Neb. town may halt immigration law to save money
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Faced with expensive legal challenges, officials in the eastern Nebraska town of Fremont are considering suspending a voter-approved ban on hiring or renting property to illegal immigrants until the lawsuits are resolved.
The City Council narrowly rejected the ban in 2008, prompting supporters to gather enough signatures for the ballot measure. The ordinance, which was approved by voters last month, has divided the community. Supporters say it was necessary to make up for what they see as lax federal law enforcement and opponents argue that it could fuel discrimination.
But the council's president, Scott Getzschman, insisted the elected body was concerned about money, not about any lack of support for the ordinance. The City Council is scheduled to vote on suspending the ban on Tuesday night, a day before the city goes to court over the measure.
The city faces lawsuits from the American Civil Liberties Union and the Mexican American Legal Defense & Educational Fund. City officials have estimated that Fremont's costs of implementing the ordinance — including legal fees, employee overtime and improved computer software — would average $1 million a year.
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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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