this chapter	3586
or Chapter 4121., 4127., or 4131. of the Revised Code for that	3587
award;	3588

(ii) Any interest, attorney's fees, and costs the	3589
administrator or the self-insuring employer incurs in collecting	3590
that payment.	3591

(3) If an employee or the employee's dependents receive an	3592
award of compensation or benefits under this chapter or Chapter	3593
4121., 4127., or 4131. of the Revised Code and subsequently pursue	3594
or otherwise elected to accept workers' compensation benefits or	3595
damages under the laws of another state for the same injury,	3596
occupational disease, or death the claim under this chapter or	3597
Chapter 4121., 4127., or 4131. of the Revised Code shall be	3598
disallowed. The administrator or ~~any~~a self-insuring employer	3599
~~also~~, by any lawful means, may collect from the employee or the	3600
employee's dependents ~~any~~or other-states' insurer any of the	3601
following:	3602

(i) The amount of compensation or benefits paid to or on	3603
behalf of the employee or the employee's dependents by the	3604
administrator or the self-insuring employer pursuant to this	3605
chapter or Chapter 4121., 4127., or 4131. of the Revised Code for	3606
that award;	3607

(ii) Any interest, costs, and attorney's fees the	3608
administrator or the self-insuring employer incurs in collecting	3609
that payment ~~and any attorney's fees, penalties, interest,~~	3610
~~awards, and~~;	3611

(iii) Any costs incurred by an employer in contesting or	3612
responding to any claim filed by the employee or the employee's	3613
dependents for the same injury, occupational disease, or death	3614
that was filed after the original claim for which the employee or	3615
the employee's dependents received a decision on the merits as	3616
described in section 4123.542 of the Revised Code. If	3617

(4) If the employee's employer pays premiums into the state	3618
insurance fund, the administrator shall not charge the amount of	3619
compensation or benefits the administrator collects pursuant to	3620
~~this~~ division (H)(2) or (3) of this section to the employer's	3621
experience. If the administrator collects any costs~~, penalties,~~	3622
~~interest, awards, or attorney's fees~~ incurred by ~~a state fund~~an	3623
employer in contesting or responding to any claim pursuant to	3624
division (H)(2) or (3) of this section, the administrator shall	3625
forward the amount ~~of such costs, penalties, interest, awards, and~~	3626
~~attorney's fees the administrator collects~~collected to that	3627
employer. If the employee's employer is a self-insuring employer,	3628
the self-insuring employer shall deduct the amount of compensation	3629
or benefits the self-insuring employer collects pursuant to this	3630
division from the paid compensation the self-insuring employer	3631
reports to the administrator under division (L) of section 4123.35	3632
of the Revised Code.	3633

~~(3) Except as otherwise stipulated in division (H)(4) of this~~	3634
~~section, if~~(5) If an employee is a resident of a state other than	3635
this state and is insured under the workers' compensation law or	3636
similar laws of a state other than this state, the employee and	3637
the employee's dependents are not entitled to receive compensation	3638
or benefits under this chapter, on account of injury, disease, or	3639
death arising out of or in the course of employment while	3640
temporarily within this state, and the rights of the employee and	3641
the employee's dependents under the laws of the other state are	3642
the exclusive remedy against the employer on account of the	3643
injury, disease, or death.	3644

~~(4) Division (H)(3) of this section does not apply to an~~	3645
~~employee described in that division, or the employee's dependents,~~	3646
~~unless both of the following apply:~~	3647

~~(a) The laws of the other state limit the ability of an~~	3648
~~employee who is a resident of this state and is covered by this~~	3649
~~chapter and Chapter 4123. of the Revised Code, or the employee's~~	3650
~~dependents, to receive compensation or benefits under the other~~	3651
~~state's workers' compensation law on account of injury, disease,~~	3652
~~or death incurred by the employee that arises out of or in the~~	3653
~~course of the employee's employment while temporarily within that~~	3654
~~state in the same manner as specified in division (H)(3) of this~~	3655
~~section for an employee who is a resident of a state other than~~	3656
~~this state, or the employee's dependents;~~	3657

~~(b) The laws of the other state limit the liability of the~~	3658
~~employer of the employee who is a resident of this state and who~~	3659
~~is described in division (H)(4)(a) of this section for that~~	3660
~~injury, disease, or death, in the same manner specified in~~	3661
~~division (H)(3) of this section for the employer of an employee~~	3662
~~who is a resident of the other state.~~	3663

~~(5)~~(6) An employee, or the dependent of an employee, who	3664
elects to receive compensation and benefits under this chapter or	3665
Chapter 4121., 4127., or 4131. of the Revised Code for a claim may	3666
not receive compensation and benefits under the workers'	3667
compensation laws of any state other than this state for that same	3668
claim. For each claim submitted by or on behalf of an employee,	3669
the administrator or, if the employee is employed by a	3670
self-insuring employer, the self-insuring employer, shall request	3671
the employee or the employee's dependent to sign an election that	3672
affirms the employee's or employee's dependent's acceptance of	3673
electing to receive compensation and benefits under this chapter	3674
or Chapter 4121., 4127., or 4131. of the Revised Code for that	3675
claim that also affirmatively waives and releases the employee's	3676
or the employee's dependent's right to file for and receive	3677
compensation and benefits under the laws of any state other than	3678
this state for that claim. The employee or employee's dependent	3679
shall sign the election form within twenty-eight days after the	3680
administrator or self-insuring employer submits the request or the	3681
administrator or self-insuring employer shall ~~suspend~~dismiss that	3682
claim ~~until the administrator or self-insuring employer receives~~	3683
~~the signed election form~~.	3684

