Bill S6646-2013

Relates to exemption of members of a supervised collegiate summer baseball league from workers' compensation coverage

Exempts members of a supervised collegiate summer baseball league from definition of employee for purposes of workers' compensation coverage.

Details

Actions

  • Feb 21, 2014: REFERRED TO INSURANCE

Memo

BILL NUMBER:S6646

TITLE OF BILL: An act to amend the insurance law and the workers' compensation law, in relation to exempting members of supervised collegiate summer baseball leagues from the definition of employees for purposes of workers' compensation insurance

PURPOSE:

To exempt all collegiate summer baseball leagues from workers' compensation requirements.

SUMMARY OF PROVISIONS:

Section 1 of the bill amends section 3443-a of the insurance law to provide that an insurer shall not be required to provide coverage to members of collegiate summer baseball leagues operating on a for-profit basis.

Section 2 of the bill amends section 2 (4) of the workers' compensation law to provide an exemption for members of supervised collegiate summer baseball leagues operating on a for-profit basis.

EXISTING LAW:

Currently, section 2 (4) of the workers' compensation law provides an exemption for all supervised amateur athletic activities that are operated on a non-profit basis.

JUSTIFICATION:

Currently, the workers' compensation law provides an exemption for members of supervised amateur athletic activities that are operated on a non-profit basis. However, the current statute is unclear as to the treatment of amateur athletic activities that are operated on a for-profit basis. The State Insurance Fund has recently interpreted the law to require summer collegiate baseball league teams to pay worker's compensation insurance for their players as "employees ". Each of the players on these teams is prohibited by the NCAA, or similar collegiate regulatory agency, from receiving any type of monetary payment, or other form of financial compensation. Players pay a fee to these teams for baseball instruction by highly qualified coaches and to cover their living expenses. The present interpretation of the law by the State Insurance Fund is analogous to requiring children who pay to come to a summer camp to be covered by worker's compensation insurance. No collegiate league player has ever filed a worker's compensation claim with the State Insurance Fund and could not do so because it would impact his eligibility under NCAA regulations. Requiring the teams to pay worker's compensation insurance will cause them to increase the annual fees that players will be required to pay to each organization. Moreover, because these teams are not highly profitable it may cause a number of them to relocate to different states, or to cease doing business altogether. This modification of the law is intended to encourage the further development of summer collegiate baseball teams, which contribute significantly to tourism in this region.

LEGISLATIVE HISTORY:

