An Act To Improve the Maine Workers' Compensation Act of 1992
Maine Legislature, Session 129, LD 0756
Committee Amendment CA_A_H603 (House)
Amends: 39-A MRSA §102, 39-A MRSA §152, 39-A MRSA §205, 39-A MRSA §211, 39-A MRSA §212, 39-A MRSA §213, 39-A MRSA §215, 39-A MRSA §221, 39-A MRSA §301, 39-A MRSA §325

FffiST REGULAR SESSION 
COMMITTEE AMENDMENT .. JI,, to H.P. 561, L.D. 756, Bill, "An Act To 
Improve the Maine Workers' Compensation Act of 1992" 
Amend the bill by striking out everything after the enacting clause and inserting the 
following: 
'Sec. 1. 39-A MRSA §102, sub-§4, ~' as amended by PL 2003, c. 437, §1, is 
further amended to read: 
H. "Average weekly wages, earnings or salary" does not include any fringe or other 
benefits paid by the employer that continue during the disability. Any fringe or other 
benefit paid by the employer that does not continue during the disability must be 
included for purposes of determining an employee's average weekly wage to the 
extent that the inclusion of the fringe or other benefit will not result in a weekly 
benefit amount that is greater than 2/3 of the state average weekly wage at the time of 
injury. The limitation on including discontinued fringe or other benefits only to the 
extent that such inclusion does not result in a weekly benefit amount greater than 2/3 
of the state average weekly wage at the time of injury does not apply if the injury 
results in the employee's death. For injuries occurring on or after January 1, 2020, 
any fringe or other benefit paid by the employer that does not continue during the 
disability must be included for purposes of determining an employee's average 
weekly wage to the extent that the inclusion of the fringe or other benefit will not 
result in a weekly benefit amount that is greater than 2/3 of 125% of the state average 
weekly wage at the time of injury. The limitation on including discontinued fringe or 
other benefits only to the extent that such inclusion does not result in a weekly benefit 
amount greater than 2/3 of 125% of the state average weeldy wage at the time of 
injury does not apply if the injury results in the employee's death. 
Sec. 2. 39-A MRSA §152, sub-§5, as amended by PL 2015, c. 297, §3, is further 
amended to read: 
5. Employment of and contracts with administrative law judges and mediators. 
The board shall obtain the services of persons qualified by background and training to 
serve as administrative law judges, who are authorized to take action and enter orders 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .;i,, to H.P. 561, L.D. 756 
consistent with this Act in all cases assigned to them by the board, and mediators. 
Beginning January 1. 2020, except for the reappointment of administrative law judges 
appointed prior to that date, the board may not contract for the services . of .or. employ 
administrative law judges without a vote supported by 5 of the 7 members of the board 
notwithstanding section 151. subsection 5. In the exercise of its discretion, the board may 
obtain the services of administrative law judges and mediators by either of the 2 
following methods: 
A. 
The board may contract for the services of administrative law judges and 
mediators, in which case 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 board may employ administrative law judges and mediators to serve at the 
pleasure of the board and who are not subject to the Civil Service Law. They are 
entitled to receive reimbursement of their actual, necessary and reasonable expenses 
incurred in the performance of their duties, consistent with policies established by the 
board. 
Sec. 3. 39-A MRSA §205, sub-§2, as enacted by PL 1991, c. 885, Pt. A, §8 and 
affected by §§9 to 11, is amended to read: 
2. Time for payment. +he Unless otherwise provided in this subsection, the first 
payment of compensation for incapacity under section 212 or 213 is due and payable 
within 14 days after the employer has notice or knowledge of the injury or death, on 
which date all compensation then accrued must be paid. Subsequent incapacity payments 
must be made weekly and in a timely fashion. Every insurance carrier, self-insured and 
group self-insurer shall keep a record of all payments made under this Act and of the time 
and manner of making the payments and shall furnish reports, based upon these records, 
to the board as it may reasonably require. 
