§ 39-A §154 — Dedicated fund; assessment on workers' compensation insurers and self-insured employers

The Workers' Compensation Board Administrative Fund is established to accomplish the purposes of this Act. All income generated pursuant to this section must be recorded on the books of the State in a separate account and deposited with the Treasurer of State and be credited to the Workers' Compensation Board Administrative Fund.
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. 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.
2.
Expenditures.
Expenditures from the Workers' Compensation Board Administrative Fund are subject to legislative approval and allocation in the same manner as appropriations are made from the General Fund. The joint standing committee of the Legislature having jurisdiction over appropriations and financial affairs shall approve the allocation.
3.
Assessment on workers' compensation insurance.
The following provisions apply regarding the Workers' Compensation Board assessment on workers' compensation insurance.
4.
Assessment on self-insured employers.
Every self-insured employer approved pursuant to section 403 shall, for the purpose of providing partial support and maintenance of the board, pay an assessment on aggregate benefits paid by each member pursuant to section 404, subsection 4. This assessment must be a dollar amount.
5.
Amounts of premiums and losses; distribution of assessment.
The Bureau of Insurance shall provide to the board the amounts of gross direct workers' compensation premiums written by each insurance carrier and the amounts of aggregate benefits paid by each self-insurer and group self-insurer on or before April 1st of each year. Beginning with the assessment for the fiscal year beginning July 1, 1995 and thereafter, the total assessment must be distributed between insurance companies or associations and self-insured employers in direct proportion to the pro rata share of disabling cases attributable to each group for the most recent calendar year for which data is available. This distribution of the assessment must be determined on a basis consistent with the information reported by the Department of Labor, Bureau of Labor Standards, Research and Statistics Division in its annual Characteristics of Work-Related Injuries and Illnesses in Maine publication, provided that any segment of the market identified as "not-insured" be excluded from the calculation of proportionate shares. In consultation with the Director of Labor Standards, the board shall determine a date prior to the required assessment to establish the distribution.
6.
Assessment.
Assessments levied under this section are subject to the following.
7.
Insurance company or association collections.
Insurance companies or associations shall bill and collect assessments under this section on insured employers. The assessments must be separately stated amounts on all premium notices and may not be reported as premiums for any tax or regulatory purpose or for the purpose of any other law. All collected payments must be submitted to the board with the next quarterly payment. The Bureau of Insurance shall report to the board all newly authorized workers' compensation carriers in order to facilitate notification to the new carrier of its obligations under this section.
8.
Violations.
Any insurance company, association or self-insured employer subject to this section that willfully fails to pay an assessment in accordance with this section commits a civil violation for which a forfeiture of not more than $500 may be adjudged for each day following the due date for which payment is not made.
9.
Deposit of funds; investment.
All revenues derived from assessments levied against insurance companies, associations and self-insured employers described in this section must be reported and paid to the Treasurer of State and credited to the Workers' Compensation Board Administrative Fund. The Treasurer of State may invest the funds in accordance with state law. All interest must be paid to the fund.
10.
Deposit of funds in Workers' Compensation Board Administrative Fund.
The Treasurer of State shall deposit in the Workers' Compensation Board Administrative Fund funds collected pursuant to section 152, subsection 14.
11.
Assessment errors.
12.
Audit.
In consultation with the Bureau of Insurance, the board may audit all returns and investigate any issues relevant to the collection and payment of any assessment under this section.

Legislative History

PL 1991, c. 885, §A8 (NEW). PL 1991, c. 885, §§A9-11 (AFF). PL 1993, c. 145, §§4,5 (AMD). PL 1993, c. 619, §§2,3 (AMD). PL 1995, c. 59, §§1-7 (AMD). PL 1997, c. 486, §5 (AMD). PL 1999, c. 359, §1 (AMD). PL 2001, c. 393, §1 (AMD). PL 2001, c. 692, §1 (AMD). PL 2003, c. 93, §1 (AMD). PL 2003, c. 425, §2 (AMD). PL 2007, c. 240, Pt. LL, §1 (AMD). PL 2009, c. 109, §1 (AMD). PL 2009, c. 109, §2 (AFF). PL 2015, c. 469, §1 (AMD). PL 2023, c. 17, Pt. R, §1 (AMD). PL 2025, c. 388, Pt. YYY, §1 (AMD).