An Act Regarding Employer Payments for the Paid Family and
Maine Legislature, Session 132, LD 1169
Committee: Labor
Sponsors: SOBOLESKI, MARTIN
Amends: 26 MRSA §850-H

Legislative Document
No. 1169
H.P. 774
House of Representatives, March 20, 2025
An Act Regarding Employer Payments for the Paid Family and 
Medical Leave Benefits Program
Reference to the Committee on Labor suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative SOBOLESKI of Phillips.
Cosponsored by Senator MARTIN of Oxford and
Representatives: BAGSHAW of Windham, DRINKWATER of Milford, GREENWOOD of 
Wales, PERKINS of Dover-Foxcroft, QUINT of Hodgdon, SMITH of Palermo, WHITE of 
Guilford, Senator: HAGGAN of Penobscot.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  26 MRSA §850-H, sub-§9 is enacted to read:
9.  Refund of premiums.  An employer with a private plan that was in place on or 
before January 1, 2025 that is approved by the department pursuant to this section is entitled 
to a refund of premiums paid pursuant to section 850-F in accordance with this subsection.
A.  As used in this subsection, unless the context otherwise indicates, the following 
terms have the following meanings.
(1) "Approved employer" means an employer whose private plan was approved by 
the department pursuant to this section.
(2) "Premium" means the payroll premiums submitted pursuant to section 850-F, 
subsection 2.
B.  An approved employer, using a form prepared by the administrator, shall submit a 
request for a refund of the premiums paid by the approved employer, specifying the 
total amount of the premiums paid by the employer prior to approval of the plan.
C.  The administrator, upon receipt of the form from an approved employer, shall verify 
the amount of the refund requested and, within 90 days of receipt of the request, refund 
the approved employer the total of premiums paid, plus interest to the date of payment 
to the approved employer.  The rate of interest must be the same as calculated pursuant 
to Title 36, section 186.
Sec. 2. Form and refund information.  The Department of Labor shall develop 
and make available on its publicly accessible website a refund request form and information 
regarding the availability of a refund for employers whose private plan meets the 
requirements of and is approved by the department as a substitute plan under the Maine 
Revised Statutes, Title 26, section 850-H.  The department shall meet the requirements of 
this section no later than 45 days following the effective date of this Act.
SUMMARY
Current law allows an employer that has a private plan substantially equivalent to the 
paid family and medical leave plan established in the Maine Revised Statutes, Title 26, 
chapter 7, subchapter 6-C and administered by the Department of Labor to apply for and 
receive approval to not participate in the department's plan.  Until approval is given, the 
employer is responsible for the premiums of 1% of each employee's wages, 50% of which 
may be paid by the employee.
This bill allows an employer whose private plan is approved by the department to 
request a refund of the premiums paid if that employer had a substantially equivalent 
private plan in place on or before January 1, 2025, the date that premiums started to be due.  
The department or administrator, after verifying the amount paid by the employer, is 
required, within 90 days of receipt of the refund request, to refund the employer the 
premiums paid, plus interest that accrues to the date the refund payment is issued.  The bill 
also requires the department to make available information regarding the availability of a 
refund.