SB 24-155

Senate Bill 24-155, which has been approved by the governor and will take effect on August 7, 2024, changes how overpayments of family and medical leave benefits are handled. It allows these debts to be collected by creditors or through legal actions like levies or attachments, similar to other types of debt. The bill also enables the state labor department to get information from workers' compensation insurers about overlapping benefit payments and to recover funds if an employee receives both types of benefits for the same absence. This affects employees who receive family and medical leave benefits and could impact their financial obligations and privacy regarding tax and insurance records.

Official Summary

The act specifies that a judgment for a debt for overpayment of paid family and medical leave benefits is eligible to be assigned, released, or commuted and is not exempt from claims of creditors or from levy, execution, and attachment or other remedy or recovery or collection of a debt. The act adds family and medical leave benefits to the list of exceptions for which workers' compensation benefits may be assigned, levied, or attached. The act also allows the division of family and medical leave insurance (division) in the department of labor and employment to obtain reimbursement from a workers' compensation insurer if an employee received both family and medical leave benefits and temporary indemnity benefits for the same absence and allows the insurer to offset benefits in the amount reimbursed. The division may access records regarding compensability and benefit payments of workers' compensation claims for the purpose of coordinating family and medical leave benefits. The department of revenue may provide the division with tax information and may enter into an agreement with the division providing for payment of the costs related to supplying the information and providing for periodic updating of the information supplied. APPROVED by Governor April 11, 2024 EFFECTIVE August 7, 2024(Note: This summary applies to this bill as enacted.)

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