Occupational Disease Compensation Act of 1985

Occupational Disease Compensation Act of 1985 - Establishes a Federal program for occupational disease compensation for the death or disability of workers or their dependents which is caused by work-related exposure to asbestos or to other toxic substances (to be designated later).

Makes such compensation compulsory and nonelective and the claimant's exclusive remedy with respect to any employer, such employer's insurance carrier, or the collective bargaining agent of such employer's employee, and any employee, officer, director or agent of such persons. Provides that such compensation shall not constitute the exclusive remedy with respect to any "third party." Provides that these exclusive remedy provisions shall neither: (1) terminate any lawsuit pending on the effective date of this Act; nor (2) preclude such a suit after such date if the suit claims that the employer, with knowledge of the associated health hazards nonetheless intentionally or with reckless indifference exposes its employees to unsafe levels of asbestos or any other toxic substance or substances.

Allows compensation claims under this Act for such death or disability occurring at any time prior to, on, or after the effective date of this Act. Requires compensation to be paid retroactively to the date of death or of onset of disability. Provides that, for purposes of claims relating to additional toxic substances designated under this Act, the "effective date of this Act" shall be construed to mean the effective date of such designation.

Bars any third party or the Fund established under this Act from suing for indemnification, contribution, or other monetary damages against any party immune from suit by a claimant under this Act.

Bars employers, insurance carriers, and the Fund from having a lien or any right of subrogation, upon any judgment rendered in any third party liability action brought by an employee or dependent. Provides, however, that any monetary benefits for death or disability received by the claimant in a third party liability action shall be reduced by the amount of any monetary benefits received under this Act.

Makes this Act inapplicable to claims otherwise covered under the Longshore and Harbor Worker's Compensation Act (Longshore Act) or the Employers Liability Act.

Provides that compensation under this Act shall cover death and total, partial, permanent, and temporary disabilities.

Sets forth formulas for determining monetary benefits under this Act. Provides that for death benefits or total disability benefits shall be the greater of: (1) two-thirds of the employee's average weekly wage (up to 200 percent of the national average); or (2) four-fifths of the national manufacturing (or construction, if applicable) average weekly wage. Provides for distribution of death benefits to survivors. Provides that partial disability benefits shall be that portion of total disability benefits which is greater if determined: (1) from the degree of impairment; or (2) by the percentage reduction in physical capacity to engage in similar work. Provides for redetermination of such partial disability payments.

Provides for medical benefits for all reasonable and necessary associated medical costs.

Provides for monetary benefits for the death or disability of dependents (to be calculated on the basis of formulas similar to those described above, as applied to the dependent's wages).

Provides for annual adjustments in monetary benefits, up to six percent per year, to reflect increases in the national average manufacturing or construction wage.

Requires that any monetary benefits for death or disability under this Act be reduced by the amount of any monetary benefit received by a claimant at the same time under a State worker's compensation law or under the Longshore Act for a similar claim.

Prohibits, except as otherwise provided in this Act, any maximum limitation on the total amount or duration of monetary benefits for death or disability or medical benefits (or their type or extent).

Declares ineffective any comprise or release of monetary or medical benefits unless the Secretary of Labor (the Secretary) determines it is in the best interest of the claimant (and sufficient to provide for future medical care).

Declares ineffective under any circumstances any waiver or release relating to future coverage or compensation under any State workers' compensation law or under this Act that is executed prior to the death or onset of disability resulting from any exposure to a toxic substance.

Sets forth eligibility criteria for compensation. Requires the employee's work-related exposure to a toxic substance to have significantly contributed to or aggravated the disability or death of the employee or the employee's dependent.

Sets forth presumptions with respect to claims of employees and dependents based on exposures to asbestos. Establishes a conclusive presumption that the following diseases result from exposure to asbestos: (1) mesothelioma of the pleura or peritoneum; (2) asbestosis; and (3) lung cancer in cases where evidence of certain asbestotic changes is presented or, in the absence of such evidence, where the claimant can establish a certain duration exposure (provides only a nonconclusive presumption in the absence of such evidence or duration). Sets forth various durations of exposure to asbestos which result in such conclusive presumption in lung cancer cases involving insulation workers, shipyard workers, chemical plant workers, and other workers. Provides that such presumptions shall not apply in cases of cancers occurring less than ten years after the employee or dependent was first exposed.

