Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Workers Compensation Tax topic
No spam. Unsubscribe anytime.
Panel hears bill to let labor division set workers—comp surcharge in 0.1-point increments
Summary
Rep. John Voss and Missouri Department of Labor witnesses told the committee HB 28—55 would let regulators adjust workers' compensation administrative and second-injury fund surcharges in 0.1 percentage-point increments instead of 0.5, which sponsors say would avoid overshoots and lower employer burden; the Chamber of Commerce voiced support.
Representative John Voss presented HB 28 55 to change the minimum incremental step used when setting the workers' compensation administration tax and second-injury fund surcharge from 0.5 percentage points to 0.1 percentage points. Voss said the change "rightsizes" the surcharge and reduces the need for the Division of Workers' Compensation to "overshoot" estimated expenses when setting rates.
Mitch Turbrock, legislative liaison for the Missouri Department of Labor, said allowing 0.1 increments would let the department fine-tune rates and gave approximate revenue impacts per increment: a 0.1 percentage-point change represents roughly $1—2 million compared with $10 million per 0.5-point step. Jared Hankinson of the Missouri Chamber of Commerce testified in support, calling it "good governance" that minimizes undue burden on businesses while preserving fund integrity.
Committee members asked for additional detail about historical rate durations and fund rollover practices; witnesses said the department would provide those operational answers after the hearing. The hearing concluded with no formal vote recorded.
What happens next: The sponsor closed the hearing and the committee concluded public testimony on HB 28 55; department follow-up was requested for details on historical rate settings and fund balances.
