This bill aims to provide supplemental benefits for workers' compensation starting July 1, 2025, for employees or their dependents who are receiving weekly benefits due to disabilities or deaths occurring after December 31, 1979. The bill stipulates that these individuals will be entitled to weekly supplemental benefits from the Second Injury Fund if their initially-awarded weekly benefits are less than the total amount that would be payable if supplemental benefits were included. The funding for these supplemental benefits will be sourced from the General Fund, and the calculation of the benefits will ensure that they align with the maximum workers' compensation benefit rate. The bill also outlines a gradual implementation of the supplemental benefits, with 33 1/3% paid in fiscal year 2026, 66 2/3% in fiscal year 2027, and 100% in fiscal year 2028 and thereafter.

Additionally, the bill includes provisions to ensure that the supplemental benefits do not exceed certain thresholds, particularly concerning Social Security disability benefits. It mandates that the actual amount of supplemental benefits may be reduced based on the individual's Social Security benefits and sets a minimum threshold of $5 per week for the payment of supplemental benefits. The bill also requires insurance carriers or self-insured employers to notify the Division of Workers Compensation within 60 days if supplemental benefits are needed, transferring liability for incorrect payments to the employer if they fail to do so. Importantly, the bill maintains existing provisions regarding offsets between workers' compensation and federal Social Security disability benefits, ensuring no changes to current laws in that regard.