A. There is no penalty for a failure to make a timely payment under this section if the 
first payment cannot be paid within 14 days due to an act of God, to a mistake of fact 
or to unavoidable circumstances. An employer's failure to timely report an injury for 
which proper notice was given is not an excuse for the insurer. 
B. If the end of the 14-day period the employer has not filed a notice of controversy, 
the employer shall begin payments as required by this subsection. 
C. An employer may cease payments as required under this subsection and file a 
notice of controversy with the board no later than 45 days after the employer has 
notice or knowledge of the injury or death. Payments may be made without prejudice 
under this paragraph and, if so made, do not constitute a compensation payment 
scheme. If the employer does not file a notice of controversy prior to the expiration 
of the 45-day period, payments may be discontinued or reduced only in accordance 
with subsection 9, paragraph B, subparagraph (1) unless the failure to file a notice of 
controversy within 45 days is due to an act of God. 
D. The penalty for the failure to make timely payment under this subsection is 
limited to the penalty established in subsection 3, and further consequences for the 
failure to make timely payment under this subsection are not a subject for 
rulemaking. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A" to H.P. 561, L.D. 756 
Sec. 4. 39-A MRSA §211, as amended by PL 2011, c. 647, §3, is further amended 
to read: 
§211. Maximum benefit levels 
Effective January 1, 1993, the maximum weekly benefit payable under section 212, 
or 215 is $441 or 90% of state average weekly wage, whichever is higher. Beginning 
on July 1, 1994, the maximum benefit level is $441 or 90% of the state average weekly 
wage as adjusted annually utilizing the state average weekly wage as determined by the 
Department of Labor, whichever is higher. If the injured employee's date of injury is on 
or after January 1, 2013, the maximum benefit level is $441 or 100% of the state average 
weekly wage as adjusted annually utilizing the state average weekly wage as determined 
by the Department of Labor, whichever is higher. If the injured employee's date of injury 
is on or after January 1. 2020. the maximum benefit level is $441 or 125% of the state 
average weekly wage as adjusted annually utilizing the state average weekly wage as 
determined by the Department of Labor, whichever is higher. 
Sec. 5. 39-A MRSA §212, sub-§4 is enacted to read: 
4. Annual adjustment. For dates of injury on or after January 1. 2020. beginning 
after the receipt of 260 weeks of benefits under this section. for an injury or injuries that 
contribute to benefits under this section. weekly compensation benefits under this section 
must be adjusted annually. The adjustment is equal to the actual percentage increase or 
decrease in the state average weekly wage. as computed by the Department of Labor. for 
the previous year or 5%. whichever is less. 
The annual adjustment must be made after the receipt of 260 weeks of benefits under this 
section and on each succeeding anniversary date of the injury. except that when the effect 
of the maximum benefit under section 211 is to reduce the amount of compensation to 
which the claimant would otherwise be entitled. the adjustment must be made annually on 
July 1st. 
Sec. 6. 39-A MRSA §213, sub-§1, ~, as amended by PL 2015, c. 297, §8, is 
further amended to read: 
B. If the injured employee's date of injury is on or after January 1, 2013 but before 
January 1. 2020, the weekly compensation is equal to 2/3 of the difference, due to the 
injury, between the employee's average gross weekly wages, earnings or salary before 
the injury and the average gross weekly wages, earnings or salary that the employee 
is able to earn after the injury, but not more than the maximum benefit under section 
211. An employee is not eligible to receive compensation under this paragraph after 
the employee has received a total of 520 weeks of compensation under section 212, 
subsection 1-A, this paragraph or both. 
The board may in the exercise of its 
discretion extend the duration of benefit entitlement beyond 520 weeks in cases 
involving extreme financial hardship due to inability to return to gainful employment. 
