CFO Sink's Risk Management Reforms Pass Legislature, Reducing Workers' Comp Costs
FOR IMMEDIATE RELEASE: April 30, 2010
CONTACT: Kevin Cate or Jerri Franz, (850) 413-2842
CFO SINK’S RISK MANAGEMENT PASSES LEGISLATURE, REDUCING WORKERS’ COMP COSTS
TALLAHASSEE— Florida CFO Alex Sink today commended the Florida Legislature for unanimously passing legislation that implements recommendations made by CFO Sink to strengthen the state’s Risk Management program and reduce workers’ compensation costs to the state.
“This legislation holds state agencies accountable and emphasizes loss prevention,” said CFO Sink. “In the business world, it is accepted that you must inspect what you expect, and these program modifications allow us to do just that.”
In January, CFO Sink announced $12 million in taxpayer savings through businesslike reforms in CFO Sink’s Division of Risk Management, including refocusing on loss prevention and addressing agencies with the highest claims numbers. These reforms were based on business best practices and advice from private sector risk management experts and led to the creation of the CFO Sink’s Risk Management Advisory Council.
Based on CFO Sink’s recommendations, key elements of the legislation passed today (SB 2386) include:
• Establishing return-to-work programs for certain state agencies
• Basing agency premiums on actual loss experience and loss prevention results
• Gives CFO Sink’s Division of Risk Management the responsibility to evaluate state agencies’ risk management programs as well as recommend corrective authority
Risk management is responsible for identifying and controlling exposure to loss or injury resulting from the daily operation of Florida’s government. Through the Florida Department of Financial Services, the Division of Risk Management delivers sound, professional guidance to Florida’s 48 state agencies and universities to help control loss and mitigate risk.
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As a statewide elected officer of the Florida Cabinet, CFO Alex Sink oversees the Department of Financial Services. A successful business leader with nearly three decades of experience in the private sector, Sink is serving her first term as Florida's CFO. CFO Sink's priorities include using her business experience to cut wasteful spending, holding government accountable to Florida’s taxpayers, and cracking down on financial and insurance fraud.