EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. Italics indicate opposite chamber/conference committee amendments. *hb0496* HOUSE BILL 496 K3 (2lr0610) ENROLLED BILL — Economic Matters/Finance — Introduced by Delegates Wilson, Valderrama Delegates Valderrama, Wilson, and Kelly Read and Examined by Proofreaders: _______________________________________________ Proofreader. _______________________________________________ Proofreader. Sealed with the Great Seal and presented to the Governor, for his approval this _______ day of _______________ at ________________________ o’clock, ________M. ______________________________________________ Speaker. CHAPTER ______ AN ACT concerning 1 Labor and Employment – Commission on the Establishment of a Labor and 2 Employment – Family and Medical Leave Insurance Program – Establishment –3 Establishment 4 (Time to Care Act 2022) 5 FOR the purpose of establishing the Commission on the Establishment of a Family and 6 Medical Leave Insurance Program in the Maryland Department of Labor to provide 7 certain benefits to individuals who take leave from employment for certain purposes; 8 establishing the Family and Medical Leave Insurance Fund as a special, nonlapsing 9 fund; requiring, beginning on a certain date, certain employees, employers, and 10 self–employed individuals to contribute to the Fund in a certain manner; requiring 11 the Secretary to establish the total rate of contribution and the percentages of the total 12 rate of contribution to be paid by certain employees and employers; requiring the 13 Secretary of Labor to establish a system of appeals for certain covered individuals; 14 2 HOUSE BILL 496 requiring that certain judicial review be allowed after a certain aggrieved party has 1 exhausted certain administrative remedies; requiring interest earnings of the Fund to 2 be credited to the Fund; and generally relating to the Family and Medical Leave 3 Insurance Program. in the Maryland Department of Labor to provide certain benefits 4 to individuals who take leave from employment for certain purposes; establishing 5 the Division of Family and Medical Leave Insurance in the Department to 6 administer the Program; establishing the Family and Medical Leave Insurance Fund 7 as a special, nonlapsing fund; requiring, beginning on a certain date, certain 8 employees, employers, and self–employed individuals to contribute to the Fund in a 9 certain manner; requiring the Division, under certain circumstances, to deduct and 10 withhold a certain amount from benefits paid; authorizing certain employees to bring 11 a certain action against certain employers for certain violations of this Act under 12 certain circumstances; requiring the Secretary of Labor to establish a system of 13 appeals for certain covered individuals; requiring that certain judicial review be 14 allowed after a certain aggrieved party has exhausted certain administrative 15 remedies; requiring interest earnings of the Fund to be credited to the Fund; to study 16 and make recommendations for establishing a Family Medical Leave and Insurance 17 Program in the State; providing that the intent of the General Assembly is to 18 establish a certain statutory framework for a family medical leave and insurance 19 program in the State that is effective not later than a certain date; and generally 20 relating to the Family and Medical Leave Insurance Program a State family and 21 medical leave insurance program. 22 BY adding to 23 Article – Labor and Employment 24 Section 8.3–101 through 8.3–1001 to be under the new title “Title 8.3. Family and 25 Medical Leave Insurance Program” 26 Annotated Code of Maryland 27 (2016 Replacement Volume and 2021 Supplement) 28 BY repealing and reenacting, without amendments, 29 Article – State Finance and Procurement 30 Section 6–226(a)(2)(i) 31 Annotated Code of Maryland 32 (2021 Replacement Volume) 33 BY repealing and reenacting, with amendments, 34 Article – State Finance and Procurement 35 Section 6–226(a)(2)(ii)144. and 145. 36 Annotated Code of Maryland 37 (2021 Replacement Volume) 38 BY adding to 39 Article – State Finance and Procurement 40 Section 6–226(a)(2)(ii)146. 41 Annotated Code of Maryland 42 (2021 Replacement Volume) 43 HOUSE BILL 496 3 BY adding to 1 Article – Labor and Employment 2 Section 8.3–101 through 8.3–1001 to be under the new title “Title 8.3. Family and 3 Medical Leave Insurance Program” 4 Annotated Code of Maryland 5 (2016 Replacement Volume and 2021 Supplement) 6 BY repealing and reenacting, without amendments, 7 Article – State Finance and Procurement 8 Section 6–226(a)(2)(i) 9 Annotated Code of Maryland 10 (2021 Replacement Volume) 11 BY repealing and reenacting, with amendments, 12 Article – State Finance and Procurement 13 Section 6–226(a)(2)(ii)144. and 145. 14 Annotated Code of Maryland 15 (2021 Replacement Volume) 16 BY adding to 17 Article – State Finance and Procurement 18 Section 6–226(a)(2)(ii)146. 19 Annotated Code of Maryland 20 (2021 Replacement Volume) 21 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22 That the Laws of Maryland read as follows the Laws of Maryland read as follows: 23 Article – Labor and Employment 24 TITLE 8.3. FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM. 25 SUBTITLE 1. DEFINITIONS; GENERAL PROVISIONS. 26 8.3–101. 27 (A) IN THIS TITLE THE FOL LOWING WORDS HAVE TH E MEANINGS 28 INDICATED. 29 (B) “APPLICATION YEAR ” MEANS THE 12–MONTH PERIOD BEGINNI NG ON 30 THE FIRST DAY OF THE CALENDAR WEEK IN WHI CH A COVERED INDIVID UAL FILES AN 31 APPLICATION FOR BENE FITS. 32 (C) “BENEFITS” MEANS THE MONEY PAYA BLE UNDER THIS TITLE TO A 33 COVERED INDIVIDUAL . 34 4 HOUSE BILL 496 (D) “COVERED EMPLOYEE ” MEANS AN EMPLOYEE WH O HAS WORKED AT 1 LEAST 680 HOURS OVER THE 12–MONTH PERIOD IMMEDIA TELY PRECEDING THE 2 DATE ON WHICH LEAVE IS TO BEGIN. 3 (E) “COVERED INDIVIDUAL ” MEANS A COVERED EMPL OYEE OR A 4 SELF–EMPLOYED INDIVIDUAL WHO ELECTS TO PARTIC IPATE IN THE PROGRAM 5 UNDER § 8.3–201 OF THIS TITLE. 6 (F) “DEPARTMENT ” MEANS THE MARYLAND DEPARTMENT OF LABOR. 7 (G) “DEPLOYMENT ” MEANS A SERVICE MEMB ER ACTING UNDER OFFI CIAL 8 ORDERS WHO , ON ANY DAY, IS PERFORMING SERVIC E IN A TRAINING EXER CISE OR 9 OPERATION AT A LOCAT ION OR UNDER CIRCUMSTANCE S THAT MAKE IT IMPOS SIBLE 10 OR INFEASIBLE FOR TH E SERVICE MEMBER TO SPEND OFF–DUTY TIME IN THE 11 HOUSING IN WHICH THE SERVICE MEMBER RESID ES WHEN ON GARRISON DUTY AT 12 THE SERVICE MEMBER ’S PERMANENT DUTY STA TION OR HOMEPORT . 13 (H) (1) “EMPLOYER” MEANS A PERSON OR GO VERNMENTAL ENTITY TH AT 14 EMPLOYS AT LEAST ONE INDIVIDUAL IN THE STATE. 15 (2) “EMPLOYER” DOES NOT INCLUDE AN INDIVIDUAL WHO : 16 (I) IS THE SOLE OWNER OF A SOLE PROPRIETORSHI P, LIMITED 17 LIABILITY COMPANY , C CORPORATION , OR S CORPORATION ; AND 18 (II) IS THE ONLY INDIVIDU AL EMPLOYED BY THE S OLE 19 PROPRIETORSHIP , LIMITED LIABILITY CO MPANY, C CORPORATION , OR S 20 CORPORATION . 21 (I) “FAMILY MEMBER ” MEANS: 22 (1) A BIOLOGICAL CHILD , AN ADOPTED CHILD , A FOSTER CHILD, OR A 23 STEPCHILD OF T HE COVERED INDIVIDUA L; 24 (2) A CHILD FOR WHOM THE COVERED INDIVIDUAL H AS LEGAL OR 25 PHYSICAL CUSTODY OR GUARDIANSHIP ; 26 (3) A CHILD FOR WHOM THE COVERED INDIVIDUAL S TANDS IN LOCO 27 PARENTIS, REGARDLESS OF THE CH ILD’S AGE; 28 (4) A BIOLOGICAL PARENT , AN ADOPTIVE PARENT , A FOSTER PARENT , 29 OR A STEPPARENT OF T HE COVERED INDIVIDUA L OR OF THE COVERED INDIVIDUAL’S 30 SPOUSE; 31 HOUSE BILL 496 5 (5) THE LEGAL GUARDIAN O F THE COVERED INDIVI DUAL OR THE 1 WARD OF THE COVERED INDIVIDUAL OR OF THE COVERED INDIVIDUAL ’S SPOUSE; 2 (6) AN INDIVIDUAL WHO ACTED AS A PARENT OR STOOD IN LOCO 3 PARENTIS TO THE COVE RED INDIVIDUAL OR TH E COVERED INDIVIDUAL ’S SPOUSE 4 WHEN THE COVERED IND IVIDUAL OR THE COVER ED INDIVIDUAL’S SPOUSE WAS A 5 MINOR; 6 (7) THE SPOUSE OF THE CO VERED INDIVIDUAL ; 7 (8) A BIOLOGICAL GRANDPARENT , AN ADOPTED GRANDPARE NT, A 8 FOSTER GRANDPARENT , OR A STEPGRANDPARENT OF THE COVERED INDIV IDUAL; 9 (9) A BIOLOGICAL GRANDCH ILD, AN ADOPTED GRANDCHIL D, A 10 FOSTER GRANDCHILD , OR A STEPGRANDCHILD OF THE COVERED INDIV IDUAL; OR 11 (10) A BIOLOGICAL SIBLING, AN ADOPTED SIBLING , A FOSTER SIBLING, 12 OR A STEPSIBLING OF THE COVERED INDIVIDU AL. 13 (J) “FUND” MEANS THE FAMILY AND MEDICAL LEAVE INSURANCE FUND 14 ESTABLISHED UNDER § 8.3–501 OF THIS TITLE. 15 (K) “GOVERNMENTAL ENTITY ” HAS THE MEANING STAT ED IN § 8–101 OF 16 THIS ARTICLE. 17 (L) “PROGRAM” MEANS THE FAMILY AND MEDICAL LEAVE INSURANCE 18 PROGRAM ESTABLISHED U NDER § 8.3–301 OF THIS TITLE. 19 (M) “QUALIFYING EXIGENCY ” MEANS ANY OF THE FOL LOWING REASONS FOR 20 WHICH LEAVE MAY BE N EEDED BY A FAMILY ME MBER OF A SERV ICE MEMBER: 21 (1) BECAUSE THE SERVICE MEMBER HAS RECEIVED NOTICE OF 22 DEPLOYMENT WITHIN 7 DAYS BEFORE THE DEPL OYMENT IS TO BEGIN ; 23 (2) TO ATTEND MILITARY E VENTS AND RELATED AC TIVITIES 24 INCLUDING FAMILY SUP PORT PROGRAMS RELATE D TO THE ACTIVE DUTY OF THE 25 SERVICE MEMBER ; 26 (3) TO ARRANGE , PROVIDE, OR ATTEND CHILD CARE OR SCHOOL 27 ACTIVITIES ONLY WHEN THE SERVICE MEMBER I S ON ACTIVE DUTY CAL L OR ACTIVE 28 DUTY STATUS; 29 6 HOUSE BILL 496 (4) TO MAKE FINANCIAL AN D LEGAL ARRANGEMENTS FOR THE 1 SERVICE MEMBER ’S ABSENCE OR BECAUSE OF THE ABSENCE; 2 (5) TO ATTEND COUNSELING THAT: 3 (I) IS NEEDED DUE TO THE ACTIVE DUTY OR CALL TO ACTIVE 4 DUTY STATUS OF THE S ERVICE MEMBER ; AND 5 (II) IS PROVIDED BY AN IN DIVIDUAL WHO IS NOT A LICENSED 6 HEALTH CARE PROVIDER ; 7 (6) TO SPEND UP TO 15 CALENDAR DAYS WITH A SER VICE MEMBER 8 WHO IS ON SHORT –TERM TEMPORARY REST AND RECUPERATION LEA VE DURING THE 9 PERIOD OF DEPLOYMENT ; 10 (7) TO ATTEND POSTDEPLOY MENT ACTIVITIES INCL UDING 11 REINTEGRATION SERVIC ES FOR A PERIOD OF 90 DAYS IMMEDIATELY FOL LOWING 12 THE TERMIN ATION OF ACTIVE STAT US; 13 (8) TO ATTEND TO MATTERS RELATED TO THE DEATH OF THE SERVICE 14 MEMBER WHILE ON ACTI VE DUTY STATUS ; 15 (9) TO ARRANGE FOR OR PR OVIDE ALTERNATIVE CA RE FOR A PARENT 16 OF THE SERVICE MEMBE R WHEN THE PARENT IS INCAPABLE OF SELF –CARE AND THE 17 COVERED ACTIVE DUTY OR CALL TO ACTIVE DU TY NECESSITATES A CH ANGE; OR 18 (10) BECAUSE OF ANY OTHER ISSUES THAT ARISE OU T OF ACTIVE DUTY 19 OR A CALL TO ACTIVE DUTY THAT AN EMPLOYE R AND COVERED EMPLOY EE AGREE 20 SHOULD BE COVERED . 21 (N) “SECRETARY” MEANS THE SECRETARY OF LABOR. 22 (O) (1) “SERIOUS HEALTH CONDIT ION” MEANS AN ILLNESS , AN INJURY, 23 AN IMPAIRMENT , OR A PHYSICAL OR MEN TAL CONDITION THAT I NVOLVES: 24 (I) INPATIENT CARE IN A HOSPITAL, HOSPICE, OR RESIDENTIAL 25 HEALTH CARE FACILITY ; 26 (II) CONTINUED TREATMENT BY A LICENSED HEALTH CA RE 27 PROVIDER; OR 28 (III) CONTINUED TREATMENT OR SUPERVISION AT HO ME BY A 29 LICENSED HEALTH CARE PROVIDER OR OTHER CO MPETENT INDIVIDUAL U NDER THE 30 SUPERVISION OF A LIC ENSED HEALTH CARE PR OVIDER. 31 HOUSE BILL 496 7 (2) “SERIOUS HEALTH CONDITION” INCLUDES AN ILLNESS , AN 1 INJURY, AN IMPAIRMENT , OR A PHYSICAL OR MEN TAL CONDITION DESCRI BED IN 2 PARAGRAPH (1) OF THIS SUBSECTION T HAT CONTINUES OVER A N EXTENDED PERIOD 3 OF TIME AND REQUIRES INTERMITTENT TREATME NT. 4 (P) “SERVICE MEMBER ” MEANS AN INDIVIDUAL WHO IS AN A CTIVE DUTY OR 5 FORMER MEMBER OF : 6 (1) THE UNITED STATES ARMED FORCES ; 7 (2) A RESERVE COMPONENT OF THE UNITED STATES ARMED FORCES ; 8 OR 9 (3) THE NATIONAL GUARD OF ANY STATE . 