In the event a workers' compensation claim has been filed in	3685
another jurisdiction on behalf of an employee or the dependents of	3686
an employee, and the employee or dependents subsequently elect to	3687
receive compensation, benefits, or both under this chapter or	3688
Chapter 4121., 4127., or 4131. of the Revised Code, the employee	3689
or dependent shall withdraw or refuse acceptance of the workers'	3690
compensation claim filed in the other jurisdiction in order to	3691
pursue compensation or benefits under the laws of this state. If	3692
the employee or dependents were awarded workers' compensation	3693
benefits or had recovered damages under the laws of the other	3694
state, any compensation and benefits awarded under this chapter or	3695
Chapters 4121., 4127., or 4131. of the Revised Code shall be paid	3696
only to the extent to which those payments exceed the amounts paid	3697
under the laws of the other state. If the employee or dependent	3698
fails to withdraw or to refuse acceptance of the workers'	3699
compensation claim in the other jurisdiction within twenty-eight	3700
days after a request made by the administrator or a self-insuring	3701
employer, the administrator or self-insuring employer shall	3702
dismiss the employee's or employee's dependents' claim made in	3703
this state.	3704

(I) If an employee who is covered under the federal	3705
"Longshore and Harbor Workers' Compensation Act," 98 Stat. 1639,	3706
33 U.S.C. 901 et seq., is injured or contracts an occupational	3707
disease or dies as a result of an injury or occupational disease,	3708
and if that employee's or that employee's dependents' claim for	3709
compensation or benefits for that injury, occupational disease, or	3710
death is subject to the jurisdiction of that act, the employee or	3711
the employee's dependents are not entitled to apply for and shall	3712
not receive compensation or benefits under this chapter and	3713
Chapter 4121. of the Revised Code. The rights of such an employee	3714
and the employee's dependents under the federal "Longshore and	3715
Harbor Workers' Compensation Act," 98 Stat. 1639, 33 U.S.C. 901 et	3716
seq., are the exclusive remedy against the employer for that	3717
injury, occupational disease, or death.	3718

(J) Compensation or benefits are not payable to a claimant	3719
during the period of confinement of the claimant in any state or	3720
federal correctional institution, or in any county jail in lieu of	3721
incarceration in a state or federal correctional institution,	3722
whether in this or any other state for conviction of violation of	3723
any state or federal criminal law.	3724

(K) An employer, upon the approval of the administrator, may	3725
provide for workers' compensation coverage for the employer's	3726
employees who are professional athletes and coaches by submitting	3727
to the administrator proof of coverage under a league policy	3728
issued under the laws of another state under either of the	3729
following circumstances:	3730

(1) The employer administers the payroll and workers'	3731
compensation insurance for a professional sports team subject to a	3732
collective bargaining agreement, and the collective bargaining	3733
agreement provides for the uniform administration of workers'	3734
compensation benefits and compensation for professional athletes.	3735

(2) The employer is a professional sports league, or is a	3736
member team of a professional sports league, and all of the	3737
following apply:	3738

(a) The professional sports league operates as a single	3739
entity, whereby all of the players and coaches of the sports	3740
league are employees of the sports league and not of the	3741
individual member teams.	3742

(b) The professional sports league at all times maintains	3743
workers' compensation insurance that provides coverage for the	3744
players and coaches of the sports league.	3745

(c) Each individual member team of the professional sports	3746
league, pursuant to the organizational or operating documents of	3747
the sports league, is obligated to the sports league to pay to the	3748
sports league any workers' compensation claims that are not	3749
covered by the workers' compensation insurance maintained by the	3750
sports league.	3751

If the administrator approves the employer's proof of	3752
coverage submitted under division (K) of this section, a	3753
professional athlete or coach who is an employee of the employer	3754
and the dependents of the professional athlete or coach are not	3755
entitled to apply for and shall not receive compensation or	3756
benefits under this chapter and Chapter 4121. of the Revised Code.	3757
The rights of such an athlete or coach and the dependents of such	3758
an athlete or coach under the laws of the state where the policy	3759
was issued are the exclusive remedy against the employer for the	3760
athlete or coach if the athlete or coach suffers an injury or	3761
contracts an occupational disease in the course of employment, or	3762
for the dependents of the athlete or the coach if the athlete or	3763
coach is killed as a result of an injury or dies as a result of an	3764
occupational disease, regardless of the location where the injury	3765
was suffered or the occupational disease was contracted.	3766

Sec. 4123.542. An employee or the dependents of an employee	3767
who receive a decision on the merits of a claim for compensation	3768
or benefits under this chapter or Chapter 4121., 4127., or 4131.	3769
of the Revised Code shall not file a claim for the same injury,	3770
occupational disease, or death in another state under the workers'	3771
compensation laws of that state. AnExcept as otherwise provided	3772
in division (H) of section 4123.54 of the Revised Code, an	3773
employee or the employee's dependents who receive a decision on	3774
the merits of a claim for compensation or benefits under the	3775
workers' compensation laws of another state shall not file a claim	3776
for compensation and benefits under this chapter or Chapter 4121.,	3777
4127., or 4131. of the Revised Code for the same injury,	3778
occupational disease, or death.	3779

