THOMAS E. BRISTOE v. NEWSOME MILLRIGHT SERVICE; HON. JAMES L. KERR, ADMINISTRATIVE LAW JUDGE; AND WORKERS' COMPENSTATION BOARD
Annotate this Case
Download PDF
RENDERED:
OCTOBER 1, 2004; 10:00 a.m.
NOT TO BE PUBLISHED
Commonwealth Of Kentucky
Court of Appeals
NO. 2003-CA-002649-WC
THOMAS E. BRISTOE
v.
APPELLANT
PETITION FOR REVIEW OF A DECISION
OF THE WORKERS’ COMPENSATION BOARD
ACTION NO. WC-02-80683
NEWSOME MILLRIGHT SERVICE;
HON. JAMES L. KERR,
ADMINISTRATIVE LAW JUDGE; AND
WORKERS' COMPENSTATION BOARD
APPELLEES
OPINION
AFFIRMING
** ** ** ** **
BEFORE: COMBS, CHIEF JUDGE; TACKETT, JUDGE; AND EMBERTON,
SENIOR JUDGE.1
TACKETT, JUDGE:
Thomas E. Bristoe petitions for review of an
opinion of the Workers' Compensation Board that affirmed in
part, reversed in part, and remanded an opinion and order of the
Administrative Law Judge awarding Bristoe permanent partial
occupational disability benefits.
Bristoe challenges that
portion of the Board's opinion reversing the ALJ's
1
Senior Judge Thomas D. Emberton sitting as Special Judge by assignment of
the Chief Justice pursuant to Section 110(5)(b) of the Kentucky Constitution
and KRS 21.580.
interpretation of Kentucky Revised Statute (KRS) 342.730(1)(d)
for determining Bristoe's maximum average week wage and
remanding the case for recalculation of his weekly benefits.
Finding no error, we affirm.
In July 2002, Bristoe was 52 years of age and employed
by Newsome Millright as a millright welder installing grain
moving equipment and feed production equipment.
His job duties
included welding and cutting with torches; hanging cable;
setting up scaffolding; erecting elevator legs and super
structures; and carrying tools, parts, and equipment.
Bristoe
often had to operate tools above-ground holding onto ladders,
scaffolding, or infrastructure with one hand, while holding
tools in the other hand.
On July 22, 2002, while installing a
heavy-duty auger, the auger dislodged and amputated his left
thumb.
He was immediately flown to Louisville, where his thumb
was re-attached, but the surgery was unsuccessful and the thumb
later had to be re-amputated because of bad circulation.
In
addition to the obvious problems of grasping objects due to the
absence of his left thumb, Bristoe experiences numbness in his
index finger and stiffness in his second finger.
On October 1,
2002, Bristoe returned to work with Newsome Millright at the
same wage rate in a similar position as before the injury, but
he was unable to perform the same tasks, especially those aboveground.
-2-
On October 29, 2002, Bristoe filed an application for
resolution of injury claim based on the injury to his left hand
resulting from the amputation of his left thumb.
Dr. Amit
Gupta, a hand specialist, who initially operated on and treated
Bristoe, assessed a permanent partial disability rating of 22%
of the body as a whole under the American Medical Association's
(AMA) Guides to the Evaluation of Permanent Injury, Fifth
Edition.
Bristoe also submitted a report from Dr. Pearson
Auerbach, an orthopedic surgeon, who assessed a 27% permanent
partial disability rating under AMA Guides.
At the evidentiary hearing held on April 29, 2003, the
parties contested the extent and duration of the injury, and the
calculation of benefits under KRS 342.730.
The parties
stipulated that Bristoe’s average weekly wage at the time of the
injury was $508.79.
On June 3, 2003, the ALJ issued an opinion
awarding Bristoe permanent partial disability benefits of
$395.64 per week under KRS 342.730 after accepting Dr.
Auerbach's 27% disability impairment rating and finding that
Bristoe is not able to return to the same type of job following
the injury.
Newsome Millright filed two motions to reconsider
contesting the calculation of the weekly benefits arguing they
were limited to 99% of 66 2/3% of Bristoe’s average weekly wage.
The ALJ denied the motions to reconsider stating the amount
-3-
awarded was proper because it did not exceed 100% of the state's
average weekly wage.
The ALJ calculated the benefit amount
utilizing the formula and factors set out in KRS 342.730(1)(b)
as follows:
$508.79 (the average weekly wage) X 2/3 (66 2/3% of
average weekly wage)2 X 27% (the AMA disability impairment rate)3
X 1.35 (the statutory factor for the prescribed impairment rate)4
X 3.2 (the statutory 3 multiplier plus .2 multiplier for age).5
Under KRS 342.730(1)(b), the calculation should include the
lesser of 66 2/3% of the worker's average weekly wage or 75% of
the state's average weekly wage.
