ORS 656.726
Duties and powers to carry out workers’ compensation and occupational safety laws

  • rules

(1)

The Workers’ Compensation Board in its name and the Director of the Department of Consumer and Business Services in the director’s name as director may sue and be sued, and each shall have a seal.

(2)

The board hereby is charged with reviewing appealed orders of Administrative Law Judges in controversies concerning a claim arising under this chapter, exercising own motion jurisdiction under this chapter and providing such policy advice as the director may request, and providing such other review functions as may be prescribed by law. To that end any of its members or assistants authorized thereto by the members shall have power to:

(a)

Hold sessions at any place within the state.

(b)

Administer oaths.

(c)

Issue and serve by the board’s representatives, or by any sheriff, subpoenas for the attendance of witnesses and the production of papers, contracts, books, accounts, documents and testimony before any hearing under ORS 654.001 (Short title) to 654.295 (Application of Oregon Safe Employment Act), 654.412 (Definitions for ORS 654.412 to 654.423) to 654.423 (Use of physical force by health care employee in self-defense against assault), 654.750 (Definitions for ORS 654.750 to 654.780) to 654.780 (Providing basic information to employees) and this chapter.

(d)

Generally provide for the taking of testimony and for the recording of proceedings.

(3)

The board chairperson is hereby charged with the administration of and responsibility for the Hearings Division.

(4)

The director hereby is charged with duties of administration, regulation and enforcement of ORS 654.001 (Short title) to 654.295 (Application of Oregon Safe Employment Act), 654.412 (Definitions for ORS 654.412 to 654.423) to 654.423 (Use of physical force by health care employee in self-defense against assault), 654.750 (Definitions for ORS 654.750 to 654.780) to 654.780 (Providing basic information to employees) and this chapter. To that end the director may:

(a)

Make and declare all rules and issue orders which are reasonably required in the performance of the director’s duties. Unless otherwise specified by law, all reports, claims or other documents shall be deemed timely provided to the director or board if mailed by regular mail or delivered within the time required by law. Notwithstanding any other provision of this chapter, the director may adopt rules to allow for the electronic transmission and filing of reports, claims or other documents required to be filed under this chapter and to require the electronic transmission and filing of proof of coverage required under ORS 656.419 (Workers’ compensation insurance contracts), 656.423 (Cancellation of coverage by employer) and 656.427 (Termination of workers’ compensation insurance contract or surety bond liability by insurer). Notwithstanding ORS 183.310 (Definitions for chapter) to 183.410 (Agency determination of applicability of rule or statute to petitioner), if a matter comes before the director that is not addressed by rule and the director finds that adoption of a rule to accommodate the matter would be inefficient, unreasonable or unnecessarily burdensome to the public, the director may resolve the matter by issuing an order, subject to review under ORS 656.704 (Actions and orders regarding matters concerning claim and matters other than matters concerning claim). Such order shall not have precedential effect as to any other situation.

(b)

Hold sessions at any place within the state.

(c)

Administer oaths.

(d)

Issue and serve by representatives of the director, or by any sheriff, subpoenas for the attendance of witnesses and the production of papers, contracts, books, accounts, documents and testimony in any inquiry, investigation, proceeding or rulemaking hearing conducted by the director or the director’s representatives. The director may require the attendance and testimony of employers, their officers and representatives in any inquiry under this chapter, and the production by employers of books, records, papers and documents without the payment or tender of witness fees on account of such attendance.

(e)

Generally provide for the taking of testimony and for the recording of such proceedings.

(f)

Provide standards for the evaluation of disabilities. The following provisions apply to the standards:

(A)

The criterion for evaluation of permanent impairment under ORS 656.214 (Permanent partial disability) is the loss of use or function of a body part or system due to the compensable industrial injury or occupational disease. Permanent impairment is expressed as a percentage of the whole person. The impairment value may not exceed 100 percent of the whole person.

(B)

Impairment is established by a preponderance of medical evidence based upon objective findings.

(C)

The criterion for evaluation of work disability under ORS 656.214 (Permanent partial disability) is permanent impairment as modified by the factors of age, education and adaptability to perform a given job.

(D)

When, upon reconsideration of a notice of closure pursuant to ORS 656.268 (Claim closure), it is found that the worker’s disability is not addressed by the standards adopted pursuant to this paragraph, notwithstanding ORS 656.268 (Claim closure), the director shall, in the order on reconsideration, determine the extent of permanent disability that addresses the worker’s impairment.

