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AB-45 Claims against the state: earthquake disaster relief.(1989-1990)

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AB45:v96#DOCUMENT

Assembly Bill No. 45
CHAPTER 22

An act to add Part 8 (commencing with Section 997) to Division 3.6 of Title 1 of the Government Code, relating to disaster relief, making an appropriation therefor, and declaring the urgency thereof, to take effect immediately.

[ Filed with Secretary of State  November 07, 1989. Approved by Governor  November 06, 1989. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 45, Willie Brown. Claims against the state: earthquake disaster relief.
(1)  Existing law provides a procedure by which persons may file claims against the state with the State Board of Control.
This bill would provide a different procedure by which any person may file an application with the board for compensation, including emergency payments, based on personal property loss, personal injury, or death, including noneconomic loss, arising from the collapse of the San Francisco-Oakland Bay Bridge or the I-880 Cypress structure caused by the October 17, 1989, earthquake. The bill would create in the State Treasury the San Francisco-Oakland Bay Bridge and I-880 Cypress Structure Disaster Fund for the purpose of paying personal property loss, personal injury, and death claims against the state, arising from this natural disaster. Moneys in the fund would be continuously appropriated to the Department of Finance without regard to fiscal years for the purpose of paying awards made pursuant to the bill.
(2)  Existing law provides that an unemployed individual is eligible to receive unemployment compensation benefits with respect to any week only if the Director of Employment Development finds that certain conditions have been met, including that the individual has been unemployed for a waiting period of one week.
This bill would waive this waiting period requirement for those unemployed individuals who file an application for benefits with the Director of Employment Development between October 15, 1989, and December 2, 1989, inclusive, if the claimant either resides in or was most recently employed in either an area identified by the Federal Disaster Assistance Administration or by a Governor’s declaration of a state of emergency, in connection with the October 17, 1989, Loma Prieta Earthquake. It would also provide that benefits paid as a result of this waiver shall not be charged to employer reserve accounts, except as specified.
The bill would require the Director of Employment Development to submit to the Governor and to the chairpersons of the appropriate policy committees in the Legislature copies of a specified report concerning disaster unemployment assistance, and to recommend to the Governor and the Legislature, by February 1, 1990, an appropriate procedure to permit the temporary waiver of unemployment benefit eligibility rules in the wake of disasters whose character directly affects employment within the area or areas where effects of the disaster are felt.
Under existing law, the Unemployment Fund is continuously appropriated. This bill, by authorizing the payment of unemployment benefits at an earlier time, would therefore make an appropriation.
(3)  The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would require that applications for compensation submitted pursuant to the bill under (1) above be verified under penalty of perjury. By establishing additional fact situations to which the existing crime of perjury would apply, this bill would impose additional duties on law enforcement agencies and would thereby impose a state-mandated local program.
This bill would provide that no reimbursement is required by this act for a specified reason.
This bill would transfer $30,000,000 from the Special Fund for Economic Uncertainties to the San Francisco-Oakland Bay Bridge and I-880 Cypress Structure Disaster Fund for purposes of the bill.
The bill would declare that it is to take effect immediately as an urgency statute.
Appropriation: yes.

The people of the State of California do enact as follows:


SECTION 1.

 Part 8 (commencing with Section 997) is added to Division 3.6 of Title 1 of the Government Code, to read:

PART 8. SAN FRANCISCO-OAKLAND BAY BRIDGE AND I-880 CYPRESS STRUCTURE DISASTER RELIEF

997.
 The Legislature finds and declares that, in order to aid the victims of the collapse of the San Francisco-Oakland Bay Bridge and the I-880 Cypress structure caused by the October 17, 1989, earthquake, it is necessary to create a special fund for payment of personal property, personal injury, and death claims arising from that disaster.
It is the purpose of this part to compensate personal injury or death victims of the Bay Bridge and I-880 Cypress structure collapse without regard to legal liability, fault, or responsibility, and without the necessity of litigation against the State of California or its agencies, officers, or employees. It is the further intent of the Legislature that all valid claims shall be paid fairly and promptly. Nothing in this part shall be construed as an admission of legal liability, responsibility, or fault on the part of the State of California or any of its agencies, officers or employees.