The ALJ utilized the former
figure without discussing the latter figure.
The record
indicates that the state's average weekly wage in 2002 was
$550.66, so 75% of the state’s average weekly wage equals
$412.99.
66 2/3% of Bristoe's average weekly wage of $508.79
equals $339.19.
Therefore, the ALJ's initial calculation under
KRS 342.730(1)(b) using the lesser of the two figures based on
66 2/3% of Bristoe’s average weekly wage was correct.
On November 12, 2003, the Workers' Compensation Board
entered an opinion affirming the ALJ's decision as to the
appropriate disability impairment rating and the application of
2
See KRS 342.730(1)(b).
3
Id.
4
Id.
5
See KRS 342.730(1)(c) 1. and 3.
-4-
KRS 342.730(1)(c)1. with the 3 multiplier, but reversed the
ALJ's calculation of the weekly benefits.
The Board remanded
the case for calculation of the benefits based on the limitation
being 99 and 66 2/3% of Bristoe's average weekly wage.
This
appeal followed.
The sole issue on appeal concerns the interpretation
of KRS 342.730(d) and the proper limitation on Bristoe's
disability benefits.
As an initial matter, we note that the
interpretation of a statute is a legal question subject to de
novo review on appeal.
See Halls Hardwood Floor Co. v.
Stapleton, Ky. App., 16 S.W.3d 327, 330 (2000); Wilson v. SKW
Alloys, Inc., Ky. App., 893 S.W.2d 800, 801-02 (1995).
The
cardinal rule of statutory interpretation is to ascertain and
give effect to the legislature's intent.
Hale v. Combs, Ky., 30
S.W.3d 146, 151 (2000); Magic Coal Co. v. Fox, Ky. 19 S.W.3d 88,
94 (2000).
In determining legislative intent, a court must
refer to the language of the statute and is not free to add or
subtract from the statute or interpret it at variance from the
language in the statute.
Hale, 30 S.W.3d at 151 (quoting
Beckham v. Board of Education of Jefferson County, Ky., 873
S.W.2d 575, 577 (1994)).
Statutes should not be interpreted in
a manner that would bring about absurd or unreasonable results,
Kentucky Industrial Utility Customers, Inc. v. Kentucky
Utilities Co., Ky. 983 S.W.2d 493, 500 (1998); Estes v.
-5-
Commonwealth, Ky., 952 S.W.2d 701, 703 (1997), or in such a way
as to render any part of it meaningless or ineffectual,
Stevenson v. Anthem Cas. Ins. Group, Ky., 15 S.W.3d 720, 724
(1999); Bob Hook Chevrolet Isuzu, Inc. v. Transportation
Cabinet, Ky., 983 S.W.2d 488, 492 (1998).
"[A]ll statutes
should be interpreted to give them meaning, with each section
construed to be in accord with the statute as a whole."
Aubrey
v. Office of the Attorney General, Ky. App., 994 S.W.2d 516, 520
(1998) (quoting Transportation Cabinet v. Tarter, Ky. App., 802
S.W.2d 944, 946 (1990)).
The policy and purpose of a statute
should be considered in determining the meaning of the words
used.
Kentucky Industrial Utility Customers, 983 S.W.2d at 500;
Democratic Party of Kentucky v. Graham, Ky., 976 S.W.2d 423, 429
(1998).
We begin with reference to the relevant portions of
the statutory provisions.
KRS 342.730(1) provides in relevant part as follows:
(1)
Except as provided in KRS 342.730,
income benefits for disability shall be
paid to the employee as follows:
(a) For temporary or permanent total
disability, sixty-six and twothirds percent (66-2/3%) of the
employee's average weekly wage
but not more than one hundred
percent (100%) of the state
average weekly wage and not less
than twenty percent (20%) of the
state average weekly wage as
-6-
determined in KRS 342.740 during
that disability. . . .
(b)
For permanent partial
disability, sixty-six and twothirds percent (66-2/3%) of the
employee's average weekly wage
but not more than seventy-five
percent (75%) of the state
average weekly wage as
determined by KRS 342.740,
multiplied by the permanent
impairment rating caused by the
injury or occupational disease
as determined by "Guides to the
Evaluation of Permanent
Impairment," American Medical
Association, latest edition
available, times the factor set
forth in the table that follows:
AMA Impairment
0 to 5%
6 to 10%
11 to 15%
16 to 20%
21 to 25%
26 to 30%
31 to 35%
36% and above
Factor
0.65
0.85
1.00
1.00
1.15
1.35
1.50
1.70
(c) 1. If, due to an injury, an
employee does not retain the
physical capacity to return
to the type of work that the
employee performed at the
time of injury, the benefit
for permanent partial
disability shall be
multiplied by three (3) times
the amount otherwise
determined under paragraph
(b) of this subsection, but
this provision shall not be
construed so as to extend the
duration of payments;
. . . .
