Kan. House debates forcing lawsuit over casino

National News

The Kansas House is debating whether it should force the attorney general to file a lawsuit over a proposed state-owned casino south of Wichita.

A resolution being discussed Thursday would require Attorney General Derek Schmidt to sue the state Racing and Gaming Commission's over its decision to allow a casino near Mulvane.

Iowa-based Peninsula Gaming plans to build a $260 million casino complex 18 miles south of Wichita.

Critics question whether the commission's decision in January was premature.

They cite misdemeanor campaign finance charges pending against the company and two top executives in Iowa. Company officials have said they're confident the case will be resolved in their favor, and they've started work on the casino.

Kansas law allows one legislative chamber to direct the attorney general to file a lawsuit.

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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.

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