|Michael F. Easley, Governor
Buck Lattimore, Chairman
Stephen T. Gheen
|Bernadine S. Ballance,
Thomas J. Bolch, Commissioner
Laura K. Mavretic, Commissioner
Christopher Scott, Commissioner
Dianne C. Sellers, Commissioner
Pamela T. Young, Commissioner
TO: All Interested Parties
FROM: Stephen T. Gheen, Chief Deputy Commissioner
DATE: February 3, 2004
RE: Important Notice: Filing of Form 19s
Internal audits of Form
19 filings with the Industrial Commission reveal that a substantial number
of Form 19s are not properly completed when filed. A change of procedure is
being implemented. The purpose of this memorandum is to explain the change.
The internal audit reveals that the largest omissions
on the Form 19 are failure to complete the employer code and carrier code
sections. Staff members have been routinely returning the Form 19s to the
appropriate party requesting entry of the missing data. The limited staff
available to process returning Form 19s has reached a critical mass in being
able to process the number of returns. The large volume not only reduces
available staff time for other important tasks, but also appears to delay
benefit payments in some compensable cases.
Gen. Stat. § 97-92(a) and (e)
provides that employers shall provide information on the Form 19 as required by
the Industrial Commission. An incomplete Form 19 does not meet the statutory
mandate. Failure to do so can result in sanctions of not less than Five Dollars
($5.00) and not more than Twenty-five Dollars ($25.00).
Effective Monday, February 24, 2004, the Statistics
Section of the Industrial Commission will issue an administrative sanction order
for each Form 19 improperly completed. The administrative sanction order may be
appealed to the Deputy Commissioner Section as any other administrative order.
Where staff can complete omitted information; particularly the employer code and
carrier code, the Form 19 will not be returned but a sanction order will be
issued. If staff cannot complete the omitted information, the administrative
sanction order and the From 19 will be returned for proper completion.
Effectively immediately and extending through
February 23, 2004, staff will complete information on Form 19s when possible rather than
return the Form 19. No administrative sanction orders will be issued during this
period to afford employers, carriers and third party administrators an
opportunity to develop compliance procedures. If staff cannot complete the
missing information, the Form 19 will be returned.
A copy of this memorandum is being sent to all
insurance carriers in the Industrial Commission’s facsimile database. In
addition, counsel representing employers, carriers and third party
administrators are requested to advise their clients of the change of procedure
outlined above. Counsel for self-insured employers should particularly advise
their clients as the Industrial Commission does not have a general data base of
self-insured employer facsimile addresses.
If you should have questions or concerns regarding
this procedure, please feel free to call me. Communication initially by email
would be preferred, but not required, at firstname.lastname@example.org.
Thank you. I remain in your service.