As used in this section, "a decision on the merits" means a	3780
decision determined or adjudicated for compensability of a claim	3781
and not on jurisdictional grounds.	3782

Sec. 4123.66. (A) In addition to the compensation provided	3783
for in this chapter, the administrator of workers' compensation	3784
shall disburse and pay from the state insurance fund the amounts	3785
for medical, nurse, and hospital services and medicine as the	3786
administrator deems proper and, in case death ensues from the	3787
injury or occupational disease, the administrator shall disburse	3788
and pay from the fund reasonable funeral expenses in an amount not	3789
to exceed fifty-five hundred dollars. The bureau of workers'	3790
compensation shall reimburse anyone, whether dependent, volunteer,	3791
or otherwise, who pays the funeral expenses of any employee whose	3792
death ensues from any injury or occupational disease as provided	3793
in this section. The administrator may adopt rules, with the	3794
advice and consent of the bureau of workers' compensation board of	3795
directors, with respect to furnishing medical, nurse, and hospital	3796
service and medicine to injured or disabled employees entitled	3797
thereto, and for the payment therefor. In case an injury or	3798
industrial accident that injures an employee also causes damage to	3799
the employee's eyeglasses, artificial teeth or other denture, or	3800
hearing aid, or in the event an injury or occupational disease	3801
makes it necessary or advisable to replace, repair, or adjust the	3802
same, the bureau shall disburse and pay a reasonable amount to	3803
repair or replace the same.	3804

(B) The administrator, in the rules the administrator adopts	3805
pursuant to division (A) of this section, may adopt rules	3806
specifying the circumstances under which the bureau may make	3807
immediate payment for the first fill of prescription drugs for	3808
medical conditions identified in an application for compensation	3809
or benefits under section 4123.84 or 4123.85 of the Revised Code	3810
that occurs prior to the date the administrator issues an initial	3811
determination order under division (B) of section 4123.511 of the	3812
Revised Code. If the claim is ultimately disallowed in a final	3813
administrative or judicial order, and if the employer is a state	3814
fund employer who pays assessments into the surplus fund account	3815
created under section 4123.34 of the Revised Code, the payments	3816
for medical services made pursuant to this division for the first	3817
fill of prescription drugs shall be charged to and paid from the	3818
surplus fund account and not charged through the state insurance	3819
fund to the employer against whom the claim was filed.	3820

(C)(1) If an employer or a welfare plan has provided to or on	3821
behalf of an employee any benefits or compensation for an injury	3822
or occupational disease and that injury or occupational disease is	3823
determined compensable under this chapter, the employer or a	3824
welfare plan may request that the administrator reimburse the	3825
employer or welfare plan for the amount the employer or welfare	3826
plan paid to or on behalf of the employee in compensation or	3827
benefits. The administrator shall reimburse the employer or	3828
welfare plan for the compensation and benefits paid if, at the	3829
time the employer or welfare plan provides the benefits or	3830
compensation to or on behalf of employee, the injury or	3831
occupational disease had not been determined to be compensable	3832
under this chapter and if the employee was not receiving	3833
compensation or benefits under this chapter for that injury or	3834
occupational disease. The administrator shall reimburse the	3835
employer or welfare plan in the amount that the administrator	3836
would have paid to or on behalf of the employee under this chapter	3837
if the injury or occupational disease originally would have been	3838
determined compensable under this chapter. If the employer is a	3839
merit-rated employer, the administrator shall adjust the amount of	3840
premium next due from the employer according to the amount the	3841
administrator pays the employer. The administrator shall adopt	3842
rules, in accordance with Chapter 119. of the Revised Code, to	3843
implement this division.	3844

(2) As used in this division, "welfare plan" has the same	3845
meaning as in division (1) of 29 U.S.C.A. 1002.	3846

Sec. 4123.82. (A) All contracts and agreements are void	3847
which undertake to indemnify or insure an employer against loss or	3848
liability for the payment of compensation to workers or their	3849
dependents for death, injury, or occupational disease occasioned	3850
in the course of the workers' employment, or which provide that	3851
the insurer shall pay the compensation, or which indemnify the	3852
employer against damages when the injury, disease, or death arises	3853
from the failure to comply with any lawful requirement for the	3854
protection of the lives, health, and safety of employees, or when	3855
the same is occasioned by the willful act of the employer or any	3856
of the employer's officers or agents, or by which it is agreed	3857
that the insurer shall pay any such damages. No license or	3858
authority to enter into any such agreements or issue any such	3859
policies of insurance shall be granted or issued by any public	3860
authority in this state. Any corporation organized or admitted	3861
under the laws of this state to transact liability insurance as	3862
defined in section 3929.01 of the Revised Code may by amendment of	3863
its articles of incorporation or by original articles of	3864
incorporation, provide therein for the authority and purpose to	3865
make insurance in states, territories, districts, and counties,	3866
other than the state of Ohio, and in the state of Ohio in respect	3867
of contracts permitted by division (B) of this section,	3868
indemnifying employers against loss or liability for payment of	3869
compensation to workers and employees and their dependents for	3870
death, injury, or occupational disease occasioned in the course of	3871
the employment and to insure and indemnify employers against loss,	3872
expense, and liability by risk of bodily injury or death by	3873
accident, disability, sickness, or disease suffered by workers and	3874
employees for which the employer may be liable or has assumed	3875
liability.	3876

