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County Attorney's Report 13. 3.

BCC Regular Meeting

Action

Meeting Date:	09/05/2013
Issue: Settlement of Workers’ Compensation Claim – Patricia Kelley-Hammond
From:	Ryan Ross
Department:	County Attorney's Office
CAO Approval:

RECOMMENDATION:

Recommendation Concerning Settlement of Workers’ Compensation Claim – Patricia Kelley-Hammond

That the Board approve a washout workers’ compensation settlement for former employee Patricia Kelley-Hammond in the amount of $527,109.50, inclusive of attorney’s fees and costs. This settlement fully resolves claims based on two separate dates of accident. Excess workers compensation carriers shall reimburse Escambia County for $355,112.35 of this settlement amount.

BACKGROUND:

This settlement resolves claims based on two dates of accident. The first accident occurred on May 9, 1998 when Ms. Kelley-Hammond twisted her right knee while getting out of an ambulance. The second accident occurred on July 31, 2004 when Ms. Kelley-Hammond tripped and fell over a stretcher while transporting a patient, sustaining injuries to her right shoulder and back as a result. As a result of these compensable injuries and related impairments, the County has accepted Ms. Kelley-Hammond as being permanently and totally disabled. For both claims, the County has paid a total of $189,352.51 for medical benefits and a total of $259,071.59 for indemnity benefits. If these claims are not settled, future medical benefits are estimated to be approximately $500,000.00. Future indemnity benefits, discounted at 4%, are estimated at $641,360.83.

To secure substantial savings over the life of both claims, an attorney for the County’s third-party adjuster recommends this washout settlement. Excess workers compensation carriers (Midwest and Meadowbrook) have approved the settlement, and the Center for Medicare Services has approved Medicare set-asides as required by federal law. Because the County will exceed its self-insured retention limit for each claim, the excess carriers shall reimburse the County for portions of this settlement. Excess carrier Midwest will provide 100.0% reimbursement for the 1998 claim in the amount of $278,144.60. Excess carrier Meadowbrook shall provide $76,967.75 in reimbursement for the 2004 claim.

BUDGETARY IMPACT:

Reserves are coordinated through Risk Management and the County's third-party carrier, Preferred Governmental Claims Solutions. Monies are paid out of Fund 501, Account 239898.

LEGAL CONSIDERATIONS/SIGN-OFF:

N/A

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

N/A

Attachments
No file(s) attached.