An Act To Generate Savings in the Unemployment Compensation Fund
Maine Legislature, Session 122, LD 0573
Committee: Labor
Sponsors: CLUKEY, MILLETT, DOW, CARR, JOY, SHERMAN, THOMAS
Amends: 26 MRSA §1193

Legislative Document 
No. 573 
S.P. 181 
In Senate, February 3, 2005 
An Act To Generate Savings in the Unemployment Compensation 
Fund 
Reference to the Committee on Labor suggested and ordered printed. 
Presented by Senator CLUKEY of Aroostook. 
Cosponsored by Representative MILLETT of Waterford and 
JOY J. O'BRIEN 
Secretary of the Senate 
Senator: DOW of Lincoln, Representatives: CARR of Lincoln, JOY of Crystal, SHERMAN of 
Hodgdon, THOMAS of Ripley. 
Prinled on m:ycled _ 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 26 MRSA §1193, sub-§7-A,· as enacted by PL 1985, c. 
420, §2, is amended to read: 
7-A. 
Absence 
from work due to incarceration. 
For 
the 
duration of sis the claimant's 
unemployment 
subsequent to 
a 
discharge arising from sis the claimant's absence from work for 
more than 2 workdays due to sis the claimant's incarceration for 
conviction 
of 
a 
criminal 
offense. 
This 
disqualification 
continues 
until 
the 
claimant 
has 
earned 
times 
sis 
the 
claimant's weekly benefit amount in employment by an employer; e~ 
Sec. 2. 26 MRSA §1193, sub-§9, as enacted by PL 1981, c. 149, 
§4, is amended to read: 
9. 
Receiving pension. 
For any week with respect to which 
se the individual is receiving a governmental or other pension, 
retirement or retired pay, annuity or any other similar periodic 
payment under 
a plan maintained or contr ibuted to by a 
base 
period 
or 
chargeable 
employer; 
except 
that 
se--£Ra~± 
the 
individual must receive benefits reduced, but not below zero, as 
follows: 
A. 
By the prorated weekly amount of the pension after 
deduction of that portion of the pension that is directly 
attributable to the percentage of the contributions made to 
the plan by that individual; 
B. 
By the entire prorated weekly amount of the pension if 
paragraph A or C does not apply; or 
C. 
By no part of the pension if the entire contributions to 
the 
plan 
were 
provided 
by 
the 
individual 
or 
by 
the 
individual 
and 
an 
employer, 
or 
any 
other 
person 
or 
organization, 
who 
is 
not 
a 
base 
period 
or 
chargeable 
employer. 
No reduction may be made under this subsection by reason of the 
receipt of a pension if the services performed by the individual 
during 
the 
base period, 
or 
remuneration 
received 
for 
these 
services, 
for 
the 
employer 
did 
not affect 
the 
individual's 
eligibility 
for, 
or 
increase 
the 
amount 
of 
that 
pension, 
retirement or 
retired pay, 
annuity or 
similar 
payment. 
The 
conditions specified by this paragraph ssa±± do not apply to 
pensions paid under the United States Social Security Act or the 
Railroad Retirement Act of 1974, or the corresponding provisions 
of prior 
law. 
Payments 
made 
under those Acts 
ssa±± must be 
treated solely in the manner specified by paragraphs A, Band CTL 
or 
Sec.3. 26 MRSA §1193, sub-§10 is enacted to read: 
10. 
Receiye~1fOrke.rs' compensation 
lump 
sum settlement. 
For any week with respect to which the claimant received an 
indemnity payment as part of a workers' 
compensation lump sum 
_settlement. 
If the payment received is less than the benefits 
that would otherwise be due under this chapter, the claimant is 
entitled 
to 
receive 
for 
that 
week, 
if 
otherwise 
eligible, 
benefits reduced by the amount of the payment, 
rounded to the 
nearest lower full dollar amount. 
The indemnity portion of the 
workers' compensation lump sum settlement must be prorated and 
applied in a reasonable manner that may include application to 
weeks both before and after the date of the receipt of the 
settlement. 
The 
parties 
to 
the 
settlement shall 
payments included in the lump sum and 
Labor 
of 
such 
settlements 
if 
a 
identify 
the 
types 
of 
notify the Department of 
claim 
for 
unemployment 
compensation is filed. 
SUMMARY 
This bill requires the reduction of unemployment benefits to 
any individual who receives an indemnity payment as part of a 
workers' compensation lump sum settlement. 
The indemnity portion 
of the workers' compensation lump sum settlement must be prorated 
and applied in a reasonable manner that may include application 
to weeks both before and after the date of the receipt of the 
settlement.