REGULATORY ACTIVITY:

• After careful consideration, the Industrial Commission will close its Greenville Regional Office, effective June 28, 2019. The Commission will continue to serve the citizens of Eastern North Carolina by holding hearings in the Greenville area, and litigant travel time to hearings will not be affected. Deputy Commissioners Thomas H. Perlungher and Kevin V. Howell will transfer from the Greenville Office to the Commission's main office in Raleigh, which will allow them to report to an office closer to home and/or satisfy a preference for office location. In addition, the office closure will result in cost savings for the Commission.
• On April 18, 2019, the General Assembly confirmed Governor Cooper's appointment of Ken Goodman to the Industrial Commission, effective May 1, 2019. Representative Goodman, a member of the North Carolina House of Representatives in his fifth term, is a former business owner from Rockingham, North Carolina. He is actively involved in a number of civic organizations and served as a Board Member of the Richmond Community College Foundation. From 1969 until 1975, Goodman served in the Army National Guard. Commissioner Goodman's term will expire April 30, 2025.

REGULATORY ACTIVITY:

• Beginning March 1, 2019, Melanie Wade Goodwin will serve the Commission as Chief Deputy Commissioner. Goodwin, who earned her J.D. from Campbell University School of Law, will bring years of experience to the role, having served as a Deputy Commissioner since 2011. The Commission thanks Sumit Gupta for his dedication and significant contributions to the Commission as Chief Deputy Commissioner, as well as for the contributions he will continue to make as he returns to the courtroom. Additionally, Robert J. Harris will begin serving as Senior Deputy Commissioner effective March 1, 2019. In this role, he will assist Chief Deputy Commissioner Goodwin and will oversee the administration of tort claims in Raleigh and the regional offices. Harris, a graduate of the University of North Carolina School of Law, has served the Commission in various capacities since 2003.
• The Industrial Commission is pleased to announce that Vicki Hewitt-McNeil has joined the Commission as a Medical Rehabilitation Nurse Consultant. The Commission’s Medical Rehabilitation Nurse Consultant is available to provide temporary assistance in cases with difficult medical challenges, thus supporting ongoing case management efforts provided by private industry. The Nurse Consultant will also perform specific rehabilitation activities as ordered by hearing officers within the Commission. Ms. Hewitt has been a registered nurse for more than 25 years and has been a certified case manager advocating for injured workers in the workers’ compensation system for 12 years. She is also certified in working with traumatic brain injuries and other catastrophic injuries. In addition, Ms. Hewitt has significant experience with URAC Accreditation, Quality Management Programs, Safety Programs, HIPAA Compliance, and Nursing Education.
• The Industrial Commission is pleased to announce that Mark Tyler has joined the Commission as its Chief Operating Officer. Mr. Tyler brings 26 years of North Carolina State government experience to the Commission in the areas of finance and budget, strategic planning, performance management, project management, and information technology. Most recently, Mr. Tyler served as the Director of Strategy Research and Planning for the Department of Transportation, Division of Motor Vehicles. Previously, Mr. Tyler served as the Director of Budget and Planning for the Department of Insurance and as the Director of Administrative Analysis for the Department of Public Safety. Mr. Tyler received his B.S. degree in Business Administration from East Carolina University.
• Changes to Tort Rules, Effective March 21, 2019: On December 13, 2018, the Rules Review Commission approved amendments to Rules 11 NCAC 23B .0206 and .0503 and the repeal of 11 NCAC 23B .0207. However, the rules received more than ten letters of objection, resulting in legislative review, pursuant to N.C. Gen. Stat. § 150B-21.3. No bills objecting to the rules were filed, making the rule changes effective March 21, 2019, the 31st legislative day of Session. To view the notice, go to http://www.ic.nc.gov/news.html#hot.

