WC hearing decisions often involve excludable expenses, particularly attorney fees,
and there can be multiple WC decisions and multiple attorney fee awards.
Even if the decision does not result in changes in the WC amount, additional attorney
fees may be involved. For example, this may occur in an award in which there is no
retroactive change in WC and no change to ongoing payment other than an extension
of the number of paid weeks. The WC decision may not clearly state how or for what
period the excludable expenses should be deducted for offset computational purposes.
The judge will often specify the deduction period it represents. If the document specifies
no period, review the award or other evidence to determine the period representing
the expenses. For example, expenses can relate to the entire WC period, a closed period
in the past or future payments.
Take the following actions to determine the deduction period:
If the expenses represent amounts for a specified period, deduct expenses from the
period they represent.
If you cannot determine the period the expenses represent, and the award involves
an ongoing increase or ongoing decrease in the WC rate from the rate previously used to compute offset, deduct expenses
effective with the date of the WC rate change.
If unable to determine the period the expenses represent and there is no change in
the WC rate, deduct the expenses effective with the date of the decision.
For cases processed effective 12/2008 that used the Offset First Considered (OFC)
date (the OFC date preceded the date(s) determined in DI 52150.050I.1.a. through DI 52150.050I.1.c.), follow Reopenings - Change in Ruling or Legal Interpretation - Change of Position
instructions per GN 04001.100.
NOTE: The ongoing expense amount or percentage must correspond with the WC frequency of
payment (for example, if the WC rate is weekly, the corresponding ongoing expenses
must also correspond in a weekly amount or weekly percentage).