An Act to Suspend the Remittance Obligation for Paid Family and
Maine Legislature, Session 132, LD 1307
Committee: Labor
Sponsors: BRADSTREET, BICKFORD

Legislative Document
No. 1307
S.P. 537
In Senate, March 27, 2025
An Act to Suspend the Remittance Obligation for Paid Family and 
Medical Leave Private Plan Users
(EMERGENCY)
Reference to the Committee on Labor suggested and ordered printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator BRADSTREET of Kennebec.
Cosponsored by Senator BICKFORD of Androscoggin and
Senators: CYRWAY of Kennebec, MARTIN of Oxford, STEWART of Aroostook, 
Representatives: FLYNN of Albion, FOSTER of Dexter, GUERRETTE of Caribou.
Emergency preamble.  Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, the State began imposing premiums on employers January 1, 2025 under 
the State's paid family and medical leave law; and
Whereas, under the State's plan, an employer that has a substantially equivalent 
private plan may be excepted from participating in the State's plan; and
Whereas, under rules adopted by the Department of Labor, employers cannot apply 
for the exception from the State's plan until after April 1, 2025; and
Whereas, this delay in the application and approval for an exception process causes 
employers that have a substantially equivalent private plan to continue to pay premiums 
for the State's plan, essentially requiring double payment for an equivalent benefit; and
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore,
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  Temporary suspension of mandatory payroll premiums for paid 
family and medical leave benefits program.  Notwithstanding the Maine Revised 
Statutes, Title 26, section 850-F, subsection 2, the mandatory remittance by an employer 
of the payroll premium imposed pursuant to Title 26, section 850-F, subsection 3 to support 
the paid family and medical leave benefits program established in Title 26, section 850-B 
is suspended until January 1, 2026.  An employer that wishes to continue participation in 
the program may continue to pay the payroll premium required by Title 26, section 850-F, 
subsection 2.
Sec. 2.  Rules establishing expedited exemption process and waiver of 
payroll premiums.  Pursuant to its rule-making authority under the Maine Revised 
Statutes, Title 26, section 850-Q, the Department of Labor shall amend 12-702 C.M.R. 
Chapter 1: Rules governing the Maine Paid Family and Medical Leave Program to 
implement an expedited approval process for private plans that meet the requirements of 
Title 26, section 850-H.  The rules must allow an employer that applies for an exemption 
from the plan to discontinue the payment of the payroll premium imposed pursuant to Title 
26, section 850-F, subsection 3 while the application is pending.  The rules must be in effect 
no later than November 1, 2025.
Emergency clause.  In view of the emergency cited in the preamble, this legislation 
takes effect when approved.
SUMMARY
This bill immediately suspends the payroll premiums imposed on employers under the 
paid family and medical leave benefits program until January 1, 2026, but allows an 
employer that wants to participate in the program to continue to pay the premiums.  The 
bill also requires the Department of Labor to amend its rules adopted for the program to 
establish an expedited process for approval of an employer's substitute private plan that is 
substantially equivalent to the program and to waive the payroll premiums during 
consideration of an employer's application for exemption.  The rules must be in effect no 
later than November 1, 2025.