REGULATORY ACTIVITY:

• Chairman Charlton L. Allen is pleased to announce that Tammy R. Nance has returned to the North Carolina Industrial Commission to serve as a Deputy Commissioner. Deputy Commissioner Nance previously served as a Deputy Commissioner from 1987 to 1995 and then as a Commissioner on the Full Commission from 2011 to 2018.
• Effective February 4, 2019, Cara Byrne and Brian Liebman will serve as Law Clerks to Chairman Charlton L. Allen. Byrne has previously served the Industrial Commission as a law clerk to Commissioner A. Robinson "Robby" Hassell. Byrne is a graduate of the University of North Carolina at Chapel Hill and earned her J.D. from the University of North Carolina School of Law. Liebman has previously served the Industrial Commission as a Special Deputy Commissioner in the Deputy Commissioner Section. Prior to that, Liebman served as a law clerk in the chambers of the Hon. Robert N. Hunter, Jr. of the North Carolina Court of Appeals. Liebman is a graduate of North Carolina State University and earned his J.D. from the University of North Carolina School of Law.
• On February 21, 2019, the Rules Review Commission approved changes to rules governing claims brought pursuant to the State Tort Claims Act.  These changes become effective on March 1, 2019.  To view this notice, go to http://www.ic.nc.gov/news.html#hot.

FEE SCHEDULE NEWS:

• The state has published an update to their Professional, DME and Laboratory Fee Schedule with an effective date of January 1, 2019.

REGULATORY ACTIVITY:

• Governor Roy Cooper has nominated James C. Gillen for appointment as a Commissioner to the North Carolina Industrial Commission, pending confirmation by the North Carolina General Assembly. Deputy Commissioner Gillen will continue to serve in his current position until his confirmation process is complete, and he has been sworn in.
• On January 17, 2019, the Industrial Commission formally adopted changes to rules governing claims brought pursuant to the State Tort Claims Act. The rules as adopted by the Commission are available athttp://www.ic.nc.gov/news.html#hot. The Rules Review Commission will consider the rules at its February meeting.

REGULATORY ACTIVITY:

• On November 19, 2018, the Industrial Commission formally adopted changes to the "Group 2" Workers’ Compensation Rules and Tort Rules. The Group 2 Rules as adopted by the Commission are available at http://www.ic.nc.gov/news.html#hot. Amendments made in response to public comments are highlighted. The Rules Review Commission considered the proposed changes at its December meeting. Additionally, the Commission adopted changes to the Public Safety Employees’ Death Benefits Act Rules under N.C. Gen. Stat. § 150B-21.5(a). The amendments reflect the title of the Act being changed from the Law Enforcement Officers’, Firemen’s, Rescue Squad Workers’ and Civil Air Patrol Members’ Death Benefits Act to the Public Safety Employees’ Death Benefits Act. The Rules Review Commission also considered these proposed amendments at its December meeting. The proposed changes are available at ic.nc.gov/news.html#hot.
• On November 15, 2018, the Rules Review Commission ("RRC") approved amendments to Rules 11 NCAC 23A .0101, .0102, .0103, .0108, .0302, .0411, .0503, .0602, .0603, .0608, .0609A, .0610, and .0611. The RRC also approved the repeal of Rule 11 NCAC 23A .0618. For the convenience of the Commission’s stakeholders, an overview of the substantive changes is available. To view the rule changes and summary of changes, go to http://www.ic.nc.gov/news.html#hot.  The changes went into effect December 1, 2018.
• On December 13, 2018, the Rules Review Commission approved all proposed changes to the "Group 2" Workers’ Compensation Rules and the Public Safety Employees’ Death Benefits Act Rules as adopted by the Industrial Commission. The changes became effective January 1, 2019. On the same day, the Rules Review Commission approved proposed changes to rules governing the State Tort Claims Act. However, the Tort Rules received more than ten letters of objection. As a result, the rules are subject to legislative review pursuant to N.C. Gen. Stat. § 150B-21.3. To view this notice, go to http://www.ic.nc.gov/news.html#hot.

