Associated Press Writer

By DALE WETZELBy DALE WETZEL

Former Gov. Ed Schafer, who was stripped of his power to run North Dakota's workers compensation agency a decade ago, says fellow Republican Gov. John Hoeven isn't trying hard enough to get the authority back.

"You've got a governor that's not standing up for what should be done for the rights of injured workers, and for the people of North Dakota," Schafer said of Hoeven.

Schafer intends to speak today at a Senate Industry, Business and Labor Committee hearing for legislation, sponsored by Sen. Joel Heitkamp, D-Hankinson, that would restore the governor's power to hire the state's workers compensation director.

"I think he should be testifying, and twisting arms," Schafer said of Hoeven. "I think he should be doing everything he can. He is not doing enough."

Both the state House and Senate are controlled by Republicans. Hoeven said lawmakers know he supports restoring the governor's power to hire the workers compensation director, and said he favored a more low-key advocacy approach.

"Really, it's up to (legislators) now to determine how they're going to move forward," Hoeven said. "On all these issues, we try to decide how to work them the most effectively."

Hoeven said neither he nor any member of his staff would be testifying for the legislation at Monday's hearing.

"I don't testify on any bills," the governor said. "I haven't before, and I don't expect I would now."

Under present law, an appointed 11-member board is in charge of hiring the top administrator for the Workforce Safety and Insurance agency. Six of the members represent businesses and three represent workers. One member represents the North Dakota Medical Association, while the 11th member serves at large.

The arrangement started in 1997, when the Republican-controlled Legislature endorsed it over Schafer's veto. Schafer has described the fight as one of the most disappointing events of his political career, and complained his GOP legislative and business allies "threw me in the river" over the issue.

Backers of the proposal said then it would help remove political influence from the workers compensation agency's decisions, and promote more stable management.

The argument for change has been given some momentum by a recent state audit, which concluded Workforce Safety and Insurance had not been following state rules on contracting, procurement and hiring.

Many department employees believe top managers play favorites in hiring and promotions, and are willing to retaliate against dissenters, the audit said. Agency employees do not have civil service protection.

The agency's director, Sandy Blunt, has said WSI is addressing problems highlighted in the audit. He has said he does not tolerate playing favorites or retribution against employees who talk about agency problems.

Heitkamp sponsored a similar bill two years ago, which had no Republican sponsors and was defeated in the Senate on a party-line vote. This year, Heitkamp has one Democratic sponsor, Forman Rep. Bill Amerman, and two Republicans, Jamestown Sen. David Nething and Pettibone Rep. Duane DeKrey.

In 1997, Heitkamp was one of the Democratic senators who supported putting the board in charge of hiring the workers compensation director.

"We made a mistake then. It was a bipartisan mistake, and I was one of the people who made the mistake," Heitkamp said. "And now we need to have a bipartisan fix."

Schafer said he was not optimistic the bill would be approved. Most legislators, Schafer said, "don't want to make waves on this."

"I'm disappointed in that," Schafer said. "And I'm disappointed that Gov. Hoeven isn't standing up on this deal, and saying, this should be back and accountable to the people of North Dakota, and the way to do that is to put it back in the governor's cabinet."

The bill is SB2292.