BEFORE THE CLASSIFICATION REVIEW COMMITTEE

OF THE STATE OF MONTANA

 

In the matter of the proposed                      ) NOTICE OF PROPOSED

amendment of ARM 6.6.8301,                   ) AMENDMENT

concerning updating references                 )

to the NCCI Basic Manual for new             ) NO PUBLIC HEARING

classifications for various industries          ) CONTEMPLATED

 

TO: All Concerned Persons

 

1. On May 25, 2007, the Montana Classification Review Committee proposes to amend the above-stated rule.

 

2. The Montana Classification Review Committee will make reasonable accommodations for persons with disabilities who wish to participate in the rulemaking process and need an alternative accessible format of this notice. If you require an accommodation, contact the Montana Classification Review Committee no later than 5:00 p.m., on May 2, 2007, to advise us of the nature of the accommodation that you need. Please contact the Montana Classification Review Committee, attn: Tim Hughes, National Council on Compensation Insurance, Inc., 10920 W. Glennon Dr., Lakewood, Colorado 80226; telephone (303) 969-9456; fax (303) 969-9423; e-mail tim_hughes@ncci.com.

 

3. The rule proposed to be amended provides as follows, stricken material interlined, new material underlined:

 

6.6.8301 ESTABLISHMENT OF CLASSIFICATION FOR COMPENSATION PLAN NO. 2 (1) The committee hereby adopts and incorporates by reference the NCCI Basic Manual for Workers Compensation and Employers Liability Insurance, 2001, ed., as supplemented through June 18, 2004, October 26, 2006, which establishes classifications with respect to employers electing to be bound by compensation plan No. 2 as provided in Title 39, chapter 71, part 22, MCA. A copy of the Basic Manual for Workers Compensation and Employers Liability Insurance is available for public inspection at the Office of the Commissioner of Insurance, 840 Helena Ave., Helena, MT 59601. Copies of the Basic Manual for Workers Compensation and Employers Liability Insurance may be obtained by writing to the Montana Classification Review Committee in care of the National Council on Compensation Insurance, Inc., 10920 W. Glennon Dr., Lakewood, Colorado 80226. Persons obtaining a copy of the Basic Manual for Workers Compensation and Employers Liability Insurance must pay the committee's cost of providing such copies.

(2) remains the same.

 

AUTH: 33-16-1012, MCA

IMP: 2-4-103, 33-16-1012, MCA

 

4. REASONABLE NECESSITY STATEMENT: It is necessary to amend ARM 6.6.8301 to update references to the NCCI Basic Manual for Workers Compensation and Employers Liability. Changes to the NCCI Basic Manual for Workers Compensation and Employers Liability affect classifications that apply to various industries. The proposed classifications changes are grouped by industry as follows:

 

A. Ambulance and Emergency Medical Services

Establish a new state special treatment for Code 7382 BUS COMPANY, AMBULANCE SERVICE & EMERGENCY MEDICAL PROVIDERS—All Other Employees & Drivers.

Code 7382 is applied to insureds engaged in the operation of bus companies, scheduled limousine companies, railroad operation (street), ambulance service and emergency medical providers. The classification contemplates drivers and all employees other than their garage employees who are separately classified under Code 8385.

 

B. Athletic Team Sports and Parks

Revise and update the phraseologies for Codes 9178, 9179, 9182 & 9063. The word “Team” will be replaced with “Sports” in the titles of Codes 9178, 9179, and 9182.

Wording will be updated to the codes to clarify the classification of various employees, such as trainers, equipment managers, and stadium personnel.

Wording will be updated to clarify “contact” versus “noncontact” sports.

Wording will be updated to clarify the assignment of all amateur, youth, and recreational sport activities to Code 9063.

 

C. Cleaning Services and Pet Sitting

Revise and update the phraseology for Code 0917. A cross-reference will be added for PET SITTING SERVICES & DRIVERS.

Amend the phraseology and cross-references for Code 9014 so that it is applicable to operations performed from the ground and will include drivers.

Establish a new Code 9170 for operations above ground.