997.1.
 (a)  Any person may file an application with the State Board of Control for compensation based on personal property loss, personal injury, or death, including noneconomic loss, arising from the Bay Bridge or I-880 Cypress structure collapse caused by the October 17, 1989, earthquake. Any application made pursuant to this section shall be presented to the board no later than April 18, 1990, on forms prescribed and provided by the board, except that a late claim may be presented to the board pursuant to the procedure specified by Section 911.4. Each presented application shall be verified under penalty of perjury and shall contain all of the following information:
(1)  The name of the injured party or in the event of loss of life, the name and age of the decedent and the names and ages of heirs as defined in subdivision (b) of Section 377 of the Code of Civil Procedure.
(2)  An authorization permitting the board to obtain relevant medical and employment records.
(3)  A brief statement describing when, where, and how the injury or death occurred.
(4)  A statement as to whether the applicant wishes to apply for emergency relief provided pursuant to Section 997.2.
(b)  Upon receipt of an application, the board shall evaluate the application and may require the applicant to submit additional information or documents which are necessary to verify and evaluate the application. The board shall resolve an application within six months from the date of presentation of the application unless this period of time is extended by mutual agreement between the board and the applicant. Any application which is not resolved within this resolution period shall be deemed denied.
(c)  Following resolution of an application, if the applicant desires to pursue additional remedies otherwise provided by this division, the applicant shall file a court action within six months of the mailing date of the board’s rejection or denial of the application or the applicant’s rejection of the board’s offer.
(d)  Any claim pursuant to Part 3 (commencing with Section 900) made before or after the effective date of this part for personal property loss, personal injury, or death resulting from the collapse of the Bay Bridge or the I-880 Cypress structure against the State of California, its agencies, officers, or employees, shall be deemed to be an application under this part and subject to the provisions set forth in this part. Additionally, any application made pursuant to this part shall be deemed to be in compliance with Part 3 (commencing with Section 900).
(e)  Notwithstanding any other provision of law, resolution of applications pursuant to the provisions of this part is a condition precedent to the filing of any action for personal property loss, personal injury, or death resulting from the collapse of the Bay Bridge or the I-880 Cypress structure in any court of the State of California against the State of California, its agencies, officers, or employees. Any suit filed by an applicant in any court of this state against the State of California or its agencies, officers, or employees shall be stayed pending resolution of the application.

997.2.
 The application of any individual who was injured as a result of the collapse of the Bay Bridge or I-880 Cypress structure caused by the October 17, 1989, earthquake, and any surviving spouse, child, dependent adult offspring, or dependent parent of any individual killed as a result of that collapse, may include a request for emergency payment. Upon the determination that the applicant is eligible, the board or its designee shall award emergency payments in the following amounts:

Death of spouse $50,000
Death of parent by dependent minor $50,000
Death of parent by dependent adult
offspring $50,000
Death of adult offspring by dependent
parent $25,000
Death of dependent minor $25,000
Loss of income and medical expenses
incurred by injured person up to $25,000
The maximum award to members of an immediate family pursuant to this section based on any one death shall not exceed two hundred thousand dollars ($200,000). If the aggregate amount of individual payments for members of an immediate family pursuant to this section would otherwise exceed this amount, each individual shall share in this maximum amount proportionately.
Payments made pursuant to this section shall constitute an offset against any amounts received under Section 997.3 as well as any amount which may be received from the state as a result of litigation in the courts of this state. Payments made pursuant to this section shall not constitute an admission of liability nor be admissible as evidence in any court action.
No attorney or other representative shall accept any fee or other compensation for representing any applicant under Section 997.2 unless the compensation is authorized by a superior court upon a finding of exceptional circumstances.

997.3.
 (a)  If the board determines that an applicant pursuant to this part is eligible for compensation, and upon receipt of all information it deems necessary to evaluate the applicant’s loss, the board shall make an offer in an amount it deems to be just compensation, subject to the approval of the Director of Finance. The board shall appoint a person to facilitate the settlement process provided in this section, provided that the presiding judge of the Alameda County Superior Court may reject any appointment within 30 days of notice of the appointment.
(b)  The offer shall be made to the applicant in writing who shall either accept or reject the offer in writing within 30 days of receipt thereof. Failure to respond to the offer shall be deemed a rejection. If the applicant accepts the offer, all other legal remedies are waived as against the State of California and its agencies, officers, and employees. If the applicant rejects the offer, all other legal remedies may be pursued against the State of California or its agencies, officers, or employees as otherwise provided in this division.

