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S T A T E   O F   M A I N E

WORKERS' COMPENSATION BOARD

27 State House Station

Augusta, Maine  04333-0027

FAX (207) 287‑7198

TEL (207) 287‑7086

 

MEMORANDUM

 

Date Sent:  Aug 24 2009

 

           TO:     Parties Interested in Board Rulemaking

 

   SUBJECT:     Adopted Rules

Rule Chapter 2(2)(9) - 2009 Extension of Benefits

 

 

 

The Maine Workers' Compensation Board has adopted the attached rules.  The effective date of the rules is August 17, 2009.

 

 

AGENCY CONTACT PERSON:    John C. Rohde, General Counsel

                    AGENCY NAME:     Workers' Compensation Board

                             ADDRESS:     27 State House Station

                                                   Augusta, Maine  04333-0027

                         TELEPHONE:     207-287-7086

                                  EMAIL:     John.Rohde@Maine.gov

 

Please Note:       Most offices will only receive one copy of this notification.  Please ensure that copies are distributed to your staff.  Thank you.

If you no longer wish to receive these mailings, please contact:

Lynne McKenney, Secretary Associate Legal

Workers' Compensation Board

27 State House Station

Augusta, Maine  04333-0027

Tel:  (207) 287-7086 / Fax:  (207) 287-7198

Email:  Lynne.McKenney@Maine.gov

It would be helpful if you would include the three digit code located on the mailing label when writing or calling.

                                                                                                                                                  MAPA-4

                     Notice of Agency Rule-making Adoption

 

 

AGENCY:  WORKERS’ COMPENSATION BOARD

 

 

CHAPTER NUMBER AND TITLE: 

Chapter 2(2)(9) - 2009 Extension of Benefits

 

 

ADOPTED RULE NUMBER: 

(LEAVE BLANK - ASSIGNED BY SECRETARY OF STATE)

 

 

CONCISE SUMMARY  (UNDERSTANDABLE BY AVERAGE CITIZEN):

 

Because Maine’s frequency of disabling cases is less than the national average, the Board is proposing to extend the benefit limitation by 52 weeks.

 

 

 

 

EFFECTIVE DATE  (TO BE FILLED IN BY SECRETARY OF STATE):

 

 

 

AGENCY CONTACT PERSON:      John C. Rohde, General Counsel

                          AGENCY NAME:      Workers’ Compensation Board

                                    ADDRESS:      27 State House Station

Augusta, Maine  04333-0027

                               TELEPHONE:      207-287-7086

                                           EMAIL:      John.Rohde@Maine.gov

 

                                      Please approve bottom portion of this form and

                                              assign appropriate MFASIS number.

 

APPROVED FOR PAYMENT                                                       DATE:                     

Authorized signature

 

FUND             AGENCY           ORG            APP           JOB             OBJT             AMOUNT

 

014                 90C                    2001            01

90-351                   WORKERS' COMPENSATION BOARD

Chapter 2:             SECTION 213 COMPENSATION FOR PARTIAL INCAPACITY

 

*              *              *              *              *

§ 2.         Extension of 260­week limitation

 

                1.             The 260­week limitation referenced in 39­A M.R.S.A. §213(4) shall not be extended for 52 weeks on January 1, 1998 because the frequency of such cases involving the payment of benefits under §212 or §213 is greater than the national average based on frequency from the 1997 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

2.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall be extended for 52 weeks on January 1, 1999 because the frequency of such cases involving the payment of benefits under §212 or §213 is no greater than the national average based on frequency from the 1998 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                3.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall be extended for 52 weeks on January 1, 2000 because the frequency of such cases involving the payment of benefits under §212 or §213 is no greater than the national average based on frequency from the 1999 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                4.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall not be extended for 52 weeks on January 1, 2004 because the frequency of such cases involving the payment of benefits under §212 or §213 is greater than the national average based on frequency from the 2003 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                5.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall not be extended for 52 weeks on January 1, 2005 because the frequency of such cases involving the payment of benefits under §212 or §213 is greater than the national average based on frequency from the 2004 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                6.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall not be extended for 52 weeks on January 1, 2006 because the frequency of such cases involving the payment of benefits under §212 or §213 is greater than the national average based on frequency from the 2005 Statistical Bulletin issued by the National Council on Compensation insurance.

