LD 575
pg. 1
LD 575 Title Page An Act To Encourage Workers' Compensation Dispute Resolutions LD 575 Title Page
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LR 1517
Item 1

 
Be it enacted by the People of the State of Maine as follows:

 
Sec. 1. 39-A MRSA §153-A, sub-§8 is enacted to read:

 
8.__Advocate Program Fund.__The Advocate Program Fund,
referred to in this subsection as "the fund," is established
as a nonlapsing dedicated fund within the board.__Surcharges
collected pursuant to section 313, subsection 6 and section
318-A must be deposited in the fund.__The board shall use 100%
of the resources in the fund to defray costs associated with
the advocate program established pursuant to this section.

 
Sec. 2. 39-A MRSA §313, sub-§6 is enacted to read:

 
6.__Surcharge.__If, at the conclusion of mediation, an
agreement is reached under which the employee obtains or
retains more benefits than were offered to the employee by the
employer prior to the initiation of mediation, the board may
assess a surcharge against the employer in the amount of $500.__
Funds collected pursuant to this subsection must be deposited
in the Advocate Program Fund, established under section 153-A,
subsection 8.

 
Sec. 3. 39-A MRSA §318-A is enacted to read:

 
§318-A.__Surcharge

 
If a hearing officer issues a decision under which an
employee obtains or retains more benefits than were offered to
the employee by the employer prior to the initiation of the
hearing, the board may assess a surcharge in the amount of
$1,500 against the employer.__Funds collected pursuant to this
section must be deposited in the Advocate Program Fund,
established under section 153-A, subsection 8.

 
SUMMARY

 
The purpose of this bill is to encourage resolution of
workers' compensation disputes prior to mediation and hearing.
This bill authorizes the Workers' Compensation Board to levy a
$500 surcharge on an employer if, at the conclusion of
mediation, the employee obtains or retains more benefits than
the employer had offered prior to mediation. The bill
authorizes a $1,500 surcharge on an employer if, at the
conclusion of the hearing, the employee obtains or retains
more benefits than the employer had offered prior to hearing.
Under the bill, these surcharges are deposited in a dedicated
fund to be used to defray the costs of the workers'
compensation advocate program.


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