This authority may be delegated by the board, on a case-by-case basis, to an 
administrative law judge or a panel of 3 administrative law judges. The board, 
administrative law judge or panel shall make a decision under this paragraph 
expeditiously. A decision under this paragraph made by an administrative law judge 
or a panel of 3 administrative law judges may not be appealed to the board under 
section 320, but may be appealed pursuant to section 321-A. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" ,4 .. to H.P. 561, L.D. 756 
Orders extending benefits beyond 520 weeks are not subject to review more often 
than every 2 years from the date of the board order or request allowing an extension. 
Sec. 7. 39-A MRSA §213, sub-§1, 1C is enacted to read: 
C. If the injured employee's date of injury is on or after January 1. 2020, the weekly 
compensation is equal to 2/3 of the difference, due to the injury, between the 
employee's average gross weekly wages, earnings or salary before the injury and the 
average gross weekly wages. earnings or salary that the employee is able to earn after 
the injury, but not more than the maximum benefit under section 211. An employee 
is not eligible to receive compensation under this paragraph after the employee has 
received a total of 624 weeks of compensation under section 212, subsection 1-A, this 
paragraph or both. The board may in the exercise of its discretion extend the duration 
of benefit entitlement beyond 624 weeks in cases involving extreme financial 
hardship due to inability to return to gainful employment. This authority may be 
delegated by the board, on a case-by-case basis. to an administrative law judge or a 
panel of 3 administrative law judges. The board, administrative law judge or panel 
shall make a decision under this paragraph expeditiously. A decision under this 
paragraph made by an administrative law judge or a panel of 3 administrative law 
judges may not be appealed to the board under section 320, but may be appealed 
pursuant to section 321-A. 
Orders extending benefits beyond 624 weeks are not subject to review more often 
than every 2 years from the date of the board order or request allowing an extension. 
Sec. 8. 39-A MRSA §213, sub-§1-B, as enacted by PL 2011, c. 647, §8, is 
amended to read: 
1-B. Long-term partial incapacity; date of injury on or after January 1, 2013 
but before January 1, 2020. After the exhaustion of benefits under subsection 1, 
paragraph B for an injury occurring on or after January 1. 2013 but before January 1, 
2020, if the whole person permanent impairment resulting from the injury is in excess of 
18% and if the employee is working and the employee's earnings, as measured by average 
weekly earnings over the most recent 26-week period documented by payroll records or 
tax returns, is 65% or less of the preinjury average weekly wage, the employer shall pay 
weekly compensation equal to 2/3 of the difference between the employee's average 
weekly wage at the time of the injury and the employee's postinjury wage, but not more 
than the maximum benefit under section 211. In order for the employee to qualify for 
benefits under this subsection, the employee's actual earnings must be commensurate with 
the employee's earning capacity, which includes consideration of the employee's physical 
and psychological work capacity as determined by an independent examiner under 
section 312. In addition, in order for the employee to qualify for benefits under this 
subsection, the employee must have earnings from employment for a period of not less 
than 12 months within a 24-month period prior to the expiration of the 520-week 
durational limit under subsection 1, paragraph B. Compensation under this subsection 
must be paid at a fixed rate. 
While the employee is claiming or receiving extended partial incapacity benefits under 
this subsection, the employee shall complete and provide quarterly employment status 
reports and provide copies of current tax returns as early as practicable after the return is 
filed. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT"/+" to H.P. 561, L.D. 756 
The employee's entitlement to extended partial incapacity benefits under this subsection 
is determined based upon the facts that exist at the time of expiration of 520 weeks of 
benefits under subsection 1, paragraph B. If the employee is not entitled to extended 
partial incapacity benefits upon the expiration of 520 weeks of benefits under subsection 
1, paragraph B, the employee's entitlement to partial incapacity benefits expires. If the 
employee is entitled to extended partial incapacity benefits under this subsection, once 
the employee's earnings, as measured by average weekly earnings over the most recent 
26-week period, are equal to or greater than the preinjury average weekly wage, the 
employee's entitlement to extended partial incapacity benefits under this subsection 
terminates permanently. 