10 (Q) “TREATMENT” INCLUDES: 11 (1) EXAMINATIONS OR TEST ING TO DETERMINE THE EXT ENT TO 12 WHICH A SERIOUS HEAL TH CONDITION EXISTS OR PERSISTS; 13 (2) ONGOING OR PERIODIC EVALUATIONS OF THE S ERIOUS HEALTH 14 CONDITION; AND 15 (3) ACTUAL TREATMENT BY A HEALTH CARE PROVID ER. 16 8.3–102. 17 (A) (1) THIS SUBSECTION DOES NOT APPL Y TO THE DISCLOSURE OF 18 INFORMATION TO : 19 (I) A PUBLIC EMPLOYEE IN THE PERFORMANCE OF T HE PUBLIC 20 EMPLOYEE’S OFFICIAL DUTIES; 21 (II) THE INDIVIDUAL TO WH OM THE INFORMATION R ELATES; OR 22 (III) IF AN AUTHORIZED REP RESENTATIVE HAS THE SIGNED 23 AUTHORIZATION OF THE INDIVIDUAL TO WHOM THE INFORMATION RELATES, THE 24 AUTHORIZED REPRESENT ATIVE. 25 (2) AN EMPLOYEE OF THE DEPARTMENT MAY NOT DI SCLOSE 26 INFORMATION RELATING TO AN INDIVIDUAL WHO HAS APPLIED FOR OR R ECEIVED 27 BENEFITS UNDER THIS TITLE. 28 8 HOUSE BILL 496 (B) THIS TITLE PREEM PTS THE AUTHORITY OF A LOCAL JURISDICTION TO 1 ENACT A LAW ON OR AF TER JUNE 1, 2022, THAT ESTABLISHES A P AID FAMILY AND 2 MEDICAL LEAVE INSURA NCE PROGRAM FOR EMPL OYEES OF AN EMPLOYER OTHER 3 THAN THE LOCAL JURIS DICTION. 4 SUBTITLE 2. SCOPE OF TITLE. 5 8.3–201. 6 (A) IN THIS SECTION , “SELF–EMPLOYED INDIVIDUAL ” INCLUDES AN 7 INDIVIDUAL THAT : 8 (1) IS THE SOLE OWNER OF A SOLE PROPRIETORSHI P, LIMITED 9 LIABILITY COMPANY , C CORPORATION , OR S CORPORATION ; AND 10 (2) IS THE ONLY INDIVIDU AL EMPLOYED BY THE S OLE 11 PROPRIETORSHI P, LIMITED LIABILITY CO MPANY, C CORPORATION , OR S 12 CORPORATION . 13 (B) (1) A SELF–EMPLOYED INDIVIDUAL MAY ELECT TO PARTICI PATE IN 14 THE PROGRAM BY FILING A W RITTEN NOTICE OF ELE CTION WITH THE SECRETARY IN 15 ACCORDANCE WITH REGU LATIONS ADOPTED BY T HE SECRETARY. 16 (2) AN ELECTION MADE UNDE R PARAGRAPH (1) OF THIS SUBSECTION 17 BECOMES EFFECTIVE ON THE DATE THE WRITTEN NOTICE IS FILED. 18 (C) (1) IF A SELF–EMPLOYED INDIVIDUAL ELECTS TO PARTICIPAT E IN 19 THE PROGRAM UNDER SUBSECT ION (B) OF THIS SECTION , THE INDIVIDUAL SHALL 20 PARTICIPATE FOR AN I NITIAL PERIOD OF NOT LESS THAN 3 YEARS. 21 (2) ONCE THE INITIAL PART ICIPATION PERIOD EXP IRES, THE 22 SELF–EMPLOYED INDIVIDUAL MAY RENEW PARTICIPAT ION IN THE PROGRAM FOR A 23 PERIOD OF NOT LESS T HAN 1 YEAR. 24 (3) IF THE SELF–EMPLOYED INDIVIDUAL DOES NOT WISH TO REN EW 25 PARTICIPATION IN THE PROGRAM UNDER PARAGRA PH (2) OF THIS SUBSECTION , 26 WITHIN 30 DAYS BEFORE THE PART ICIPATION PERIOD EXP IRES, THE 27 SELF–EMPLOYED INDIVIDUAL SHALL NOTIFY THE SECRETARY IN WRITING OF THE 28 SELF–EMPLOYED INDIVIDUAL ’S WITHDRAWAL FROM TH E PROGRAM. 29 (D) DURING THE PERIOD A S ELF–EMPLOYED INDIVIDUAL PARTICIPATES IN 30 THE PROGRAM, THE SELF–EMPLOYED INDIVIDUAL SHALL PAY THE CONTRI BUTION 31 REQUIRED UNDER § 8.3–601 OF THIS TITLE. 32 HOUSE BILL 496 9 8.3–202. 1 THIS TITLE M AY NOT BE CONSTRUED TO DIMINISH AN EMPLO YER’S 2 OBLIGATION TO COMPLY WITH A COLLECTIVE BA RGAINING AGREEMENT O R AN 3 EMPLOYER POLICY THAT ALLOWS AN EMPLOYEE T O TAKE LEAVE FOR A L ONGER 4 PERIOD OF TIME THAN THE EMPLOYEE WOULD B E ABLE TO RECEIVE BE NEFITS 5 UNDER THIS TITLE. 6 8.3–203. 7 (A) AN EMPLOYEE’S RIGHT TO BENEFITS UNDER THIS TITLE MAY NOT BE 8 DIMINISHED BY A COLL ECTIVE BARGAINING AG REEMENT OR BY AN EMP LOYER 9 POLICY. 10 (B) AN AGREEMENT TO WAIVE THE EMPLOYEE ’S RIGHTS UNDER THIS TITLE 11 IS VOID AS AGAINST P UBLIC POLICY. 12 SUBTITLE 3. ESTABLISHMENT OF PROGRAM. 13 8.3–301. 14 THERE IS A FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM IN THE 15 DEPARTMENT . 16 8.3–302. 17 THE PURPOSE OF THE PROGRAM IS TO PROVIDE TEMPORARY BENEFITS T O A 18 COVERED INDIVIDUAL W HO IS TAKING LEAVE F ROM EMPLOYMENT : 19 (1) TO CARE FOR A CHILD DURING THE FIRST YEA R AFTER THE 20 CHILD’S BIRTH OR AFTER THE PLACEMENT OF THE CHI LD THROUGH FOSTER CA RE, 21 KINSHIP CARE, OR ADOPTION; 22 (2) TO CARE FOR A FAMILY MEMBER WITH A SERIOU S HEALTH 23 CONDITION; 24 (3) BECAUSE THE COVERED INDIVIDUAL H AS A SERIOUS HEALTH 25 CONDITION THAT RESUL TS IN THE COVERED IN DIVIDUAL BEING UNABL E TO 26 PERFORM THE FUNCTION S OF THE COVERED IND IVIDUAL’S POSITION; 27 (4) TO CARE FOR A SERVIC E MEMBER WHO IS THE COVERED 28 INDIVIDUAL’S NEXT OF KIN; OR 29 10 HOUSE BILL 496 (5) BECAUSE THE COVERED INDIVIDUAL HAS A QUA LIFYING EXIGENCY 1 ARISING OUT OF THE D EPLOYMENT OF A SERVI CE MEMBER WHO IS A F AMILY MEMBER 2 OF THE COVERED INDIV IDUAL. 3 SUBTITLE 4. ADMINISTRATION . 4 8.3–401. 5 THIS TITLE SHALL BE A DMINISTERED UNDER TH E SUPERVISION OF THE 6 SECRETARY. 7 8.3–402. 8 THE SECRETARY MAY DELEGAT E TO AN EMPLOYEE OF THE DEPARTMENT ANY 9 POWER OR DUTY THAT I S REASONABLE AND PRO PER FOR THE ADMINIST RATION OF 10 THIS TITLE. 11 8.3–403. 12 (A) THE SECRETARY, IN CONSULTATION WITH OTHER STATE AGENCIES AND 13 RELEVANT STAKEHOLDERS , SHALL: 14 (1) SUBJECT TO SUBSECTIO N (B) OF THIS SECTION , ADOPT 15 REGULATIONS NECESSAR Y TO CARRY OUT THIS TITLE; 16 (2) ESTABLISH PROCEDURES AND FORMS FOR FILING CLAIMS FOR 17 BENEFITS, INCLUDING: 18 (I) PROCEDURES FOR NOTIF YING AN EMPLOYER WITHIN 5 19 BUSINESS DAYS AFTER AN EMPLOYEE OF THE E MPLOYER FILES A CLAI M FOR 20 BENEFITS UNDER THIS TITLE; AND 21 (II) NOTICES OF ELECTIONS BY SELF–EMPLOYED INDIVIDUALS 22 FOR BENEFITS UNDER § 8.3–201 OF THIS TITLE; 23 (3) USE INFORMATION –SHARING AND INTEGRAT ION TECHNOLOGY TO 24 FACILITATE THE DISCL OSURE OF RELEVANT IN FORMATION OR RECORDS NEEDED 25 FOR THE ADMINISTRATI ON OF THIS TITLE; AND 26 (4) SUBJECT TO SUBSECTIO N (D) OF THIS SECTION , CARRY OUT A 27 PUBLIC EDUCATION PRO GRAM. 28 (B) THE REGULATIONS ADOPT ED UNDER SUBSECTI ON (A)(1) OF THIS 29 SECTION SHALL BE CON SISTENT WITH REGULAT IONS ADOPTED TO IMPL EMENT THE 30 HOUSE BILL 496 11 FEDERAL FAMILY AND MEDICAL LEAVE ACT AND ANY RELEVANT STATE LAWS TO 1 THE EXTENT THAT THE ADOPTED REGULATIONS DO NOT CONFLICT WITH THIS TITLE. 2 (C) (1) SUBJECT TO PARAGR APH (2) OF THIS SUBSECTION , A COVERED 3 INDIVIDUAL UNDER § 8.3–302(2), (3), (4), OR (5) OF THIS TITLE SHALL PROVIDE 4 CERTIFICATION FOR A CLAIM FOR BENEFITS U NDER THIS TITLE. 5 (2) A CERTIFICATION FOR A CLAIM FOR BENEFITS F OR A COVERED 6 INDIVIDUAL UNDER § 8.3–302(2), (3), OR (4) OF THIS TITLE SHALL INCLUDE: 7 (I) THE DATE ON WHICH TH E SERIOUS HEALTH CON DITION OF 8 THE FAMILY MEMBER , COVERED INDIVIDUAL , OR SERVICE MEMBER CO MMENCED; 9 (II) THE PROBABLE DURATIO N OF THE SERIOUS HEA LTH 10 CONDITION; 11 (III) THE APP ROPRIATE FACTS RELAT ED TO THE SERIOUS 12 HEALTH CONDITION WIT HIN THE KNOWLEDGE OF THE LICENSED HEALTH CARE 13 PROVIDER; 14 (IV) 1. FOR A CLAIM FOR BENE FITS UNDER § 8.3–302(2) OF 15 THIS TITLE, A STATEMENT THAT THE COVERED INDIVIDUAL N EEDS TO CARE FOR A 16 FAMILY MEMB ER AND AN ESTIMATE O F THE AMOUNT OF TIME REQUIRED TO PROVIDE 17 THE CARE; OR 18 2. FOR A CLAIM FOR BENE FITS UNDER § 8.3–302(3) OF 19 THIS TITLE, A STATEMENT THAT THE COVERED INDIVIDUAL I S UNABLE TO PERFORM 20 THE FUNCTIONS OF THE COVERED INDIVIDUAL ’S POSITION; AND 21 (V) 1. FOR A CERTIFICATION FOR INTERMITTENT LEA VE 22 UNDER § 8.3–302(2) OR (4) OF THIS TITLE, A STATEMENT THAT THE COVERED 23 INDIVIDUAL NEEDS TO CARE FOR A FAMILY ME MBER OR SERVICE MEMB ER AND THE 24 EXPECTED DURATION OF THE INTERMITTENT LEA VE; OR 25 2. FOR A CERTIFICATION OF I NTERMITTENT LEAVE 26 UNDER § 8.3–302(3) OF THIS TITLE, A STATEMENT THAT THE COVERED INDIVIDUAL 27 IS UNABLE TO PERFORM THE FUNCTIONS OF THE COVERED INDIVIDUAL ’S POSITION 28 AND THE EXPECTED DUR ATION OF THE INTERMI TTENT LEAVE. 29 (3) THE SECRETARY SHALL ESTABLISH : 30 (I) STANDARDS IN REGULAT ION FOR THE CERTIFIC ATION OF 31 CLAIMS FOR BENEFITS UNDER § 8.3–302(5) OF THIS TITLE; 32 12 HOUSE BILL 496 (II) STANDARDS FOR VERIFY ING THE IDENTITY OF A FAMILY 1 MEMBER FOR A CLAIM F OR BENEFITS UNDER § 8.3–302(2) OF THIS TITLE; AND 2 (III) PROCEDURES FOR AN EM PLOYER TO PROVIDE EV IDENCE OF 3 SUSPECTED FRAUD TO T HE SECRETARY. 4 (D) (1) THE SECRETARY MAY USE A P ORTION OF THE FUNDS PAID UNDER 5 § 8.3–601 OF THIS TITLE OR OTH ER AVAILABLE FUNDING TO PAY FOR AND CARRY 6 OUT THE REQUIREMENTS UNDER SUBSECTION (A)(4) OF THIS SECTION. 7 (2) MATERIALS USED IN THE PUBLIC EDUCATION PRO GRAM 8 REQUIRED UNDER SUBSE CTION (A)(4) OF THIS SECTION SHAL L BE MADE AVAILABLE 9 IN ENGLISH AND SPANISH. 10 8.3–404. 11 (A) SUBJECT TO § 8.3–905 OF THIS TITLE, TO ENFORCE THIS TITLE, THE 12 SECRETARY MAY : 13 (1) CONDUCT AN INVESTIGA TION UNDER THIS TITL E, ON THE 14 SECRETARY’S OWN INITIATIVE OR ON RECEIPT OF A WRIT TEN COMPLAINT ; 15 (2) ADMINISTER AN OATH ; 16 (3) CERTIFY TO AN OFFICI AL ACT; 17 (4) TAKE A DEPOSITION ; 18 (5) ISSUE A SUBPOENA FOR THE ATT ENDANCE OF A WITNESS TO 19 TESTIFY OR THE PRODU CTION OF BOOKS , CORRESPONDENCE , MEMORANDA , 20 PAPERS, OR OTHER RECORDS ; AND 21 (6) BRING A CIVIL ACTION IN THE COUNTY WHERE THE VIOLATION 22 ALLEGEDLY OCCURRED . 23 (B) (1) A SUBPOENA ISSUED UNDE R SUBSECTION (A)(5) OF THIS SECTION 24 SHALL BE SERVED IN A NY MANNER IN WHICH A SUBPOENA OF A COURT MAY BE 25 SERVED. 26 (2) IF A PERSON FAILS TO COMPLY WITH A SUBPOE NA ISSUED UNDER 27 SUBSECTION (A)(5) OF THIS SECTION ON A COMPLAINT FILED BY T HE SECRETARY, 28 THE CIRCUIT COURT FOR THE COUNTY WHERE THE INVESTIGAT ION IS BEING 29 CONDUCTED OR WHERE T HE PERSON RESIDES , IS PRESENT, OR TRANSACTS 30 HOUSE BILL 496 13 BUSINESS MAY ISSUE A N ORDER DIRECTING CO MPLIANCE WITH THE SU BPOENA OR 1 COMPELLING TESTIMONY . 2 (3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , A 3 PERSON MAY NOT BE EX CUSED FROM COMPLYING WITH A SUBPOENA ISSU ED UNDER 4 SUBSECTION (A)(5) OF THIS SECTION ON T HE GROUND THAT THE E VIDENCE OR 5 TESTIMONY REQUIRED M AY TEND TO INCRIMINA TE THE PERSON OR SUB JECT THE 6 PERSON TO A FORFEITU RE OR PENALTY. 7 (II) 1. EXCEPT AS PROVIDED IN SUBSUBPARAGRAPH 2 OF 8 THIS SUBPARAGRAPH , AFTER CLAIMING THE P RIVILEGE AGAINST 9 SELF–INCRIMINATION , A PERSON MAY NOT BE PROSECUTED OR SUBJEC TED TO ANY 10 FORFEITURE OR PENALT Y BECAUSE OF ANY MAT TER, THING, OR TRANSACTION 11 ABOUT WHICH THE PERSON I S COMPELLED TO PRODU CE EVIDENCE OR TESTI FY. 12 2. IF THE PERSON COMMITS PERJURY WHILE GIVING 13 TESTIMONY, THE PERSON IS SUBJEC T TO PROSECUTION FOR THAT OFFENSE . 14 8.3–405. 15 SUBJECT TO § 8.3–905 OF THIS TITLE, IN A CIVIL ACTION TO EN FORCE THIS 16 TITLE, THE SECRETARY AND THE STATE MAY BE REPRESEN TED BY: 17 (1) THE ATTORNEY GENERAL; OR 18 (2) ANY QUALIFIED ATTORN EY WHO: 19 (I) IS A SALARIED EMPLOY EE OF THE SECRETARY; AND 20 (II) ON RECOMMENDATION OF THE ATTORNEY GENERAL, IS 21 DESIGNATED TO REPRESENT THE SECRETARY OR THE BOARD OF APPEALS AND THE 22 STATE. 23 8.3–406. 24 (A) ON OR BEFORE SEPTEMBER 1 EACH YEAR, THE SECRETARY SHALL 25 SUBMIT TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE 26 GOVERNMENT ARTICLE, THE GENERAL ASSEMBLY AN ANNUAL REPORT ON THE 27 ADMINISTRATION AND O PERATION OF THIS TIT LE DURING THE IMMEDI ATELY 28 PRECEDING FISCAL YEA R. 29 (B) THE ANNUAL REPORT SHA LL INCLUDE INFORMATI ON REGARDING : 30 (1) PROJECTED AND ACTUAL PROGRAM PARTICIPATION RATES; 31 14 HOUSE BILL 496 (2) CONTRIBUTION RATES ; 1 (3) PROJECTED AND ACTUAL FUND BALANCES ; 2 (4) PUBLIC OUTREACH AND TECHNICAL ASSISTANCE EFFORTS; 3 (5) ALL ENFORCEMENT EFFO RTS; 4 (6) THE NUMBER AND STATU S OF COMPLAINTS UNDE R SUBTITLE 9 OF 5 THIS TITLE; 6 (7) THE COSTS OF ADMINIS TERING THE PROGRAM ATTRIBUTABLE TO 7 EACH OF THE FOLLOWIN G: 8 (I) EMPLOYERS; 9 (II) EMPLOYEES OF EMPLOYE RS; 10 (III) SELF–EMPLOYED INDIVIDUALS ; AND 11 (IV) THE STATE; 12 (8) THE STATE AGENCIES AND RE LEVANT STAKEHOLDERS THAT WERE 13 CONSULTED AS REQUIRE D UNDER THIS TITLE ; AND 14 (9) THE CAPABILITY AND C APACITY OF THE DEPARTMENT TO 15 ADMINISTER THE PROGRAM AS COMPARED T O THE FINDINGS AND 16 RECOMMENDATIONS OF T HE CAPABILITY AND CA PACITY STUDY COMPLET ED UNDER 17 § 5 OF CHAPTER _____ (H.B. 496) OF THE ACTS OF THE GENERAL ASSEMBLY OF 18 2022. 