997.4.
 For the purpose of computing the time limits applicable to the date of the accrual of a cause of action against any party, other than the State of California, to a court action related to the facts giving rise to a claim subject to this part, the date of accrual of a cause of action shall be deemed to be the mailing date of the board’s rejection or denial of an application or the applicant’s rejection of an offer, notwithstanding any other date of accrual that might otherwise have been applicable.

997.5.
 There is hereby created within the State Treasury the San Francisco-Oakland Bay Bridge and I-880 Cypress Structure Disaster Fund for the purpose of paying, pursuant to this part, personal property, personal injury, and death claims against the State of California or its agencies, officers, or employees, arising from the collapse of the San Francisco-Oakland Bay Bridge and the I-880 Cypress structure on October 17, 1989. Notwithstanding Section 13440, moneys in the fund are continuously appropriated to the Department of Finance without regard to fiscal years for the purpose of paying awards made pursuant to this part.

997.6.
 The board may adopt regulations pursuant to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 to implement this part. The adoption of the regulations shall be deemed to be an emergency and necessary for the immediate preservation of the public peace, health and safety, or general welfare. Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2, regulations adopted by the office in order to implement this section shall not be subject to the review and approval of the Office of Administrative Law. These regulations shall become effective immediately upon filing with the Secretary of State.

SEC. 2.

 (a)  Subdivision (d) of Section 1253 of the Unemployment Insurance Code shall not apply to an unemployed individual who files his or her application for benefits with the Director of Employment Development between October 15, 1989, and December 2, 1989, inclusive, if the claimant either resides in or was most recently employed in either of the following:
(1)  An area identified by the Federal Disaster Assistance Administration as a major disaster area in connection with the October 17, 1989, Loma Prieta Earthquake.
(2)  An area identified by a Governor’s declaration of a state of emergency in connection with the October 17, 1989, Loma Prieta Earthquake.
(b)  Benefits paid as a result of this act shall not be charged to employer reserve accounts, except as provided in paragraph (4) of subdivision (e) of Section 1026 of the Unemployment Insurance Code.
(c)  The director shall submit to the Governor and to the chairpersons of the appropriate policy committees in the Legislature copies of the final report to the United States Secretary of Labor concerning disaster unemployment assistance required to be submitted pursuant to Section 625.19 of Title 20 of the Code of Federal Regulations.
(d)  The director shall, by February 1, 1990, recommend to the Governor and the Legislature an appropriate procedure to permit the temporary waiver of unemployment benefit eligibility rules in the wake of disasters whose character directly affects employment within the area or areas where effects of the disaster are felt. In the process of formulating these recommendations, the department shall consider whether a procedure of circumscribed standing authority vested in the director appears workable or desirable and whether statutory criteria would strengthen the process by which requests for Governor-declared eligibility rule waivers (pursuant to the California Emergency Services Act (Chapter 7 (commencing with Section 8550) of Division 1 of Title 2 of the Government Code)) can be made, and any other approaches which, in light of experience gained pursuant to this act, appear suitable for more expeditiously addressing the needs of persons thrust out of work by a disaster. The recommendations shall include a discussion of all legal, operational, or practical issues which are suggested by the experience of the department with the Loma Prieta earthquake, the Whittier-Narrows earthquake of 1987, or other disasters of recent occurrence.

SEC. 3.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII  B of the California Constitution because the only costs which may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, changes the definition of a crime or infraction, changes the penalty for a crime or infraction, or eliminates a crime or infraction. Notwithstanding Section 17580 of the Government Code, unless otherwise specified in this act, the provisions of this act shall become operative on the same date that the act takes effect pursuant to the California Constitution.

SEC. 4.

 The sum of thirty million dollars ($30,000,000) is hereby transferred from the Special Fund for Economic Uncertainties to the San Francisco-Oakland Bay Bridge and I-880 Cypress Structure Disaster Fund for purposes of this act. It is the intent of the Legislature that this amount constitutes only an initial appropriation and not a permanent limit on the amount of funds available for purposes of this act.

SEC. 5.

 This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are:
In order to provide essential relief to victims of the San Francisco-Oakland Bay Bridge and I-880 Cypress structure collapse caused by the earthquake on October 17, 1989, and to assist persons who are unemployed in the regions affected by that earthquake as soon as possible, it is necessary for this act to take effect immediately.