Disabilty Funding

Lawmakers in the House reject legislation that would have limited payouts to injured workers from a financially troubled state fund.

The provision would have reduced a cap on one-time lump settlements for injured workers from $60,000 to $40,000. Republicans had argued that's needed to save the Second Injury Fund from bankruptcy.

The Second Injury Fund is for those who suffer repeated workplace injuries. Two separate studies forecast it will be out of money next year.

Both the state auditor and an accounting firm hired by the state labor department cite a 2005 law capping what employers pay into the fund.

But Gov. Matt Blunt and Republican lawmakers say payouts have risen too much particularly through the lump sums.

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