19 SUBTITLE 5. THE FAMILY AND MEDICAL LEAVE INSURANCE FUND. 20 8.3–501. 21 THERE IS A FAMILY AND MEDICAL LEAVE INSURANCE FUND. 22 8.3–502. 23 (A) THE SECRETARY SHALL ADMIN ISTER THE FUND. 24 (B) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT SUBJECT TO § 25 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 26 HOUSE BILL 496 15 (C) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , AND THE 1 COMPTROLLER SHALL ACC OUNT FOR THE FUND. 2 8.3–503. 3 (A) THE FUND CONSISTS OF : 4 (1) EMPLOYEE CONTRIBUTIO NS; 5 (2) SELF–EMPLOYED INDIVIDUAL CONTRIBUT IONS; 6 (3) EMPLOYER CONTRIBUTIO NS; 7 (4) MONEY PAID TO THE FUND FOR THE PURPOSE OF REIMBURSING 8 THE SECRETARY UNDER § 8.3–902 OF THIS TITLE FOR BE NEFITS PAID IN ERROR ; 9 (5) INTEREST EARNED ON M ONEY IN THE FUND; AND 10 (6) MONEY RECEIVED FOR THE FUND FROM ANY OTHER S OURCE. 11 (B) MONEY IN THE FUND MAY BE COMMINGLE D. 12 (C) THE FUND MAY BE USED ONLY FOR THE PURPOSES OF THIS TITLE. 13 8.3–504. 14 (A) (1) THE STATE TREASURER IS CUSTODIA N OF THE FUND. 15 (2) THE STATE TREASURER SHALL MANAG E THE FUND IN 16 ACCORDANCE WITH REGU LATIONS THAT THE SECRETARY ADOPTS . 17 (B) UNDER THE DIRECTION O F THE SECRETARY, THE STATE TREASURER 18 SHALL ESTABLISH THE FUND ACCOUNT IN ANY F INANCIAL INSTITUTION IN WHICH 19 THE GENERAL FUND OF THE STATE MAY BE DEPOSITE D. 20 (C) ON RECEIPT OF ANY MON EY PAYABLE TO THE FUND, THE SECRETARY 21 SHALL ENSURE IMMEDIA TE DEPOSIT OF THE MO NEY INTO THE FUND ACCOUNT AS 22 REQUIRED BY THE STATE TREASURER. 23 (D) IN ACCORDANCE WITH RE GULATIONS THAT THE SECRETARY ADOPTS , 24 MONEY IN THE FUND ACCOUNT : 25 (1) SHALL BE USED TO PAY BENEFITS UNDER THIS TITLE; AND 26 16 HOUSE BILL 496 (2) MAY BE USED TO PAY F OR: 1 (I) THE PUBLIC EDUCATION PROGRAM; AND 2 (II) ANY COSTS ASSOCIATED WITH THE INITIAL 3 IMPLEMENTATION AND O NGOING ADMINISTRATIO N OF THIS TITLE. 4 8.3–505. 5 A CHECK THAT THE STATE TREASURER ISSUES TO P AY BENEFITS OR REFUN DS 6 SHALL: 7 (1) BE ISSUED ONLY ON A WARRANT SIGNED BY TH E SECRETARY; 8 (2) BEAR THE SIGNATURE O F THE STATE TREASURER; AND 9 (3) BE COUNTERSIGNED BY AN AUTHORIZED AGENT . 10 8.3–506. 11 THIS TITLE DOES NOT GRANT AN EMPLOYE E ANY PRIOR CLAIM OR RIGHT TO 12 MONEY THE EMPLOYEE P AYS INTO THE FUND. 13 SUBTITLE 6. CONTRIBUTIONS . 14 8.3–601. 15 (A) BEGINNING OCTOBER 1, 2023, EACH EMPLOYEE OF AN EMPLOYER, EACH 16 EMPLOYER WITH 15 OR MORE EMPLOYEES , AND EACH 17 SELF–EMPLOYED INDIVIDUAL PARTICIPA TING IN THE PROGRAM SHALL 18 CONTRIBUTE TO THE FUND. 19 (B) ON OR BEFORE DECEMBER 1 EVERY 2 YEARS, BEGINNING IN 2025, THE 20 SECRETARY, IN CONSULTATION WITH STATE AGENCIES AND RE LEVANT 21 STAKEHOLDERS , SHALL CONDUCT A COST ANALYSIS OF THE PROGRAM THAT IS 22 FOCUSED ON THE COST OF MAINTAINING SOLVE NCY AND PAYING BENEF ITS TO 23 COVERED INDIVIDUALS . 24 (C) (1) ONCE EVERY 2 YEARS, BEGINNING IN 2025, THE SECRETARY, IN 25 CONSULTATION WITH STATE AGENCIES AND RE LEVANT STAKEHOLDERS , SHALL 26 STUDY AND MAKE RECOM MENDATIONS REGARDING THE F OLLOWING: 27 (I) THE APPROPRIATE TOTA L RATE OF CONTRIBUTI ON; 28 HOUSE BILL 496 17 (II) THE APPROPRIATE COST –SHARING FORMULA BETW EEN 1 EMPLOYERS AND EMPLOY EES FOR MAKING CONTR IBUTIONS TO FUND THE 2 PROGRAM, INCLUDING VARIOUS FO RMULAS THAT RANGE BE TWEEN A CO ST SHARE 3 OF: 4 1. A. 75% PAID BY EMPLOYERS ; AND 5 B. 25% PAID BY EMPLOYEES ; AND 6 2. A. 25% PAID BY EMPLOYERS ; AND 7 B. 75% PAID BY EMPLOYEES ; 8 (III) THE COST EFFICIENCY AND BENEFITS OF THE DEPARTMENT 9 ISSUING A REQUEST FO R PROPOSALS SEEKING THE SERVICES OF AN O UTSIDE 10 CONTRACTOR FOR THE F OLLOWING: 11 1. PREMIUM COLLECTION ; 12 2. CLAIMS ADMINISTRATIO N; 13 3. DATA MANAGEMENT ; 14 4. FRAUD CONTROL ; 15 5. MARKETING AND ADVERT ISING; OR 16 6. IMPLEMENTING ANY OTH ER ELEMENTS OF THE 17 PROGRAM. 18 (2) ON OR BEFORE APRIL 1 EACH YEAR A STUDY IS CONDUCTED 19 UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE SECRETARY SHALL REPOR T THE 20 FINDINGS AND RECOMME NDATIONS TO THE SENATE FINANCE COMMITTEE, THE 21 HOUSE ECONOMIC MATTERS COMMITTEE, AND THE JOINT COMMITTEE ON 22 ADMINISTRATIVE , EXECUTIVE, AND LEGISLATIVE REVIEW IN ACCORDANCE WITH § 23 2–1257 OF THE STATE GOVERNMENT ARTICLE. 24 (D) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , ON OR BEFORE 25 JUNE 1 EVERY 2 YEARS, BEGINNING IN 2025, THE SECRETARY SHALL SET T HE TOTAL 26 RATE OF CONTRIBUTION AND THE PERCENTAGE O F THE TOTAL RATE OF 27 CONTRIBUTION TO BE P AID BY EMPLOYEES OF EMPLOYERS AND EMPLOY ERS WITH 28 15 OR MORE EMPLOYEES TH AT WILL BE IN EFFECT FOR THE 24–MONTH PERIOD 29 BEGINNING ON THE IMM EDIATELY FOLLOWING JANUARY 1. 30 18 HOUSE BILL 496 (2) THE RATE AND PERCENTA GES SET UNDER PARAGR APH (1) OF THIS 1 SUBSECTION SHALL BE BASED ON THE STUDY R EQUIRED UNDER SUBSEC TION (C) OF 2 THIS SECTION. 3 (3) THE TOTAL RATE OF CON TRIBUTION SHALL BE A PPLIED TO ALL 4 WAGES UP TO AND INCL UDING THE SOCIAL SECURITY WAGE BASE. 5 (4) THE PERCENTAGES SET U NDER PARAGRAPH (1) OF THIS 6 SUBSECTION MAY NOT V ARY BETWEEN EMPLOYEE S OR EMPLOYERS . 7 (E) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 8 THE EMPLOYER OF THE EMPL OYEE SHALL DEDUCT TH E EMPLOYEE’S REQUIRED 9 CONTRIBUTION FROM TH E WAGES OF THE EMPLO YEE. 10 (2) IF THE EMPLOYER OF AN EMPLOYEE ELECTS TO P AY A PORTION OF 11 THE EMPLOYEE ’S REQUIRED CONTRIBUT ION, THE EMPLOYER MAY DED UCT AN 12 AMOUNT THAT IS LESS THAN 75% OF THE RATE OF CONTR IBUTION REQUIRED FRO M 13 THE WAGES OF THE EMPLOYEE . 14 (F) EACH SELF–EMPLOYED INDIVIDUAL PARTICIPATING IN THE PROGRAM 15 SHALL: 16 (1) PAY CONTRIBUTIONS DU RING EACH YEAR THAT THE 17 SELF–EMPLOYED INDIVIDUAL PARTICIPATES IN THE PROGRAM; AND 18 (2) CONTRIBUTE AN AMOUNT EQUAL TO THE TOTAL R ATE OF 19 CONTRIBUTION SET UND ER SUBSECTION (D) OF THIS SECTION. 20 SUBTITLE 7. BENEFITS. 21 8.3–701. 22 (A) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , BEGINNING 23 JANUARY 1, 2025, A COVERED INDIVIDUAL TAKING LEAVE FROM EM PLOYMENT MAY 24 SUBMIT A CLAIM FOR B ENEFITS TO: 25 (I) CARE FOR A NEWBORN C HILD OR A CHILD NEWL Y PLACED 26 FOR ADOPTION , FOSTER CARE, OR KINSHIP CARE WITH THE COVERED INDIVIDU AL 27 DURING THE FIRST YEA R AFTER THE BIRTH , ADOPTION, OR PLACEMENT ; 28 (II) CARE FOR A FAMILY ME MBER WITH A SERIOUS HEALTH 29 CONDITION; 30 HOUSE BILL 496 19 (III) ATTEND TO A SERIOUS HEALTH CONDITION THA T RESULTS 1 IN THE COVERED INDIV IDUAL BEING UNABLE T O PERFORM THE FUNCTI ONS OF THE 2 COVERED INDIVIDUAL ’S POSITION; 3 (IV) CARE FOR A SERVICE M EMBER WITH A SERIOUS HEALTH 4 CONDITION RESULTING FROM M ILITARY SERVICE WHO IS THE COVERED 5 INDIVIDUAL’S NEXT OF KIN; OR 6 (V) ATTEND TO A QUALIFYI NG EXIGENCY ARISING OUT OF THE 7 DEPLOYMENT OF A SERV ICE MEMBER WHO IS A FAMILY MEMBER OF THE COVERED 8 INDIVIDUAL. 9 (2) (I) EXCEPT AS PROVIDED UN DER SUBPARAGRAPH (II) OF THIS 10 PARAGRAPH , IF THE NEED TO USE L EAVE IS FORESEEABLE , AN EMPLOYER MAY 11 REQUIRE A COVERED EM PLOYEE TAKING LEAVE UNDER THIS TITLE TO PROVIDE THE 12 EMPLOYER WITH WRITTE N NOTICE OF THE COVE RED EMPLOYEE ’S INTENTION TO 13 TAKE LEAVE AT LEAST 30 DAYS BEFORE COM MENCING THE LEAVE . 14 (II) IF THE NEED TO USE LE AVE IS NOT FORESEEAB LE, THE 15 COVERED EMPLOYEE SHA LL: 16 1. PROVIDE NOTICE TO TH E EMPLOYER AS SOON A S 17 PRACTICABLE; AND 18 2. GENERALLY COMPLY WIT H THE EMPLOYER ’S NOTICE 19 OR PROCEDURAL REQUIR EMENTS FOR REQUE STING OR REPORTING O THER LEAVE, 20 IF THOSE REQUIREMENT S DO NOT INTERFERE W ITH THE COVERED EMPL OYEE’S 21 ABILITY TO USE LEAVE FOR WHICH BENEFITS M AY BE PAID UNDER THI S TITLE. 22 (B) (1) SUBJECT TO PARAGRAPHS (2) AND (3) OF THIS SUBSECTION , A 23 COVERED INDIVIDUAL MAY TAKE THE LEAVE F OR WHICH THE INDIVID UAL IS 24 ELIGIBLE FOR BENEFIT S UNDER SUBSECTION (A) OF THIS SECTION ON A N 25 INTERMITTENT LEAVE S CHEDULE. 26 (2) IF LEAVE IS TAKEN ON AN INTERMITTENT LEAV E SCHEDULE, THE 27 COVERED INDIVIDUAL S HALL: 28 (I) MAKE A REASONABLE EFFORT TO SCHEDULE T HE 29 INTERMITTENT LEAVE I N A MANNER THAT DOES NOT UNDULY DISRUPT T HE 30 OPERATIONS OF THE EM PLOYER; AND 31 (II) PROVIDE THE EMPLOYER WITH REASONABLE AND 32 PRACTICABLE PRIOR NO TICE OF THE REASON F OR WHICH THE INTERMI TTENT LEAVE 33 IS NECESSARY. 34 20 HOUSE BILL 496 (3) A COVERED EMPLOYEE MAY NOT TAKE INTERMITTEN T LEAVE IN 1 AN INCREMENT OF LESS THAN 4 HOURS. 2 (4) IF LEAVE IS TAKEN ON AN INTERMITTENT LEAV E SCHEDULE, AN 3 EMPLOYER MAY NOT RED UCE THE TOTAL AMOUNT OF LEAVE TO WHICH TH E 4 COVERED INDIVIDUAL I S ENTITLED BE YOND THE AMOUNT OF L EAVE ACTUALLY 5 TAKEN. 6 8.3–702. 7 (A) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , A 8 COVERED INDIVIDUAL M AY NOT RECEIVE MORE THAN 12 WEEKS OF BENEFITS IN AN 9 APPLICATION YEAR . 10 (2) A COVERED INDIVIDUAL M AY RECEIVE AN ADDITIONAL 12 WEEKS 11 OF BENEFITS IF THE C OVERED INDIVIDUAL DU RING THE SAME APPLIC ATION YEAR: 12 (I) 1. RECEIVED BENEFITS BE CAUSE THE COVERED 13 INDIVIDUAL WAS ELIGI BLE FOR BENEFITS UND ER § 8.3–701(A)(1)(I) OF THIS 14 SUBTITLE; AND 15 2. BECOMES ELIGIBLE FOR BENEFITS UNDER § 16 8.3–701(A)(1)(III) OF THIS SUBTITLE; OR 17 (II) 1. RECEIVED BENEFITS BE CAUSE THE COVERED 18 INDIVIDUAL WAS ELIGI BLE FOR BENEFITS UND ER § 8.3–701(A)(1)(III) OF THIS 19 SUBTITLE; AND 20 2. BECOMES ELIGIBLE FOR BENEFITS UNDER § 21 8.3–701(A)(1)(I) OF THIS SUBTITLE. 22 (B) IF A COVERED INDIVIDU AL TAKES LEAVE FOR W HICH THE COVERED 23 INDIVIDUAL IS RECEIV ING BENEFITS UNDER T HIS TITLE, THE LEAVE SHALL RUN 24 CONCURRENTLY WITH EL IGIBLE LEAVE THAT MA Y BE TAKEN BY THE CO VERED 25 INDIVIDUAL UNDER THE FEDERAL FAMILY AND MEDICAL LEAVE ACT. 26 (C) (1) A COVERED INDIVIDUAL S HALL EXHAUST ALL 27 EMPLOYER–PROVIDED LEAVE THAT IS NOT REQUIRED TO B E PROVIDED UNDER LAW 28 BEFORE RECEIVING BEN EFITS UNDER THIS TIT LE. 29 (2) FOR THE PURPOSES OF §§ 8.3–706 AND 8.3–707 OF THIS SUBTITLE 30 AND §§ 8.3–904 AND 8.3–905 OF THIS TITLE, EMPLOYER–PROVIDED LEAVE THAT IS 31 BEING EXHAUSTED AS R EQUIRED UNDER PARAGR APH (1) OF THIS SUBSECTION 32 HOUSE BILL 496 21 SHALL BE TREATED THE SAME AS LEAVE FROM W ORK FOR WHICH BENEFITS MAY BE 1 PAID UNDER THIS TITL E. 2 (3) THIS SUBSECTION MAY N OT BE CONSTRUED TO R EDUCE ANY 3 WEEKS OF LEAVE FOR W HICH BENEFITS MAY BE PAID UNDER THIS TITL E. 4 (D) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 5 AN INDIVIDUAL RECEIV ING BENEFITS UNDER TITLE 8 OF THIS ARTICLE OR W AGE 6 REPLACEMENT BENEFITS UNDER TITLE 9 OF THIS ARTICLE IS N OT ELIGIBLE TO 7 RECEIVE BENEFITS UND ER THIS TITLE. 8 (2) AN INDIVIDUAL RECEIVI NG COMPENSATION FOR A PERMANENT 9 PARTIAL DISABILITY U NDER TITLE 9 OF THIS ARTICLE MAY BE ELIGIBLE FOR 10 BENEFITS UNDER THIS TITLE. 11 8.3–703. 12 (A) FOR THE PURPOSES OF T HIS SECTION: 13 (1) THE COVERED INDIVIDU AL’S AVERAGE WEEKLY WAG E SHALL BE 14 CALCULATED AS THE TO TAL WAGES RECEIVED B Y THE COVERED INDIVI DUAL OVER 15 THE LAST 680 HOURS FOR WHICH THE COVERED INDIVIDU AL WAS PAID DIVIDED BY 16 THE NUMBER OF WEEKS WORKED; AND 17 (2) THE STATE AVERAGE WEEKLY WAGE SHALL BE THE WA GE 18 CALCULATED UNDER § 9–603 OF THIS ARTICLE. 