An Act To Improve the Operation of the Workers' Compensation Board
Maine Legislature, Session 121, LD 0658
Committee: Labor
Sponsors: SMITH, EDMONDS, CANAVAN, DUPLESSIE, HATCH, HUTTON, PATRICK, MARTIN
Amends: 39-A MRSA §151, 39-A MRSA §152, 39-A MRSA §154

Legislative Document 
No. 658 
H.P.488 
House of Representatives, February 11,2003 
An Act To Improve the Operation of the Workers' Compensation 
Board 
Reference to the Committee on Labor suggested and ordered printed. 
Presented by Representative SMITH of Van Buren. 
Cosponsored by Senator EDMONDS of Cumberland and 
7Jf~/J7.~ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: CANAVAN of Waterville, DUPLESSIE of Westbrook, HATCH of 
Skowhegan, HUTTON of Bowdoinham, PATRICK of Rumford, Senator: MARTIN of 
Aroostook. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. I. 39·A MRSA §151, sub·§L as enacted by PL 1991, c. 885, 
Pt. A, §8 and affected by §§9 to 11, is amended to read: 
1. Board established. 
Pursuant to Title 5, section l2004-G, 
subsection 35, the Workers' Compensation Board is established as 
an independent board composed of 8 members. 
The members of the 
board must be appointed by the Governor wi thin 30 days after a 
new board member is authorized or a vacancy occurs, subject to 
review by the joint standing committee of the Legislature having 
jurisdiction over 
st;at;e--an4---M€-a-1--~eVeHl.ffieBt; labor matters and 
conf irmation by the Legislature. 
Notwi thstanding the provisions 
of Title 3, section 151, the designated committee shall complete 
its review of the appointments of the Governor within 15 days of 
the Governor's written notice of appointment and the vote of the 
Legislature must be taken no later than 7 days after the vote of 
the designated committee. 
Four members of the board must be representatives of management 
and 4 members must be representatives of labor. 
All management 
representatives must be appointed from a list provided by the 
Maine 
Chamber 
of 
Commerce 
and 
Industry 
or 
other 
bona 
fide 
organization 
or 
association 
of 
employers. 
All 
labor 
representatives must be from a list provided by the Executive 
Board of the Maine AFL-CIO or other bona fide labor organization 
or association of employees representing at least 10% of the 
Maine work force. 
Any list submitted to the Governor must have 
at least 4 times the number of names as there are vacancies for 
the group represented by the vacancies. 
A member of the board is not liable in a civil action for any act 
performed in good faith in the execution of duties as a board 
member. 
A member of the board may not be 
a 
lobbyist required to be 
registered with the Secretary of State, a service provider to the 
workers' 
compensation system or a 
representative of a 
service 
provider to the workers' compensation system. 
Members of the board hold office for staggered terms of 4 years, 
except for the initial members of the board. 
The terms of one 
member representing management and one member representing labor 
expire February 1st of each year. 
A member may not serve for 
more than 2 full terms. 
The Governor shall 
management and one 
February 1, 
1994; 
member representing 
ini tially designate one member representing 
member representing labor for terms expiring 
one member 
representing management 
and one 
labor for terms expiring February 1, 1995; 
Page l-LR1484(1) 
one member representing management and 
labor 
for 
terms 
exp~r~ng February 
1, 
representing management 
and one member 
terms expiring February 1, 1997. 
one member representing 
1996; 
and 
one 
member 
representing labor for 
Sec. 2. 39-A MRSA §151, sub-§5, as enacted by PL 1991, c. 885, 
Pt. A, §8 and affected by §§9 to 11, is amended to read: 
5. Voting requirements. 
The board may take action only by 
majority 
vote 
of 
its 
membership. 
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Sec. 3. 39-A MRSA §152, sub-§3, as enacted by PL 1991, c. 885, 
Pt. A, §8 and affected by §§9 to 11, is amended to read: 
3. 
Employment 
of executive director. 
The 
board 
shall 
employ an executive director who shall conduct the day-to-day 
operations of the board in accordance with policies establ ished 
by the board and otherwise implement board policy. 
Except as 
otherwise 
provided, 
the 
executive 
director 
shallr---a-t.---tBe 
aire€tieA-~-~~-aearar QQpoint the directors of the bureaus and 
divisions of the board and their deputies and assistants and hire 
personnel as necessary to administer this Act, subject to the 
Civil Service Law. 
The executive director 
is--aa-~~&&ifiea 
emp*eyee-seFviA~-~~-~~~~~~f-&ae-aeara holds office for a 
5-year term. 
The executive director may be removed only by a 
vote of a majority of the board. 