(B) Notwithstanding division (A) of this section:

3877

(1) No contract because of that division is void which	3878
undertakes to indemnify a self-insuring employer against all or	3879
part of such employer's loss in excess of at least fifty thousand	3880
dollars from any one disaster or event arising out of the	3881
employer's liability under this chapter, but no insurance	3882
corporation shall, directly or indirectly, represent an employer	3883
in the settlement, adjudication, determination, allowance, or	3884
payment of claims. The superintendent of insurance shall enforce	3885
this prohibition by such disciplinary orders directed against the	3886
offending insurance corporation as the superintendent of insurance	3887
deems appropriate in the circumstances and the administrator of	3888
workers' compensation shall enforce this prohibition by such	3889
disciplinary orders directed against the offending employer as the	3890
administrator deems appropriate in the circumstances, which orders	3891
may include revocation of the insurance corporation's right to	3892
enter into indemnity contracts and revocation of the employer's	3893
status as a self-insuring employer.	3894

(2) The administrator may enter into a contract of indemnity	3895
with any such employer upon such terms, payment of such premium,	3896
and for such amount and form of indemnity as the administrator	3897
determines and the bureau of workers' compensation board of	3898
directors may procure reinsurance of the liability of the public	3899
and private funds under this chapter, or any part of the liability	3900
in respect of either or both of the funds, upon such terms and	3901
premiums or other payments from the fund or funds as the	3902
administrator deems prudent in the maintenance of a solvent fund	3903
or funds from year to year. When making the finding of fact which	3904
the administrator is required by section 4123.35 of the Revised	3905
Code to make with respect to the financial ability of an employer,	3906
no contract of indemnity, or the ability of the employer to	3907
procure such a contract, shall be considered as increasing the	3908
financial ability of the employer.	3909

(C) Nothing in this section shall be construed to prohibit	3910
the administrator or an other-states' insurer from providing to	3911
employers in this state other-states' coverage or limited	3912
other-states' coverage in accordance with section 4123.292 of the	3913
Revised Code.	3914

(D) Notwithstanding any other section of the Revised Code,	3915
but subject to division (A) of this section, the superintendent of	3916
insurance shall have the sole authority to regulate any insurance	3917
products, except for the bureau of workers' compensation and those	3918
products offered by the bureau, that indemnify or insure employers	3919
against workers' compensation losses in this state or that are	3920
sold to employers in this state.	3921

Sec. 4123.83. Each employer paying premiums into the state	3922
insurance fund or electing directly to pay compensation to the	3923
employer's injured employees or the dependents of the employer's	3924
killed employees as provided in section 4123.35 of the Revised	3925
Code, shall post conspicuously in the employer's place or places	3926
of employment notices, which shall be furnished ~~in adequate number~~	3927
at least annually by the bureau of workers' compensation ~~at the~~	3928
~~time of the payment of the premium, stating the fact that the~~	3929
~~employer has made the payment, the date thereof, and period for~~	3930
~~which the payment is made~~. The notice shall state that it is proof	3931
of workers' compensation coverage, or that the employer has	3932
complied with section 4123.35 of the Revised Code, and has been	3933
authorized by the administrator of workers' compensation directly	3934
to compensate employees or dependents, and the date of the	3935
authorization. The notice shall indicate that coverage is	3936
contingent on continued payment of premiums and assessments due.	3937
The notice, when posted, constitutes sufficient notice to the	3938
employer's employees of the fact that the employer ~~has made~~	3939
~~payment~~carries workers' compensation coverage or that the	3940
employer has complied with the elective provisions of section	3941
4123.35 of the Revised Code.	3942

Sec. 4125.05. (A) Not ~~later than thirty days after November~~	3943
~~5, 2004, or not~~ later than thirty days after the formation of a	3944
professional employer organization, ~~whichever date occurs later,~~ a	3945
professional employer organization operating in this state shall	3946
register with the administrator of workers' compensation on forms	3947
provided by the administrator. Following initial registration,	3948
each professional employer organization shall register with the	3949
administrator annually on or before the thirty-first day of	3950
December. Commonly owned or controlled applicants may register as	3951
a professional employer organization reporting entity or register	3952
individually. Registration as a part of a professional employer	3953
organization reporting entity shall not disqualify an individual	3954
professional employer organization from participating in a	3955
group-rated plan under division (A)(4) of section 4123.29 of the	3956
Revised Code.	3957

(B) Initial registration and each annual registration renewal	3958
shall include all of the following:	3959

(1) A list of each of the professional employer	3960
organization's client employers current as of the date of	3961
registration for purposes of initial registration or current as of	3962
the date of annual registration renewal, or within fourteen days	3963
of adding or releasing a client, that includes the client	3964
employer's name, address, federal tax identification number, and	3965
bureau of workers' compensation risk number;	3966

(2) A fee as determined by the administrator;

3967

(3) The name or names under which the professional employer	3968
organization conducts business;	3969

(4) The address of the professional employer organization's	3970
principal place of business and the address of each office it	3971
maintains in this state;	3972

(5) The professional employer organization's taxpayer or	3973
employer identification number;	3974

