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Workers' Compensation Advisory Council June 14, 2006 minutes
Voting members: David Olson Diane Edwards for Julie Schnell Gary Thaden Ray Waldron Voting members excused: James Cavanaugh Wayne Ellefson Don Gerdesmeier Mike Hickey Glen Johnson Reed Pollack Voting members absent: Brad Robinson Stan Daniels Nonvoting members: Representative Denny McNamara Nonvoting members absent: Senator Tom Bakk Senator Geoff Michel Representative Mike Nelson Staff members: David Berry Scott Brener Debbie Caswell Phil Moosbrugger Patricia Todd Jana Williams Visitors: Ray Bohn; WCRA Paul Cassidy; Leonard, Street & Deinard Greg Coon Judy Hawley; MN Chp APTA Tom Hesse; MN Chamber Brian Hicks; MAPS Todd Johnson; WCRA Tammy Lohmann; Commerce Elisabeth Long; House Research Bob Lund; State Fund Mutual Louise Montague; MOTA/Ergo Results Andy Morrison; Koll, Morrison Mark Pixler; MAPS Katy Sen; DFL House Research Scott Sexton; Corvel Dan Wolfe; MN APTA David Wulff; MTLA

Commissioner Scott Brener called the meeting to order at 9:40 a.m. Roll was called. There was no quorum, so the minutes from the March 1, 2006, meeting were tabled. IV. A. Commissioner's update Brener reported he directed Assistant Commissioner Patricia Todd to look at how the workers' compensation system is handled in the department's Workers' Compensation Division and redesign that process. He believes in data processes, such as those that banks and health care providers have already had in place for decades. The department currently receives paper and converts it to an electronic format with imaging. The Department of Labor and Industry (DLI) is exploring converting the workers' compensation system from this form-driven system to a data-driven system. These are

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natural synergies that would lower costs to the system and provide greater customer assistance. Todd put together a steering committee that will be working on this project for the next year or so. Brener noted that Todd is finalizing performance indicators so DLI can better manage productivity levels within the Workers' Compensation Division's administrative unit. The performance indicators will be completed by the end of June and DLI will be able to track trends and determine how fast they are working through business functions, to help rid itself of some of the existing processes hurtles. The process will be streamlined and will provide greater customer service to the stakeholder groups in the workers' compensation system. Brener announced that Jim Feckey retired as director of the Special Compensation Fund. Carol Pankow was hired to replace him. Pankow worked at the Department of Human Services and is currently the CEO of a nonprofit institution. She will begin at DLI July 5, 2006. Brener reported DLI finished its pharmaceutical rulemaking process regarding reimbursement levels under electronic eligibility scenarios. The treatment parameters concerning the three most heavily prescribed drug classes in workers' compensation are being finalized. The Medical Services Review Board is working with Dr. Bill Lohman on those parameters. IV. B. Summer/fall road trips Brener noted that at the last meeting, some Workers' Compensation Advisory Council (WCAC) members indicated an interest in taking the advisory council on the road to hear about the state of the workers' compensation system and any suggestions for improvements from stakeholders. He asked members if they would poll their membership to find out if they wanted to pursue the trips and indicated he was willing to work on it from a scheduling perspective. Ray Waldron said the employee representatives were still interested in road trips, but he did not know what cities should be scheduled. He agreed to provide three or four cities from the employee representatives if there was still an interest. David Olson was willing to do a couple of trips. It was agreed Waldron would handle coordinating the trips with the employee representatives and Olson would coordinate the employer representatives and work with the department to get the trips scheduled. Olson suggested the WCAC do the outstate trips in August so it can work on the legislative bill this fall. Olson and Waldron agreed to get together after the meeting to identify some dates when they are available.

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IV. C. Policy formulation Brener said there were no significant changes before the WCAC for its 2007 legislative package. Senate research contacted him regarding MIGA. He expects this issue to be brought forth at the next meeting or two. The Minnesota Self-Insurers' Association has an additional issue. Medical costs containment is a significant issue and will be brought forth. Brener wants to work on the WCAC bill and have it ready by November or December, and have the bill out in a timely manner in 2007. He noted these issues are not new to the advisory council. It was decided the Aug. 9 meeting would be canceled. The road trips would be scheduled in August, if possible, or September and October and do one a month. Waldron made a motion to adjourn at 9:52 a.m. Gary Thaden seconded the motion. All voted in favor of the motion. Respectfully submitted, Debbie Caswell Executive Secretary dc:s