Section 287.270 RSMo, states that "No savings or insurance of the injured employee, nor any benefits derived from any other source than the employer or the employer's insurance for liability under this chapter, shall be considered in determining the compensation due hereunder; . . ."
In Wilmeth v. TMI, Inc., 26 S.W. 3d 476 (Mo. App. 2000), the uninsured employer was not entitled to a credit under Section 287.270 RSMo, for an occupational-accident insurance policy that paid benefits since it was not a workers' compensation policy. The Court of Appeals in Shaffer v. St. John's Health Center, 943 S.W. 2d 803 (Mo. App. 1997) held that the employer was not entitled to credit for medical payments made by a health insurance carrier where the health insurance was provided to the employee as part of her employment benefits since the medical bills were not paid by the employer or its' workers' compensation carrier. In Homan v. American Can Company, 535 S.W. 2d 574 (Mo. App. 1976), the employee received payments from a disability policy carried by the employer. Since it was not a workers' compensation policy, the Court of Appeals held that the employer was not entitled to a credit. Section 287.270 RSMo requires benefits to come from the employer or its' insurer for Workers' Compensation liability. Payments from any other source are not credited.
In Morris v. National Refractories \& Minerals 21 S.W. $3^{\text {rd }} 866$ (Mo. App. 2000), the employer's human resources manager described the health insurance coverage provided by the employer was the direct source of the funds for the payment of the employee's medical bills. Therefore under Section 287.270 the employer-insurer were entitled to a credit on workers' compensation benefits for all payment made by the employer on the employee's medical bills. Payments from an insurance company or from any source other than the employer or the employer's insurer for liability for workers' compensation are not credited on workers' compensation benefits. The burden of proving payment is on the party asserting it.
The employee received $\ 295.00 a week in short term disability payments from November 9, 2005 through May 31, 2006. There was no evidence whether the short term disability was directly paid by the employer or whether the payments were made from another source. I find
that the employer-insurer did not meet its' burden of proof that the direct source of the disability payments to the employee was from the employer. Based on a review of Section 287.270 RSMo, case law, and the evidence, I find that that employer-insurer is not entitled to a credit for the short term disability payments paid to the employee. The employer-insurer's request for a credit on the temporary total disability awarded is denied.
Issue 5. Nature and Extent of Permanent Disability against the Employer-Insurer and Issue 6. Liability of the Second Injury Fund for Permanent Partial or Permanent Total Disability.
The employee is claiming that he is permanently totally disabled. The term "total disability" is defined under Section 287.020 .7 as follows:
The term "total disability" as used in this chapter shall mean inability to return to any employment and not merely inability to return to the employment in which the employee was engaged at the time of the accident.
The phrase "inability to return to any employment" has been interpreted as the inability of the employee to perform the usual duties of the employment under consideration in the manner that such duties are customarily performed by the average person engaged in such employment. See Kowalski v/ M-G Metals and Sales, Inc., 631 S.W.2d 919, 922 (Mo. App. 1992). The test for permanent total disability is whether; given the employee's situation and condition, he or she is competent to compete in the open labor market. See Reiner v. Treasurer of the State of Missouri, 837 S.W.2d 363, 367 (Mo. App. 1992). Total disability means the "inability to return to any reasonable or normal employment." An injured employee is not required, however, to be completely inactive or inert in order to be totally disabled. See Brown v. Treasurer of State of Missouri, 795 S.W.2d 479, 483 (Mo. App. 1990). The key question is whether any employer in the usual course of business would reasonably be expected to employ the employee in that person's present physical condition, reasonably expecting the employee to perform to work for which he or she entered. See Reiner at 367, Thornton v. Haas Bakery, 858 S.W.2d 831, 834 (Mo. App. 1993), and Garcia v. St. Louis County, 916 S.W.2d 263 (Mo. App. 1995).
The first question to be addressed is whether the employee is permanently and totally disabled. There is credible medical and vocational evidence to support his claim of permanent and total disability.
Dr. Lange stated that the employee's prognosis was only fair; the employee was unable to perform his previous occupation; would require significant restrictions; and was functioning at the sedentary physical demand level which is negligible lifting. It was his opinion that the employee would be permanently and totally disabled. Ms. Abram stated it would be very difficult for the employee to get and maintain a job in the open labor market. It was her opinion that that the employee was not able to be gainfully employed in the open labor market.
It was Dr. Musich's opinion that the employee would not be able to return to any type of job that he performed at Federal Mogul due to persistent post-traumatic symptoms; and that he was totally and permanently disabled. It was Mr. England's opinion that the employee would not
be able to compete successfully for or sustain employment in the long run. It was his opinion that the employee would not be able to sustain any type of work on a consistent basis; and that the employee was totally disabled from a vocational standpoint.