-7-
(d) . . . Benefits payable for
permanent partial disability shall
not exceed ninety-nine percent (99%)
of sixty-six and two-thirds percent
(66-2/3% of the employee's average
weekly wage as determined under KRS
342.740 and shall not exceed seventyfive percent (75%) of the state
average weekly wage, except for
benefits payable pursuant to
paragraph (c) 1. of this subsection,
which shall not exceed one hundred
percent (100%) of the state average
weekly wage. . . . (Emphasis
added).
Bristoe argues the Board erred in reversing the ALJ's
calculation of benefits under KRS 342.730.
He contends that the
Board misconstrued subsection (1)(d) because it unambiguously
provides for a higher upper limitation on benefits not to exceed
100% of the state average weekly wage where the employee cannot
return to the type of work that the employee performed prior to
the injury.
In essence, Bristoe maintains that the "except
etc." clause modifies and thereby overrides the entire preceding
phrase.
On the other hand, the Board agreed with Newsome
Millright's position that the "except etc." clause modifies only
the immediately preceding section of the prior phrase dealing
with limiting benefits to 75% of the state average weekly wage.
Newsome Millright maintains that the use of the conjunction
"and" in subsection (1)(d) creates two separate upper limitation
figures, i.e., 99% of 66 2/3% of average weekly wage and 75% of
-8-
the state average weekly wage, with the increased upper
limitation of 100% of the state average weekly wage being
applicable only to the latter limitation figure.
Thus, Newsome
Millright asserts the Board properly calculated Bristoe's weekly
benefits as being limited to $335.81 utilizing the following
formula:
$508.79 x 66 2/3% x 99% = $335.81.
In resolving this dilemma, we do not write on a clean
slate.
In Stewart v. Kiah Creek Mining, Ky., 42 S.W.3d 614
(2001), the Kentucky Supreme Court reviewed KRS 342.7306 and the
calculation of disability benefits under the formulae set forth
therein.
The Court held that subsection (1)(d) created upper
limitations or maximums for the benefit amount and duration in
calculating permanent partial disability benefits.
With respect
to the amount calculation, the Court stated that KRS
342.730(1)(d), "limits the maximum benefit for partial
disability to 99% of 66 2/3% of the worker's average weekly wage
and also limits it to 75% of the state's average weekly wage
unless KRS 342.730 (1)(c)1. applies, in which case the benefit
is limited to 100% of the state's average weekly wage." Id. at
617.
The Court recognized that KRS 342.730(1)(a) limits
6
The Kiah Creek Mining decision dealt with the 1996 version of the statute.
The statute was subsequently amended to increase the statutory modifier in
subsection (1)(c) from 1.5 to 3 and add age and education modifiers in
subsection (1)(c)3. However, the basic method of calculation remains similar
in the current version of the statute and the differences do not
significantly affect the rationales expressed in Kiah Creek Mining to our
situation. Most notably, the language in subsection (1)(d) is the same in
the current version as in the 1996 version.
-9-
benefits for total disability initially to 66 2/3% of the
worker's average weekly wage up to a maximum of 100% of the
state's average weekly wage.
It noted that permanent partial
impairment rates could theoretically exceed 100% when multiplied
by the statutory factors in KRS 342.730(1)(b), which could
result in benefits exceeding those for total disability.
Id.
The Court's methodology for calculating permanent partial
disability benefits under KRS 342.730(1)(b) included multiplying
the disability rating (the AMA Impairment rate plus the
statutory factor) by 66 2/3% of the worker's average weekly wage
or 75% of the state's average weekly wage, whichever is less;
then under subsection (1)(d) "limit the benefit to a maximum of
99% of 66 2/3% of the worker's average weekly wage and 100% of
the state's average weekly wage because KRS 342.730(1)(c)1.
applies."
Id. at 618.
In other words, a permanent partial
disability award that is enhanced under KRS 342.730 (1)(c)1. may
not exceed either 99% of 66 2/3% of the worker's average weekly
wage or 100% of the state's average weekly wage.