Sec. 9. 39-A MRSA §215, sub-§1-B is enacted to read: 
1-B. Death of employee; date of injury on or after January 1, 2020. If an injured 
employee's date .of injury is on or after January 1. 2020, if death results from the injµry .of 
the employee and if the employee has no dependents. the employer shall pay or cause to 
be paid to the parents of the employee during the parents' lifetime a weekly pavment 
equal to 2/3 of the employee's gross average weekly wages, earnings or salary, but not 
more than the maximum benefit under section 211, for a period of 500 weeks from the 
date of death. This subsection does not apply to an injury or death of an employee 
occurring before January 1. 2020, except that for a death of an employee resulting from 
an injury the. date of which is on or after January 1. 2019 but before January 1, 2020. 
payment made to the Treasurer of State under section 355, subsection 14, paragraph F 
must be transferred to the parents of the deceased employee. For the purposes of this 
subsection. "parent" means a natural or adoptive parent. unless that parent's parental 
rights have been terminated. 
Sec. 10. 39-A MRSA §221, sub-§1, ,in, as enacted by PL 1991, c. 885, Pt. A, §8 
and affected by §§9 to 11, is amended to read: 
B. Payments under a self-insurance plan, a wage continuation plan, paid time off or 
a disability insurance policy provided by the employer; or 
Sec. 11. 39-A MRSA §221, sub-§3, ,A, as amended by PL 2013, c. 152, §1, is 
further amended to read: 
A. The employer's obligation to pay or cause to be paid weekly benefits other than 
benefits under section 212, subsection 2 or 3 is reduced by the following amounts: 
(1) Fifty percent of the amount of the old-age insurance benefits received or 
being received under the United States Social Security Act. 
For injuries 
occurring on or after October 1, 1995, such a reduction may not be made if the 
old-age insurance benefits had started prior to the date of injury or if the benefits 
are spouse's benefits; 
(2) The after-tax amount of the payments received or being received under a 
self-insurance plan. paid time off or a wage continuation plan or under a 
disability insurance policy provided by the same employer from whom benefits 
under section 212 or 213 are received if the employee did not contribute directly 
to the plan or to the payment of premiums regarding the disability insurance 
policy. If the self-insurance plans, paid time off. wage continuation plans or 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT"/}" to H.P. 561, L.D. 756 
disability insurance policies are entitled to repayment in the event of a workers' 
compensation benefit recovery, the insurance carrier shall satisfy the repayment 
out of funds the insurance carrier has received through the coordination of 
benefits provided for under this section; 
(3) The proportional amount, based on the ratio of the employer's contributions 
to the total insurance premiums for the policy period involved, of the after-tax 
amount of the payments received or being received by the employee pursuant to a 
disability insurance policy provided by the same employer from whom benefits 
under section 212 or 213 are received, if the employee did contribute directly to 
the payment of premiums regarding the disability insurance policy; 
(5) The proportional amount, based on the ratio of that employer's contributions 
to the total contributions to the plan or program, of the after-tax amount of the 
pension or retirement payments received or being received by the employee 
pursuant to a plan or program established or maintained by the same employer 
from whom benefits under section 212 or 213 are received, regardless of whether 
the employee contributed directly to the pension or retirement plan or program; 
and 
(6) For those employers who do not provide a pension plan, the proportional 
amount, based on the ratio of the employer's contributions to the total 
contributions made to a qualified profit sharing plan under the United States 
Internal Revenue Code, Section 401(a) or any successor to the United States 
Internal Revenue Code, Section 401(a) covering a profit sharing plan that 
provides for the payment of benefits only upon retirement, disability, death, or 
other separation of employment to the extent that benefits are vested under the 
plan. 
Sec. 12. 39-A MRSA §221, sub-§3, ,ill is enacted to read: 
H. An employer may not offset paid time off under this subsection if the use of paid 
time off is mandated by the employer or if it is paid upon separation from the 
employer. 
