CWCI Audit Regs Testimony 121508

CCVI California Workers’ Compensation Institute 1111 Broadway Suite 2350, Oakland, CA  94607 • Tel: (510) 251‐9470 • Fax: (510) 251‐9485  December 15, 2008 VIA HAND DELIVERY & E-MAIL Maureen Gray, Regulations Coordinator Division of Workers’ Compensation, Legal Unit Department of Industrial Relations Post Office Box 420603 San Francisco, CA 94142 Subject: Audit Regulations -- Title 8 CCR§ 10100.2 et. seq. Dear Ms. Gray: These comments on the proposed regulations to modify the DWC audit program are presented on behalf of the California Workers' Compensation Institute members. Recommended modifications are indicated by underline and strikethrough. Definitions Local Management – 10100.2(a) Recommendation For auditing purposes, any separate office or location whose claims are administered under the same local management at that location .staff includes personnel assigned supervisory responsibility over claims administration may be considered a single adjusting location. Discussion Consistency: Sometimes reference is made to “the same local management” but elsewhere in the same section, reference is made to “staff includes personnel assigned supervisory responsibility over claims administration.” Generally accepted principles of determining the drafter’s intent will lead to the conclusion that these are two different groups, but the difference between the two is not defined. As presently drafted the ...