(E)

Notwithstanding any other provision of this section, only impairment benefits shall be awarded under ORS 656.214 (Permanent partial disability) if the worker has been released to regular work by the attending physician or nurse practitioner authorized to provide compensable medical services under ORS 656.245 (Medical services to be provided) or has returned to regular work at the job held at the time of injury.

(g)

Prescribe procedural rules for and conduct hearings, investigations and other proceedings pursuant to ORS 654.001 (Short title) to 654.295 (Application of Oregon Safe Employment Act), 654.412 (Definitions for ORS 654.412 to 654.423) to 654.423 (Use of physical force by health care employee in self-defense against assault), 654.750 (Definitions for ORS 654.750 to 654.780) to 654.780 (Providing basic information to employees) and this chapter regarding all matters other than those specifically allocated to the board or the Hearings Division.

(h)

Participate fully in any proceeding before the Hearings Division, board or Court of Appeals in which the director determines that the proceeding involves a matter that affects or could affect the discharge of the director’s duties of administration, regulation and enforcement of ORS 654.001 (Short title) to 654.295 (Application of Oregon Safe Employment Act), 654.412 (Definitions for ORS 654.412 to 654.423) to 654.423 (Use of physical force by health care employee in self-defense against assault), 654.750 (Definitions for ORS 654.750 to 654.780) to 654.780 (Providing basic information to employees) and this chapter.

(5)

Intentionally left blank —Ed.

(a)

The board may make and declare all rules which are reasonably required in the performance of its duties, including but not limited to rules of practice and procedure in connection with hearing and review proceedings and exercising its authority under ORS 656.278 (Board has continuing authority to alter earlier action on claim). The board shall adopt standards governing the format and timing of the evidence. The standards shall be uniformly followed by all Administrative Law Judges and practitioners. The rules may provide for informal prehearing conferences in order to expedite claim adjudication, amicably dispose of controversies, if possible, narrow issues and simplify the method of proof at hearings. The rules shall specify who may appear with parties at prehearing conferences and hearings.

(b)

Notwithstanding any other provision of this chapter, the board may adopt rules to allow for the electronic transmission of filings, reports, notices and other documents required to be filed under the board’s authority.

(6)

The director and the board chairperson may incur such expenses as they respectively determine are reasonably necessary to perform their authorized functions.

(7)

The director, the board chairperson and the State Accident Insurance Fund Corporation shall have the right, not subject to review, to contract for the exchange of, or payment for, such services between them as will reduce the overall cost of administering this chapter.

(8)

The director shall have lien and enforcement powers regarding assessments to be paid by subject employers in the same manner and to the same extent as is provided for lien and enforcement of collection of premiums and assessments by the corporation under ORS 656.552 (Deposit of cash, bond or letter of credit to secure payment of employer’s premiums) to 656.566 (Lien on property of employer for amounts due).

(9)

The director shall have the same powers regarding inspection of books, records and payrolls of employers as are granted the corporation under ORS 656.758 (Inspection of books, records and payrolls). The director may disclose information obtained from such inspections to the Director of the Department of Revenue to the extent the Director of the Department of Revenue requires such information to determine that a person complies with the revenue and tax laws of this state and to the Director of the Employment Department to the extent the Director of the Employment Department requires such information to determine that a person complies with ORS chapter 657.

(10)

The director shall collect hours-worked data information in addition to total payroll for workers engaged in various jobs in the construction industry classifications described in the job classification portion of the Workers’ Compensation and Employers Liability Manual and the Oregon Special Rules Section published by the National Council on Compensation Insurance. The information shall be collected in the form and format necessary for the National Council on Compensation Insurance to analyze premium equity. [Formerly 656.410; 1977 c.804 §30; 1979 c.677 §2; 1979 c.839 §20; 1981 c.535 §45; 1981 c.723 §5; 1981 c.854 §49a; 1981 c.876 §9; 1985 c.600 §16; 1985 c.706 §4; 1985 c.770 §4; 1987 c.884 §2; 1990 c.2 §40; 1995 c.332 §55; amendments by 1995 c.332 §55a repealed by 1999 c.6 §1; 1999 c.313 §10; 1999 c.876 §9; 2003 c.170 §7; 2003 c.171 §1; 2003 c.657 §§3,4; 2003 c.811 §§17,18; 2005 c.26 §§16,17; 2005 c.653 §§1,2a; 2007 c.241 §§4,5; 2007 c.270 §§7,8; 2007 c.274 §2; 2013 c.162 §1]

Source: Section 656.726 — Duties and powers to carry out workers’ compensation and occupational safety laws; rules, https://www.­oregonlegislature.­gov/bills_laws/ors/ors656.­html.