Sets forth procedures for making claims. Requires filing of a claim with the appropriate Office of Workers' Compensation Programs within three years of the death or onset of disability with the following exceptions. Allows asbestos-exposure claims with respect to deaths or onset of disability which occurred prior to the effective date of this Act to be filed within two years after such date. Allows claims based on exposure to a toxic substance designated under procedures established by this Act to be filed within three years after the effective date of such designation. Provides that the time for filing a claim shall only begin to run when the employee is disabled or has died and the employee or claimant is aware or should have been aware through the exercise of reasonable diligence, of the casual relationship between the workplace exposure and the disability or death. Allows two years for filing after a disability becomes compensable, in those cases where a timely claim was filed before the disability was compensable. Prohibits any limitations on filing which are based on: (1) length of time since last employment or exposure, or (2) the exposure's duration or intensity.

Sets forth procedures for claim adjudication. Provides for claim processing, investigation, and evaluation by the Office of Workers' Compensation Programs (the Office). Provides that the administrative law judges in hearings on such claims shall have the same powers as those under the Longshore Act. Allows disability awards to be made after the death of the disabled employee or dependent. Provides for referral of claims to another district of the Office for specified purposes.

Sets forth provisions for appeals. Makes a compensation order effective on the date it issued, and final unless the claimant or the Secretary files a petition for review with the Benefits Review Board (the Board) within 30 days after such date. Sets forth evidence standards for such review. Makes any final order of the Board enforceable and reviewable in accordance with specified provisions of the Longshore Act.

Establishes the Exclusive Federal Occupational Disease Workers Compensation Insurance Fund (the Fund). Directs the Secretary to administer the Fund in order to: (1) insure all employers and toxic substance market participants against liability for occupational disease and death resulting from occupational disease sustained by employees compensable under this Act; and (2) provide compensation and benefits to such employees and their dependents.

Defines "toxic substance market participants" (participants) as present or former manufacturers, mine operators, processors, refiners, importers, distributors, or other enterprises (including growers, where appropriate) involved in the commercial or industrial production of: (1) asbestos; or (2) any toxic substance designated by the Secretary under this Act.

Makes the Fund responsible for the payment of all compensation with respect to claims under this Act.

Requires employers or participants to be insured by the Fund in order to be entitled to the limitations on liability provided under this Act.

Directs the Secretary to determine and notify, by individual or general notice, all employers and participants required to become insured by the Fund. Allows any other employers or participants to petition the Secretary and, if approved, become insured by the Fund.

Provides for establishment of Fund insurance premiums.

Directs the Secretary to determine the annual aggregate of insurance necessary to cover anticipated claims for the following year and administrative costs. Directs the Secretary to use certain allocation formulas in determining the proportions of insurance premiums to be provided by employers and participants.

Directs the Secretary to suspend, after notice and opportunity for hearing, Fund agreements with employers or participants if they fail to: (1) obtain and maintain Fund insurance; (2) pay the applicable premium; or (3) comply substantially with this Act or regulations promulgated under it.

Authorizes the Secretary to: (1) bring civil actions in the appropriate U.S. district court to require employers or participants to obtain and maintain Fund insurance and to pay applicable premiums; and (2) assess civil penalties against employers or participants who fail to do so.

Provides that the following entities are liable for and shall be insured by the Fund in the same manner as would have been payable by the prior operator of a toxic market substance participant with respect to its operations prior to January 1, 1940: (1) any person who on or after such date, has acquired or acquires that participant or substantially all its assets; and (2) any other entity which was the operator of such participant or the owner of its assets on or after such date.

Makes a participant liable for the total amount of its liability for contributions under this Act without regard to whether: (1) it is or has been a debtor in a bankruptcy case; or (2) any plan, discharge, or judgment is or has been confirmed, granted, or entered in such case.