19 (B) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE WEEKLY 20 BENEFIT AMOUNT PA YABLE TO A COVERED I NDIVIDUAL UNDER THIS TITLE SHALL 21 BE: 22 (I) IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY WAG E IS 23 65% OR LESS OF THE STATE AVERAGE WEEKLY WAGE, 90% OF THE COVERED 24 INDIVIDUAL’S AVERAGE WEEKLY WAG E; 25 (II) IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY WAGE IS 26 GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE, THE SUM OF: 27 1. 90% OF THE COVERED INDIV IDUAL’S AVERAGE 28 WEEKLY WAGE UP TO 65% OF THE STATE AVERAGE WEEKLY WAGE; AND 29 2. 50% OF THE COVERED INDIV IDUAL’S AVERAGE 30 WEEKLY WAGE THAT IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE; 31 OR 32 22 HOUSE BILL 496 (III) IF THE COVERED INDIV IDUAL IS TAKING PART IALLY PAID 1 LEAVE, THE LESSER OF: 2 1. THE AMOUNT REQUIRED TO MAKE UP THE 3 DIFFERENCE BETWEEN T HE WAGES PAID TO THE COVERED INDIVIDUAL W HILE THE 4 COVERED INDIVIDUAL I S TAKING PARTIALLY P AID LEAVE AND THE FU LL WAGES 5 NORMALLY PAID TO THE COVERED INDIVIDUAL ; AND 6 2. IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY 7 WAGE IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE, THE SUM OF: 8 A. 90% OF THE COVERED INDIVIDUAL ’S AVERAGE 9 WEEKLY WAGE UP TO 65% OF THE STATE AVERAGE WEEKLY WAGE; AND 10 B. 50% OF THE COVERED INDIV IDUAL’S AVERAGE 11 WEEKLY WAGE THAT IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE. 12 (2) THE WEEKLY BENEFIT AM OUNT PAYABLE UNDER P ARAGRAPH (1) 13 OF THIS SUBSECTION : 14 (I) SHALL BE AT LEAST $50; AND 15 (II) MAY NOT EXCEED : 16 1. FOR THE 12–MONTH PERIOD BEGINNI NG JANUARY 1, 17 2025, $1,000; AND 18 2. FOR THE 12–MONTH PERIOD BEGINNI NG JANUARY 1, 19 2026, AND EACH SUBSEQUENT 12–MONTH PERI OD, THE AMOUNT DETERMINE D AND 20 ANNOUNCED BY THE SECRETARY UNDER PARAG RAPH (3) OF THIS SUBSECTION . 21 (3) (I) IN THIS PARAGRAPH , “CONSUMER PRICE INDEX” MEANS 22 THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS FOR THE 23 WASHINGTON–ARLINGTON–ALEXANDRIA, DC–VA–MD–WV METROPOLITAN AREA 24 OR A SUCCESSOR INDEX PUBLISHED BY THE FED ERAL BUREAU OF LABOR 25 STATISTICS. 26 (II) SUBJECT TO SUBSECTION (E) OF THIS SECTION , FOR THE 27 12–MONTH PERIOD BEGINNI NG JANUARY 1, 2026, AND EACH SUBSEQUENT 28 12–MONTH PERIOD , THE MAXIMUM WEEKLY B ENEFIT AMOUNT SHALL B E INCREASED 29 BY THE AMOUNT , ROUNDED TO THE NEARE ST CENT, THAT EQUALS THE PROD UCT OF: 30 HOUSE BILL 496 23 1. THE MAXIMUM WEEKLY B ENEFIT AMOUNT IN EFF ECT 1 FOR THE IMMEDIATELY PRECEDING 12–MONTH PERIOD ; AND 2 2. THE ANNUAL PERCENTAG E GROWTH IN THE 3 CONSUMER PRICE INDEX FOR THE IMMEDIA TELY PRECEDING 12–MONTH PERIOD , 4 AS DETERMINED BY THE SECRETARY UNDER SUBPA RAGRAPH (III)1 OF THIS 5 PARAGRAPH . 6 (III) BEGINNING SEPTEMBER 1, 2025, AND ON EACH 7 SUBSEQUENT SEPTEMBER 1, THE SECRETARY SHALL DETER MINE AND ANNOUNCE: 8 1. THE ANNUAL PERCENTAG E GROWTH, IF ANY, IN THE 9 CONSUMER PRICE INDEX BASED ON THE MO ST RECENT 12–MONTH PERIOD FOR 10 WHICH DATA ARE AVAIL ABLE ON SEPTEMBER 1; AND 11 2. THE MAXIMUM WEEKLY B ENEFIT AMOUNT EFFECT IVE 12 FOR THE 12–MONTH PERIOD BEGINN ING THE IMMEDIATELY FOLLOWING JANUARY 13 1. 14 (C) AN INCREASE IN THE WE EKLY BENEFIT AMOUNT UNDER SUBSECTION 15 (B)(3) OF THIS SECTION APPL IES ONLY TO A CLAIM FOR BENEFITS FILED A FTER THE 16 DATE THE INCREASE BE COMES EFFECTIVE . 17 (D) THE DEPARTMENT SHALL : 18 (1) NOTIFY THE EMPLOYER OF A COVERED INDIVIDUAL WITHIN 5 19 BUSINESS DAYS AFTER THE COVERED INDIVIDU AL FILES A CLAIM FOR BENEFITS 20 UNDER THIS TITLE ; 21 (2) APPROVE OR DENY THE CLAIM AND NOTIFY THE COVERED 22 INDIVIDUAL AND THE C OVERED INDIVIDUAL ’S EMPLOYER WITHIN 10 BUSINESS DAYS 23 AFTER THE COVERED IN DIVIDUAL FILES THE C LAIM; 24 (3) MAKE THE FIRST PAYME NT OF BENEFITS TO A COVERED 25 INDIVIDUAL WITHIN 5 BUSINESS DAYS AFTER THE CLAIM IS APPROVE D; AND 26 (4) MAKE SUBSEQUENT PAYM ENTS EVERY 2 WEEKS UNTIL THE 27 BENEFIT PERIOD ENDS . 28 (E) (1) IN THIS SUBSECTION , “BOARD” MEANS THE BOARD OF PUBLIC 29 WORKS. 30 (2) SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTION , ON OR BEFORE 31 SEPTEMBER 1 EACH YEAR, BEGINNING IN 2025, THE BOARD SHALL DETERMINE 32 24 HOUSE BILL 496 WHETHER THE SEASONAL LY ADJUSTED TOTAL EM PLOYMENT FROM THE CURRENT 1 EMPLOYMENT STATISTICS SERIES AS REPORTED BY THE U.S. BUREAU OF LABOR 2 STATISTICS FOR THE MO ST RECENT 6–MONTH PERIOD IS NEGA TIVE AS COMPARED 3 WITH THE IMMEDIATELY PRECEDING 6–MONTH PERIOD . 4 (3) (I) SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTIO N, THE 5 BOARD MAY TEMPORARILY SUSPEND AN INCREASE IN THE MAXIMUM WEEKL Y 6 BENEFIT SPECIFIED UN DER SUBSECTION (B)(2)(II) OF THIS SECTION IF T HE BOARD 7 DETERMINED UNDER PAR AGRAPH (2) OF THIS SUBSECTION T HAT THE SEASONALLY 8 ADJUSTED TOTAL EMPLO YMENT IS NEGATIVE . 9 (II) IF THE SEASONALLY ADJ USTED TOTAL EMPLOYME NT IS 10 NEGATIVE, THE BOARD MAY CONSIDER TH E PERFORMANCE OF STATE REVENUES IN 11 THE IMMEDIATELY PREC EDING 6 MONTHS, AS REPORTED BY THE OFFICE OF THE 12 COMPTROLLER , IN DETERMINING WHETH ER TO TEMPORARILY SU SPEND AN 13 INCREASE TO THE MAXI MUM WEEKLY BENEFIT S PECIFIED UNDER SUBSE CTION 14 (B)(2)(II) OF THIS SECTION. 15 (4) IF THE BOARD TEMPORARILY SUS PENDS AN INCREASE TO THE 16 MAXIMUM WEEKLY BENEF IT SPECIFIED UNDER S UBSECTION (B)(2)(II)2 OF THIS 17 SECTION: 18 (I) THE MAXIMUM WEEKLY BENEFIT IN EF FECT FOR THE 19 PERIOD BEGINNING THE FOLLOWING JANUARY 1 SHALL REMAIN THE SAM E AS THE 20 RATE THAT WAS IN EFF ECT FOR THE IMMEDIAT ELY PRECEDING 12–MONTH PERIOD ; 21 AND 22 (II) THE BOARD SHALL NOTIFY TH E SECRETARY THAT THE 23 MAXIMUM WEEKLY BENEF IT INCREASE FOR THE PER IOD BEGINNING THE 24 FOLLOWING JANUARY 1 IS SUSPENDED FOR 1 YEAR. 25 (F) THE DEPARTMENT SHALL NOTI FY EACH EMPLOYER OF THE INCREASE 26 TO THE MAXIMUM WEEKL Y BENEFIT SPECIFIED UNDER SUBSECTION (B)(2)(II) OF 27 THIS SECTION. 28 8.3–704. 29 (A) IF THE INTERNAL REVENUE SERVICE DETERMINES TH AT BENEFITS 30 PAID UNDER THIS SUBT ITLE ARE SUBJECT TO FEDERAL INCOME TAX , AT THE TIME A 31 COVERED INDIVIDUAL F ILES A NEW CLAIM FOR BENEFITS, THE DEPARTMENT SHALL 32 NOTIFY THE COVERED I NDIVIDUAL THAT : 33 (1) THE INTERNAL REVENUE SERVICE HAS DETERMINE D THAT THE 34 BENEFITS ARE SUBJECT TO FEDERAL INCOME TA X; 35 HOUSE BILL 496 25 (2) THERE ARE REQUIREMEN TS REGARDING ESTIMAT ED TAX 1 PAYMENTS; 2 (3) THE COVERED INDIVIDU AL MAY ELECT TO HAVE FEDERAL INCOME 3 TAX DEDUCTED AND WIT HHELD FROM THE BENEF ITS THAT THE COVERED 4 INDIVIDUAL RECEIVES UNDER THIS TITLE AT THE RATE SPECIFIED I N THE INTERNAL 5 REVENUE CODE; AND 6 (4) THE COVERED INDIVIDU AL IS ALLOWED TO CHA NGE A PREVIOUSLY 7 ELECTED WITHHOLDING STATUS. 8 (B) (1) IF A COVERED INDIVIDU AL ELECTS TO HAVE FE DERAL INCOME TAX 9 DEDUCTED AND WITHHEL D UNDER SUBSECTION (A)(3) OF THIS SECTION , THE 10 DEPARTMENT SHALL DEDU CT AND WITHHOLD AN A MOUNT AT THE RATE SP ECIFIED 11 IN THE INTERNAL REVENUE CODE IN A MANNER REQU IRED BY THE INTERNAL 12 REVENUE SERVICE. 13 (2) IF THE DEPARTMENT DED UCTS AND WITHHOLDS F EDERAL 14 INCOME TAX UNDER PAR AGRAPH (1) OF THIS SUBSECTION , THE AMOUNT DEDUCTED 15 AND WITHHELD SHALL R EMAIN IN THE FUND UNTIL IT IS TRAN SFERRED TO THE 16 INTERNAL REVENUE SERVICE AS A PAYMENT OF INCOME TAX. 17 8.3–705. 18 (A) AN EMPLOYER MAY SATI SFY THE REQUIREMENTS OF THIS TITLE 19 THROUGH A PRIVATE EM PLOYER PLAN CONSISTI NG OF EMPLOYER –PROVIDED 20 BENEFITS, INSURANCE, OR A COMBINATION OF BOTH IF THE PRIVATE EMPLOYER 21 PLAN IS OFFERED TO A LL OF THE EMPLOYER ’S ELIGIBLE EMPLOYEES AND MEETS OR 22 EXCEEDS THE RI GHTS, PROTECTIONS , AND BENEFITS PROVIDE D TO A COVERED 23 EMPLOYEE UNDER THIS TITLE. 24 (B) A PRIVATE EMPLOYER PLA N SHALL BE FILED WIT H THE DEPARTMENT 25 FOR APPROVAL . 26 (C) AN EMPLOYER THAT PROV IDES COVERED EMPLOYE ES WITH A PRIVATE 27 EMPLOYER PLAN AND AN EMPLOYEE THAT IS COVERED BY A PRIVATE EMPLOYER 28 PLAN ARE EXEMPT FROM THE CONTRIBUTIONS RE QUIRED UNDER SUBTITLE 6 OF 29 THIS TITLE. 30 8.3–706. 31 (A) THIS SECTION DOES NOT APPLY TO AN EMPLOYER WHO IS AN 32 INDIVIDUAL WITH A DE VELOPMENTAL DISABILI TY, AND WHO SELF –DIRECTS 33 26 HOUSE BILL 496 SERVICES UNDER THE MARYLAND MEDICAID HOME– AND COMMUNITY–BASED 1 SERVICES WAIVER PROGRAM. 2 (B) EXCEPT AS PROVIDED IN SUBSECTION (C)(2) OF THIS SECTION , IF A 3 COVERED INDIVIDUAL R ECEIVES BENEFITS UND ER THIS TITLE OR TAK ES LEAVE 4 FROM WORK FOR WHICH BENEFITS MA Y BE PAID UNDER THIS TITLE, THE EMPLOYER 5 OF THE COVERED INDIV IDUAL SHALL, ON THE EXPIRATION OF THE LEAVE, RESTORE 6 THE COVERED INDIVIDU AL TO AN EQUIVALENT POSITION OF EMPLOYME NT. 7 (C) AN EMPLOYER MAY : 8 (1) DURING A PERIOD OF L EAVE FROM WORK FOR W HICH BENEFITS 9 MAY BE PAID UNDER TH IS TITLE, TERMINATE EMPLOYMENT OF THE COVERED 10 INDIVIDUAL TAKING TH E LEAVE ONLY FOR CAU SE; AND 11 (2) DENY RESTORATION OF A COVERED INDIVIDUAL ’S POSITION OF 12 EMPLOYMENT UNDER SUB SECTION (B) OF THIS SECTION IF: 13 (I) THE DENIAL IS NECESSARY TO PREVENT SUBSTANTIAL AND 14 GRIEVOUS ECONOMIC IN JURY TO THE OPERATIO NS OF THE EMPLOYER ; 15 (II) THE EMPLOYER NOTIFIE S THE COVERED INDIVI DUAL OF 16 THE INTENT OF THE EM PLOYER TO DENY RESTO RATION OF THE COVERE D 17 INDIVIDUAL’S POSITION OF EMPLOY MENT AT THE TIME THE EMPLOYER DETERMINES 18 THE ECONOMIC INJURY WOULD OCCUR ; AND 19 (III) IF THE LEAVE HAS ALR EADY BEGUN IN A CASE OF LEAVE 20 FROM WORK FOR WHICH BENEFITS MAY BE PAID UNDER THIS TITLE , THE COVERED 21 INDIVIDUAL ELECTS NO T TO RETURN TO EMPLO YMENT AFTER RECE IVING NOTICE OF 22 THE EMPLOYER ’S INTENTION TO DENY RESTORATION OF THE C OVERED 23 INDIVIDUAL’S POSITION OF EMPLOY MENT. 24 8.3–707. 25 IF A COVERED INDIVIDU AL IS RECEIVING BENE FITS UNDER THIS TITL E OR IS 26 TAKING LEAVE FOR WHI CH BENEFITS MAY BE P AID UNDER THIS TITLE , THE 27 EMPLOYER OF THE COVE RED INDIVIDUAL SHALL CONTINUE ANY EMPLOYM ENT 28 HEALTH BENEFITS IN THE SAME MANNER AS REQUIRED U NDER MAINTENANCE OF 29 HEALTH BENEFITS IN T HE FEDERAL FAMILY AND MEDICAL LEAVE ACT FOR THE 30 TIME PERIOD THAT THE COVERED INDIVIDUAL I S ABSENT FROM WORK OR RECEIVI NG 31 BENEFITS UNDER THIS TITLE. 32 SUBTITLE 8. NOTICE TO EMPLOYEES. 33 HOUSE BILL 496 27 8.3–801. 1 (A) AN EMPLOYER SHALL PRO VIDE WRITTEN NOTICE TO EACH EMPLOYEE OF 2 THE RIGHTS AND DUTIE S OF AN EMPLOYEE UND ER THIS TITLE AT THE TIME OF HIRE 3 AND ANNUALLY THEREAFTER . 4 (B) (1) WHEN AN EMPLOYEE REQU ESTS LEAVE UNDER THI S TITLE, OR 5 WHEN AN EMPLOYER KNO WS THAT AN EMPLOYEE ’S LEAVE MAY BE FOR A REASON 6 UNDER § 8.3–302 OF THIS TITLE, THE EMPLOYER SHALL N OTIFY THE EMPLOYEE O F 7 THE EMPLOYEE ’S ELIGIBILITY TO TAK E LEAVE FOR WHICH BENEFITS M AY BE PAID 8 UNDER THIS TITLE WIT HIN 5 BUSINESS DAYS. 9 (2) THE NOTICE PROVIDED U NDER PARAGRAPH (1) OF THIS 10 SUBSECTION SHALL INC LUDE: 11 (I) THE RIGHT OF AN ELIG IBLE EMPLOYEE TO REC EIVE 12 PROGRAM BENEFITS UNDE R THIS TITLE; 13 (II) THE PROCEDURE FOR FILING A CLAIM FOR BENEFITS ; 14 (III) AN ELIGIBLE EMPLOYEE ’S RESPONSIBILITIES W ITH 15 RESPECT TO PROVIDING NOTIFICATION PRIOR T O THE COMMENCEMENT O F LEAVE 16 AND ANY PENALTIES FO R FAILING TO DO SO; 17 (IV) THE RIGHT OF AN EMPL OYEE TO FILE A COMPL AINT FOR 18 ALLEGED VIOLATIONS O F THIS TITLE; 19 (V) THE RIGHT OF AN ELIG IBLE EMPLOYEE TO JOB 20 PROTECTION; AND 21 (VI) A DESCRIPTION OF THE PROHIBITED ACTS , PENALTIES, AND 22 COMPLAINT PROCEDURES UNDER SUBTITLE 9 OF THIS TITLE. 