Notes of Decisions

Workers’ Compensation Board had authority to require, by rule, prompt compliance with claimant’s request for documents and to consider noncompliance as unreasonable delay within meaning of ORS 656.262 (8). Morgan v. Stimson Lumber Co., 288 Or 595, 607 P2d 150 (1980)

Director of Department of Insurance and Finance had authority to adopt rule regulating payment to physicians for deposition testimony. Black v. Dept. of Insurance and Finance, 108 Or App 437, 816 P2d 652 (1991), Sup Ct review denied

Standards for evaluating disabilities adopted by Department of Insurance and Finance which gave no value to factors of age, education, training and adaptability when worker has returned to his “usual and customary work” were not inconsistent with ORS 656.214. Harrison v. Taylor Lumbering & Treating, Inc., 111 Or App 325, 826 P2d 75 (1992)

Where disability is not addressed by existing standards, Director of Department of Consumer and Business Services is required to stay further proceedings and adopt temporary rules. Gallino v. Courtesy Pontiac-Buick-GMC, 124 Or App 538, 863 P2d 530 (1993)

Workers’ Compensation Board has authority to remand order to Director of Department of Consumer and Business Services where disability requires development of temporary rule. Gallino v. Courtesy Pontiac-Buick-GMC, 124 Or App 538, 863 P2d 530 (1993)

Where one or more factors to be considered exceed zero, assignment of zero value to factors taken as whole does not fulfill requirement for modifying impairment. Carroll v. Boise Cascade Corp., 138 Or App 610, 910 P2d 1111 (1996)

Requirement that criterion for evaluation of disability be “permanent impairment” as modified by age, education and adaptability factors does not require that all impairments, including chronic conditions, be rated prior to modification. Schultz v. Springfield Forest Products, 151 Or App 727, 951 P2d 169 (1997)

Workers’ Compensation Board has authority to review validity of rule of Director of Department of Consumer and Business Services to determine whether rule is consistent with statute. Schultz v. Springfield Forest Products, 151 Or App 727, 951 P2d 169 (1997)

Temporary rule adopted to address disability not addressed by existing standards must be directed to claimant’s particular impairment, not category of impairment generally. Shubert v. Blue Chips, 330 Or 554, 9 P3d 114 (2000)

Temporary rule that assigns zero value for claimant’s impairment qualifies as standard that accommodates impairment. May v. Multnomah County Animal Control, 177 Or App 218, 33 P3d 387 (2001)

For purposes of determining whether impairment is only factor to consider in determining worker’s disability, when worker is terminated for cause, availability is not factor to be considered in determining worker’s disability. Suchi v. SAIF, 238 Or App 48, 241 P3d 1174 (2010), Sup Ct review denied

For purposes of determining whether impairment is only factor to consider in determining worker’s disability, end of seasonal employment constitutes termination of employment unless claimant proffers evidence that claimant would have been entitled to return to work after seasonal layoff. Suchi v. SAIF, 238 Or App 48, 241 P3d 1174 (2010), Sup Ct review denied

Worker who has been released for work by attending physician or nurse practitioner, but who is unable to return to work for cause not related to injury, is not entitled to work disability. Suchi v. SAIF, 238 Or App 48, 241 P3d 1174 (2010), Sup Ct review denied