REGULATORY ACTIVITY:

• Health care providers must now review the Controlled Substance Reporting System (CSRS) when prescribing a targeted controlled substance to an injured worker with a workers’ compensation claim. The health care provider must also document in the injured worker’s medical record the review and any potential contraindications to prescribing a targeted controlled substance found in the CSRS. North Carolina Industrial Commission Rules 11 NCAC 23M .0201(k), .0202(k), and .0203(k) provide the specific review requirements health care providers must follow.
• On November 15, 2018, the Rules Review Commission ("RRC") approved amendments to Rules 11 NCAC 23A .0101, .0102, .0103, .0108, .0302, .0411, .0503, .0602, .0603, .0608, .0609A, .0610, and .0611. The RRC also approved the repeal of Rule 11 NCAC 23A .0618. To view this notice, go to http://www.ic.nc.gov/news.html#hot.

REGULATORY ACTIVITY:

• Beginning on November 1, 2018, health care providers will be required to review the Controlled Substances Reporting System ("CSRS") when prescribing a targeted controlled substance to an injured worker with a workers’ compensation claim. Health care providers must document in the injured worker’s medical record the review and any potential contraindications to prescribing a targeted controlled substance found in the CSRS. The relevant North Carolina Industrial Commission Rules are 11 NCAC 23M .0201(k), .0202(k), and .0203(k). For more information on the North Carolina Industrial Commission Rules for the Utilization of Opioids, Related Prescriptions, and Pain Management in Workers’ Compensation Claims and the Companion Guide, go to http://www.ic.nc.gov/OpioidRulesResourcePage.html.
• On August 29, 2018, the North Carolina Rate Bureau filed a proposed average 17.2 percent decrease in its residual market rate filing. As part of the proposed decrease, the Rate Bureau proposed a 15.9 percent decrease in loss costs, one of the key variables used to calculate insurance rates.
• In Fiscal Year 2017-18, the Employee Classification Section’s work with the Compliance and Fraud Investigation Section of the North Carolina Industrial Commission to identify businesses engaged in employee misclassification resulted in the assessment of over $4.5 million in penalties. There were $576,501 in adjustments, and the Commission collected $611,742 of the penalties assessed. The remaining $3.3 million in assessments are pending and/or in litigation within the Industrial Commission. The Employee Classification Section also continues to work with the United States Department of Labor, the NC Division of Employment Security, the N.C. Department of Labor, and the N.C. Department of Revenue to identify non-compliant businesses.
• Notice is hereby given in accordance with G.S. 150B-21.2 that the Industrial Commission intends to adopt the rules cited as 11 NCAC 23B .0105; 23L .0105, amend the rules cited as 11 NCAC 23B .0101-.0104, .0202-.0205, .0208, .0302, .0307, .0308, .0310, .0402, .0501, and repeal the rules cited as 11 NCAC 23B .0303 and .0305. Pursuant to G.S. 150B-21.17, the Codifier has determined it impractical to publish the text of rules proposed for repeal unless the agency requests otherwise.  The text of the rule(s) are available on the OAH website at http://reports.oah.state.nc.us/ncac.asp.  Link to agency website pursuant to G.S. 150B-19.1(c):  http://www.ic.nc.gov/proposedtortrules.html. Proposed Effective Date:  February 1, 2019. Oral comments on the proposed rules may be made at the Public Hearing before the Industrial Commission: Date:  November 29, 2018 Time:  10:00 a.m. Location:  Room 245, 2nd Floor, Department of Insurance, Albemarle Building, 325 North Salisbury Street, Raleigh, NC 27603. Written comments may be submitted to  Ashley B. Snyder, 1233 Mail Service Center, Raleigh, NC 27699-1233; phone (919) 8072524; email snyder@ic.nc.gov. Comment period ends:  December 14, 2018. Reason for Proposed Action:  On its own initiative, the Industrial Commission conducted an internal review of its rules governing State tort claims.  The proposed adoptions, amendments, and repeals represent changes necessary to improve and clarify the rules, provide for increased efficiency, or to update the rules to reflect current processes. The Commission also proposes to adopt Rule 11 NCAC 23L .0105 which codifies a new form, the T-42, required in the proposed amendments to Rule 11 NCAC 23B .0203.  To view the notice, go to http://www.ic.nc.gov/proposedtortrules.html.