23 (C) (1) THE DEPARTMENT SHALL DE VELOP STANDARD NOTIC ES FOR AN 24 EMPLOYER TO USE UNDE R THIS SUBTITLE. 25 (2) THE NOTICES REQUIRED UNDER THIS SUBTITLE SHALL BE 26 PROVIDED IN ACCORDAN CE WITH REGULATIONS ADOPTED BY THE SECRETARY. 27 SUBTITLE 9. PROHIBITED ACTS; PENALTIES. 28 8.3–901. 29 28 HOUSE BILL 496 (A) IF AN INDIVIDUAL WILLFULLY MAKES A FALSE STATEM ENT OR 1 MISREPRESENTATION RE GARDING A MATERIAL F ACT OR WILLFULLY FAI LS TO 2 REPORT A MATERIAL FA CT TO OBTAIN BENEFIT S UNDER THIS TITLE , THE 3 INDIVIDUAL IS DISQUA LIFIED FROM RECEIVIN G BENEFITS FOR 1 YEAR. 4 (B) IF AN EMPLOYER WILLFULLY MAKE S OR CAUSES TO BE MA DE A FALSE 5 STATEMENT OR WILLFUL LY FAILS TO REPORT A MATERIAL FACT REGARD ING A CLAIM 6 FOR BENEFITS BY AN E MPLOYEE, THE EMPLOYER IS SUBJ ECT TO A CIVIL PENAL TY OF 7 UP TO $1,000 FOR EACH OCCURRENCE . 8 (C) AN EMPLOYER MAY N OT WILLFULLY: 9 (1) FAIL OR REFUSE TO PA Y CONTRIBUTIONS TO T HE FUND; OR 10 (2) TAKE DEDUCTIONS FROM THE WAGES OF AN EMPL OYEE TO PAY 11 ANY PORTION OF THE E MPLOYER CONTRIBUTION S DUE FROM THE EMPLO YER. 12 8.3–902. 13 (A) THE DEPARTMENT MAY SEEK R EPAYMENT OF BENE FITS FROM AN 14 INDIVIDUAL WHO RECEI VED BENEFITS UNDER T HIS TITLE IF: 15 (1) THE BENEFITS WERE PA ID ERRONEOUSLY OR AS A RESULT OF 16 WILLFUL MISREPRESENT ATION BY THE INDIVID UAL; OR 17 (2) A CLAIM FOR BENEFITS UNDER THIS TITLE IS REJECTED AFTER 18 THE BENEFITS WERE PAID. 19 (B) THE SECRETARY MAY WAIVE I N WHOLE OR IN PART T HE REPAYMENT OF 20 BENEFITS UNDER SUBSE CTION (A) OF THIS SECTION IF: 21 (1) THE ERROR IN PAYMENT WAS NOT DUE TO ANY F ALSE STATEMENT , 22 NONDISCLOSURE OF MAT ERIAL FACT, OR MISREPRESENTATION BY A COVERED 23 INDIVIDUAL; OR 24 (2) THE REPAYMENT WOULD BE AGAINST EQUITY AN D GOOD 25 CONSCIENCE OR ADMINI STRATIVE EFFICIENCY . 26 8.3–903. 27 IF AN EMPLOYER FAILS TO PAY THE CONTRIBUT IONS DUE TO THE FUND, THE 28 SECRETARY MAY , IN ACCORDANCE WITH § 8.3–404 OF THIS TITLE: 29 (1) ASSESS THE AMOUNT OF CONTRIBUTIONS AND IN TEREST DUE; 30 HOUSE BILL 496 29 (2) MAKE AN ADDITIONAL A SSESSMENT IN AN AMOU NT NOT TO 1 EXCEED TWO TIMES THE CONTRIBUTIONS WITHHE LD, AS A PENALTY FOR FAI LURE 2 TO PAY THE CONTRIBUT IONS DUE; AND 3 (3) ORDER AN AUDIT OF TH E EMPLOYER FOR THE IMMEDIATELY 4 FOLLOWING FISCAL YEA R TO INVESTIGATE AND DETERMINE COMPLIANCE WITH THIS 5 TITLE AND TITLES 3, 8, AND 9 OF THIS ARTICLE. 6 8.3–904. 7 A PERSON MAY NOT DISCH ARGE, DEMOTE, OR OTHERWISE DISCRIM INATE OR 8 TAKE ADVERSE ACTION AGAINST A COVERED IN DIVIDUAL BECAUSE THE COVE RED 9 INDIVIDUAL HAS: 10 (1) FILED FOR, APPLIED FOR, OR RECEIVED BENEFITS , OR TAKEN 11 FAMILY OR MEDICAL LE AVE FOR WHICH BENEFI TS MAY BE PAID UNDER THIS TITLE; 12 (2) INQUIRED ABOUT THE R IGHTS AND RESPONSIBI LITIES UNDER 13 THIS TITLE; 14 (3) COMMUNICATED TO THE PE RSON AN INTENT TO FI LE A CLAIM, A 15 COMPLAINT, OR AN APPEAL UNDER T HIS TITLE; OR 16 (4) TESTIFIED OR INTENDS TO TESTIFY OR OTHERW ISE HAS ASSISTED 17 IN A PROCEEDING UNDE R THIS TITLE. 18 8.3–905. 19 (A) IF AN EMPLOYEE BELIEV ES THAT AN EMPLOYER HAS VIOLATED THIS 20 TITLE, THE EMPLOYEE MAY FIL E A WRITTEN COMPLAIN T WITH THE SECRETARY. 21 (B) (1) WITHIN 90 DAYS AFTER THE RECEI PT OF A WRITTEN COMP LAINT, 22 THE SECRETARY SHALL CONDU CT AN INVESTIGATION AND ATTEMPT TO RESOL VE 23 THE ISSUE INFORMALLY THROUGH MEDIATION. 24 (2) (I) IF THE SECRETARY IS UNABLE T O RESOLVE AN ISSUE 25 THROUGH MEDIATION DU RING THE PERIOD STAT ED IN PARAGRAPH (1) OF THIS 26 SUBSECTION AND THE SECRETARY DETERMINES THAT AN EMPLOYER HAS VIOLATED 27 THIS SUBTITLE, THE SECRETARY SHALL ISSUE AN ORDER. 28 (II) AN ORDER ISSUED UNDER SUBPARAGRAPH (I) OF THIS 29 PARAGRAPH : 30 30 HOUSE BILL 496 1. SHALL DESCRIBE THE V IOLATION; 1 2. SHALL DIRECT, IF APPROPRIATE , THE RECOVERY OF 2 LOST WAGES AND DAMAG ES EQUAL TO THE AMOU NT OF WAGES , SALARY, 3 EMPLOYMENT BENEFITS , OR OTHER COMP ENSATION DENIED OR L OST, AND ANY 4 ACTUAL ECONOMIC DAMA GES; 5 3. MAY, IN THE SECRETARY’S DISCRETION , SEEK 6 REINSTATEMENT OR THE HIRING OF EMPLOYEES WITH OR WITHOUT BACK PAY; AND 7 4. MAY, IN THE COMMISSIONER ’S DISCRETION, ASSESS A 8 CIVIL PENALTY OF UP TO $1,000 FOR EACH EMPLOYEE FO R WHOM THE EMPLOYER IS 9 NOT IN COMPLIANCE WI TH THIS TITLE. 10 (3) THE ACTIONS TAKEN UND ER PARAGRAPHS (1) AND (2) OF THIS 11 SUBSECTION ARE SUBJE CT TO THE HEARING AN D NOTICE REQUIREMENT S OF TITLE 12 10, SUBTITLE 2 OF THE STATE GOVERNMEN T ARTICLE. 13 (C) (1) WITHIN 30 DAYS AFTER THE SECRETARY ISSUES AN O RDER, AN 14 EMPLOYER SHALL COMPL Y WITH THE ORDER . 15 (2) IF AN EMPLOYER DOES N OT COMPLY WITH AN OR DER WITHIN THE 16 TIME PERIOD STATED I N PARAGRAPH (1) OF THIS SUBSECTION : 17 (I) THE SECRETARY M AY: 18 1. WITH THE WRITTEN CON SENT OF THE EMPLOYEE , ASK 19 THE ATTORNEY GENERAL TO BRING AN A CTION ON BEHALF OF T HE EMPLOYEE IN 20 THE COUNTY WHERE THE EMPLOYER IS LOCATED ; OR 21 2. BRING AN ACTION TO E NFORCE THE ORDER FOR THE 22 CIVIL PENALTY IN THE COUNTY WHERE THE EMPLOYER I S LOCATED; AND 23 (II) WITHIN 3 YEARS AFTER THE DATE OF THE ORDER , AN 24 EMPLOYEE MAY BRING A CIVIL ACTION TO ENFO RCE THE ORDER IN THE COUNTY 25 WHERE THE EMPLOYER I S LOCATED. 26 (3) IF AN EMPLOYEE PREVAI LS IN AN ACTION BROU GHT UNDER 27 PARAGRAPH (2)(II) OF THIS SUBSECTION T O ENFORCE AN ORDER , THE COURT MAY 28 AWARD: 29 (I) THREE TIMES THE VALU E OF THE EMPLOYEE ’S LOST WAGES 30 AND DAMAGES EQUAL TO THE AMOUNT OF WAGES , SALARY, EMPLOYMENT BENEFITS , 31 OR OTHER COMPENSATIO N DENIED OR LOST ; 32 HOUSE BILL 496 31 (II) PUNITIVE DAMAGES IN AN AMOUNT TO BE DETE RMINED BY 1 THE COURT; 2 (III) REASONABLE COUNSEL F EES AND OTHER COSTS ; 3 (IV) INJUNCTIVE RELIEF , IF APPROPRIATE; AND 4 (V) ANY OTHER RELIEF THA T THE COURT DEEMS AP PROPRIATE. 5 8.3–906. 6 (A) (1) THE SECRETARY SH ALL ESTABLISH A SYST EM FOR APPEALS BY 7 COVERED INDIVIDUALS IN THE CASE OF DENIA L OF BENEFITS UNDER THIS TITLE. 8 (2) THE SECRETARY MAY USE THE PROCEDURES UNDER § 8–806 OF 9 THIS ARTICLE FOR THE SYSTEM REQUIRED UNDE R PARAGRAPH (1) OF THIS 10 SUBSECTION. 11 (B) JUDICIAL REVIEW OF AN Y DECISION WITH RESP ECT TO BENEFITS UNDE R 12 THIS TITLE SHALL BE ALLOWED IN A COURT O F COMPETENT JURISDIC TION AFTER 13 AN AGGRIEVED PARTY H AS EXHAUSTED ALL ADM INISTRATIVE REMEDIES 14 ESTABLISHED BY THE SECRETARY UNDER THIS TITLE. 15 (C) THE SECRETARY SHALL IMPLEMEN T PROCEDURES TO ENSU RE 16 CONFIDENTIALITY OF A LL INFORMATION RELAT ED TO ANY CLAIMS FIL ED OR 17 APPEALS TAKEN TO THE MAXIMUM EXTENT ALLOW ED BY LAW. 18 SUBTITLE 10. SHORT TITLE. 19 8.3–1001. 20 THIS TITLE MAY BE CIT ED AS THE MARYLAND FAMILY AND MEDICAL LEAVE 21 INSURANCE PROGRAM. 22 Article – State Finance and Procurement 23 6–226. 24 (a) (2) (i) Notwithstanding any other provision of law, and unless 25 inconsistent with a federal law, grant agreement, or other federal requirement or with the 26 terms of a gift or settlement agreement, net interest on all State money allocated by the State 27 Treasurer under this section to special funds or accounts, and otherwise entitled to receive 28 interest earnings, as accounted for by the Comptroller, shall accrue to the General Fund of 29 the State. 30 32 HOUSE BILL 496 (ii) The provisions of subparagraph (i) of this paragraph do not apply 1 to the following funds: 2 144. the Health Equity Resource Community Reserve Fund; 3 [and] 4 145. the Access to Counsel in Evictions Special Fund; AND 5 146. THE FAMILY AND MEDICAL LEAVE INSURANCE FUND. 6 (a) There is a Commission on the Establishment of a Family Medical Leave and 7 Insurance Program. 8 (b) The purpose of the Commission is to study and make recommendations for 9 establishing a Family Medical Leave and Insurance Program in the State. 10 (c) The Commission consists of the following members: 11 (1) two members of the Senate, appointed by the President of the Senate; 12 (2) two members of the House of Delegates, appointed by the Speaker of 13 the House of Delegates; 14 (3) the Secretary of Labor, or the Secretary’s designee; 15 (4) the State Treasurer, or the State Treasurer’s designee; 16 (5) the Comptroller, or the Comptroller’s designee; 17 (6) one representative of the National Federation of Independent Business, 18 designated by the President of the National Federation of Independent Business; 19 (7) one representative of the Maryland Chamber of Commerce, designated 20 by the President of the Maryland Chamber of Commerce; 21 (8) one representative of the Maryland Retailers Association, designated 22 by the President of the Maryland Retailers Association; and 23 (9) the following members, appointed jointly by the President of the Senate 24 and the Speaker of the House of Delegates: 25 (i) one representative from a national organization with expertise 26 in the implementation of family medical and leave insurance programs in other states; 27 (ii) one representative from a private sector labor union; 28 HOUSE BILL 496 33 (iii) one representative of a community organization that advocates 1 for working families; and 2 (iv) one economist. 3 (d) The President of the Senate and the Speaker of the House of Delegates shall 4 appoint cochairs of the Commission from among its members as follows: 5 (i) one cochair from the Senate, appointed by the President of the Senate; 6 and 7 (ii) one cochair from the House of Delegates, appointed by the Speaker of 8 the House of Delegates. 9 (e) The Maryland Department of Labor and the Department of Legislative 10 Services jointly shall provide staff for the Commission. 11 (f) A member of the Commission: 12 (1) may not receive compensation as a member of the Commission; but 13 (2) is entitled to reimbursement of expenses under the Standard State 14 Travel Regulations, as provided in the State budget. 15 (g) The Commission shall study and make recommendations on establishing a 16 Family Medical Leave and Insurance Program in the State, including recommendations 17 regarding: 18 (1) when employers and employees should begin making contributions to 19 fund the Program so that benefits under the Program are able to begin being paid not later 20 than January 1, 2024; 21 (2) the appropriate cost sharing formula between employers and employees 22 for making contributions to fund the Program, including various formulas that range 23 between a cost share of: 24 (i) 1. 75% paid by employers; and 25 2. 25% paid by employees; and 26 (ii) 1. 25% paid by employers; and 27 2. 75% paid by employees; 28 (3) to what extent, if any, the cost shared between employers and 29 employees should affect or determine the leave benefits provided to employees under the 30 34 HOUSE BILL 496 Program, including whether the proportion of the cost shared should impact who approves 1 employees to take leave under the Program; 2 (4) any oversight mechanisms for the Program; 3 (5) the appropriate eligibility criteria for an individual to qualify for leave 4 benefits under the Program; 5 (6) the appropriate duration for which an individual may receive leave 6 benefits under the Program; 7 (7) the cost, efficiency, and benefits of the Maryland Department of Labor 8 issuing a request for proposals seeking the services of an outside contractor for the 9 following: 10 (i) premium collection; 11 (ii) claims administration; 12 (iii) data management; 13 (iv) fraud control; 14 (v) marketing and advertising; or 15 (vi) implementing any other elements of the Program; 16 (8) the minimum time an individual should be employed with the 17 individual’s employer before qualifying for leave benefits under the Program; and 18 (9) any other relevant aspects of family medical and leave insurance 19 programs as determined by the Commission. 