Law Review Citations

32 WLR 217 (1996)

656.001
Short title
656.003
Application of definitions to construction of chapter
656.005
Definitions
656.006
Effect on employers’ liability law
656.008
Extension of laws relating to workers’ compensation to federal lands and projects within state
656.010
Treatment by spiritual means
656.012
Findings and policy
656.017
Employer required to pay compensation and perform other duties
656.018
Effect of providing coverage
656.019
Civil negligence action for claim denied on basis of failure to meet major contributing cause standard
656.020
Damage actions by workers against noncomplying employers
656.021
Coverage exception for laborers under contracts with construction and landscape contractor licensees
656.023
Who are subject employers
656.025
Individuals engaged in commuter ridesharing not subject workers
656.027
Who are subject workers
656.029
Obligation of person awarding contract to provide coverage for workers under contract
656.031
Coverage for municipal volunteer personnel
656.033
Coverage for participants in work experience or school directed professional training programs
656.035
Status of workers in separate occupations of employer
656.037
Exemption from coverage for persons engaged in certain real estate activities
656.039
Election of coverage for workers not subject to law
656.041
City or county may elect to provide coverage for adults in custody
656.043
Governmental agency paying wages responsible for providing coverage
656.044
State Accident Insurance Fund Corporation may insure liability under Longshoremen’s and Harbor Workers’ Compensation Act
656.046
Coverage of persons in college work experience and professional education programs
656.052
Prohibition against employment without coverage
656.054
Claim of injured worker of noncomplying employer
656.056
Subject employers must post notice of manner of compliance
656.070
Definitions for ORS 656.027, 656.070 and 656.075
656.075
Exemption from coverage for newspaper carriers
656.126
Coverage while temporarily in or out of state
656.128
Sole proprietors, limited liability company members, partners, independent contractors may elect coverage by insurer
656.132
Coverage of minors
656.135
Coverage of deaf school work experience trainees
656.138
Coverage of apprentices, trainees participating in related instruction classes
656.140
Coverage of persons operating equipment for hire
656.154
Injury due to negligence or wrong of a person not in the same employ as injured worker
656.156
Intentional injuries
656.160
Effect of incarceration on receipt of compensation
656.170
Validity of provisions of certain collective bargaining agreements
656.172
Applicability of and criteria for establishing program under ORS 656.170
656.174
Rules
656.202
Compensation payable to subject worker in accordance with law in effect at time of injury
656.204
Death
656.206
Permanent total disability
656.208
Death during permanent total disability
656.209
Offsetting permanent total disability benefits against Social Security benefits
656.210
Temporary total disability
656.211
“Average weekly wage” defined
656.212
Temporary partial disability
656.214
Permanent partial disability
656.216
Permanent partial disability
656.218
Continuance of permanent partial disability payments to survivors
656.222
Compensation for additional accident
656.225
Compensability of certain preexisting conditions
656.226
Cohabitants and children entitled to compensation
656.228
Payments directly to beneficiary or custodian
656.230
Lump sum award payments
656.232
Payments to aliens residing outside of United States
656.234
Compensation not assignable nor to pass by operation of law
656.236
Compromise and release of claim matters except for medical benefits
656.240
Deduction of benefits from sick leave payments paid to employees
656.245
Medical services to be provided
656.247
Payment for medical services prior to claim acceptance or denial
656.248
Medical service fee schedules
656.250
Limitation on compensability of physical therapist services
656.252
Medical report regulation
656.254
Medical report forms
656.256
Considerations for rules regarding certain rural hospitals
656.258
Vocational assistance service payments
656.260
Certification procedure for managed health care provider
656.262
Processing of claims and payment of compensation
656.263
To whom notices sent under ORS 656.262, 656.265, 656.268 to 656.289, 656.295 to 656.325 and 656.382 to 656.388
656.264
Compensable injury, denied claim and other reports
656.265
Notice of accident from worker
656.266
Burden of proving compensability and nature and extent of disability
656.267
Claims for new and omitted medical conditions
656.268
Claim closure
656.273
Aggravation for worsened conditions
656.277
Request for reclassification of nondisabling claim
656.278
Board has continuing authority to alter earlier action on claim
656.283
Hearing rights and procedure
656.285
Protection of witnesses at hearings
656.287
Use of vocational reports in determining loss of earning capacity at hearing
656.289
Orders of Administrative Law Judge
656.291
Expedited Claim Service
656.295
Board review of Administrative Law Judge orders
656.298
Judicial review of board orders
656.304
When acceptance of compensation precludes hearing
656.307
Determination of issues regarding responsibility for compensation payment
656.308
Responsibility for payment of claims
656.310
Presumption concerning notice of injury and self-inflicted injuries
656.313
Stay of compensation pending request for hearing or review
656.319
Time within which hearing must be requested
656.325
Required medical examination
656.327
Review of medical treatment of worker
656.328
List of authorized providers and standards of professional conduct for providers of independent medical examinations
656.331
Contact, medical examination of worker represented by attorney prohibited without written notice
656.340
Vocational assistance procedure
656.360
Confidentiality of worker medical and vocational claim records
656.362
Liability for disclosure of worker medical and vocational claim records
