Sec. 1. 39-A MRSA §154, sub-§1, as enacted by PL 1991, c. 885, Pt. A, §8 and affected by §§9 to 11, is amended to read:

1. Use of fund. All money credited to the Workers' Compensation Board Administrative Fund must be used to support the activities of the board and for no other purpose. The fund may be used to reimburse an employee for mileage incurred in travel to undergo a medical examination required by an employer or the employer's insurer. Any balance remaining continues from year to year as a fund available for the purposes set out in this section and for no other purpose.

Sec. 2. 39-A MRSA §324, sub-§3, ¶B, as enacted by PL 1991, c. 885, Pt. A, §8 and affected by §§9 to 11, is amended to read:

B. The employer is liable to pay a civil penalty of up to $10,000, payable to the Employment Rehabilitation Fund Workers' Compensation Administrative Fund created in section 154.

SUMMARY

This bill provides that penalties paid by employers for failure to secure workers' compensation coverage as required by law must be paid to the Workers' Compensation Board Administrative Fund. Amounts paid to the fund from this source must be used to reimburse an employee for mileage incurred to undergo a medical examination required by an employer or the employer's insurer.