REGULATORY ACTIVITY:

• Notice of Proposed Rulemaking: 11 NCAC 23A Group 2 Rules and 11 NCAC 23B Rules: To view the notice regarding two proposed adoptions and nine amendments for rules governing workers’ compensation claims, as well as two amendments and one repeal for rules governing State tort claims, go to http://www.ic.nc.gov/proposedGroup2Rules.html . The notice includes the text of the proposed rules, the public hearing time, and information on how to submit public comments.
• Published in the state register on September 17, 2018 notice regarding proposed rules by the North Carolina Workers' Compensation Commission. On its own initiative, the Industrial Commission ("Commission”) conducted an internal review of its workers’ compensation rules and sought informal stakeholder feedback on rules in 11 NCAC  23A.  The proposed adoptions and amendments reflect changes necessary to clarify the rules, provide for increased efficiency, or update the rules to current reflect practices.  The Commission also conducted an internal review of its rules governing State tort claims.  The proposed amendments to 11 NCAC 23B reflect changes necessary to clarify the rules, provide for increased efficiency, or update the rules to reflect current practices.  The Commission proposes to repeal Rule 11 NCAC  23B .0207 because the necessary contents of the rule are proposed to be added to Rule 11 NCAC 23B .0206.  Comments may be submitted to:  Ashley B. Snyder, 1233 Mail Service Center, Raleigh, NC 27699-1233; phone (919)807-2524; email snyder@ic.nc.gov.   Comment period ends: November 16, 2018.  To view the notice, go to https://www.oah.state.nc.us/rules/register/.
• To improve efficiency and enhance customer service, the Industrial Commission has established goals designed to update and improve the Industrial Commission’s public-facing technology. In the coming years, the Commission will embrace technological advances, which will improve efficiency and enhance customer service for attorneys, parties, and other stakeholders. Most importantly, the Industrial Commission will implement a 21st-century case management system, making it easier for our stakeholders to file documents and track the status of their pending cases. Using state-of-the-art modalities, this plan will improve the Commission’s current practices to be more responsive to the public’s needs. Updates on Chairman Allen’s 20/20 Technology Initiative will be posted on the Industrial Commission’s website and the Industrial Commission’s Twitter account, @IC_NC_GOV.
• On September 18, 2018, Superior Court Judge Paul Ridgeway signed an order affirming the December 14, 2015 Declaratory Ruling of the North Carolina Industrial Commission, ending years long litigation.  At the root of the lawsuit was Session Law 2013-410, Section 33, which instructed the Industrial Commission to amend its medical fee schedule to tie reimbursement rates to Medicare values. The purpose of the reform was to bring medical costs in the workers’ compensation system more in line with the national average.   As a result of these significant changes, medical costs in the workers’ compensation system have been controlled and better balanced.  In fact, since the valid Medicare-based medical fee schedule took effect on April 1, 2015, average workers’ compensation insurance rates have decreased each year, dropping by 8.3 percent in 2016 and 12.5 percent in 2017.  Recently, on August 29, 2018, the North Carolina Rate Bureau proposed a 17.2 percent decrease to the average workers’ compensation insurance rate.

