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Workers' Compensation Settlement for James Hoerner Copyright 2014 City of Dubuque Consent Items # 8. ITEM TITLE: Workers' Compensation Settlement for James Hoerner SUMMARY: City Attorney recommending approval of an Agreement for Settlement regarding a Workers' Compensation claim that was filed against the City of Dubuque by James Hoerner. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Approve ATTACHMENTS: Description Type Staff Memo Staff Memo Reddick Letter Supporting Documentation Compromise Settlement Supporting Documentation THE CITY OF DUB-�6 E MEMORANDUM Masterpiece on the Mississippi BARRY LINDAHL CITY ATTORNEY To: Mayor Roy D. Buol and Members of the City Council DATE: August 15, 2016 RE: James Hoerner Work Comp Settlement Attached is a letter from Attorney Les Reddick recommending settlement of the workers' compensation claim of James Hoerner. James Hoerner was a seasonal employee in the Leisure Services Department for twelve (12) years. On April 4, 2012, Hoerner injured his left shoulder in a work-related accident. He required surgery which left him with a lifting restriction and a whole body impairment. He was unable to return to work for the City because of the injury. All of his benefits under the work comp statute have been paid by the City. The City has reached a compromise settlement with Hoerner for a lump sum payment of $54,552.60, with all future benefits released, except for medical bills related to the accident. Because Hoerner is on Medicare we are not able to close out medical bills related to the incident. Mr. Reddick is of the opinion that the settlement is fair and reasonable. I agree with that opinion and recommend approval of the attached settlement agreement. BAL:tls Attachment F:\USERS\tsteckle\Workers Comp-Reddick Cases\Hoerner James\MayorCouncil_Settlement_081516.doc OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944 TELEPHONE (563)583-4113/FAX (563)583-1040/EMAIL balesq@cityofdubuque.org Masterpiece on the Mississippi TRACEY STECKLEIN PARALEGAL MEMO To: Kevin Firnstahl City Clerk MEMORANDUM DATE: August 22, 2016 RE: James Hoerner vs. City of Dubuque — Workers' Compensation Claim Kevin: Attached for the September 6, 2016 City Council agenda is the original Compromise Settlement, executed by claimant, regarding the James Hoerner Workers' Compensation claim. Once approved at the City Council meeting, I would appreciate it if you would obtain the City Manager's signature, and then send the Agreement back to me for processing. Thank you. Attachment F:\USERS\tsteckle\Workers Comp - Reddick Cases\Hoerner James\Firnstahl_OriginalCompromiseAgreement_082216.doc OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944 TELEPHONE (563) 583-4113 / FAX (563) 583-1040 / EMAIL tsteckle@cityofdubuque.org BEFORE THE IOWA WORKERS' COMPENSATION COMMISSIONER JAMES HOERNER * `i); 4) Claimant, Contested Case File No.: 5048859 /11-4 vs. Compliance File No.:1547017 $44 CITY OF DUBUQUE Injury Date: 4/4/12 Employer, and self—insured Insurance Carrier, Defendants. COMPROMISE SETTLEMENT [Iowa Code Section 85.35(3)1 (6) The undersigned parties submit this Compromise Settlement pursuant to Iowa Code section 85,35(3). A. A dispute exists under the Iowa Workers' Compensation Law, which the parties seek to resolve by a full and final compromise disposition of claimant's claim for benefits. The subject and nature of the dispute is causation and nature and extent. B. If claimant is not represented by an attorney; a claimant's statement and evidence of the dispute is attached. Rule 876 IAC 6,1. C. As a compromise of their competing interests, the parties agree to the payment and other terms of settlement contained in the attached page(s) or as follows:, see attached D. Release: In consideration of this payment, claimant releases and discharges the above employer and insurance carrier from all liability under the Iowa Workers' Compensation Law for the above compromised claim, E. Statement of Awareness of Claimant: I have read the compromise settlement and attached page(s). I understand that the money I receive under this settlement is the total amount I will receive from my claim and that there will not be a hearing and decision on my claim. I am aware that if the Workers' Compensation Commissioner approves this compromise settlement and the employer/insurance carrier pays me the agreed sum, then I am barred from future claims or benefits under the Iowa Workers' Compensation Law for the injury(ies) compromised. I understand l may: 1) consult withan attorney of my own choosing, or 2) call the Iowa Division of Workers' Compensation at (515) 281-5387, or both in order to receive a full explanation of the ter s of this document and of my rights under the Iowa Workers' Compensation Law. ve either done so or •eely waive my right to do so. Claimant's Attorn Date Subscribed and sworn to by claimant before me on this day of Date Notary Pu.lic Employer/Insurance Carrier: The employer/insurance carrier consents to the compromise settlement. v Employer/Insur ce Carrier's Attorney -rot 4- 4 EmpployerMnsurance Carrier MICHAEL VAN MILLIGEN ORDER I find that substantial evidence supports the terms of the foregoing settlement, the employee knowingly waives hearing, decision, and resulting statutory benefits and the settlement is a reasonable and informed compromise of the competing inte es s of the parties. The foregoing settlement is therefore approved this 1142' day of ept t _w 20 fit, . t SEP 19 2016 A,jORKERS' COMPENSATION The information provided will be open for public inspection under Iowa Code §§ 22.11 and 86.45(1). s Iowa Workers' Compensation Commissioner 14-0025 (02/15) IOWA. WORKFORCE DEVELOPMENT C. Employer will pay Claimant a lump sum of $54,552.60 upon approval of this agreement by the Commissioner. The only benefits not being released are future medical expenses owing under Chapter 85.27, that are related to the April 4, 2012 injury. It is agreed by the parties that this settlement was entered into with the understanding that the lump sum payment of $54,552.60 represents the final and only award Claimant will ever receive from his employer with respect to the workplace injuries alleged herein. From this amount will be deducted payment of litigations costs in the amount of $370.15, and payment of attorneys' fees of $16,000.00, leaving the Claimant with a lump sum settlement of $38,182.45 which should be allocated to that period of time extending from the date this agreement is approved by the Iowa Workers' Compensation Commission through the period of Claimant's life expectancy. According to the table set out in U.S. Bureau of the Census, National Center for Health Statistics and United States Life Tables, dated 2010, Claimant, who has a birth date of November 15, 1937 and is presently 78 years of age, has a remaining life expectancy of 462.8 weeks or 8.9 years. Dividing this number of weeks into the net recovery amount Claimant will receive of $38,182.45 produces the weekly settlement rate of $82.50, a weekly settlement rate envisioned by and stipulated to by the parties. Payment of the settlement amount is not to be construed as payment of weekly benefits, medical benefits, or any other benefits under the workers' compensation laws of the state of Iowa.