656.382
Penalties and attorney fees payable by insurer or employer in processing claim
656.383
Attorney fees in cases prior to decision or after request for hearing
656.385
Attorney fees in cases regarding certain medical service or vocational rehabilitation matters
656.386
Recovery of attorney fees, expenses and costs in appeal on denied claim
656.388
Approval of attorney fees required
656.390
Frivolous appeals, hearing requests or motions
656.403
Obligations of self-insured employer
656.407
Qualifications of insured employers
656.419
Workers’ compensation insurance contracts
656.423
Cancellation of coverage by employer
656.427
Termination of workers’ compensation insurance contract or surety bond liability by insurer
656.430
Certification of self-insured employer
656.434
Certification effective until canceled or revoked
656.440
Notice of certificate revocation
656.441
Advancement of funds from Workers’ Benefit Fund for compensation due workers insured by certain decertified self-insured employer groups
656.443
Procedure upon default by employer or self-insured employer group
656.445
Advancement of funds from Workers’ Benefit Fund for compensation due workers insured by insurer in default
656.447
Sanctions against insurer for failure to comply with contracts, orders or rules
656.455
Self-insured employers to process claims and make records available at authorized locations
656.502
“Fiscal year” defined
656.504
Rates, charges, fees and reports by employers insured by State Accident Insurance Fund Corporation
656.505
Estimate of payroll when employer fails to file payroll report
656.506
Assessments for programs
656.508
Authority to fix premium rates for employers
656.526
Distribution of dividends from surplus in Industrial Accident Fund
656.536
Premium charges for coverage of reforestation cooperative workers based on prevailing wage
656.552
Deposit of cash, bond or letter of credit to secure payment of employer’s premiums
656.554
Injunction against employer failing to comply with deposit requirements
656.556
Liability of person letting a contract for amounts due from contractor
656.560
Default in payment of premiums, fees, assessments or deposit
656.562
Moneys due Industrial Accident Fund as preferred claims
656.564
Lien for amounts due from employer on real property, improvements and equipment on or with which labor is performed by workers of employer
656.566
Lien on property of employer for amounts due
656.576
“Paying agency” defined
656.578
Workers’ election whether to sue third person or noncomplying employer for damages
656.580
Payment of compensation notwithstanding cause of action for damages
656.583
Paying agency may compel election and prompt action
656.587
Paying agency must join in any compromise
656.591
Election not to bring action operates as assignment of cause of action
656.593
Procedure when worker or beneficiary elects to bring action
656.595
Precedence of cause of action
656.596
Damage recovery as offset against compensation
656.602
Disbursement procedures
656.605
Workers’ Benefit Fund
656.612
Assessments for department activities
656.614
Self-Insured Employer Adjustment Reserve
656.622
Reemployment Assistance Program
656.625
Reopened Claims Program
656.628
Workers with Disabilities Program
656.630
Oregon Institute of Occupational Health Sciences funding
656.632
Industrial Accident Fund
656.634
Trust fund status of Industrial Accident Fund
656.635
Reserve accounts in Industrial Accident Fund
656.636
Reserves in Industrial Accident Fund for awards for permanent disability or death
656.640
Creation of reserves
656.642
Emergency Fund
656.644
Petty cash funds
656.702
Disclosure of records of corporation, department and insurers
656.704
Actions and orders regarding matters concerning claim and matters other than matters concerning claim
656.708
Hearings Division
656.709
Ombudsman for injured workers
656.712
Workers’ Compensation Board
656.714
Removal of board member
656.716
Board members not to engage in political or business activity that interferes with duties as board member
656.718
Chairperson
656.720
Prosecution and defense of actions by Attorney General and district attorneys
656.722
Authority to employ subordinates
656.724
Administrative Law Judges
656.725
Duties and status of Administrative Law Judges
656.726
Duties and powers to carry out workers’ compensation and occupational safety laws
656.727
Rules for administration of benefit offset
656.730
Assigned risk plan
656.732
Power to compel obedience to subpoenas and punish for misconduct
656.735
Civil penalty for noncomplying employers
656.740
Review of proposed order declaring noncomplying employer or nonsubjectivity determination
656.745
Civil penalty for inducing failure to report claims
656.751
State Accident Insurance Fund Corporation created
656.752
State Accident Insurance Fund Corporation
656.753
State Accident Insurance Fund Corporation exempt from certain financial administration laws
656.754
Manager
656.758
Inspection of books, records and payrolls
656.772
Annual audit of State Accident Insurance Fund Corporation by Secretary of State
656.774
Annual report by State Accident Insurance Fund Corporation to Secretary of State
656.776
Notice to Secretary of State regarding action on audit report
656.780
Certification and training of claims examiners
656.790
Workers’ Compensation Management-Labor Advisory Committee
656.794
Advisory committee on medical care
656.795
Informational materials for nurse practitioners
656.797
Certification by nurse practitioner of review of required materials
656.798
Duty of insurer, self-insured employer and self-insured employer group to provide information to director
656.799
Informational materials for other health care professionals
656.802
Occupational disease
656.804
Occupational disease as an injury under Workers’ Compensation Law
656.807
Time for filing of claims for occupational disease
656.850
License
656.855
Licensing system for worker leasing companies
656.990
Penalties
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