1. Code 9170—JANITORIAL SERVICES BY CONTRACTORS—INCLUDES WINDOW CLEANING ABOVE GROUND LEVEL & DRIVERS

2. Code 9170—CHIMNEY CLEANING—RESIDENTIAL—INCLUDES CHIMNEY CLEANING ABOVE GROUND LEVEL & DRIVERS

Create cross-references for pressure cleaning.

1. Code 9014—MOBILE POWER OR PRESSURE CLEANING SERVICE—NO POWER OR PRESSURE CLEANING ABOVE GROUND LEVEL & DRIVERS

2. Code 9170—MOBILE POWER OR PRESSURE CLEANING SERVICES—INCLUDES POWER OR PRESSURE CLEANING ABOVE GROUND LEVEL & DRIVERS

 

 D. Domestics

Discontinue Codes 0909 and 0912.

Update phraseology for Code 0908 to DOMESTIC WORKERS—RESIDENCES—PART-TIME.

Update phraseology for Code 0913 to DOMESTIC WORKERS—RESIDENCES—FULL-TIME.

Wording will be added to clarify home healthcare workers and employees of commercial cleaning firms are separately rated.

 

E. Sheet Metal

Discontinue Code 3066 and reassign exposures to Code 3076.

Update phraseology for Code 3076 to SHEET METAL PRODUCTS MFG—SHOP ONLY.

Discontinue Code 5538 and reassign exposures to two new codes:

1. 3069—SHEET METAL PRODUCTS MFG. (This code is intended for shop operations that have installers)

2. 5535—SHEET METAL WORK—INSTALLATION & DRIVERS. (This code is intended to be used in conjunction with Code 3069)

Both codes will initially use the current rate for Code 5538. This method will allow for minimal impact on policy holders that currently use Code 5538.

 

5. This amendment is intended to be effective July 1, 2007.

 

6. Concerned persons may submit their data, views, or arguments concerning the proposed amendment in writing to Tim Hughes, National Council on Compensation Insurance, Inc., 10920 W. Glennon Dr., Lakewood, Colorado 80226, or by e-mail to tim_hughes@ncci.com and must be received no later than 5:00 p.m., May 10, 2007.

 

7. If persons who are directly affected by the proposed amendment wish to express their data, views, or arguments orally or in writing at a public hearing, they must make written request for a hearing and submit this request along with any written comments they have to Tim Hughes, National Council on Compensation Insurance, Inc., 10920 W. Glennon Dr., Lakewood, Colorado 80226, or by e-mail to tim_hughes@ncci.com no later than May 10, 2007.

 

8. If the committee receives requests for a public hearing on the proposed amendment from either 10% or 25, whichever is less, of the persons who are directly affected by the proposed action; from the appropriate administrative rule review committee of the legislature; from a governmental subdivision or agency; or from an association having not less than 25 members who will be directly affected, a hearing will be held at a later date. Notice of the hearing will be published in the Montana Administrative Register. Ten percent of those persons directly affected has been determined to be 150 persons based on the 15 businesses who have indicated interest in the rules of this committee and who the committee has determined could be directly affected by these rules.

 

9. The Montana Classification Review Committee maintains a list of concerned persons who wish to receive notices of rulemaking actions proposed by this committee. Persons who wish to have their name added to the list shall make a written request that includes the name and mailing address of the person to receive notices and specifies that the person wishes to receive notices regarding rulemaking actions of the Classification Review Committee. Such written requests may be mailed or delivered to Tim Hughes, National Council on Compensation Insurance, Inc., 10920 W. Glennon Dr., Lakewood, Colorado 80226, or by e-mail to tim_hughes@ncci.com, or by completing a request form at any rules hearing held by the Montana Classification Review Committee.

 

10. The bill sponsor notice requirements of 2-4-302, MCA, do not apply.

 

                                                                        CLASSIFICATION

      REVIEW COMMITTEE

 

 

                                                                  

                                                                        By: /s/ Cliff Hanson

                                                                        Cliff Hanson

                                                                        Review Committee Chairperson

 

                                                                        By: /s/ Christina L. Goe

                                                                        Christina L. Goe

                                                                        Rules Reviewer

 

Certified to the Secretary of State on April 2, 2007.