20 (h) In conducting the study and making recommendations under subsection (g) of 21 this section, the Commission shall consider: 22 (1) how other states have established family medical leave and insurance 23 programs; and 24 (2) the results from an actuarial analysis regarding sustainable funding 25 levels. 26 (i) The Commission shall contract with any consultants necessary to carry out 27 this section. 28 HOUSE BILL 496 35 (j) On or before December 1, 2022, the Commission shall report its findings and 1 recommendations to the Governor and, in accordance with § 2 –1257 of the State 2 Government Article, the General Assembly. 3 Article – Labor and Employment 4 TITLE 8.3. FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM. 5 SUBTITLE 1. DEFINITIONS; GENERAL PROVISIONS. 6 8.3–101. 7 (A) IN THIS TITLE THE FOL LOWING WORDS HAVE TH E MEANINGS 8 INDICATED. 9 (B) “APPLICATION YEAR ” MEANS THE 12–MONTH PERIOD BEGINNI NG ON 10 THE FIRST DAY OF THE CALENDAR WEEK IN WHI CH A COVERED INDIVID UAL FILES 11 AN APPLICATION FOR B ENEFITS. 12 (C) “BENEFITS” MEANS THE MONEY PAYA BLE UNDER THIS TITLE TO A 13 COVERED INDIVIDUAL . 14 (D) “COVERED EMPLOYEE ” MEANS AN EMPLOYEE WH O HAS WORKED AT 15 LEAST 680 HOURS OVER THE 12–MONTH PERIOD IMMEDIA TELY PRECEDING THE 16 DATE ON WHICH LEAVE IS TO BEGIN. 17 (E) “COVERED INDIVIDUAL ” MEANS A COVERED EMPL OYEE OR A 18 SELF–EMPLOYED INDIVIDUAL WHO ELECTS TO PARTIC IPATE IN THE PROGRAM 19 UNDER § 8.3–201 OF THIS TITLE. 20 (F) “DEPARTMENT ” MEANS THE MARYLAND DEPARTMENT OF LABOR. 21 (G) “DIVISION” MEANS THE DIVISION OF FAMILY AND MEDICAL LEAVE 22 INSURANCE. 23 (H) “EMPLOYER” MEANS A PERSON OR GO VERNMENTAL ENTITY TH AT 24 EMPLOYS AT LEAST ONE INDIVIDUAL IN THE STATE. 25 (I) “FAMILY MEMBER ” MEANS: 26 (1) A BIOLOGICAL CHILD , AN ADOPTED CHILD , A FOSTER CHILD, OR A 27 STEPCHILD OF THE COV ERED INDIVIDUAL ; 28 (2) A CHILD FOR WHOM THE COVERED INDIVIDUAL H AS LEGAL OR 29 PHYSICAL CUSTODY OR GUARDIANSHIP ; 30 36 HOUSE BILL 496 (3) A CHILD FOR WHOM THE COVERED INDIVIDUAL S TANDS IN LOCO 1 PARENTIS, REGARDLESS OF THE CH ILD’S AGE; 2 (4) A BIOLOGICAL PARENT , AN ADOPTIVE PARENT , A FOSTER PARENT , 3 OR A STEPPARENT OF T HE COVERED INDIVIDUA L OR OF THE COVERED INDIVIDUAL’S 4 SPOUSE; 5 (5) THE LEGAL GUARDIAN OF THE COVERED INDIVIDUAL O R THE 6 WARD OF THE COVERED INDIVIDUAL OR OF THE COVERED INDIVIDUAL ’S SPOUSE; 7 (6) AN INDIVIDUAL WHO AC TED AS A PARENT OR S TOOD IN LOCO 8 PARENTIS TO THE COVE RED INDIVIDUAL OR TH E COVERED INDIVIDUAL ’S SPOUSE 9 WHEN THE COVERED INDIVIDUAL O R THE COVERED INDIVI DUAL’S SPOUSE WAS A 10 MINOR; 11 (7) THE SPOUSE OF THE CO VERED INDIVIDUAL ; 12 (8) A BIOLOGICAL GRANDPA RENT, AN ADOPTED GRANDPARE NT, A 13 FOSTER GRANDPARENT , OR A STEPGRANDPARENT OF THE COVERED INDIV IDUAL; 14 (9) A BIOLOGIC AL GRANDCHILD , AN ADOPTED GRANDCHIL D, A 15 FOSTER GRANDCHILD , OR A STEPGRANDCHILD OF THE COVERED INDIV IDUAL; OR 16 (10) A BIOLOGICAL SIBLING , AN ADOPTED SIBLING , A FOSTER SIBLING, 17 OR A STEPSIBLING OF THE COVERED INDIVIDU AL. 18 (J) “FUND” MEANS THE FAMILY AND MEDICAL LEAVE INSURANCE FUND 19 ESTABLISHED UNDER § 8.3–501 OF THIS TITLE. 20 (K) “GOVERNMENTAL ENTITY ” HAS THE MEANING STAT ED IN § 8–101 OF 21 THIS ARTICLE. 22 (L) “NEXT OF KIN” MEANS THE NEAREST BL OOD RELATIVE . 23 (M) “PROGRAM” MEANS THE FAMILY AND MEDICAL LEAVE INSURANCE 24 PROGRAM ESTABLISHED U NDER § 8.3–301 OF THIS TITLE. 25 (N) “QUALIFYING EXIGENCY ” MEANS ANY OF THE FOL LOWING REASONS 26 FOR WHICH LEAVE MAY BE NEEDED BY A FAMIL Y MEMBER OF A SERVIC E MEMBER: 27 (1) BECAUSE THE SERVICE MEMBER HAS RECEIVED NOTICE OF 28 DEPLOYMENT WITHIN 7 DAYS BEFORE THE DEPL OYMENT IS TO BEGIN ; 29 HOUSE BILL 496 37 (2) TO ATTEND MILITARY E VENTS AND RELATED AC TIVITIES 1 INCLUDING FAMILY SUP PORT PROGRAMS RELATE D TO THE ACTIVE DUTY OF THE 2 SERVICE MEMBER ; 3 (3) TO ARRANGE , PROVIDE, OR ATTEND CHILD CARE OR SCHOOL 4 ACTIVITIES ONLY WHEN THE SERVICE MEMBER I S ON ACTIVE DUTY CAL L OR ACTIVE 5 DUTY STATUS; 6 (4) TO MAKE FINANCIAL AN D LEGAL ARRANGEMENTS FOR THE 7 SERVICE MEMBER ’S ABSENCE OR BECAUSE OF THE ABSENCE ; 8 (5) TO ATTEND COUNS ELING THAT: 9 (I) IS NEEDED DUE TO THE ACTIVE DUTY OR CALL TO ACTIVE 10 DUTY STATUS OF THE S ERVICE MEMBER ; AND 11 (II) IS PROVIDED BY AN IN DIVIDUAL WHO IS NOT A LICENSED 12 HEALTH CARE PROVIDER ; 13 (6) TO SPEND UP TO 15 CALENDAR DAYS WITH A SERVICE MEMBER 14 WHO IS ON SHORT–TERM TEMPORARY REST AND RECUPERATION LEA VE DURING 15 THE PERIOD OF DEPLOY MENT; 16 (7) TO ATTEND POSTDEPLOY MENT ACTIVITIES INCL UDING 17 REINTEGRATION SERVIC ES FOR A PERIOD OF 90 DAYS IMMEDIATELY FOL LOWING 18 THE TERMINATION OF A CTIVE STATUS; 19 (8) TO ATTEND TO MATTERS RE LATED TO THE DEATH O F THE 20 SERVICE MEMBER WHILE ON ACTIVE DUTY STATU S; 21 (9) TO ARRANGE FOR OR PR OVIDE ALTERNATIVE CA RE FOR A PARENT 22 OF THE SERVICE MEMBE R WHEN THE PARENT IS INCAPABLE OF SELF –CARE AND THE 23 COVERED ACTIVE DUTY OR CALL TO ACTIVE DUTY NECESSIT ATES A CHANGE ; OR 24 (10) BECAUSE OF ANY OTHER ISSUES THAT ARISE OU T OF ACTIVE DUTY 25 OR A CALL TO ACTIVE DUTY THAT AN EMPLOYE R AND COVERED EMPLOY EE AGREE 26 SHOULD BE COVERED . 27 (O) “SECRETARY” MEANS THE SECRETARY OF LABOR. 28 (P) (1) “SERIOUS HEALTH CONDITION ” MEANS AN ILLNESS , AN INJURY, 29 AN IMPAIRMENT , OR A PHYSICAL OR MEN TAL CONDITION THAT I NVOLVES: 30 38 HOUSE BILL 496 (I) INPATIENT CARE IN A HOSPITAL, HOSPICE, OR RESIDENTIAL 1 HEALTH CARE FACILITY ; 2 (II) CONTINUED TREATMENT BY A LICENSED HEALTH CARE 3 PROVIDER; OR 4 (III) CONTINUED TREATMENT OR SUPERVISION AT HO ME BY A 5 LICENSED HEALTH CARE PROVIDER OR OTHER CO MPETENT INDIVIDUAL U NDER 6 THE SUPERVISION OF A LICENSED HEALTH CARE PROVIDER. 7 (2) “SERIOUS HEALTH CONDIT ION” INCLUDES AN ILLNESS , AN 8 INJURY, AN IMPAIRMENT , OR A PHYSICAL OR MEN TAL CONDITION DESCRI BED IN 9 PARAGRAPH (1) OF THIS SUBSECTION T HAT CONTINUES OVER A N EXTENDED 10 PERIOD OF TIME AND R EQUIRES INTERMITTENT TREATMENT . 11 (Q) “SERVICE MEMBER ” MEANS AN INDIVIDUAL WHO IS AN ACTIVE DUT Y OR 12 FORMER MEM BER OF: 13 (1) THE UNITED STATES ARMED FORCES ; 14 (2) A RESERVE COMPONENT OF THE UNITED STATES ARMED FORCES ; 15 OR 16 (3) THE NATIONAL GUARD OF ANY STATE . 17 (R) “TREATMENT” INCLUDES: 18 (1) EXAMINATIONS OR TEST ING TO DETERMINE THE EXTENT TO 19 WHICH A SERIOUS HEALTH CONDITION EXI STS OR PERSISTS; 20 (2) ONGOING OR PERIODIC EVALUATIONS OF THE S ERIOUS HEALTH 21 CONDITION; AND 22 (3) ACTUAL TREATMENT BY A HEALTH CARE PROVID ER. 23 8.3–102. 24 (A) THIS SECTION DOES NOT APPLY TO THE DISCLOS URE OF INFORMATION 25 TO: 26 (1) A PUBLIC EMPLOYEE IN T HE PERFORMANCE OF TH E PUBLIC 27 EMPLOYEE’S OFFICIAL DUTIES; 28 (2) THE INDIVIDUAL TO WH OM THE INFORMATION R ELATES; OR 29 HOUSE BILL 496 39 (3) IF AN AUTHORIZED REP RESENTATIVE HAS THE SIGNED 1 AUTHORIZATION OF THE INDIVIDUAL TO WHOM T HE INFORMATION RELAT ES, THE 2 AUTHORIZED REPRESENT ATIVE. 3 (B) AN EMPLOYEE OF THE DEPARTMENT MAY NOT DI SCLOSE INFORMATION 4 RELATING TO AN INDIV IDUAL WHO HAS APPLIE D FOR OR RECEIVED BE NEFITS 5 UNDER THIS TITLE . 6 SUBTITLE 2. SCOPE OF TITLE. 7 8.3–201. 8 (A) (1) A SELF–EMPLOYED INDIVIDUAL MAY ELECT TO PARTICIP ATE IN 9 THE PROGRAM BY FILING A W RITTEN NOTICE OF ELE CTION WITH THE SECRETARY 10 IN ACCORDANCE WITH R EGULATIONS ADOPTED B Y THE SECRETARY. 11 (2) AN ELECTION MADE UNDE R PARAGRAPH (1) OF THIS SUBSECTION 12 BECOMES EFFECTIVE ON THE DATE THE WRITTEN NOTICE IS FI LED. 13 (B) (1) IF A SELF–EMPLOYED INDIVIDUAL ELECTS TO PARTICIPAT E IN 14 THE PROGRAM UNDER SUBSECT ION (A) OF THIS SECTION , THE INDIVIDUAL SHALL 15 PARTICIPATE FOR AN I NITIAL PERIOD OF NOT LESS THAN 3 YEARS. 16 (2) ONCE THE INITIAL PART ICIPATION PERIOD EXP IRES, THE 17 SELF–EMPLOYED INDIVIDUAL MAY RENEW PARTICIPAT ION IN THE PROGRAM FOR A 18 PERIOD OF NOT LESS T HAN 1 YEAR. 19 (3) IF THE SELF–EMPLOYED INDIVIDUAL DOES NOT WISH TO REN EW 20 PARTICIPATION IN THE PROGRAM UNDER PARAG RAPH (2) OF THIS SUBSECTION , 21 WITHIN 30 DAYS BEFORE THE PART ICIPATION PERIOD EXP IRES, THE 22 SELF–EMPLOYED INDIVIDUAL SHALL NOTIFY THE SECRETARY IN WRITING OF THE 23 SELF–EMPLOYED INDIVIDUAL ’S WITHDRAWAL FROM TH E PROGRAM. 24 (C) DURING THE PERIOD A S ELF–EMPLOYED INDIVIDUAL PARTICIPA TES IN 25 THE PROGRAM, THE SELF–EMPLOYED INDIVIDUAL SHALL PAY THE CONTRI BUTION 26 REQUIRED UNDER § 8.3–601 OF THIS TITLE. 27 8.3–202. 28 THIS TITLE MAY NOT BE CONSTRUED TO DIMINIS H AN EMPLOYER ’S 29 OBLIGATION TO COMPLY WITH A COLLECTIVE BA RGAINING AGREEMENT OR AN 30 EMPLOYER POLICY THAT ALLOWS AN EMPLOYEE T O TAKE LEAVE FOR A L ONGER 31 40 HOUSE BILL 496 PERIOD OF TIME THAN THE EMPLOYEE WOULD B E ABLE TO RECEIVE BE NEFITS 1 UNDER THIS TITLE . 2 8.3–203. 3 (A) AN EMPLOYEE ’S RIGHT TO BENEFITS UNDER THIS TITLE MAY NOT BE 4 DIMINISHED BY A COLLECTIVE BARG AINING AGREEMENT ENT ERED INTO OR 5 RENEWED OR BY AN EMP LOYER POLICY ADOPTED OR RETAINED ON OR AF TER JUNE 6 1, 2021. 7 (B) AN AGREEMENT TO WAIVE THE EMPLOYEE ’S RIGHTS UNDER THIS TITLE 8 IS VOID AS AGAINST P UBLIC POLICY. 9 SUBTITLE 3. ESTABLISHM ENT OF THE DIVISION AND PROGRAM. 10 8.3–301. 11 (A) THERE IS A DIVISION OF FAMILY AND MEDICAL LEAVE INSURANCE IN 12 THE DEPARTMENT . 13 (B) THE DIVISION OF FAMILY AND MEDICAL LEAVE INSURANCE SHALL 14 PERFORM ANY FUNCTION S THAT THE SECRETARY ASSIGNS TO IT TO CARRY OUT 15 THIS TITLE. 16 (C) (1) (I) IN ACCORDANCE WITH TH E PROVISIONS OF THE STATE 17 PERSONNEL AND PENSIONS ARTICLE, THE SECRETARY MAY EMPLOY THE STAFF 18 NECESSARY TO CARRY O UT THIS TITLE. 19 (II) IN ACCORDANCE WITH TH E STATE BUDGET , THE 20 SECRETARY MAY SET THE COMPENSATION OF AN E MPLOYEE UNDER THIS 21 SUBSECTION IN A POSI TION THAT: 22 1. IS UNIQUE TO THE DEPARTMENT ; 23 2. REQUIRES SPECIFIC SK ILLS OR EXPERIENCE T O 24 PERFORM THE DUTIES O F THE POSITION; AND 25 3. DOES NOT REQUIRE THE EMPLOYEE TO PERFORM 26 FUNCTIONS THAT ARE COMPARABLE TO FUNCTIONS PERFORM ED IN OTHER UNITS 27 OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT . 28 (III) THE SECRETARY OF BUDGET AND MANAGEMENT , IN 29 CONSULTATION WITH TH E SECRETARY, SHALL DETERMINE THE POSITIONS FOR 30 HOUSE BILL 496 41 WHICH THE SECRETARY MAY SET COM PENSATION UNDER SUBPAR AGRAPH (II) OF 1 THIS PARAGRAPH . 2 (IV) SUBJECT TO OTHER APPL ICABLE PROVISIONS OF THIS 3 TITLE, THE SECRETARY MAY APPOINT EMPLOYEES AND SET TH EIR POWERS AND 4 DUTIES AS NECESSARY TO CARRY OUT THIS TI TLE. 5 (2) THE SECRETARY SHALL DETER MINE WHETHER AN EMPLOYEE 6 WHO HANDLES MONEY FO R THE DEPARTMENT UNDER THIS TITLE SHOULD BE 7 COVERED UNDER A BOND . 8 (3) (I) THE SECRETARY SHALL PRINT : 9 1. THIS TITLE; 10 2. EACH ANNUAL REPORT T HAT THE SECRETARY 11 SUBMITS TO THE GOVERNOR; AND 12 3. ANY OTHER MATERIAL THAT THE SECRETARY 13 CONSIDERS RELEVANT A ND SUITABLE. 