No. 24-82
The Office of Administration must pay a workers' compensation assessment assessed by the director of the Division of Insurance pursuant to Section 287.730, RSMo 1978, the Office of Administration must file a return with the director of the Division of Insurance similar to that required by Section 287.710, RSMo Supp. 1981, and the Office of Administration is required to pay the Second Injury Fund assessment established in Section 287.715, RSMo 1978.
Cite as Mo. Op. Att'y Gen. No. 24-82
DIVISION OF INSURANCE:
WORKERS' COMPENSATION:
SECOND INJURY FUND:
OFFICE OF ADMINISTRATION:
The Office of Administration
must pay a workers' compensa-
tion assessment assessed by
the director of the Division
of Insurance pursuant to Sec-
tion 287.730, RSMo 1978, the Office of Administration must file
a return with the director of the Division of Insurance similar to
that required by Section 287.710, RSMo Supp. 1981, and the Office
of Administration is required to pay the Second Injury Fund
assessment established in Section 287.715, RSMo 1978.
March 25, 1982
C. Donald Ainsworth, Director
Missouri Division of Insurance
515 East High Street
Jefferson City, Missouri
65101
Dear Mr. Ainsworth:
OPINION NO. 24
Fl LED
:){<~
This opinion is in response to the following questions:
1.
Is the Missouri."--Office of Administration,
a state agency, required to pay the
Workmen's Compensation tax pursuant to
Sections 287.730 and 287.690, RSMo 1978?
2.
Is the Missouri Office of Administration,
a state agency, required to on or before
the first day of March of each year file
a return with the Director of the Division
of Insurance pursuant to Section 287.710,
RSMo 1978?
3.
Is the Missouri Office of Administration
also required to pay the Second Injury
Fund assessment pursuant to Section
287.715, RSMo 1978?
For purposes of discussion, we note that the Workers' Compen-
sation Law applies to all state employees.
See, Sections 105.810
and 105.830, RSMo 197 8 .-
A state employee is C:Iefined as "any person
who is an elected or appointed official of the-state of Missouri or
who is employed by the state and_earns a salary or wage in a
C. Donald Ainsworth, Director
position normally requlrlng the actual performance by him of duties
on behalf of the state."
Section 105.800, RSMo 1978.
The term
"employer" is defined in the Workers' Compensation Law to include
the State of Missouri.
Section 287.030.1(2), RSMo Supp. 1981.
If
an employer subject to the Workers' Compensation Law elects to
become self-insured, its liability under Chapter 287 becomes direct
and primary.
Section 287.300, RSMo 1978.
The Missouri General
Assembly expressly provided the State of Missouri with the option
of becoming a self-insurer and assuming the liability imposed by
Chapter 287, RSMo.
See, Section 105.810, RSMo 1978.
For purposes
of this opinion, we assume that your questions are limited to
instances in which the Office of Administration is acting on behalf
of state agencies which have elected to be self-insured for pur-
poses of the Workers' Compensation Law, Chapter 287, RSMo.
Your first and third questions will be discussed together
since each concerns the obligations of the Office of Administration
under the Workers' Compensation Law.
Generally, the Office of
Administration is responsible for paying the obligations and
expenses incurred by state agencies.
Funding for the purpose of
meeting the obligations incurred by the state agencies electing to
self-insure under the Workers' Compensation Law has been provided
by appropriation by the General Assembly to the Office of Adminis-
tration.
See, for example, House Bill 5, Section 5.330, 8lst
General Assembly, First Regular Session (1981); Laws 1980, Section
5.335, page 31; Laws 1979, Sec-ti:_on 5.225, page 30; Laws 1978,
Section 5.245, page 28.
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Section 287.730, RSMo 1978, referring to self-insurers, pro-
vides that the director of the Division of Insurance shall make an
assessment "similar" to that imposed on insurance carriers under
Section 287.690, RSMo 1978, to be collected from self-insurers.
Section 287.715.1, RSMo 1978, requires self-insurers to pay a
fractional "sum" of total compensation actually paid during the
calendar year to provide revenue for the Second Injury Fund.
By
electing in Section 105.810, RSMo 1978, to include all state
employees under the provisions of the Workers' Compensation Law,
the General Assembly inferred that the state must assume its share
of the cost of administration of the Workers' Compensation Law and
the maintenance of the Second Injury Fund for employees of state
agencies electing to self-insure.
Appropriations to cover these
expenses were made by the General Assembly.
Therefore, in response
to questions 1 and 3, the Office of Administration is required to
pay the workers' compensation assessment assessed pursuant to
Section 287.730, RSMo 1978, and to pay its share of maintaining
the Second Injury Fund pursuant to Section 287.715, RSMo 1978.
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C. Donald Ainsworth, Director
With regard to your second question, we conclude that the
Office of Administration must file an annual return with the
Division of Insurance.
Although the mandate to file a return
contained in Section 287.710, RSMo Supp. 1981, refers only to the
"insurance carrier," and not to the self-insured employer, we
believe Section 287.730, infers that the self-insured employer,
including state agencies, must fulfill the necessary procedural
requirements prior to assessment including the filing of a return
with the director of the Division of Insurance.
The provisions of Chapter 287 should be liberally construed
with a view towards the public welfare.
Section 287.800, RSMo
1978.
Section 287.710, RSMo Supp. 1981, demonstrates the legisla-
ture's concern with the method of reporting to the director of the
Division of Insurance by insurance carriers so that proper assess-
ments can be made to fund the expense of administering Chapter 287
and maintaining the Second Injury Fund.
Some method of reporting
by self-insurers is also necessary to meet the mandates of the law
and protect employees effectively.
The filing of a return with
the director of the Division of Insurance is a necessary precon-
dition to the assessment of the contribution from self-insured
employers.
This construction, consistent with the obvious legis-
lative intent, requires the Office of Administration to file a
return with the director of the Division of Insurance.
CORQ~ION
It is the oplnlon of this office that the Office of Administra-
tion must pay a workers' compensation assessment assessed by the
director of the Division of Insurance pursuant to Section 287.730,
RSMo 1978, the Office of Administration must file a return with
the director of the Division of Insurance similar to that required
by Section 287.710, RSMo Supp. 1981, and the Office of Administra-
tion is required to pay the Second Injury Fund Assessment estab-
lished in Section 287.715, RSMo 1978.
The foregoing opinion, which I hereby approve, was prepared
by my assistant, Steven H. Akre.
JOHN ASHCROFT
Attorney General
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