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Special Fund Division v. Arizona Department of Transportation8/29/2000
t of $2.43 per month for the 1993 injury. Thus, the compensation attributable to both prior disabilities was deducted from the "entire disability" compensation of $748.62, precisely in compliance with A.R.S. ยง 23-1044(E). Because the effect of the 1988 injury was deducted once, it would have been error to follow the Special Fund's suggestion to deduct it again.
The method used by the ALJ in this case is fully consistent with our holding in Hoppin. In that case, the ALJ used a "short cut" to compute compensation by looking at an industrial injury in isolation and not in conjunction with another potentially disabling condition. See Hoppin, 143 Ariz. at 124-25, 692 P.2d at 303-04. We found use of that method improper because it could fail to evaluate properly the combined effect of two disabilities.
Here, in contrast, the ALJ gave full effect to the loss of earning capacity caused by the combined injuries. The residual earning capacity of $649.95 properly considered the effect of all three injuries. Claimant's "entire disability" was properly based on his entire loss of earning capacity: the 1988 loss of earning capacity ($516.49 in 1988 dollars) and the subsequent loss of earning capacity ($849.05).
Critical to the ALJ's approach in this case was the finding that Claimant's average monthly wage at the time of the subsequent injury fairly reflected Claimant's residual earning capacity from the prior injuries. Where such a finding is made, the method used by the ALJ here is appropriate.
CONCLUSION
For the foregoing reasons, we affirm the award and the decision on review.
JAMES M. ACKERMAN, Judge
CONCURRING: REBECCA WHITE BERCH, Presiding Judge, JAMES B. SULT, Judge
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