Treats the successor corporation or other business entity from a reorganization, merger, consolidation, or division of a participant, or the parent corporation into which a participant has been liquidated, as the participant to which Fund provisions apply.

Makes the Fund responsible for payment of an annual fee to the Secretary in an amount determined by the Secretary to represent the Federal administrative costs of operations necessary to establish and maintain the compensation and benefit system established under this Act. Sets the maximum amount of such fees at an amount equal to: (1) ten percent of the annual aggregate of coverage for claims payments (to be used to cover program administration costs); and (2) one percent of such annual aggregate (to be used for the research program on surveillance and medical treatment of occupationally-related diseases established under this Act).

Sets forth provisions relating to compensation payments, their frequency and duration, information concerning them, their suspension, and penalties for late payments.

Sets forth provisions relating to representation fees in claim cases under this Act. Provides for determination and payment of such fees and witnesses expenses. Sets criminal penalties for receipt of such fees or other consideration or gratuities without approval of the Office, the Board, or the appropriate court.

Prohibits discrimination by any participant or other employer, insurance carrier, or other person against any employee because of: (1) claims filed under this Act; (2) proceedings brought under or related to this Act, or suits brought for damages resulting from occupational exposure to a toxic substance; (3) disability caused by such exposure; (4) previous employment with a toxic substance market participant; or (5) exposure or possible exposure to a toxic substance. Sets forth civil penalties for such discrimination, procedures for review of alleged discrimination, and requirements for reinstatement with back pay and benefits. Prohibits any provider or insurer of health care coverage from excluding from coverage any worker or family member on the basis of that person's inclusion in a population at risk.

Directs the Secretary of Health and Human Services (HHS), in coordination with the Secretary, to conduct research into improving the means of: (1) surveillance of workers exposed to occupational health hazards; and (2) medical treatment of workers exposed to occupational hazards. Sets forth requirements relating to such research. Provides that all such research be conducted with funds available under provisions for Fund payment of administratives fees under this Act. Authorizes the Secretary of HHS, in carrying out such research, to engage the services of experts and consultants.

Establishes regulatory procedures by which workers suffering from occupational exposure to other toxic substances (besides asbestos) may be brought under coverage by this Act. Directs the Secretary to promulgate and revise, as may be appropriate and in accordance with specified procedures, regulations providing that this Act may provide compensation to such workers.

Establishes the Risk Assessment Panel, within the National Institute for Occupational Safety and Health, to review medical and scientific studies and reports relating to occupational diseases and to recommend inclusion of such exposure as compensable under this Act in accordance with specified guidelines for such findings. Requires the Panel to undertake as its first priority the designation of populations exposed to agents or processes for which there already exists a permanent standard issued under specified provisions of the Occupational Safety and Health Act. Requires the Panel to consider, act, and transmit to the Secretary their findings on these agents and processes within one year. Sets forth deadlines for Panel reports to the Secretary, the Secretary's publication for comment of proposed regulations, Panel review, and the Secretary's publication of final regulations.

Requires the Director of the Office of Workers' Compensation Programs to establish a separate task force within that Office for administering claims filed under this Act. Permits eventual integration of the work of such task force with the remainder of the Office under specified conditions.

Sets forth standards for review of Office orders under this Act by the Benefits Review Board.

Sets forth administrative provisions for the Fund.

Grants the Secretary the authority to bring an action in the proper U.S. district court to enjoin violations of this Act or of any rule or regulation under this Act.

Directs the Secretary and the Risk Assessment Board to devise and implement a Federal uniform recordkeeping system, including, where appropriate and useful, registries of populations and individuals exposed to toxic substances and processes. Requires annual reports by employers for purposes of such recordkeeping program.

Requires the Secretary to implement, directly and by grants to employer and employee groups, education programs on the rights and obligations of employers and employees under this Act. Directs the Secretary to support an Educational Advisory Committee with equal representation by the Secretary, employers, and employees to define guidelines and policy for such an education program. Requires that such grant applications be peer reviewed based on the system in place at the National Institute of Health. Sets forth separability provisions.