Sec. 13. 39-A MRSA §301, first 1, as amended by PL 2011, c. 647, §16, is 
further amended to read: 
For claims for which the date of injury is prior to January 1, 2013, proceedings for 
compensation under this Act, except as provided, may not be maintained unless a notice 
of the injury is given within 90 days after the date of injury. For claims for which the 
date of injury is on or after January 1, 2013 and prior to January 1, 2020, proceedings for 
compensation under this Act, except as provided, may not be maintained unless a notice 
of the injury is given within 30 days after the date of injury. For claims for which the 
date of injury is on or after January 1, 2020, proceedings for compensation under this Act, 
except as provided, may not be maintained unless a notice of the injury is given within 60 
days after the date of injury. The notice must include the time, place, cause and nature of 
the injury, together with the name and address of the injured employee. The notice must 
be given by the injured employee or by a person in the employee's behalf, or, in the event 
COMMITTEE AMENDMENT 
COMMI1TEE AMENDMENT"~" to H.P. 561, L.D. 756 
of the employee's death, by the employee's legal representatives, or by a dependent or by 
a person in behalf of either. 
Sec. 14. 39-A MRSA §325, sub-§6 is enacted to read: 
6. Attorney's fees for lump-sum settlement in cases in which the injury occurred 
on or after January 1, 2020. In cases in which the injury to the employee occurred on 
or after January 1. 2020, attorney's fees for lump-sum settlements must be determined as 
follows. 
A. Before computing the fee, reasonable expenses incurred on the employee's behalf 
must be deducted from the total settlement, including: 
(l) Medical examination fee and witness fee; 
(2) Any other medical witness fee, including cost of subpoena; 
(3) Cost of court reporter service; and 
(4) Appeal costs. 
B. 
The computation of the fee, based on the amount resulting after deductions 
according to paragraph A, may not exceed 10%. 
C. If a lump-sum settlement includes any amount that is allocated for past due 
benefits, the administrative law judge shall review the allocation to make sure that it 
is not for an amount that is greater than what the employee is claiming. 
Sec. 15. 
Workers' Compensation Board; rulemaking. 
The Workers' 
Compensation Board may consider adopting a rule to establish time frames for the filing 
of any petition related to a controversy with the board if a full agreement is not reached 
by the parties after conclusion of any mediation pursuant to the Maine Revised Statutes, 
Title 3 9-A, section 313. 
Sec. 16. Study of advocate pay. No later than January 1, 2020, the Workers' 
Compensation Board shall study the advocate program established pursuant to the Maine 
Revised Statutes, Title 39-A, section 153-A, including the salary paid to advocates, and 
make recommendations for any changes to improve the advocate program and its 
representation of injured workers. The Joint Standing Committee on Labor and Housing 
may report out legislation to the Second Regular Session of the 129th Legislature based 
on the board's report. 
Sec. 17. Workers' Compensation Board to establish working group on 
certain issues; report. The Workers' Compensation Board shall convene a working 
group of stakeholders to evaluate issues related to work search and vocational 
rehabilitation requirements for injured workers and protections for injured workers whose 
employers have wrongfully not secured workers' compensation payments. On behalf of 
the working group, the Workers' Compensation Board shall report to the Joint Standing 
Committee on Labor and Housing by January 30, 2020 with recommendations and any 
8 
draft implementing legislation to address these issues. The Joint Standing Committee on 
Labor and Housing may report out legislation to the Second Regular Session of the 129th 
Legislature related to the report and recommendations.' 
COMMITTEE AMENDMENT 
COMMIITEE AMENDMENT "A" to H.P. 561, L.D. 756 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment replaces the bill, which is a concept draft. 
The amendment does the following. 
It amends the definition of "average weekly wages, earnings or salary" to clarify that, 
for an injury occurring on or after January 1, 2020, any fringe or other benefit paid by the 
employer that does not continue during the disability must be included to the extent that 
the inclusion of the fringe or other benefit will not result in a weekly benefit amount that 
is greater than 2/3 of 125% of the state average weekly wage at the time of the injury. 
