Bill
SB 37
Funds the Arkansas Workers’ Compensation Commission for FY2027, covering staffing, operations, claims processing, second injury, building needs, and related program costs.
SB 37 (2026F) – Arkansas
Summary: Appropriation for Department of Labor and Licensing – Workers' Compensation Commission (WCC) for FY 2027
Purpose
- Establish and authorize appropriations for the Department of Labor and Licensing, specifically the Workers' Compensation Commission (WCC), for the fiscal year ending June 30, 2027.
- Provide funding for regular salaries, operating expenses, and related program costs to administer workers’ compensation activities, including administration, refunds/claims, second injury program, building needs, and related personnel.
Key Provisions and Allocations
1) Regular Salaries and Staffing (Section 1)
- Sets the maximum number of regular state employees for the WCC for FY 2026-2027 (105 total positions).
- Defines specific job titles and salary-grade classifications, including:
- Chairman, Commissioners, CEO, Chief Administrative Law Judge, Administrative Law Judges
- Attorneys, Division Managers, Administrative Analysts, Budget and HR staff
- IT staff, investigators, accountants, court reporters, claims coordinators
- Nurses and other support roles
- Provides a framework for personnel costs within the overall appropriation.
2) Extra Help (Section 2)
- Authorizes up to 2 part-time or temporary employees for the fiscal year, paid per Uniform Classification and Compensation Act (or successor).
3) WCC Administration Funding (Section 3)
- Total Specific Appropriation for FY 2026-2027: 11,905,835
- Regular Salaries: 7,029,998
- Extra Help: 100,000
- Personal Services Matching: 2,455,542
- Overtime: 10,000
- Operating Expenses and Related: 1,305,495
- Travel/Conferences: 20,000
- Professional Fees: 240,000
- Capital Outlay: 1,000
- Data Processing: 0
- Refunds/Reimbursements – Admin: 500,000
- Computer Software/Hardware: 243,800
4) Refunds/Claims/Investments (Section 4)
- Funds from the Death and Permanent Total Disability Trust Fund are appropriated for:
- Refunds/Reimbursements – Death and Total Disability: 550,000
- Death and Total Disability Claims: 21,000,000
- Total: 21,550,000
5) Second Injury Claims (Section 5)
- Appropriations from the Second Injury Trust Fund for Second Injury Claims: 500,000
6) Seminar – Cash (Section 6)
- For scholarships and educational conferences, funded from a State cash fund:
- Operating Expenses: 85,000
- Scholarships: 40,000
- Total: 140,000
7) WCC Building (Section 7)
- Funds for building maintenance, renovation, equipment, improvement, upgrade, and repair: 150,000
8) Special Language (Section 8)
- Travel reimbursements to WCC may be deposited back into the same Treasury fund as the original travel expenditure, creating a “refund to expenditure” mechanism for the travel-related funds.
- Effective July 1, 2025–June 30, 2027.
9) Compliance and Legislative Intent (Section 9–10)
- Standard statutory compliance language regarding eligible disbursement, procurement laws, and alignment with budget manuals and the legislative intent to reflect agency requests and recommendations.
10) Emergency Clause (Section 11)
- Declares an emergency to ensure the act takes effect on July 1, 2026, enabling uninterrupted operation of the WCC for the 2026-2027 fiscal year.
Effective Date
- The act is designed to become effective July 1, 2026, with an emergency clause to ensure immediate operation for FY 2026-2027.
Impacted Parties
- Primary: Arkansas Department of Labor and Licensing – Workers’ Compensation Commission
- Fund sources: Workers’ Compensation Fund; Death and Permanent Total Disability Trust Fund; Second Injury Trust Fund; cash fund for scholarships and conferences
- Positions and personnel within the WCC; beneficiaries of death/total disability and second injury claims; agencies and vendors providing professional services, IT, travel, and building maintenance.
Procedural/Timeline Notes
- Regular session appropriations cover FY 2026-2027.
- Emergency clause accelerates effective date to July 1, 2026.
- Intra-year funding adjustments would follow state procurement and fiscal control laws.
Overall Impact
- Provides a comprehensive funding package to administer workers’ compensation functions, including personnel, operations, claims processing, second injury program, educational activities, and building needs for the WCC.
- Establishes caps on staffing, authorizes limited temporary help, and outlines fund-specific appropriations to support ongoing and emergent WCC duties.
Compiled from official sources — confirm details with the bill’s official record.
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