(6) A list of each state in which the professional employer	3975
organization has operated in the preceding five years, and the	3976
name, corresponding with each state, under which the professional	3977
employer organization operated in each state, including any	3978
alternative names, names of predecessors, and if known, successor	3979
business entities;	3980

(7) The most recent financial statement prepared and audited	3981
pursuant to division (B) of section 4125.051 of the Revised Code;	3982

(8) If there is any deficit in the working capital required	3983
under division (A) of section 4125.051 of the Revised Code, a	3984
bond, irrevocable letter of credit, or securities with a minimum	3985
market value in an amount sufficient to cover the deficit in	3986
accordance with the requirements of that section;	3987

(9) An attestation of the accuracy of the data submissions	3988
from the chief executive officer of the professional employer	3989
organization.	3990

(C) Upon terms and for periods that the administrator	3991
considers appropriate, the administrator may issue a limited	3992
registration to a professional employer organization or	3993
professional employer organization reporting entity that provides	3994
all of the following items:	3995

(1) A properly executed request for limited registration on a	3996
form provided by the administrator;	3997

(2) All information and materials required for registration	3998
in divisions (B)(1) to (6) of this section;	3999

(3) Information and documentation necessary to show that the	4000
professional employer organization or professional employer	4001
organization reporting entity satisfies all of the following	4002
criteria:	4003

(a) It is domiciled outside of this state.

4004

(b) It is licensed or registered as a professional employer	4005
organization in another state.	4006

4007

(d) It does not participate in direct solicitations for	4008
client employers located or domiciled in this state.	4009

(e) It has fifty or fewer shared employees employed or	4010
domiciled in this state on any given day.	4011

(D)(1) The administrator, with the advice and consent of the	4012
bureau of workers' compensation board of directors, ~~shall~~may	4013
adopt rules in accordance with Chapter 119. of the Revised Code to	4014
require, in addition to the requirement under division (B)(8) of	4015
this section ~~and except as otherwise specified in division (D)(2)~~	4016
~~of this section~~, a professional employer organization to provide	4017
security in the form of a bond or letter of credit assignable to	4018
the Ohio bureau of workers' compensation not to exceed an amount	4019
equal to the premiums and assessments incurred for the ~~two~~ most	4020
recent ~~payroll periods~~policy year, prior to any discounts or	4021
dividends, to meet the financial obligations of the professional	4022
employer organization pursuant to this chapter and Chapters 4121.	4023
and 4123. of the Revised Code.	4024

(2) ~~As an alternative to providing security in the form of a~~	4025
~~bond or letter of credit under division (D)(1) of this section,~~	4026
~~the administrator shall permit a professional employer~~	4027
~~organization to make periodic payments of prospective premiums and~~	4028
~~assessments to the bureau.~~	4029

~~(3)~~ A professional employer organization may appeal the	4030
amount of the security required pursuant to rules adopted under	4031
division (D)(1) of this section in accordance with section	4032
4123.291 of the Revised Code.	4033

(3) A professional employer organization shall pay premiums	4034
and assessments for purposes of Chapters 4121. and 4123. of the	4035
Revised Code on a monthly basis pursuant to division (A) of	4036
section 4123.35 of the Revised Code.	4037

(E) Notwithstanding division (D) of this section, a	4038
professional employer organization that qualifies for	4039
self-insurance or retrospective rating under section 4123.29 or	4040
4123.35 of the Revised Code shall abide by the financial	4041
disclosure and security requirements pursuant to those sections	4042
and the rules adopted under those sections in place of the	4043
requirements specified in division (D) of this section or	4044
specified in rules adopted pursuant to that division.	4045

(F) Except to the extent necessary for the administrator to	4046
administer the statutory duties of the administrator and for	4047
employees of the state to perform their official duties, all	4048
records, reports, client lists, and other information obtained	4049
from a professional employer organization and professional	4050
employer organization reporting entity under divisions (A), (B),	4051
and (C) of this section are confidential and shall be considered	4052
trade secrets and shall not be published or open to public	4053
inspection.	4054

(G) The list described in division (B)(1) of this section	4055
shall be considered a trade secret.	4056

(H) The administrator shall establish the fee described in	4057
division (B)(2) of this section in an amount that does not exceed	4058
the cost of the administration of the initial and renewal	4059
registration process.	4060

(I) A financial statement required under division (B)(7) of	4061
this section for initial registration shall be the most recent	4062
financial statement of the professional employer organization or	4063
professional employer organization reporting entity of which the	4064
professional employer organization is a member and shall not be	4065
older than thirteen months. For each registration renewal, the	4066
professional employer organization shall file the required	4067
financial statement within one hundred eighty days after the end	4068
of the professional employer organization's or professional	4069
employer organization reporting entity's fiscal year. A	4070
professional employer organization may apply to the administrator	4071
for an extension beyond that time if the professional employer	4072
organization provides the administrator with a letter from the	4073
professional employer organization's auditor stating the reason	4074
for delay and the anticipated completion date.	4075

(J) Multiple, unrelated professional employer organizations	4076
shall not combine together for purposes of obtaining workers'	4077
compensation coverage or for forming any type of self-insurance	4078
arrangement available under this chapter. Multiple, unrelated	4079
professional employer organization reporting entities shall not	4080
combine together for purposes of obtaining workers' compensation	4081
coverage or for forming any type of self-insurance arrangement	4082
available under this chapter.	4083

