Kansas tells court broad support is reason to OK schools law

Supreme Court News

Lawyers for Kansas told the state Supreme Court on Monday that it should sign off on a new law boosting spending on public schools and end a protracted education funding lawsuit partly because the law has broad, bipartisan support.

Attorney General Derek Schmidt, a Republican, filed written legal arguments defending the new law. It contains Democratic Gov. Laura Kelly's proposal for an education funding increase of roughly $90 million a year and is aimed at satisfying a state Supreme Court ruling last year that education funding remained inadequate.

Four school districts sued the state in 2010, and their attorneys have said that the new law does not provide enough additional funding after the 2019-20 school year. Schmidt said the districts are seeking a "heckler's veto" after Kelly, many Republican lawmakers and the GOP-led State Board of Education agreed that the increase she sought would satisfy the court.

"This court should give great weight to the considered decisions of both the education officials and the people's representatives," Schmidt's written argument said. "That is particularly true here given the widespread, bipartisan consensus."

Attorneys for the four school districts asked in their own filing for the Supreme Court to order higher spending after the 2019-20 school year, give legislators another year to comply and keep the case open so that the state's actions can be monitored.

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Workers’ Compensation Subrogation of Administrative Fees and Costs

When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.

In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.

In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.