REGULATORY ACTIVITY:

• The Industrial Commission intends to amend the rules cited as 11 NCAC 23A .0101-.0103, .0108, .0302, .0411, .0503, .0602, .0603, .0608, .0609A-.0611, and repeal the rule cited as 11 NCAC 23A .0618.  Pursuant to G.S. 150B-21.17, the Codifier has determined it impractical to publish the text of rules proposed for repeal unless the agency requests otherwise.  The text of the rule(s) is available on the OAH website at http://reports.oah.state.nc.us/ncac.asp. Link to agency website pursuant to G.S. 150B-19.1(c):  http://www.ic.nc.gov/proposed11NCAC23AGroup1Rules.html; Proposed Effective Date:  December 1, 2018. Oral comments on the proposed rule amendments and repeal may be made at the Public Hearing before the Industrial Commission: Date:  September 26, 2018 Time:  2:00 p.m. Location:  Room 245, 2nd Floor, Department of Insurance, Albemarle Building, 325 North Salisbury Street, Raleigh, NC 27603. Written comments on the proposed rule amendments and repeal may be submitted to:  Ashley B. Snyder, 1233 Mail Service Center, Raleigh, NC 27699-1233; phone (919) 807-2524; email snyder@ic.nc.gov. Comment period ends:  October 15, 2018. Reason for Proposed Action:  On its own initiative, the Industrial Commission ("Commission") conducted an internal review of its rules and sought informal stakeholder feedback.  The proposed amendments reflect changes the Commission felt were necessary to clarify the rules, provide for increased efficiency, or update the rules to reflect current practices. The Industrial Commission proposes to repeal Rule 11 NCAC 23A .0618 because it is unnecessary.  Pursuant to G.S. 97-78.1 the Code of Judicial Conduct applies to Commissioners and Deputy Commissioners.  Since the Code of Judicial Conduct governs disqualifications and recusals, the rule is repetitive. Procedure for Subjecting a Proposed Rule to Legislative Review: If an objection is not resolved prior to the adoption of the rule, a person may also submit written objections to the Rules Review Commission after the adoption of the Rule. If the Rules Review Commission receives written and signed objections after the adoption of the Rule in accordance with G.S. 150B-21.3(b2) from 10 or more persons clearly requesting review by the legislature and the Rules Review Commission approves the rule, the rule will become effective as provided in G.S. 150B-21.3(b1). The Commission will receive written objections until 5:00 p.m. on the day following the day the Commission approves the rule. The Commission will receive those objections by mail, delivery service, hand delivery, or facsimile transmission. If you have any further questions concerning the submission of objections to the Commission, please call a Commission staff attorney at 919-431-3000.   
• Effective August 16, 2018, Governor Roy Cooper appointed A. Robinson "Robby" Hassell as a Commissioner of the North Carolina Industrial Commission on an urgent basis, pending confirmation by the General Assembly. Before his appointment as Commissioner, Hassell served as an Emergency Superior Court Judge. Robby Hassell received his B.A. in Political Science and Economics from the University of North Carolina at Chapel Hill and his law degree from the University of North Carolina School of Law. Governor Cooper appointed Hassell to the seat of former Commissioner Tammy R. Nance.

LEGISLATIVE ACTIONS:

• House Bill 995

The enacted legislation amends the workers’ compensation act to exempt the city of Winston-Salem from the definition of a third party administrator.  Effective Date June 29, 2018.

REGULATORY ACTIVITY:

• On October 19, 2017, the Rules Review Commission approved the rule amendment to Rule 04 NCAC 10J .0103. However, the rule received ten or more letters of objection. Therefore, this rule was subjected to legislative review with a delayed effective date of the earliest of the 31st legislative day of the General Assembly's session beginning May 2018 or the date of adjournment. The General Assembly adjourned June 29, 2018. Following the period for legislative review, the Industrial Commission's amended rule has been upheld as approved by the Rules Review Commission and is effective immediately. Please note the rule was re-codified as 11 NCAC 23J .0103 due to the Commission's transfer to the Department of Insurance. For dates of service between April 1, 2015 and June 28, 2018, the effective rule can be found at  http://www.ic.nc.gov/news.html#hot.  For dates of service on or after June 29, 2018, the effective rule can be found http://www.ic.nc.gov/news.html#hot.
• Commissioner Myra L. Griffin's appointment to the Industrial Commission was confirmed by the North Carolina General Assembly on June 29, 2018. Governor Roy Cooper appointed Commissioner Griffin to fill the unexpired term of former Commissioner Linda Cheatham.