GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1997

S	1 

SENATE BILL 786

Short Title:  Voc. Rehab. Subrogation Change/AB.	(Public)

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Sponsors: Senators Martin of Guilford; and Cooper.

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Referred to:  Judiciary.

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April 10, 1997

A BILL TO BE ENTITLED
AN ACT TO AMEND THE SUBROGATION RIGHTS REQUIREMENTS FOR THE DIVISION OF VOCATIONAL REHABILITATION TO CONFORM WITH MEDICAID SUBROGATION.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 143-547(a) reads as rewritten:
	"(a)	Notwithstanding any other provisions of law, to the extent of payments under this Article, the State Vocational Rehabilitation program shall be subrogated to all rights of recovery, contractual or otherwise, of the beneficiary of the assistance, or his personal representative, his heirs, or the administrator or executor of his estate, against any person.  Any attorney retained by the beneficiary of the assistance shall, out of the proceeds obtained on behalf of the beneficiary by settlement with, judgment against, or otherwise from a third party by reason of injury or death, distribute to the Division the amount of assistance paid by the Division on behalf of or to the beneficiary, as prorated with the claims of those persons having medical subrogation rights or medical liens against the amount received or recovered, but the amount paid to the Division shall not exceed one-third of the gross amount obtained or recovered. 
				The United States and the State of North Carolina shall be entitled to shares in each net recovery under this section.  Their shares shall be promptly paid under this section and their proportionate parts of such sum shall be determined in accordance with the matching formulas in use during the period for which assistance was paid to the recipient."
Section 2.  This act is effective when it becomes law and applies to claims filed on or after July 1, 1997.