(K) The administrator shall maintain a list of professional	4084
employer organizations and professional employer organization	4085
reporting entities registered under this section that is readily	4086
available to the public by electronic or other means.	4087

Sec. 4729.80. (A) If the state board of pharmacy establishes	4088
and maintains a drug database pursuant to section 4729.75 of the	4089
Revised Code, the board is authorized or required to provide	4090
information from the database in accordance with the following:	4091

(1) On receipt of a request from a designated representative	4092
of a government entity responsible for the licensure, regulation,	4093
or discipline of health care professionals with authority to	4094
prescribe, administer, or dispense drugs, the board may provide to	4095
the representative information from the database relating to the	4096
professional who is the subject of an active investigation being	4097
conducted by the government entity.	4098

(2) On receipt of a request from a federal officer, or a	4099
state or local officer of this or any other state, whose duties	4100
include enforcing laws relating to drugs, the board shall provide	4101
to the officer information from the database relating to the	4102
person who is the subject of an active investigation of a drug	4103
abuse offense, as defined in section 2925.01 of the Revised Code,	4104
being conducted by the officer's employing government entity.	4105

(3) Pursuant to a subpoena issued by a grand jury, the board	4106
shall provide to the grand jury information from the database	4107
relating to the person who is the subject of an investigation	4108
being conducted by the grand jury.	4109

(4) Pursuant to a subpoena, search warrant, or court order in	4110
connection with the investigation or prosecution of a possible or	4111
alleged criminal offense, the board shall provide information from	4112
the database as necessary to comply with the subpoena, search	4113
warrant, or court order.	4114

(5) On receipt of a request from a prescriber or the	4115
prescriber's delegate approved by the board, the board ~~may~~shall	4116
provide to the prescriber information from the database relating	4117
to a patient who is either of the following, if the prescriber	4118
certifies in a form specified by the board that it is for the	4119
purpose of providing medical treatment to the patient who is the	4120
subject of the request:	4121

(a) A current patient of the prescriber;

4122

(b) A potential patient of the prescriber based on a referral	4123
of the patient to the prescriber.	4124

(6) On receipt of a request from a pharmacist or the	4125
pharmacist's delegate approved by the board, the board ~~may~~shall	4126
provide to the pharmacist information from the database relating	4127
to a current patient of the pharmacist, if the pharmacist	4128
certifies in a form specified by the board that it is for the	4129
purpose of the pharmacist's practice of pharmacy involving the	4130
patient who is the subject of the request.	4131

(7) On receipt of a request from an individual seeking the	4132
individual's own database information in accordance with the	4133
procedure established in rules adopted under section 4729.84 of	4134
the Revised Code, the board may provide to the individual the	4135
individual's own database information.	4136

(8) On receipt of a request from the medical director of a	4137
managed care organization that has entered into a data security	4138
agreement with the board required by section 5167.14 of the	4139
Revised Code, the board shall provide to the medical director	4140
information from the database relating to a medicaid recipient	4141
enrolled in the managed care organization, including information	4142
in the database related to prescriptions for the recipient that	4143
were not covered or reimbursed under a program administered by the	4144
department of medicaid.	4145

(9) On receipt of a request from the medicaid director, the	4146
board shall provide to the director information from the database	4147
relating to a recipient of a program administered by the	4148
department of medicaid, including information in the database	4149
related to prescriptions for the recipient that were not covered	4150
or paid by a program administered by the department.	4151

(10) Except as otherwise provided in division (E) or (F) of	4152
this section, on receipt of a request from the medical director of	4153
a managed care organization, the board shall provide to the	4154
medical director information from the database relating to a	4155
claimant under Chapter 4121., 4123., 4127., or 4131. of the	4156
Revised Code assigned to the managed care organization, including	4157
information in the database related to prescriptions for the	4158
claimant that were not covered or reimbursed under those chapters,	4159
if both of the following apply:	4160

(a) The managed care organization has entered into a contract	4161
with the administrator of workers' compensation under division	4162
(B)(4) of section 4121.44 of the Revised Code;	4163

(b) The managed care organization has entered into a data	4164
security agreement with the board as required by section 4121.447	4165
of the Revised Code.	4166

(11) On receipt of a request from the administrator of	4167
workers' compensation, the board ~~may~~shall provide to the	4168
administrator information from the database relating to a claimant	4169
under Chapter 4121., 4123., 4127., or 4131. of the Revised Code,	4170
including information in the database related to prescriptions for	4171
the claimant that were not covered or reimbursed under Chapter	4172
4121., 4123., 4127., or 4131. of the Revised Code.	4173

~~(11)~~(12) On receipt of a request from a requestor described	4174
in division (A)(1), (2), (5), or (6) of this section who is from	4175
or participating with another state's prescription monitoring	4176
program, the board may provide to the requestor information from	4177
the database, but only if there is a written agreement under which	4178
the information is to be used and disseminated according to the	4179
laws of this state.	4180

(B) The state board of pharmacy shall maintain a record of	4181
each individual or entity that requests information from the	4182
database pursuant to this section. In accordance with rules	4183
adopted under section 4729.84 of the Revised Code, the board may	4184
use the records to document and report statistics and law	4185
enforcement outcomes.	4186

The board may provide records of an individual's requests for	4187
database information to the following:	4188

(1) A designated representative of a government entity that	4189
is responsible for the licensure, regulation, or discipline of	4190
health care professionals with authority to prescribe, administer,	4191
or dispense drugs who is involved in an active investigation being	4192
conducted by the government entity of the individual who submitted	4193
the requests for database information;	4194