14 (II) ON REQUEST BY ANY PER SON, THE SECRETARY SHALL GIVE 15 THE PERSON A COPY OF : 16 1. ANY MATERIAL THAT TH E SECRETARY PRINTS UNDE R 17 THIS SUBSECTION ; AND 18 2. THE CURRENT REGULATI ONS ADOPTED TO CARRY 19 OUT THIS TITLE. 20 8.3–302. 21 (A) THERE IS A FAMILY AND MEDICAL LEAVE INSURANCE PROGRAM. 22 (B) THE PURPOSE OF THE PROGRAM IS TO PROVIDE TEMPORARY BENEFITS 23 TO A COVERED INDIVID UAL WHO IS TAKING LE AVE FROM EMPLOYMENT : 24 (1) TO CARE FOR A CHILD DURING THE FIR ST YEAR AFTER THE 25 CHILD’S BIRTH OR AFTER THE PLACEMENT OF THE CHI LD THROUGH FOSTER CA RE, 26 KINSHIP CARE, OR ADOPTION; 27 (2) TO CARE FOR A FAMILY MEMBER WITH A SERIOU S HEALTH 28 CONDITION; 29 42 HOUSE BILL 496 (3) BECAUSE THE COVERED INDIVIDUAL HAS A SER IOUS HEALTH 1 CONDITION THAT RESUL TS IN THE COVERED IN DIVIDUAL BEING UNABL E TO 2 PERFORM THE FUNCTION S OF THE COVERED IND IVIDUAL’S POSITION; 3 (4) TO CARE FOR A SERVIC E MEMBER WHO IS THE COVERED 4 INDIVIDUAL’S NEXT OF KIN; OR 5 (5) BECAUSE THE COVERED INDIVIDUAL HA S A QUALIFYING 6 EXIGENCY ARISING OUT OF THE DEPLOYMENT OF A SERVICE MEMBER WHO IS A 7 FAMILY MEMBER OF THE COVERED INDIVIDUAL . 8 SUBTITLE 4. ADMINISTRATION . 9 8.3–401. 10 THIS TITLE SHALL BE A DMINISTERED UNDER TH E SUPERVISION OF THE 11 SECRETARY BY THE DIVISION OF FAMILY AND MEDICAL LEAVE INSURANCE 12 ESTABLISHED UNDER § 8.3–301 OF THIS TITLE. 13 8.3–402. 14 THE SECRETARY MAY DELEGAT E TO AN EMPLOYEE OF THE DEPARTMENT ANY 15 POWER OR DUTY THAT I S REASONABLE AND PRO PER FOR THE ADMINIST RATION OF 16 THIS TITLE. 17 8.3–403. 18 (A) THE SECRETARY SHALL : 19 (1) SUBJECT TO SUBSECTIO N (B) OF THIS SECTION , ADOPT 20 REGULATIONS NECESSAR Y TO CARRY OUT THIS TITLE; 21 (2) ESTABLISH PROCEDURES AND FORMS FOR FILING CLAIMS FOR 22 BENEFITS, INCLUDING: 23 (I) PROCEDURES FOR NOTIF YING AN EMPLOYER WIT HIN 5 24 BUSINESS DAYS AFTER AN EMPLOYEE OF THE E MPLOYER FILES A CLAI M FOR 25 BENEFITS UNDER THIS TITLE; AND 26 (II) NOTICES OF ELECTIONS BY SELF–EMPLOYED INDIVIDUALS 27 FOR BENEFITS UNDER § 8.3–201 OF THIS TITLE; 28 HOUSE BILL 496 43 (3) USE INFORMATION –SHARING AND INTEGRAT ION TECHNOLOG Y TO 1 FACILITATE THE DISCL OSURE OF RELEVANT IN FORMATION OR RECORDS NEEDED 2 FOR THE ADMINISTRATI ON OF THIS TITLE; AND 3 (4) SUBJECT TO SUBSECTIO N (D) OF THIS SECTION , CARRY OUT A 4 PUBLIC EDUCATION PRO GRAM. 5 (B) THE REGULATIONS ADOPT ED UNDER SUBSECTION (A)(1) OF THIS 6 SECTION SHALL BE CON SISTENT WITH REGULAT IONS ADOPTED TO IMPL EMENT THE 7 FEDERAL FAMILY AND MEDICAL LEAVE ACT AND ANY RELEVANT STATE LAWS TO 8 THE EXTENT THAT THE ADOPTED REGULATIONS DO NOT CONFLICT WITH THIS 9 TITLE. 10 (C) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , A COVERED 11 INDIVIDUAL UNDER § 8.3–302(B)(2), (3), (4), OR (5) OF THIS TITLE SHALL PROVIDE 12 CERTIFICATION FOR A CLAIM FOR BENEFITS U NDER THIS TITLE. 13 (2) A CERTIFICATION FOR A CLAIM FOR BENEFITS F OR A COVERED 14 INDIVIDUAL UNDER § 8.3–302(B)(2), (3), OR (4) OF THIS TITLE SHALL INCLUDE: 15 (I) THE DATE ON WHICH TH E SERIOUS HEALTH CON DITION OF 16 THE FAMILY MEMBER , COVERED INDIVIDUAL , OR SERVICE MEMBER CO MMENCED; 17 (II) THE PROBABLE DURATIO N OF THE SERIOUS HEA LTH 18 CONDITION; 19 (III) THE APPROPRIATE FACT S RELATED TO THE SER IOUS 20 HEALTH CONDITION WIT HIN THE KNOWLEDGE OF THE LICENSED HEALTH CARE 21 PROVIDER; 22 (IV) 1. FOR A CLAIM FOR BENE FITS UNDER § 8.3–302(B)(2) 23 OF THIS TITLE, A STATEMENT THAT THE COVERED INDIVIDUAL N EEDS TO CARE FOR 24 A FAMILY MEMBER AND AN ESTIMATE OF THE AMOU NT OF TIME REQUIRED TO 25 PROVIDE THE CARE ; OR 26 2. FOR A CLAIM FOR BENE FITS UNDER § 8.3–302(B)(3) 27 OF THIS TITLE, A STATEMENT THAT THE COVERED INDIVIDUAL I S UNABLE TO 28 PERFORM THE FUNCTION S OF THE COVERED IND IVIDUAL’S POSITION; AND 29 (V) FOR A CERTIFICATION FOR INTERMITTENT LEA VE, THE 30 EXPECTED DATES AND D URATION OF THE LEAVE . 31 44 HOUSE BILL 496 (3) THE SECRETARY SHALL ESTAB LISH STANDARDS IN RE GULATION 1 FOR THE CERTIFICATIO N OF CLAIMS FOR BENE FITS UNDER § 8.3–302(B)(5) OF THIS 2 TITLE. 3 (D) (1) THE SECRETARY MAY USE A P ORTION OF THE FUNDS PAID UNDER 4 § 8.3–601 OF THIS TITLE OR OTH ER AVAILABLE FUNDING TO PAY FOR AND CARRY 5 OUT THE REQUIREMENTS UNDER SUBSECTION (A)(4) OF THIS SECTION. 6 (2) MATERIALS USED IN THE PUBLIC EDUCATION PRO GRAM 7 REQUIRED UNDER SUBSECT ION (A)(4) OF THIS SECTION SHAL L BE MADE AVAILABLE 8 IN ENGLISH AND SPANISH. 9 8.3–404. 10 (A) TO ENFORCE THIS TITLE , THE SECRETARY MAY : 11 (1) CONDUCT AN INVESTIGA TION UNDER THIS TITL E, ON THE 12 SECRETARY’S OWN INITIATIVE OR ON RECEIPT OF A WRITTEN COMPLAINT ; 13 (2) ADMINISTER AN OATH ; 14 (3) CERTIFY TO AN OFFICI AL ACT; 15 (4) TAKE A DEPOSITION ; 16 (5) ISSUE A SUBPOENA FOR THE ATTENDANCE OF A WITNESS TO 17 TESTIFY OR THE PRODU CTION OF BOOKS , CORRESPONDENCE , MEMORANDA , 18 PAPERS, OR OTHER RECORDS ; AND 19 (6) BRING A CIVIL ACTION IN THE COUNTY WHERE THE VIOLATION 20 ALLEGEDLY OCCURRED . 21 (B) (1) A SUBPOENA ISSUED UNDE R SUBSECTION (A)(5) OF THIS SECTION 22 SHALL BE SERVED IN A NY MANNER IN WHICH A SUBPOENA OF A COURT MAY BE 23 SERVED. 24 (2) IF A PERSON FAILS T O COMPLY WITH A SUBP OENA ISSUED UNDER 25 SUBSECTION (A)(5) OF THIS SECTION ON A COMPLAINT FILED BY T HE SECRETARY, 26 THE CIRCUIT COURT FO R THE COUNTY WHERE T HE INVESTIGATION IS BEING 27 CONDUCTED OR WHERE T HE PERSON RESIDES , IS PRESENT, OR TRANSACTS 28 BUSINESS MAY IS SUE AN ORDER DIRECTI NG COMPLIANCE WITH T HE SUBPOENA OR 29 COMPELLING TESTIMONY . 30 HOUSE BILL 496 45 (3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , A 1 PERSON MAY NOT BE EX CUSED FROM COMPLYING WITH A SUBPOENA ISSU ED UNDER 2 SUBSECTION (A)(5) OF THIS SECTION ON T HE GROUND THAT THE EVIDENCE OR 3 TESTIMONY REQUIRED M AY TEND TO INCRIMINA TE THE PERSON OR SUB JECT THE 4 PERSON TO A FORFEITU RE OR PENALTY . 5 (II) 1. EXCEPT AS PROVIDED IN SUBSUBPARAGRAPH 2 OF 6 THIS SUBPARAGRAPH , AFTER CLAIMING THE P RIVILEGE AGAINST 7 SELF–INCRIMINATION , A PERSON MAY NOT BE PROSECUTED OR SUBJEC TED TO ANY 8 FORFEITURE OR PENALT Y BECAUSE OF ANY MAT TER, THING, OR TRANSACTION 9 ABOUT WHICH THE PERS ON IS COMPELLED TO P RODUCE EVIDENCE OR T ESTIFY. 10 2. IF THE PERSON COMMITS PERJURY WHILE GIVING 11 TESTIMONY, THE PERSON IS SUBJECT TO P ROSECUTION FOR THAT OFFENSE. 12 8.3–405. 13 IN A CIVIL ACTION TO ENFORCE THIS TITLE , THE SECRETARY AND THE STATE 14 MAY BE REPRESENTED B Y: 15 (1) THE ATTORNEY GENERAL; OR 16 (2) ANY QUALIFIED ATTORN EY WHO: 17 (I) IS A SALARIED EMPLOY EE OF THE SECRETARY; AND 18 (II) ON RECOMMENDATION OF THE ATTORNEY GENERAL, IS 19 DESIGNATED TO REPRES ENT THE SECRETARY OR THE BOARD OF APPEALS AND THE 20 STATE. 21 8.3–406. 22 (A) ON OR BEFORE SEPTEMBER 1 EACH YEAR, THE SECRETARY SHALL 23 SUBMIT TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE 24 GOVERNMENT ARTICLE, THE GENERAL ASSEMBLY AN ANNUAL RE PORT ON THE 25 ADMINISTRATION AND O PERATION OF THIS TIT LE DURING THE IMMEDI ATELY 26 PRECEDING FISCAL YEA R. 27 (B) THE ANNUAL REPORT SHA LL INCLUDE INFORMATI ON REGARDING : 28 (1) PROJECTED AND ACTUAL PROGRAM PARTICIPATION RATES; 29 (2) CONTRIBUTION RATES ; 30 46 HOUSE BILL 496 (3) PROJECTED AND ACTUAL FUND BALANCES ; 1 (4) PUBLIC OUTREACH AND TECHNICAL ASSISTANCE EFFORTS; 2 (5) ALL ENFORCEMENT EFFO RTS; 3 (6) THE NUMBER AND STATU S OF COMPLAINTS UNDER SUBTITLE 9 OF 4 THIS TITLE; AND 5 (7) THE COST OF ADMINIST ERING THE PROGRAM. 6 SUBTITLE 5. THE FAMILY AND MEDICAL LEAVE INSURANCE FUND. 7 8.3–501. 8 THERE IS A FAMILY AND MEDICAL LEAVE INSURANCE FUND. 9 8.3–502. 10 (A) THE SECRETARY SHALL ADMIN ISTER THE FUND. 11 (B) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT SUBJECT TO 12 § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 13 (C) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , AND THE 14 COMPTROLLER SHALL ACC OUNT FOR THE FUND. 15 8.3–503. 16 (A) THE FUND CONSISTS OF: 17 (1) EMPLOYEE CONTRIBUTIO NS REQUIRED UNDER § 8.3–601 OF THIS 18 TITLE; 19 (2) SELF–EMPLOYED INDIVIDUAL CONTRIBUTIONS REQUIR ED UNDER 20 § 8.3–601 OF THIS TITLE; 21 (3) EMPLOYER CONTRIBUTIO NS REQUIRED UNDER § 8.3–601 OF THIS 22 TITLE; 23 (4) MONEY PAID TO THE FUND FOR THE PURPOSE OF REIMBURSING 24 THE SECRETARY UNDER § 8.3–902 OF THIS TITLE FOR BE NEFITS PAID IN ERROR ; 25 (5) INTEREST EARNED ON M ONEY IN THE FUND; AND 26 HOUSE BILL 496 47 (6) MONEY RECEIVED FOR T HE FUND FROM ANY OTHER S OURCE. 1 (B) MONEY IN THE FUND MAY BE COMMINGLED . 2 (C) THE FUND MAY BE USED ONLY FOR THE PURPOSES OF THIS TITLE. 3 8.3–504. 4 (A) (1) THE STATE TREASURER IS CUSTODIA N OF THE FUND. 5 (2) THE STATE TREASURER SHALL MANAG E THE FUND IN 6 ACCORDANCE WITH REGU LATIONS THAT THE SECRETARY ADOPTS . 7 (B) UNDER THE DIRECTION O F THE SECRETARY, THE STATE TREASURER 8 SHALL ESTABLISH THE FUND ACCOUNT IN ANY F INANCIAL INSTITUTION IN WHICH 9 THE GENERAL FUND OF THE STATE MAY BE DEPOSITE D. 10 (C) ON RECEIPT OF ANY MON EY PAYABLE TO THE FUND, THE SECRETARY 11 SHALL ENSURE IMMEDIATE DEPOSIT OF THE MONEY INTO THE FUND ACCOUNT AS 12 REQUIRED BY THE STATE TREASURER. 13 (D) IN ACCORDANCE WITH RE GULATIONS THAT THE SECRETARY ADOPTS , 14 MONEY IN THE FUND ACCOUNT : 15 (1) SHALL BE USED TO PAY BENEFITS UNDER THIS TITLE; AND 16 (2) MAY BE USED TO PAY FOR: 17 (I) THE PUBLIC EDUCATION PROGRAM; AND 18 (II) ANY COSTS ASSOCIATED WITH THE INITIAL 19 IMPLEMENTATION AND O NGOING ADMINISTRATIO N OF THIS TITLE. 20 8.3–505. 21 A CHECK THAT THE STATE TREASURER ISSUES TO P AY BENEFITS OR 22 REFUNDS SHALL : 23 (1) BE ISSUED ONLY ON A WAR RANT SIGNED BY THE SECRETARY; 24 (2) BEAR THE SIGNATURE O F THE STATE TREASURER; AND 25 (3) BE COUNTERSIGNED BY AN AUTHORIZED AGENT . 26 48 HOUSE BILL 496 8.3–506. 1 THIS TITLE DOES NOT G RANT AN EMPLOYEE ANY PRIOR CLAIM OR RIGHT TO 2 MONEY THE EMPLOYEE P AYS INTO THE FUND. 3 SUBTITLE 6. CONTRIBUTIONS . 4 8.3–601. 5 (A) BEGINNING JANUARY 1, 2023, EACH EMPLOYEE OF AN EMPLOYER, 6 EACH EMPLOYER WITH 15 OR MORE EMPLOYEES , AND EACH SELF –EMPLOYED 7 INDIVIDUAL PARTICIPA TING IN THE PROGRAM SHALL CONTRIB UTE TO THE FUND. 8 (B) (1) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , THE 9 SECRETARY SHALL SET A TOTAL RATE OF CONTRI BUTION TO BE PAID IN 10 ACCORDANCE WITH THIS SUBSECTION. 11 (II) THE TOTAL RATE OF CON TRIBUTION ESTABLISHE D UNDER 12 SUBPARAGRAPH (I) OF THIS PARAGRAPH : 13 1. MAY NOT EXCEED 1.0% OF AN EMPLOYEE ’S WAGES; 14 2. SHALL BE APPLIED TO ALL WAGES UP TO AND 15 INCLUDING THE SOCIAL SECURITY WAGE BASE ; 16 3. EXCEPT AS PROVIDED U NDER PARAGRAPH (3)(I)2 OF 17 THIS SUBSECTION , SHALL BE SHARED EQUA LLY BY EMPLOYERS AND EMPLOYEES; 18 AND 19 4. SHALL BE SUFFICIENT TO FUND THE BENEFITS 20 PAYABLE UNDER THIS T ITLE. 21 (2) (I) EACH EMPLOYER WITH 15 OR MORE EMPLOYEES SH ALL 22 CONTRIBUTE AN AMOUNT EQUAL TO 50% OF THE TOTAL RATE OF CONTRIBUTION 23 FOR EACH EMPLOYEE EM PLOYED BY THE EMPLOY ER. 24 (II) 1. FOR THE PURPOSE OF DE TERMINING WHETHER AN 25 EMPLOYER IS REQUIRED TO CONTRIBUTE , THE NUMBER OF EMPLOY EES OF AN 26 EMPLOYER SHALL BE DE TERMINED BY CALCULAT ING THE AVERAGE MONT HLY 27 NUMBER OF EMPLOYEES EMPLOYED BY THE EMPL OYER DURING THE IMME DIATELY 28 PRECEDING 12–MONTH PERIOD . 29 2. EACH EMPLOYEE OF AN E MPLOYER SHALL BE 30 INCLUDED IN THE CALC ULATION MADE UNDER S UBSUBPARAGRAPH 1 OF THIS 31 HOUSE BILL 496 49 SUBPARAGRAPH WITHOUT REGARD TO WHETHER TH E EMPLOYEE IS A FULL –TIME, 1 PART–TIME, TEMPORARY , OR SEASONAL EMPLOYEE OR WOULD BE ELIGIBLE FOR 2 BENEFITS UNDER THIS TITLE. 