Top NC court weighs lawmakers stripping of governor's powers

National News

North Carolina's highest court on Monday tackled the question of how far the Republican-led legislature can go to minimize new Democratic Gov. Roy Cooper's ability to pursue goals that helped him get elected last year by reshaping state government.

The state Supreme Court heard arguments in a lawsuit brought by Cooper that claims legislators violated North Carolina's constitution this spring by passing a law diminishing the governor's role in managing elections.

It's the first time the high court has waded into the ongoing political battle between lawmakers and Cooper that began after he narrowly beat incumbent Republican Gov. Pat McCrory last November. GOP lawmakers have sought to diminish Cooper's powers ever since.

The governor's lawyers told the seven-member court that the General Assembly violated the constitution's separation of powers requirement by reshaping the state elections board in ways that entrench Republican advantage. Elections boards are examples of the types of bodies that implement laws, functions that the state constitution requires from governors.

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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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