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HomeMy WebLinkAbout03. Review draft Position Paper to consider whether or not to provide Workers' Compensation coverage to volunteersCentral Contra Costa Sanitary Distri t BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: JULY 7, 2016 Subject: CONSIDER WHETHER OR NOT TO PROVIDE WORKERS' COMPENSATION COVERAGE TO VOLUNTEERS Submitted By: Initiating Dept./Div.: Shari Deutsch Administration Risk Management Administrator Risk Management REVIEWED AND RECOMMENDED FOR BOARD ACTION: A. Sasaki — Deputy General Manager Roger S. Bailey General Manager ISSUE: The District does not currently provide Workers' Compensation benefits to District volunteers if they are injured as a result of their services to the District. The California Labor Code allows public agencies to provide these benefits to volunteers via resolution. BACKGROUND: The District has been an active participant in the wastewater operator training program, providing both instructors and classroom facilities since the program's inception. In addition to their academic work, prospective operators must work 1,800 hours as volunteer Operators in Training (OITs) at participating wastewater treatment plants under the supervision of employee operators before they can become certified operators. While students are enrolled in their academic program, OITs are covered by the sponsoring academic institution's Workers' Compensation insurance. However, during holiday and summer breaks and after completion of their academic programs, OITs are not covered by the school's Workers' Compensation programs. As District volunteers, OITs are not considered employees and are thus not covered by the District's Workers' Compensation insurance either. In addition to OITs, District volunteers would include students, special project volunteers and other interested persons who wish to assist the District with its programs, provided that their participation is approved in advance by the General Manager or his designee. State law specifies that Workers' Compensation is the exclusive remedy for persons injured on the job. This means that in most cases employees cannot file claims or pursue litigation against their employers for injuries arising out of or occurring in the course of their employment. Since the District does not currently provide Workers' Compensation benefits to its volunteers, it has no protection against such claims and lawsuits from injured volunteers. Page 1 of 2 POSITION PAPER Board Meeting Date: JULY 7, 2016 Subject: CONSIDER WHETHER OR NOT TO PROVIDE WORKERS' COMPENSATION COVERAGE TO VOLUNTEERS As a public entity, the District has an additional risk of claims filed by injured workers alleging dangerous conditions of public property and related causes of action allowed by statute. Labor Code Section 3363.5 states that: a person who performs voluntary service without pay for a public agency, as designated and authorized by the governing body of the agency or its designee, shall, upon adoption of a resolution by the governing body of the agency so declaring, be deemed to be an employee of the agency for purposes of [Workers' Compensation benefits] while performing such service. Staff proposes that the Board consider declaring District volunteers as employees for Workers' Compensation purposes by adopting the attached resolution. The District's Worker's Compensation insurer, the California Sanitation Risk Management Authority (CSRMA), does not charge any additional premium to cover volunteers. This proposal supports the District's strategic goal to develop and retain a highly trained and innovative workforce. ALTERNATIVES/CONSIDERATIONS: The Board may choose not to provide Workers' Compensation coverage to its volunteers. However, such action would retain the current risk of third party claims and litigation from injured volunteers. FINANCIAL IMPACTS: None COMMITTEE RECOMMENDATION: This matter was reviewed by the Administration Committee at its June 30, 2016 meeting. The Committee recommends/does not recommend adopting the proposed resolution. RECOMMENDED BOARD ACTION: Adopt the proposed resolution. Attached Supporting Document(s): 1. Proposed Resolution C:\Users\CGranzeliaVNooDatalLocal\Microsoft\Windows\Temporary Internet Files\Content.Outlook\YTOD71 EQ\PP WC for, Volunteers AC 063016.docl^l_1Warkers-Gomp1PP WG-for-Volunteers-AG-06301-6:doc Page 2 of 2 RESOLUTION NO. 2016 -XXX A RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT AUTHORIZING WORKERS' COMPENSATION INSURANCE COVERAGE FOR CENTRAL CONTRA COSTA SANITARY DISTRICT VOLUNTEERS WHEREAS, from time to time volunteers provide various types of services to the Central Contra Costa Sanitary District; and WHEREAS, except for certain statutory exceptions, volunteers are not covered by the Central Contra Costa Sanitary District's Workers' Compensation insurance coverage if they are injured as a result of such volunteer services; and WHEREAS, Labor Code Section 3363.5 provides that a public agency may declare its volunteers as employees for Workers' Compensation insurance purposes by adopting a resolution authorizing such coverage. NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Central Contra Costa Sanitary District ("District") as follows: THAT pursuant to Labor Code Section 3363.5, the Board of Directors of the Central Contra Costa Sanitary District does hereby declare that any person who performs voluntary service without pay for the Central Contra Costa Sanitary District shall be deemed an employee of the Central Contra Costa Sanitary District for Workers' Compensation purposes, provided that the volunteer services are authorized by the Central Contra Costa Sanitary District Board of Directors; and THAT the provisions of this resolution shall be prospective in nature. PASSED AND ADOPTED this day of month 2016, by the Board of Directors of the Central Contra Costa Sanitary District by the following vote: AYES: Members: NOES: Members: ABSENT: Members: Tad J. Pilecki President of the Board of Directors Central Contra Costa Sanitary District County of Contra Costa, State of California COUNTERSIGNED: Elaine R. Boehme, CMC Secretary of the District Central Contra Costa Sanitary District County of Contra Costa, State of California Approved as to form: Kenton L. Alm, Esq. Counsel for the District