New bill.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ 6646 IN SENATE February 21, 2014 ___________
Introduced by Sen. SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Insurance AN ACT to amend the insurance law and the workers' compensation law, in relation to exempting members of supervised collegiate summer baseball leagues from the definition of employees for purposes of workers' compensation insurance THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The insurance law is amended by adding a new section 3443-a to read as follows: S 3443-A. SUPERVISED COLLEGIATE SUMMER BASEBALL LEAGUES. MEMBERS OF A SUPERVISED COLLEGIATE SUMMER BASEBALL LEAGUE OPERATED ON A FOR-PROFIT BASIS SHALL BE EXEMPT FROM THE DEFINITION OF EMPLOYEE PURSUANT TO SUBDI- VISION FOUR OF SECTION TWO OF THE WORKERS' COMPENSATION LAW. AS SUCH, AN INSURER ISSUING A WORKERS' COMPENSATION AND EMPLOYERS' LIABILITY INSUR- ANCE POLICY SHALL NOT BE REQUIRED TO PROVIDE COVERAGE TO MEMBERS OF SAID COLLEGIATE SUMMER BASEBALL LEAGUE. S 2. The opening paragraph of subdivision 4 of section 2 of the work- ers' compensation law, as amended by chapter 418 of the laws of 2010, is amended to read as follows: "Employee" means a person engaged in one of the occupations enumerated in section three of this article or who is in the service of an employer whose principal business is that of carrying on or conducting a hazard- ous employment upon the premises or at the plant, or in the course of his or her employment away from the plant of his or her employer; "employee" shall also mean for the purposes of this chapter any individ- ual performing services in construction for a contractor who does not overcome the presumption of employment as provided under section eight hundred sixty-one-c of the labor law; "employee" shall also mean for the purposes of this chapter civil defense volunteers who are personnel of volunteer agencies sponsored or authorized by a local office under regu- lations of the civil defense commission, to the extent of the provisions of groups seventeen and nineteen; "employee" shall at the election of a municipal corporation made pursuant to local law duly enacted also mean
a member of an auxiliary police organization authorized by local law; and for the purposes of this chapter only a newspaper carrier under the age of eighteen years as defined in section thirty-two hundred twenty- eight of the education law, and shall not include domestic servants except as provided in section three of this chapter, and except where the employer has elected to bring such employees under the law by secur- ing compensation in accordance with the terms of section fifty of this chapter. The term "employee" shall not include persons who are members of a supervised amateur athletic activity operated on a non-profit basis, OR PERSONS WHO ARE MEMBERS OF A SUPERVISED COLLEGIATE SUMMER BASEBALL LEAGUE OPERATED ON A FOR-PROFIT BASIS, provided that said members are not also otherwise engaged or employed by any person, firm or corporation participating in said athletic activity OR COLLEGIATE SUMMER BASEBALL LEAGUE, nor shall it include the spouse or minor child of an employer who is a farmer unless the services of such spouse or minor child shall be engaged by said employer under an express contract of hire nor shall it include an executive officer of a corporation who at all times during the period involved owns all of the issued and outstanding stock of the corporation and holds all of the offices pursu- ant to paragraph (e) of section seven hundred fifteen of the business corporation law or two executive officers of a corporation who at all times during the period involved between them own all of the issued and outstanding stock of such corporation and hold all such offices except as provided in subdivision six of section fifty-four of this chapter provided, however, that where there are two executive officers of a corporation each officer must own at least one share of stock, nor shall it include a self-employed person or a partner of a partnership as defined in section ten of the partnership law who is not covered under a compensation insurance contract or a certificate of self-insurance as provided in subdivision eight of section fifty-four of this chapter, nor shall it include farm laborers except as provided in group fourteen-b of section three of this chapter. If a farm labor contractor recruits or supplies farm laborers for work on a farm, such farm laborers shall for the purposes of this chapter be deemed to be employees of the owner or lessee of such farm. The term "employee" shall not include baby sitters as defined in subdivision three of section one hundred thirty-one and subdivision three of section one hundred thirty-two of the labor law or minors fourteen years of age or over engaged in casual employment consisting of yard work and household chores in and about a one family owner-occupied residence or the premises of a non-profit, non-commercial organization, not involving the use of power-driven machinery. The term "employee" shall not include persons engaged by the owner in casual employment consisting of yard work, household chores and making repairs to or painting in and about a one-family owner-occupied residence. The term "employee" shall not include the services of a licensed real estate broker or sales associate if it be proven that (a) substantially all of the remuneration (whether or not paid in cash) for the services performed by such broker or sales associate is directly related to sales or other output (including the performance of services) rather than to the number of hours worked; (b) the services performed by the broker or sales associate are performed pursuant to a written contract executed between such broker or sales associate and the person for whom the services are performed within the past twelve to fifteen months; and (c) the written contract provided for in paragraph (b) of this subdivision was not executed under duress and contains the following provisions:
S 3. The opening paragraph of subdivision 4 of section 2 of the work- ers' compensation law, as amended by chapter 558 of the laws of 2013, is amended to read as follows: "Employee" means a person engaged in one of the occupations enumerated in section three of this article or who is in the service of an employer whose principal business is that of carrying on or conducting a hazard- ous employment upon the premises or at the plant, or in the course of his or her employment away from the plant of his or her employer; "employee" shall also mean for the purposes of this chapter any individ- ual performing services in construction for a contractor who does not overcome the presumption of employment as provided under section eight hundred sixty-one-c of the labor law; "employee" shall also mean for the purposes of this chapter any individual performing services in the commercial goods transportation industry for a commercial goods trans- portation contractor who does not overcome the presumption of employment as provided under section eight hundred sixty-two-b of the labor law; "employee" shall also mean for the purposes of this chapter civil defense volunteers who are personnel of volunteer agencies sponsored or authorized by a local office under regulations of the civil defense commission, to the extent of the provisions of groups seventeen and nineteen; "employee" shall at the election of a municipal corporation made pursuant to local law duly enacted also mean a member of an auxil- iary police organization authorized by local law; and for the purposes of this chapter only a newspaper carrier under the age of eighteen years as defined in section thirty-two hundred twenty-eight of the education law, and shall not include domestic servants except as provided in section three of this chapter, and except where the employer has elected to bring such employees under the law by securing compensation in accordance with the terms of section fifty of this chapter. The term "employee" shall not include persons who are members of a supervised amateur athletic activity operated on a non-profit basis, OR PERSONS WHO ARE MEMBERS OF A SUPERVISED COLLEGIATE SUMMER BASEBALL LEAGUE OPERATED ON FOR A FOR-PROFIT BASIS, provided that said members are not also otherwise engaged or employed by any person, firm or corporation partic- ipating in said athletic activity OR COLLEGIATE SUMMER BASEBALL LEAGUE, nor shall it include the spouse or minor child of an employer who is a farmer unless the services of such spouse or minor child shall be engaged by said employer under an express contract of hire nor shall it include an executive officer of a corporation who at all times during the period involved owns all of the issued and outstanding stock of the corporation and holds all of the offices pursuant to paragraph (e) of section seven hundred fifteen of the business corporation law or two executive officers of a corporation who at all times during the period involved between them own all of the issued and outstanding stock of such corporation and hold all such offices except as provided in subdi- vision six of section fifty-four of this chapter provided, however, that where there are two executive officers of a corporation each officer must own at least one share of stock, nor shall it include a self-em- ployed person or a partner of a partnership as defined in section ten of the partnership law who is not covered under a compensation insurance contract or a certificate of self-insurance as provided in subdivision eight of section fifty-four of this chapter, nor shall it include farm laborers except as provided in group fourteen-b of section three of this chapter. If a farm labor contractor recruits or supplies farm laborers for work on a farm, such farm laborers shall for the purposes of this chapter be deemed to be employees of the owner or lessee of such farm.
The term "employee" shall not include baby sitters as defined in subdi- vision three of section one hundred thirty-one and subdivision three of section one hundred thirty-two of the labor law or minors fourteen years of age or over engaged in casual employment consisting of yard work and household chores in and about a one family owner-occupied residence or the premises of a non-profit, non-commercial organization, not involving the use of power-driven machinery. The term "employee" shall not include persons engaged by the owner in casual employment consisting of yard work, household chores and making repairs to or painting in and about a one-family owner-occupied residence. The term "employee" shall not include the services of a licensed real estate broker or sales associate if it be proven that (a) substantially all of the remuneration (whether or not paid in cash) for the services performed by such broker or sales associate is directly related to sales or other output (including the performance of services) rather than to the number of hours worked; (b) the services performed by the broker or sales associate are performed pursuant to a written contract executed between such broker or sales associate and the person for whom the services are performed within the past twelve to fifteen months; and (c) the written contract provided for in paragraph (b) of this subdivision was not executed under duress and contains the following provisions: S 4. This act shall take effect immediately; provided, however that section three of this act shall take effect on the same date and in the same manner as chapter 558 of the laws of 2013, takes effect.

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