I find that the opinions of Dr. Musich, Dr. Lange, Ms. Abram, and Mr. England are credible and persuasive regarding whether the employee is permanently and totally disabled.
In addition to both the medical and vocational evidence, I find that the employee was a very credible witness on the issue of permanent total disability. The employee's testimony concerning the impact his injury has had on his daily ability to function either at home or in the work place is very credible and supports a conclusion that the employee will not be able to compete in the open labor market. Ms. Abram found the employee to be reliable and honest and believed that the employee has the physical limitations that he told her. I find that with his physical limitations, restrictions and pain it is extremely unlikely that any employer would reasonably be expected to hire the employee in his present physical condition.
The employee was observed prior to and during the course of the hearing. The employee walked with a cane and was moving slowly; requested a break during his testimony; and stood up and sat down during the hearing. The observations and opinions of the following physicians and vocational experts confirm my observations during the hearing. Dr. Yingling noted that the employee was using a cane and walked with a limp favoring his left leg. Dr. Musich noted that the employee ambulated with a limp and required the use of a cane for stability due to posttraumatic left leg weakness. Mr. England stated that the employee had trouble walking, had an obvious limp, and was using a quad cane for support. He needed to shift around quite a bit when seated. Ms. Abram stated that during her two hour interview the employee got up and moved around. These observations were important on the issue of permanent total disability.
I find that the employee is credible and is not exaggerating his complaints. Based on the credible testimony of the employee; the observed behavior of the employee; and the supporting medical and vocational rehabilitation evidence, I find that no employer in the usual course of business would reasonably be expected to employ the employee in his present physical condition and reasonably expect the employee to perform the work for which he is hired. I find that the employee is unable to compete in the open labor market and therefore is permanently and totally disabled.
Given the finding that the employee is permanently and totally disabled, the next issue is to determine whether the employer-insurer or the Second Injury Fund is liable for the employee's permanent total disability. Under Section 287.220.1 RSMo, the Second Injury Fund has no liability and the employer is responsible for full permanent total disability benefits if the last injury "considered alone and of itself," results in permanent total disability. See Roller v. Treasurer of the State of Missouri, 935 S.W. 2d 739 (Mo.App.1996), and Landman v. ICS, 107 S.W.3d 240, 248 (Mo. banc 2003). The Second Injury Fund is only liable for permanent total disability benefits if the permanent disability was caused by a combination of the pre-existing injuries and conditions and the employee's compensable work related accident and injury. Under
Section 287.220.1, the pre-existing injuries or conditions must have constituted a hindrance or obstacle to the employee's employment or re-employment.
The employee's credible testimony was that prior to August of 2005 he did not miss time from work and did not have any problems performing his job due to his prior injuries or conditions. He had no work restrictions, was not reprimanded, and had no special accommodations.
With regard to his low back, the employee testified that while he was in the Army in 1972 he had some back complaints and was treated once for it. The only medical records with regard to the back were two entries in May of 2004 by Dr. Hatfield. The employee had low back pain with symptoms in his left lower extremity, and was diagnosed with degenerative disc disease. These records were over a year and three months prior to the August of 2005 accident. The employee's credible testimony was that at the time of the August of 2005 accident he was not taking any medication for his back, and had no problems walking, bending, squatting or lifting. He was not having left leg problems including numbness or tingling. He stood on his feet all day and did a lot of squatting, bending, twisting and lifting; and worked a lot of overtime.
The employee testified that when he returned from Vietnam he experienced flashbacks and had some trouble sleeping. While working at Federal Mogul, he would leave his station and go to the bathroom. His post-traumatic stress disorder became worse later on. The medical records corroborate his testimony. The first mention in the medical records regarding posttraumatic stress disorder was in 2007. The VA records from June of 2007 showed that he had problems with post-traumatic stress disorder right after he returned from Vietnam. He tried to cope with it through alcohol and drugs which he quit in 1975. He had many years of stability until February of 2006 when his brother passed away which triggered the reoccurrence of symptoms in the employee.
The employee testified that from the time he was diagnosed with diabetes in 1996 through August of 2005, he took oral medications, did not miss any work, and his ability to work was not affected. His testimony is corroborated by the medical records of Dr. Hatfield. In 2001 there were no signs of diabetic eye disease. In 2003 and 2004, the home glucose readings were within normal limits and acceptable. In March of 2005, Dr. Hatfield noted that the employee was doing well but he had a little burning and numbness in his feet. The employee had no swelling of extremities, had bilateral foot pulses, and the monofilament test was normal. Dr. Hatfield stated that his feet appeared healthy and diagnosed early peripheral neuropathy.