A careful review of all of the provisions of KRS
342.730 supports the position that permanent partial disability
benefits should be limited to either 99% of 66 2/3% of the
worker's average weekly wage or 100% of the state's average
weekly wage, whichever is less.
For instance, under KRS
342.730(1)(c) total disability benefits are based on 66 2/3% of
-10-
the average weekly wage but not more than 100% of the state's
average weekly wage.
In other words, total disability benefits
are based initially on 66 2/3% of the claimant's average weekly
wage and only if that amount is equal to or exceeds 100% of the
state's average does he become entitled to receive the latter
amount.
Similarly, under KRS 342.730(1)(b) partial disability
benefits are likewise based initially on 66 2/3% of the worker's
average weekly wage but not more than 75% of the state's average
weekly wage; so only if the 66 2/3% average weekly wage amount
equals or exceeds 75% of the state's average weekly wage is the
claimant entitled to the latter amount.
The state's average
weekly wage figure constitutes a restriction or maximum amount
limiting the benefits recoverable by higher wage workers.
From this perspective, the benefits sentence in KRS
342.740(1)(d) should be construed consistently with the approach
in subsections (1)(a) and (1)(b).
Subsection (1)(d) provides
for limitation of partial disability benefits at a maximum level
below that of total disability benefits.
KRS 342.730(1)(a)
limits total disability benefits to 66 2/3% of the worker's
average weekly wage or 100% of the states average weekly wage.
The calculation of partial disability benefits under KRS
342.730(1)(b) begins with the lesser of 66 2/3% of the worker's
average weekly wage or 75% of the state's average weekly wage,
which then is adjusted for the percentage of impairment and
-11-
statutory factor.
Generally, these modifications will result in
a reduction in the benefit amount until the impairment reaches
the level of approximately 59% or above, which would result in
an impairment percentage exceeding 100%.
See KRS 342.730(1)(b)
(table providing for factor of 1.70 for AMA Impairment of 36%
and above).
Furthermore, where the employee cannot return to
the type of work he performed prior to the injury, the partial
disability benefits amount is also further enhanced under KRS
342.730(1)(c)1. by the 3 multiplier further substantially
increasing the benefit amount to levels that could readily
exceed the amount available for total disability.7
The terms in
subsection (1)(d) mirror those in subsections (1)(a) and (1)(b),
and the reference in subsection (1)(d) to 99% of 66 2/3% of the
worker's average weekly wage suggests some intent to limit
partial disability benefits to an amount just slightly below
those for total disability unless they rise to the level of 75%
of the state's average weekly wage or 100% of the state’s
average weekly wage where the worker cannot return to his prior
job.
Bristoe's position would eliminate the limitation based on
99% of 66 2/3% of the average contrary to the method for
determining the limitations on total disability. We believe the
"except etc." clause in subsection (1)(d) was intended to raise
7
In fact, the enhancers for partial disability raise the effective impairment
rate to the extent that benefits for an AMA impairment of 26% or more are
approximately equivalent to an actual functional impairment percentage of
105%.
-12-
the limitation of 75% of the state's average weekly wage to 100%
commensurate with totally disabled workers under subsection
(1)(a) where the partially disabled worker is unable to return
to his prior type of work but not eliminate the limitation of 66
2/3% of the individual workers average weekly wage contained in
both subsection (1)(a) and (1)(d).
The interpretation of KRS
342.730(1)(d) that best comports with the reasonable purpose of
restricting partial disability benefits to a maximum level
approximately commensurate to total disability and the other
subsections of the statute is to impose a limitation on partial
disability benefits for claimants who cannot return to the work
they performed at the time of their injury to either 99% of 66
2/3% of the employee's average weekly wage or 100% of the
state's average weekly wage, whichever is less.
In the current case, the ALJ awarded Bristoe permanent
partial disability benefits of $395.64.
Under KRS
342.730(1)(d), Bristoe's benefits cannot exceed the lesser of
99% of 66 2/3% of his average weekly wage of $508.79, which
would be $335.81, or 100% of the state's average weekly wage,
which was $550.66 for the year 2002.
As a result, the Board did
not err in reversing the ALJ's and remanding the case for an
award of weekly benefits of $335.81.
For the foregoing reasons, we affirm the opinion of
the Workers' Compensation Board.
-13-
ALL CONCUR.
BRIEF FOR APPELLANT:
Ched Jennings
Louisville, Kentucky
BRIEF FOR APPELLEE NEWSOME
MILLRIGHT SERVICE:
Douglas A. U'Sellis
Louisville, Kentucky
-14-
Some case metadata and case summaries were written with the help of AI, which can produce inaccuracies. You should read the full case before relying on it for legal research purposes.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.