Arizona high court to hear school funding case
National News
The Arizona Supreme Court on Tuesday hears arguments in an appeal of a lower court's ruling that requires the state Legislature to give schools an annual funding increase even in lean years to account for inflation.
The high court is reviewing a Court of Appeals decision. It said a voter-approved law requires the Legislature to provide an annual inflation adjustment for state funding to public schools.
School districts and education groups sued after the Legislature in 2010 instead only increased schools' transportation funding, eliminating a $61 million increase in general school spending.
The Supreme Court says it is considering is whether the Voter Protection Act allows voters to require the legislature to increase funding for schools.
The Voter Protection Act severely restricts the Legislature's to change voter-approved laws.
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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.