Sec. 4. 39-A MRSA §152, sub-§4, as amended by PL 1997, c. 486, 
§2, is further amended to read: 
4. 
Employment of general counsel. 
The board shall employ a 
general counsel, who is the legal adviser to the board and who 
shall perform such other duties as may be assigned by the board, 
and assistants as necessary. 
The general counsel aBa-assistaBts 
te-~~~r~~-eeYBse*-~~~~~~~-emp*eyeesr-~~¥€-~-tBe 
p*easYre-~--&~-eeaFa-~-are-£~-~~-Ee-~~~~~~-gerviee 
baw holds office for a 5-year term. 
The general counsel may be 
removed only by a vote of the majority of the board. 
Except as 
otherwise provided, the general counsel shall hire personnel as 
necessary to administer the general counsel' s duties under this 
Act, subject to the Civil Service Law. 
appoint 
a 
to 
section 
staff 
153-A. 
attorney to 
The 
staff 
The aeara general counsel shall 
advise 
the 
advocates 
pursuant 
attorney is subject to the Civil 
direction of the general counsel. 
Service Law and works under the 
Sec. 5. 39-A MRSA §152. sub-§§5 and 6~ as enacted by PL 1991-
c. 885, Pt. A, §8 and affected by §§9 to 11, are repealed. 
Sec. 6. 39-A MRS A §152-A is enacted to read: 
§152-A. 
Duties of executive director 
1. 
Pre:earation of budget. 
Subject to review and a];l1:>roval 
by th!il board, the executive director shall submit the biennial 
budget in accordance with Title 5, sections 1665 and 1666 and 
shall 
submit 
the 
annual 
budget in accordance with Title 
5, 
section 1667. 
2. Hearing officers. 
The executive director shall obtain 
the services of persons qualified by background and training to 
serve as hearing officers, who shall conduct all adjudicatory 
hearings arising under section 315, all proceedings ancillary to 
such hearings except as otherwise provided in this Title and any 
other adjudicatory proceedings of the board as assigned at the 
discretion of the executive director. 
The services of hearing 
officers may be obtained by either of the following methods: 
A. 
The executive director may contract for the services of 
hearing 
officers. 
If 
the 
executive 
director 
contracts 
directly with individual hearing officers, they must be paid 
reasonable 
per 
diem 
fees 
for 
their 
services 
plus 
reimbursement 
of 
their 
actual, 
necessary 
and 
reasonable 
expenses 
incurred 
in 
the 
performance 
of 
their 
duties, 
consistent with policies established by the board: or 
B. 
The executive director may appoint hearing officers to 
serve for 5-year terms. 
Hearing officers appointed pursuant 
to this paragraph are not subject to the Civil Service Law, 
are subject to removal by the executive director for good 
cause shown and may be appointed for additional 5-year terms 
at the pleasure of the executive director. 
Sec. 7. 39-A MRSA §154, sub-§2, as enacted by PL 1991-
c. 885, 
Pt. A, §8 and affected by §§9 to 11, is amended to read: 
2. 
Expenditures. 
i:HFeaEl.it;\i~es 
Except 
as 
provided 
in 
subsection 2-A. 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. 
Sec. 8. 39-A MRSA §154, sub-§2-A is enacted to read: 
A. 
Unanticipated expenses. 
Without legislative approval 
and allocation, the board may authorize expenditures of up to 10% 
of 
the Workers' 
Compensation 
Board Administrative 
Fund 
in 
a 
fiscal year for unanticipated expenses. 
SUMMARY 
This bill makes the following changes to the laws governing 
workers' compensation. 
1. 
It 
provides 
that 
appointments 
to 
the 
Workers' 
Compensation Board be reviewed by the joint standing committee of 
the Legislature having jurisdiction over labor matters, 
rather 
than state and local government matters. 
2. 
It authorizes the Workers' Compensation Board to appoint 
only 
the 
general 
counsel 
and 
the 
executive 
director, 
and 
authorizes the general counsel and the executive director to hire 
the remaining personnel. 
Under this bill, the executive director 
may either appoint or contract with hearing officers. 
3. 
It establishes 5-year terms for the executive director, 
the general counsel and the appointed hearing officers of the 
Workers' Compensation Board. 
4. 
counsel 
board. 
5. 
It specifies that the executive director and the general 
are removable on the vote of a simple majority of the 
It directs the executive director to submit the biennial 
and annual budgets. 
6. 
It authorizes the board, without legislative approval 
and allocation, to expend up to 10% of the Workers' Compensation 
Board Administrative Fund ln a 
fiscal year for unanticipated 
expenses.