(2) A federal officer, or a state or local officer of this or	4195
any other state, whose duties include enforcing laws relating to	4196
drugs and who is involved in an active investigation being	4197
conducted by the officer's employing government entity of the	4198
individual who submitted the requests for database information.	4199

(C) Information contained in the database and any information	4200
obtained from it is not a public record. Information contained in	4201
the records of requests for information from the database is not a	4202
public record. Information that does not identify a person may be	4203
released in summary, statistical, or aggregate form.	4204

(D) A pharmacist or prescriber shall not be held liable in	4205
damages to any person in any civil action for injury, death, or	4206
loss to person or property on the basis that the pharmacist or	4207
prescriber did or did not seek or obtain information from the	4208
database.	4209

(E) The administrator, upon request of the board, shall	4210
review at least quarterly a list of the individuals about whom	4211
information was requested by a medical director of a managed care	4212
organization and confirm that the individuals are assigned to the	4213
managed care organization. The board may prohibit a medical	4214
director of a managed care organization from obtaining further	4215
information from the drug database if the administrator fails to	4216
review and confirm the list.	4217

(F) The board, after notice and hearing in accordance with	4218
Chapter 119. of the Revised Code, may prohibit a medical director	4219
of a managed care organization from obtaining further information	4220
from the drug database or may impose a monetary penalty of not	4221
more than five thousand dollars, for requesting information on	4222
individuals pursuant to division (A)(10) of this section who were	4223
not assigned to the managed care organization.	4224

Sec. 4729.86. If the state board of pharmacy establishes and	4225
maintains a drug database pursuant to section 4729.75 of the	4226
Revised Code, all of the following apply:	4227

(A)(1) No person identified in divisions (A)(1) to ~~(10)~~(11)	4228
or (B) of section 4729.80 of the Revised Code shall disseminate	4229
any written or electronic information the person receives from the	4230
drug database or otherwise provide another person access to the	4231
information that the person receives from the database, except as	4232
follows:	4233

(a) When necessary in the investigation or prosecution of a	4234
possible or alleged criminal offense;	4235

(b) When a person provides the information to the prescriber	4236
or pharmacist for whom the person is approved by the board to	4237
serve as a delegate of the prescriber or pharmacist for purposes	4238
of requesting and receiving information from the drug database	4239
under division (A)(5) or (6) of section 4729.80 of the Revised	4240
Code;	4241

(c) When a prescriber or pharmacist provides the information	4242
to a person who is approved by the board to serve as such a	4243
delegate of the prescriber or pharmacist.	4244

(2) No person shall provide false information to the state	4245
board of pharmacy with the intent to obtain or alter information	4246
contained in the drug database.	4247

(3) No person shall obtain drug database information by any	4248
means except as provided under section 4729.80 or 4729.81 of the	4249
Revised Code.	4250

(B) A person shall not use information obtained pursuant to	4251
division (A) of section 4729.80 of the Revised Code as evidence in	4252
any civil or administrative proceeding.	4253

(C)(1) The board may restrict a person from obtaining further	4254
information from the drug database if any of the following is the	4255
case:	4256

(a) The person violates division (A)(1), (2), or (3) of this	4257
section;	4258

(b) The person is a requestor identified in division	4259
(A)~~(11)~~(12) of section 4729.80 of the Revised Code and the board	4260
determines that the person's actions in another state would have	4261
constituted a violation of division (A)(1), (2), or (3) of this	4262
section;	4263

(c) The person fails to comply with division (B) of this	4264
section, regardless of the jurisdiction in which the failure to	4265
comply occurred.	4266

(2) The board shall determine the extent to which the person	4267
is restricted from obtaining further information from the	4268
database.	4269

Section 2. That existing sections 1561.31, 2305.25,	4270
2305.252, 4121.129, 4121.45, 4123.01, 4123.26, 4123.27, 4123.29,	4271
4123.291, 4123.292, 4123.32, 4123.322, 4123.34, 4123.35, 4123.353,	4272
4123.36, 4123.37, 4123.40, 4123.41, 4123.411, 4123.47, 4123.511,	4273
4123.512, 4123.54, 4123.542, 4123.66, 4123.82, 4123.83, 4125.05,	4274
4729.80, and 4729.86 and section 4121.419 of the Revised Code are	4275
hereby repealed.	4276

Section 3. That Section 1 of Sub. H.B. 34 of the 130th	4277
General Assembly, as amended by Am. Sub. H.B. 59 of the 130th	4278
General Assembly, be amended to read as follows:	4279

Sec. 1. All items in this section are hereby appropriated out	4280
of any moneys in the state treasury to the credit of the	4281
designated fund. For all appropriations made in this act, those in	4282
the first column are for fiscal year 2014, and those in the second	4283
column are for fiscal year 2015.	4284

