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Policy Matters Brief – August 25, 2025

August 25, 2025 · Public Policy & Regulatory Affairs Team

Alaska Proposes Changes to Medical Fee Schedule

The Alaska Workers’ Compensation Division has proposed updates to its Medical Fee Schedule for 2026. A public hearing is scheduled for August 22, 2025, at 10:00 a.m. (Alaska Time). More details are available here.  

California Utilization Review Rules Rejected

The California Office of Administrative Law (OAL) rejected proposed utilization review (UR) regulations submitted by the Division of Workers’ Compensation (DWC). Although these rules were intended to align with legislative changes, OAL cited unclear definitions and intentions in the proposed amendments. The DWC will revise the rules to address concerns and aims to meet the January 1, 2026, effective date. The current version of the regulations is available here: DWC Utilization Review Regulations

Maine Extends PTSD Presumption for First Responders

The Maine Legislature passed Legislative Bill 82, extending the PTSD presumption indefinitely for first responders. Originally enacted in 2017, the presumption was set to expire in October 2025. The bill covers law enforcement, corrections officers, firefighters, 911 dispatchers, and EMS/EMTs. It took effect on July 1, 2025. Full text of the bill is available here.

Massachusetts Hearing on DMEPOS Fee Schedule

The Massachusetts Executive Office of Health and Human Services will hold a hearing on proposed changes to rates for durable medical equipment, oxygen, and respiratory therapy equipment. Since the workers’ compensation fee schedule is tied to Medicaid, any changes directly affect workers’ compensation reimbursement. The hearing is scheduled for August 22, 2025. More information is available at Executive Office of Health and Human Services public hearings | Mass.gov

New Jersey Approves Mental Health Counseling Bill

The New Jersey Legislature passed Assembly Bill 5792, requiring workers’ compensation coverage for mental health counseling for first responders under specific circumstances. Covered events include gunfire exchanges, serious bodily injury, and investigations involving crimes against children. Eligible workers may choose their provider and receive up to 12 hours of initial counseling, with an additional 24 hours if recommended by the counselor. The bill passed both chambers and awaits Governor Phil Murphy’s signature. Bill details are available here.

Ohio Proposes Pharmacy Fee Schedule Changes

The Ohio Bureau of Workers’ Compensation proposed revisions to its pharmacy fee schedule, including: 

  • Reducing the reimbursement cap for non-sterile compound ingredients from $400 to $100 
  • Modifying compounding fees for both sterile and non-sterile compounds 
  • Clarifying that dispensing fees apply only to pharmacy providers 

A public hearing is scheduled for September 3, 2025. More information is available here.

Oregon Adopts Workplace Violence Rules for Healthcare

Oregon Governor Tina Kotek signed Senate Bill 537, requiring the Department of Consumer and Business Services to implement rules addressing workplace violence against healthcare workers. The rules will mandate reporting and investigation of incidents by hospitals, ambulatory surgical centers, home health agencies, and hospice programs. The law takes effect on January 1, 2026. Bill overview is available at SB537 2025 Regular Session - Oregon Legislative Information System

Texas Updates Workers’ Compensation Interest Rate

The Texas Division of Workers’ Compensation has updated the interest rate for workers’ compensation claims to 7.60%, effective July 1, 2025. This rate applies to payments, late payments, and discounts on claims and medical services. More information is available here.

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