 

                7.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall be extended for 52 weeks on January 1, 2007 because the frequency of such cases involving the payment of benefits under §212 or §213 is no greater than the national average based on frequency from the 2006 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                8.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall be extended for 52 weeks on January 1, 2008 because the frequency of such cases involving the payment of benefits under §212 or §213 is no greater than the national average based on frequency from the 2007 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                9.             The 260-week limitation referenced in 39-A M.R.S.A. §213(4) shall be extended for 52 weeks on January 1, 2009 because the frequency of such cases involving the payment of benefits under §212 or §213 is no greater than the national average based on frequency from the 2008 Statistical Bulletin issued by the National Council on Compensation Insurance.

 

                                           Rule-Making Fact Sheet

                                                            (5 MRSA  § 8057-A)

 

AGENCY:  WORKERS’ COMPENSATION BOARD

 

NAME, ADDRESS, PHONE NUMBER OF AGENCY CONTACT PERSON:

John C. Rohde, General Counsel, Workers’ Compensation Board, 27 State House Station, Augusta ME  04333-0027  TEL:  208-287-7086 

EMAIL: John.Rohde@Maine.gov

 

CHAPTER NUMBER AND RULE TITLE: 

Rule Chapter 2(2)(9) - 2009 Extension of Benefits

 

 

STATUTORY AUTHORITY:  39-A M.R.S.A. § 152(2) and 213(4)

 

DATE AND PLACE OF PUBLIC HEARING:  Monday, March 23, 2009, 9:00 a.m.

Workers' Compensation Board, Central Office, AMHI Complex, Deering Building, First Floor, Room 170, Hospital Street, Augusta, Maine

 

COMMENT DEADLINE:  Thursday, April 2, 2009, 5:00 p.m.

 

PRINCIPAL REASON OR PURPOSE FOR PROPOSING THIS RULE:

The Board is required to examine Maine’s frequency annually to determine whether or not the benefits limitation in section 213 must be extended by 52 weeks.

 

 

ANALYSIS AND EXPECTED OPERATION OF THE RULE:

The benefit limitation on partial incapacity benefits will be extended to 520 weeks.

 

 

FISCAL IMPACT OF THE RULE:   

 

 

  FOR RULES WITH FISCAL IMPACT OF $1 MILLION OR MORE, ALSO INCLUDE:

 

ECONOMIC IMPACT, WHETHER OR NOT QUANTIFIABLE IN MONETARY TERMS:

INDIVIDUALS OR GROUPS AFFECTED AND HOW THEY WILL BE AFFECTED:

BENEFITS OF THE RULE:

 

 

            Note:  If necessary, additional pages may be used.

CHAPTER 2, § 2(9)

2009 Extension of Benefits

 

BASIS STATEMENT

 

            The amendment to Chapter 2, § 2 (9) implements 39-A M.R.S.A. § 213(4) which requires a 52-week extension of the limitation on partial incapacity benefits effective January 1 of each year if the frequency of cases involving payment of benefits under sections 212 and 213 is no greater than the national average.

 

SUMMARY OF COMMENTS

 

            Commentator 1 supports the draft rule as written because it complies with the provisions of 39-A M.R.S.A. § 213(4).

 

            Commentator 2 commented that total system costs will increase between 0.6% and 1.2% but that there will be no impact on loss costs.  The escrow provision, currently contained in NCCI’s loss costs for policy years 2001 and subsequent, will no longer be necessary if this rule is implemented.

 

            Commentator 3 believes the actuary should be directed to take into account the fact that different states have different waiting periods.

 

Response to Comments:

 

            The Board agrees that the draft rule complies with the provisions of 39-A M.R.S.A. § 213(4).  The statute does not permit an adjustment based on the fact that different states have different waiting periods.

 

 

 

 

COMMENTATORS

 

1.  Maine AFL-CIO; Benjamin Grant, Esquire (orally).

 

2.  National Council on Compensation Insurance, Inc.; Laura Backus Hall, State           Relations Executive.

 

3.  Workers’ Compensation Coordinating Council; Martha F.H. Mayo, Executive         Director.