It requires that the Workers' Compensation Board must vote with the support of 5 of 
the 7 members of the board to contract for the services of or to employ administrative law 
judges beginning January 1, 2020, except for the reappointment of administrative law 
judges appointed prior to January 1, 2020. 
It allows an exception to the requirement that the first payment must be made by an 
employer within 14 days after notice of the injmy or death if the payment cannot be made 
due to a factual mistake, an act of God or unavoidable circumstances. 
It increases the maximum benefit level to 125% of the state average weekly wage for 
an injmy occuning on or after January 1, 2020. 
It requires a cost-of-living adjustment to be applied in cases of total incapacity after 
weeks of benefits. 
It extends the cap of benefits for pattial incapacity from 520 weeks to 624 weeks. 
It eliminates the provision relating to the extension of benefits for partial incapacity if 
the whole person impairment resulting from the injury is in excess of 18% for an injury 
occurring after January 1, 2020. 
It clarifies how payments for paid time off are coordinated with workers' 
compensation benefits. 
It provides that, if a deceased employee has no dependents, the employer must pay 
benefits to the parents of the deceased employee for a period of 500 weeks. 
0 
It extends the notice of injury requirement from 3 0 days to 60 days. 
It caps the maximum percentage of attorney's fees that may be awarded at 10% in a 
lump-sum settlement in cases in which the injury occuned on or after January 1, 2020. 
It authorizes the Workers' Compensation Board to consider adopting a rule to 
establish time frames for the filing of any petition related to a controversy with the board 
if a full agreement is not reached by the parties after conclusion of any mediation 
pursuant to the Maine Revised Statutes, Title 39-A, section 313. 
It requires the Workers' Compensation Board to study the advocate program 
established pursuant to the Maine Revised Statutes, Title 39-A, section 153-A, including 
9 
the salary paid to advocates, and make recommendations for any changes to improve the 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT"~" to H.P. 561, L.D. 756 
advocate program and its representation of injured workers to the Joint Standing 
Committee on Labor and Housing no later than January 1, 2020. 
It directs the Workers' Compensation Board to convene a working group of 
stakeholders to evaluate issues related to work search and vocational rehabilitation 
requirements for injured workers and protections for injured workers whose employers 
have wrongfully not secured workers' compensation payments. On behalf of the working 
group, the Workers' Compensation Board is required to report to the Joint Standing 
Committee on Labor and Housing by January 30, 2020 with recommendations and any 
draft implementing legislation to address these issues. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Fiscal Detail and Notes 
Approved: 06/14/19 feaC!. 
LD756 
LR 1936(02) 
An Act To Improve the Maine Workers' Compensation Act of 1992 
Fiscal Note for Bill as Amended by Committee Amendment ~·{f/-/o 0)) 
Committee: Labor and Housing 
Fiscal Note Required: Yes 
Fiscal Note 
Current biennium cost increase - All Funds 
Current biennium cost increase - local units of government 
This bill makes changes to several laws related to workers' compensation benefits including 1) adding fringe and other 
benefits to the determination of the average weekly wage under certain conditions as long as it does not result in a 
weekly benefit greater than 2/3 of 125% of the state average weekly wage at the time of injury; 2) increasing the 
maximum weekly benefit from 100% to 125% of the state average weekly wage; 3) providing a cost-of-living 
adjustment in cases of total incapacity after 260 weeks of benefits; 4) extending the duration that benefits may be 
received for cases of partial incapacity from 520 weeks to 624 weeks; and 5) providing that an employer must pay 
benefits to parents of a deceased employee for 500 weeks if the deceased employee has no dependents. 
These provisions will increase the workers' compensation costs for all employers. The additional costs cannot be 
estimated at this time and will be reflected in future workers' compensation rates. 
The fiscal impact on the State as a direct reimbursement employer and to local units of government will depend on 
actual experience. 
LR 1936(02) - Fiscal Note - Page 1 of 1