FND

AI TITLE

Appropriations

4285

BWC BUREAU OF WORKERS' COMPENSATION	4286

Workers' Compensation Fund Group	4287

7023	855401	William Green Lease Payments to OBA	$	16,026,100	$	0	4288
7023	855407	Claims, Risk and Medical Management	$	118,338,586	$	118,338,586	4289
7023	855408	Fraud Prevention	$	12,114,226	$	12,114,226	4290
7023	855409	Administrative Services	$	105,857,276	$	105,357,276	4291
7023	855410	Attorney General Payments	$	4,621,850	$	4,621,850	4292
8220	855606	Coal Workers' Fund	$	147,666	$	147,666	4293
8230	855608	Marine Industry	$	75,527	$	75,527	4294
8250	855605	Disabled Workers Relief Fund	$	319,718	$	319,718	4295
8260	855609	Safety and Hygiene Operating	$	21,661,132	$	21,661,132	4296
8260	855610	Safety Grants	$	15,000,000	$	15,000,000	4297
8290	855604	Long Term Care Loan Program	$	100,000	$	100,000	4298
TOTAL WCF Workers' Compensation							4299
Fund Group			$	294,262,081	$	277,735,981	4300

Federal Special Revenue Fund Group	4301

3490	855601	OSHA Enforcement	$	1,731,000	$	1,731,000	4302
3FW0	855614	BLS SOII Grant	$	116,919	$	116,919	4303
TOTAL FED Federal Special Revenue Fund Group			$	1,847,919	$	1,847,919	4304
TOTAL ALL BUDGET FUND GROUPS			$	296,110,000	$	279,583,900	4305

WILLIAM GREEN LEASE PAYMENTS

4306

Of the foregoing appropriation item 855401, William Green	4307
Lease Payments, up to $16,026,100 shall be used to make lease	4308
payments to the Treasurer of State at the times they are required	4309
to be made during the period from July 1, 2013 to June 30, 2015,	4310
pursuant to leases and agreements made under section 154.24 of the	4311
Revised Code. If it is determined that additional appropriations	4312
are necessary for such purpose, such amounts are hereby	4313
appropriated.	4314

WORKERS' COMPENSATION FRAUD UNIT

4315

Of the foregoing appropriation item 855410, Attorney General	4316
Payments, $828,200 in each fiscal year shall be used to fund the	4317
expenses of the Workers' Compensation Fraud Unit within the	4318
Attorney General's Office. These payments shall be processed at	4319
the beginning of each quarter of each fiscal year and deposited	4320
into the Workers' Compensation Section Fund (Fund 1950) used by	4321
the Attorney General.	4322

SAFETY AND HYGIENE

4323

Notwithstanding section 4121.37 of the Revised Code, the	4324
Treasurer of State shall transfer $21,661,132 cash in fiscal year	4325
2014 and $21,661,132 cash in fiscal year 2015 from the State	4326
Insurance Fund to the Safety and Hygiene Fund (Fund 8260).	4327

OSHA ON-SITE CONSULTATION PROGRAM

4328

The Bureau of Workers' Compensation may designate a portion	4329
of appropriation item 855609, Safety and Hygiene Operating, to be	4330
used to match federal funding for the federal Occupational Safety	4331
and Health Administration's (OSHA) on-site consultation program.	4332

VOCATIONAL REHABILITATION

4333

The Bureau of Workers' Compensation and the Opportunities for	4334
Ohioans with Disabilities Agency shall enter into an interagency	4335
agreement for the provision of vocational rehabilitation services	4336
and staff to mutually eligible clients. The bureau may provide not	4337
more than $605,407 in fiscal year 2014 and not more than $605,407	4338
in fiscal year 2015 from the State Insurance Fund to fund	4339
vocational rehabilitation services and staff in accordance with	4340
the interagency agreement.	4341

~~FUND BALANCE~~

4342

~~Any unencumbered cash balance in excess of $45,000,000 in the~~	4343
~~Workers' Compensation Fund (Fund 7023) on the thirtieth day of~~	4344
~~June of each fiscal year shall be used to reduce the~~	4345
~~administrative cost rate charged to employers to cover~~	4346
~~appropriations for Bureau of Workers' Compensation operations.~~	4347

Section 4. That Section 1 of Sub. H.B. 34 of the 130th	4348
General Assembly, as amended by Am. Sub. H.B. 59 of the 130th	4349
General Assembly, is hereby repealed.	4350

Section 5. The amendments to section 4125.05 of the Revised	4351
Code by Section 1 of this act take effect July 1, 2015.	4352

Section 6. The amendments made by Section 1 of this act to	4353
sections 4123.01, 4123.26, 4123.29, 4123.292, 4123.54, and 4123.82	4354
of the Revised Code apply to claims that arise on or after the	4355
effective date of those amendments.	4356

Section 7. This act applies to an appeal filed pursuant to	4357
section 4123.512 of the Revised Code, as amended by this act, on	4358
or after the effective date of this act.	4359

Section 8. The items of law contained in this act, and their	4360
applications, are severable. If any item of law contained in this	4361
act, or if any application of any item of law contained in this	4362
act, is held invalid, the invalidity does not affect other items	4363
of law contained in this act and their applications that can be	4364
given effect without the invalid item of law or application.	4365

Section 9. Section 4123.26 of the Revised Code is presented	4366
in this act as a composite of the section as amended by both Am.	4367
Sub. H.B. 562 and Am. Sub. S.B. 334 of the 127th General Assembly.	4368
The General Assembly, applying the principle stated in division	4369
(B) of section 1.52 of the Revised Code that amendments are to be	4370
harmonized if reasonably capable of simultaneous operation, finds	4371
that the composite is the resulting version of the section in	4372
effect prior to the effective date of the section as presented in	4373
this act.	4374