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A MEMORIAL

REQUESTING THE INSURANCE DIVISION OF THE PUBLIC REGULATION

COMMISSION TO CONVENE A TASK FORCE TO STUDY WAYS TO REDUCE

WORKERS' COMPENSATION PREMIUMS FOR NONPROFIT AGENCIES

PROVIDING HEALTH AND HUMAN SERVICES.

WHEREAS, the state of New Mexico contracts with many

private, not-for-profit agencies to deliver an array of health

and human services; and

WHEREAS, agencies providing health and human services

often have limited funding available to meet programmatic

needs and personnel costs; and

WHEREAS, workers' compensation premiums for nonprofit

agencies providing health and human services have dramatically

increased in recent years, resulting in financial hardship for

these agencies; and

WHEREAS, agencies providing health and human services

may be assigned to the workers' compensation assigned-risk

pool with significantly higher costs, further jeopardizing

fiscal solvency for these agencies; and

WHEREAS, independent contractors may have been

erroneously classified as agency employees, resulting in

increased premiums;

NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF

REPRESENTATIVES OF THE STATE OF NEW MEXICO that the insurance

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division of the public regulation commission be requested to

convene a task force to study ways to reduce workers'

compensation premiums for nonprofit agencies providing health

and human services; and

BE IT FURTHER RESOLVED that the task force include

representatives of the workers' compensation administration,

the department of health, the labor department, the children,

youth and families department, the human services department,

not-for-profit community-based providers of developmental

disability services, providers of disabled and elderly

services, providers of mental health services and other

appropriate entities; and

BE IT FURTHER RESOLVED that the task force report its

findings and recommendations to the interim legislative health

and human services committee by its October 2006 meeting; and

BE IT FURTHER RESOLVED that a copy of this memorial be

sent to the insurance division of the public regulation

commission.