The employee testified that he was diagnosed with a hearing loss while in the Army. The 2003 medical records show that an audiologist stated that the employee had left ear tinnitus, and had a hearing problem since 1970. The employee had fair bilateral word recognition.
Even though the employee was able to successfully work at Federal Mogul without too many difficulties, it was Ms. Abram's opinion that the pre-August of 2005 medical conditions were vocationally significant and impacted his ability to compete in the open labor market.
Dr. Lange stated that there was no evidence that the employee had any disability from employment as a result of diabetes. Mr. England stated that prior to August of 2005 the employee was not diagnosed with nor had complaints of any mental health problems, and did not exhibit any mental health issues that affected his ability to be employed. Mr. England stated that with his diabetes and hearing difficulties, he was able to handle his job duties and did not miss work. Dr. Musich did not believe that the diabetes, the back complaints of May of 2004 or the numbness in his feet in March of 2005 constituted any permanent partial disability, nor a hindrance to his work. It was Dr. Musich's opinion that the employee did not have any disability due to the low back prior to the August of 2005 injury. Dr. Musich did not find any disability existing to any part of the employee's body prior to the injury date and did not assign a permanent partial disability rating.
Based on the employee's credible testimony and a review of the medical records, I find the opinions of Dr. Musich and Mr. England persuasive and more credible than the opinions of Ms. Abram on whether the employee's pre-existing conditions were disabling and were a hindrance or obstacle to employment. I find that the employee's pre-existing conditions were not disabling, and were not a hindrance or obstacle to his employment or re-employment.
It was Dr. Lange's opinion that the employee had an approximate 20\% permanent partial impairment of the whole person based solely on the August 4, 2005 injury. It was his opinion that the employee's permanent total disability is the result of a combination of his work injury and his pre-existing conditions including his diabetes, back and psychological issues. It was Ms. Abram's opinion that the August 4, 2005 work injury alone did not prevent the employee from competing in the open labor market. It was her opinion that the employee was not able to be gainfully employed in the open labor market based on a combination of the employee's preexisting disabilities in conjunction with the August 4, 2005 back injuries.
It was Dr. Musich's opinion that the employee was totally and permanently disabled due to the work trauma of August of 2005. It was his opinion that the August of 2005 injury was the sole cause of the employee's permanent total disability. It was Mr. England's opinion that even considering the diagnoses before August of 2005, the low back difficulties since August of 2005 were enough to make him permanently and totally unemployable in the open labor market. Mr. England stated that the injury on August 8, 2005 was in and of itself the reason for the employee's permanent total disability.
Based on the evidence, I find that the opinions of Dr. Musich and Mr. England are more credible and more persuasive than the opinions of Dr. Lange and Ms. Abram on whether the employee's permanent and total disability was from the last injury alone and of itself.
Based on the credible testimony of the employee and the more credible medical and vocational evidence, I find that the employee's permanent total disability was caused solely by his August 4, 2005 accident and injury. The employee is not working due to the severe pain he is experiencing in his low back and left leg that resulted from the August 4, 2005 accident alone and of itself.
On June 8, 2006, Dr. Yingling did not recommend any further surgery; released the employee from his care and instructed the employee to follow-up with Dr. Moyers. I find that the employee was in his healing period through June 8, 2006. I find that as of June 9, 2006, no employer in the usual course of business would reasonably be expected to employ the employee in his physical condition and reasonably expect the employee to perform the work for which he is hired, and therefore was no longer able to compete in the open labor market and was permanently and totally disabled. I find that the employer-insurer is liable to the employee for permanent total disability benefits and is directed to pay the employee the sum of $\ 365.08 per week commencing on June 9, 2006, and continuing thereafter for the remainder of the employee's life or until suspended in accordance with Section 287.200 RSMo. I find that the Second Injury Fund has no liability in this case.
Since the employee has been awarded permanent total disability benefits against the employer, Section 287.200.2 RSMo mandates that the Division "shall keep the file open in the case during the lifetime of any injured employee who has received an award of permanent total disability". Based on this section, the Division and Commission should maintain an open file in the employee's case for purposes of reviewing the status of the employee's permanent disability pursuant to Section 287.200 RSMo.
ATTORNEY'S FEE: James Guirl, attorney at law, is allowed a fee of 25 % of all sums awarded under the provisions of this award for necessary legal services rendered to the employee. The amount of this attorney's fee shall constitute a lien on the compensation awarded herein.
INTEREST: Interest on all sums awarded hereunder shall be paid as provided by law.
Date: $\qquad$ Made by:
Lawrence C. Kasten<br>Chief Administrative Law Judge<br>Division of Workers' Compensation
A true copy: Attest:
Naomi Person
Division of Workers' Compensation