3 (3) (I) 1. EACH EMPLOYEE OF AN E MPLOYER WITH 15 OR MORE 4 EMPLOYEES SHALL CONT RIBUTE AN AMOUNT EQU AL TO 50% OF THE TOTAL RATE 5 OF CONTRIBUTION . 6 2. EACH EMPLOYEE OF AN E MPLOYER WITH LESS TH AN 7 15 EMPLOYEES S HALL CONTRIBUTE AN A MOUNT PROPORTIONALLY EQUAL TO THE 8 AMOUNT CONTRIBUTED B Y AN EMPLOYEE UNDER SUBSUBPARAGRAPH 1 OF THIS 9 SUBPARAGRAPH . 10 (II) THE EMPLOYER OF THE EMPL OYEE SHALL DEDUCT TH E 11 CONTRIBUTION REQUIRE D UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH FR OM 12 THE WAGES OF THE EMP LOYEE. 13 (4) EACH SELF–EMPLOYED INDIVIDUAL PARTICIPATING IN THE 14 PROGRAM SHALL : 15 (I) PAY CONTRIBUTIONS DU RING EACH YEAR THAT THE 16 SELF–EMPLOYED INDIVIDUAL PARTICIPATES IN THE PROGRAM; AND 17 (II) CONTRIBUTE AN AMOUNT EQUAL TO THE TOTAL RATE OF 18 CONTRIBUTION ESTABLI SHED UNDER PARAGRAPH (1)(I) OF THIS SUBSECTION . 19 SUBTITLE 7. BENEFITS. 20 8.3–701. 21 (A) BEGINNING JULY 1, 2024, A COVERED INDIVIDUAL TAKING LEAVE FROM 22 EMPLOYMENT MAY SUBMI T A CLAIM FOR BENEFI TS TO: 23 (1) CARE FOR A NEWBORN CHILD OR A CHILD NEW LY PLACED FOR 24 ADOPTION, FOSTER CARE , OR KINSHIP CARE WITH THE COVERED INDIVIDU AL 25 DURING THE FIRST YEA R AFTER THE BIRTH , ADOPTION, OR PLACEMENT ; 26 (2) CARE FOR A FAMILY ME MBER WITH A SERIOUS HEALTH 27 CONDITION; 28 (3) ATTEND TO A SERIOUS HEALTH CONDITION THA T RESULTS IN THE 29 COVERED INDIVIDUAL B EING UNABLE TO PERFO RM THE FUNCTIONS OF THE 30 COVERED INDIVIDUAL ’S POSITION; 31 50 HOUSE BILL 496 (4) CARE FOR A SERVICE M EMBER WITH A SERIOUS HEALTH 1 CONDITION RESULTING FROM MILITARY SERVIC E WHO IS THE COVERED 2 INDIVIDUAL’S NEXT OF KIN; OR 3 (5) ATTEND TO A QUALIFYI NG EXIGENCY ARISING OUT OF THE 4 DEPLOYMENT OF A SERV ICE MEMBER WHO IS A FAMILY MEMBER OF THE COVERED 5 INDIVIDUAL. 6 (B) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , A COVERED 7 INDIVIDUAL MAY TAKE THE LEAVE FOR WHICH THE INDIVIDUAL IS ELIGIB LE FOR 8 BENEFITS UNDER SUBSE CTION (A) OF THIS SECTION ON A N INTERMITTENT LEAVE 9 SCHEDULE. 10 (2) IF LEAVE IS TAKEN ON AN INTERMITTENT LEAV E SCHEDULE, THE 11 COVERED INDIVIDUAL S HALL: 12 (I) MAKE A REASONABLE EF FORT TO S CHEDULE THE 13 INTERMITTENT LEAVE I N A MANNER THAT DOES NOT UNDULY DISRUPT T HE 14 OPERATIONS OF THE EM PLOYER; AND 15 (II) PROVIDE THE EMPLOYER WITH REASONABLE AND 16 PRACTICABLE PRIOR NO TICE OF THE REASON F OR WHICH THE INTERMI TTENT 17 LEAVE IS NECESSARY . 18 (3) IF LEAVE IS TAKEN ON AN INTERMITTENT LEAVE S CHEDULE, AN 19 EMPLOYER MAY NOT RED UCE THE TOTAL AMOUNT OF LEAVE TO WHICH TH E 20 COVERED INDIVIDUAL I S ENTITLED BEYOND TH E AMOUNT OF LEAVE AC TUALLY 21 TAKEN. 22 8.3–702. 23 (A) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, A 24 COVERED INDIVIDUAL M AY NOT RECEIVE MORE THAN 12 WEEKS OF BENEFITS IN AN 25 APPLICATION YEAR . 26 (2) A COVERED INDIVIDUAL M AY RECEIVE AN ADDITI ONAL 12 WEEKS 27 OF BENEFITS IF THE C OVERED INDIVIDUAL DU RING THE SAME APPLIC ATION YEAR: 28 (I) RECEIVED BE NEFITS BECAUSE THE C OVERED INDIVIDUAL 29 WAS ELIGIBLE FOR BEN EFITS UNDER § 8.3–701(A)(3) OF THIS SUBTITLE; AND 30 (II) BECOMES ELIGIBLE FOR BENEFITS UNDER § 31 8.3–701(A)(1), (2), (4), OR (5) OF THIS SUBTITLE. 32 HOUSE BILL 496 51 (B) IF A COVERED INDIVIDU AL TAKES LEAVE FOR WHICH THE COVERED 1 INDIVIDUAL IS RECEIV ING BENEFITS UNDER T HIS TITLE, THE LEAVE SHALL RUN 2 CONCURRENTLY WITH EL IGIBLE LEAVE THAT MA Y BE TAKEN BY THE CO VERED 3 INDIVIDUAL UNDER THE FEDERAL FAMILY AND MEDICAL LEAVE ACT. 4 (C) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 5 AN INDIVIDUAL RECEIV ING BENEFITS UNDER TITLE 8 OF THIS ARTICLE OR W AGE 6 REPLACEMENT BENEFITS UNDER TITLE 9 OF THIS ARTICLE IS N OT ELIGIBLE TO 7 RECEIVE BENEFITS UND ER THIS TITLE. 8 (2) AN INDIVIDUAL RECEIVI NG COMPENSATION FOR A PERMAN ENT 9 PARTIAL DISABILITY U NDER TITLE 9 OF THIS ARTICLE MAY BE ELIGIBLE FOR 10 BENEFITS UNDER THIS TITLE. 11 8.3–703. 12 (A) AN EMPLOYER MAY ALLOW A COVERED INDIVIDUAL TO USE PAID 13 VACATION, PAID SICK LEAVE , OR OTHER PAID TIME O FF UNDER AN EMPLOYER 14 POLICY IN ADDITIO N TO THE BENEFITS AV AILABLE UNDER THIS T ITLE TO REPLACE 15 THE COVERED INDIVIDU AL’S WAGES UP TO 100% OF THE COVERED INDIV IDUAL’S 16 WEEKLY WAGE DURING T HE PERIOD OF LEAVE F OR WHICH BENEFITS AR E RECEIVED 17 UNDER THIS TITLE . 18 (B) AN EMPLOYER CONTRIBUT ING TO THE FUN D MAY REQUIRE A COVE RED 19 INDIVIDUAL WHO RECEI VES BENEFITS UNDER T HIS TITLE TO USE THO SE BENEFITS 20 CONCURRENTLY WITH FA MILY OR MEDICAL LEAV E BENEFITS PROVIDED UNDER AN 21 EMPLOYER POLICY . 22 8.3–704. 23 (A) FOR THE PURPOSES OF T HIS SECTION: 24 (1) THE COVERED INDIVIDUAL’S AVERAGE WEEKLY WAG E SHALL BE 25 CALCULATED AS THE TO TAL WAGES RECEIVED B Y THE COVERED INDIVI DUAL OVER 26 THE LAST 680 HOURS FOR WHICH THE COVERED INDIVIDUAL W AS PAID DIVIDED BY 27 THE NUMBER OF WEEKS WORKED; AND 28 (2) THE STATE AVERAGE WEEKLY WAGE SHA LL BE THE WAGE 29 CALCULATED UNDER § 9–603 OF THIS ARTICLE. 30 (B) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE WEEKLY 31 BENEFIT AMOUNT PAYAB LE TO A COVERED INDI VIDUAL UNDER THIS TI TLE SHALL 32 BE: 33 52 HOUSE BILL 496 (I) IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY WAG E IS 1 65% OR LESS OF THE STATE AVERAGE WEEKLY WAGE, 90% OF THE COVERED 2 INDIVIDUAL’S AVERAGE WEEKLY WAG E; 3 (II) IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY WAG E IS 4 GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE, THE SUM OF: 5 1. 90% OF THE COVERED INDIVIDUAL’S AVERAGE 6 WEEKLY WAGE UP TO 65% OF THE STATE AVERAGE WEEKLY WAGE; AND 7 2. 50% OF THE COVERED INDIV IDUAL’S AVERAGE 8 WEEKLY WAGE THAT IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE; 9 OR 10 (III) IF THE COVERED INDIV IDUAL IS TAKING PART IALLY PAID 11 LEAVE, THE LESSER OF: 12 1. THE AMOUNT REQUIRED TO MAKE UP THE 13 DIFFERENCE BETWEEN T HE WAGES PAID TO THE COVERED INDIVIDUAL W HILE THE 14 COVERED INDIVIDUAL I S TAKING PARTIALLY P AID LEAVE AND THE FU LL WAGES 15 NORMALLY PAID TO THE COVERED INDIVIDUAL ; AND 16 2. IF THE COVERED INDIV IDUAL’S AVERAGE WEEKLY 17 WAGE IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE, THE SUM OF: 18 A. 90% OF THE COVERED INDIV IDUAL’S AVERAGE 19 WEEKLY WAGE UP TO 65% OF THE STATE AVERAGE WEEKLY WAGE; AND 20 B. 50% OF THE COVERED INDIVIDUAL ’S AVERAGE 21 WEEKLY WAGE THAT IS GREATER THAN 65% OF THE STATE AVERAGE WEEKLY WAGE. 22 (2) THE WEEKLY BENEFIT AM OUNT PAYABLE UNDER P ARAGRAPH (1) 23 OF THIS SUBSECTION : 24 (I) SHALL BE AT LEAST $50; AND 25 (II) MAY NOT EXCEED : 26 1. FOR THE 12–MONTH PERIOD BEGINNI NG JULY 1, 27 2024, $1,000; AND 28 2. FOR THE 12–MONTH PERIOD BEGINNI NG JULY 1, 29 2025, AND EACH SUBSEQUENT 12–MONTH PERIOD , THE AMOUNT DETERMINE D AND 30 ANNOUNCED BY THE SECRETARY UNDER PARAG RAPH (3) OF THIS SUBSECTION . 31 HOUSE BILL 496 53 (3) (I) IN THIS PARAGRAPH , “CONSUMER PRICE INDEX” MEANS 1 THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS FOR THE 2 WASHINGTON–ARLINGTON–ALEXANDRIA, DC–VA–MD–WV METROPOLITAN AREA 3 OR A SUCCESSOR INDEX PUBLISHED BY THE FED ERAL BUREAU OF LABOR 4 STATISTICS. 5 (II) EXCEPT AS PROVIDED IN SUBPARAG RAPH (IV) OF THIS 6 PARAGRAPH , FOR THE 12–MONTH PERIOD BEGINNI NG JULY 1, 2025, AND EACH 7 SUBSEQUENT 12–MONTH PERIOD , THE MAXIMUM WEEKLY B ENEFIT AMOUNT SHALL 8 BE INCREASED BY THE AMOUNT, ROUNDED TO THE NEARE ST CENT, THAT EQUALS 9 THE PRODUCT O F: 10 1. THE MAXIMUM WEEKLY B ENEFIT AMOUNT IN EFF ECT 11 FOR THE IMMEDIATELY PRECEDING 12–MONTH PERIOD ; AND 12 2. THE ANNUAL PERCENTAG E GROWTH IN THE 13 CONSUMER PRICE INDEX FOR THE IMMEDIA TELY PRECEDING 12–MONTH PERIOD , 14 AS DETERMINED BY THE SECRETARY UNDER S UBPARAGRAPH (III)1 OF THIS 15 PARAGRAPH . 16 (III) BEGINNING MARCH 1, 2025, AND ON EACH SUBSEQUE NT 17 SEPTEMBER 1, THE SECRETARY SHALL DETER MINE AND ANNOUNCE : 18 1. THE ANNUAL PERCENTAG E GROWTH, IF ANY, IN THE 19 CONSUMER PRICE INDEX BASED ON THE MO ST RECENT 12–MONTH PERIOD FOR 20 WHICH DATA ARE AVAIL ABLE ON SEPTEMBER 1; AND 21 2. THE MAXIMUM WEEKLY B ENEFIT AMOUNT EFFECT IVE 22 FOR THE 12–MONTH PERIOD BEGINNI NG THE IMMEDIATELY F OLLOWING JULY 1. 23 (IV) IF THERE IS A DECLINE OR NO GROWTH IN THE CONSUMER 24 PRICE INDEX, THE MAXIMUM WEEKLY B ENEFIT AMOUNT SHALL REMAIN THE SAME 25 AS THE AMOUNT THAT W AS IN EFFECT FOR THE PRECEDING 12–MONTH PERIOD . 26 (C) AN INCREASE IN THE WE EKLY BENEFIT AMOUNT UNDER SUBSECTION 27 (B)(3) OF THIS SECTION APPL IES ONLY TO A CLAIM FOR BENEFITS FILED A FTER THE 28 DATE THE INCREASE BE COMES EFFECTIVE . 29 (D) THE DIVISION SHALL: 30 (1) NOTIFY THE EMPLOYER OF A COVERED INDIVID UAL WITHIN 5 31 BUSINESS DAYS AFTER THE COVERED INDIVIDU AL FILES A CLAIM FOR BENEFITS 32 UNDER THIS TITLE ; 33 54 HOUSE BILL 496 (2) APPROVE OR DENY THE CLAIM AND NOTIFY THE COVERED 1 INDIVIDUAL WITHIN 10 BUSINESS DAYS AFTER THE COVERED INDIVIDU AL FILES THE 2 CLAIM; 3 (3) MAKE THE FIRST PAYME NT OF BENEFITS TO A COVERED 4 INDIVIDUAL WITHIN 5 BUSINESS DAYS AFTER THE CLAIM IS APPROVE D; AND 5 (4) MAKE SUBSEQUENT PAYM ENTS EVERY 2 WEEKS UNTIL THE 6 BENEFIT PERIOD ENDS . 7 8.3–705. 8 (A) IF THE INTERNAL REVENUE SERVICE DETERMINES TH AT BENEFITS 9 PAID UNDER THIS SUBT ITLE ARE SUBJECT TO FEDERAL INCOME TAX , AT THE TIME 10 A COVERED INDIVIDUAL FILES A NEW CLAIM FO R BENEFITS, THE DIVISION SHALL 11 NOTIFY THE COVERED I NDIVIDUAL THAT : 12 (1) THE INTERNAL REVENUE SERVICE HAS DETERMINE D THAT THE 13 BENEFITS ARE SUBJECT TO FEDERAL INCOME TA X; 14 (2) THERE ARE REQUIREMEN TS REGARDING ESTIMAT ED TAX 15 PAYMENTS; 16 (3) THE COVERED INDIVIDU AL MAY ELECT TO HAV E FEDERAL 17 INCOME TAX DEDUCTED AND WITHHELD FROM TH E BENEFITS THAT THE COVERED 18 INDIVIDUAL RECEIVES UNDER THIS TITLE AT THE RATE SPECIFIED I N THE 19 INTERNAL REVENUE CODE; AND 20 (4) THE COVERED INDIVIDU AL IS ALLOWED TO CHA NGE A 21 PREVIOUSLY ELECTED W ITHHOLDING S TATUS. 22 (B) (1) IF A COVERED INDIVIDU AL ELECTS TO HAVE FE DERAL INCOME 23 TAX DEDUCTED AND WIT HHELD UNDER SUBSECTI ON (A)(3) OF THIS SECTION , THE 24 DIVISION SHALL DEDUCT AND WITHHOLD AN AMOU NT AT THE RATE SPECI FIED IN 25 THE INTERNAL REVENUE CODE IN A MANNER REQUIRED BY THE INTERNAL 26 REVENUE SERVICE. 27 (2) IF THE DIVISION DEDUCTS AND WITHHOLDS FEDERAL IN COME 28 TAX UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE AMOUNT DEDUCTED AND 29 WITHHELD SHALL REMAI N IN THE FUND UNTIL IT IS TRAN SFERRED TO THE 30 INTERNAL REVENUE SERVICE AS A PAYMENT OF INCOME TAX. 31 8.3–706. 32 HOUSE BILL 496 55 (A) AN EMPLOYER MAY SATIS FY THE REQUIREMENTS OF THIS TITLE 1 THROUGH A PRIVATE EM PLOYER PLAN CONSISTI NG OF EMPLOYER –PROVIDED 2 BENEFITS, INSURANCE, OR A COMBINATION OF BOTH IF THE PRIVATE EMPLOYER 3 PLAN IS OFFERED TO ALL OF THE EMPLOYER ’S ELIGIBLE EMPLOYEES AND MEETS 4 OR EXCEEDS THE RIGHT S, PROTECTIONS , AND BENEFITS PROVIDE D TO A COVERED 5 EMPLOYEE UNDER THIS TITLE. 6 (B) A PRIVATE EMPLOYER PLA N SHALL BE FILED WIT H THE DIVISION FOR 7 APPROVAL. 8 (C) AN EMPLOYER THAT PROV IDES COVERED EMPLOYEES WITH A PRIVATE 9 EMPLOYER PLAN AND AN EMPLOYEE THAT IS COV ERED BY A PRIVATE EM PLOYER 10 PLAN ARE EXEMPT FROM THE CONTRIBUTIONS RE QUIRED UNDER SUBTITLE 6 OF 11 THIS TITLE. 12 8.3–707. 13 IF A COVERED INDIVIDU AL RECEIVES BENEFITS UNDER THIS TITLE OR TAKES 14 LEAVE FROM WORK FOR WHICH BENEFITS MAY B E PAID UNDER THIS TI TLE, THE 15 EMPLOYER OF THE COVE RED INDIVIDUAL SHALL , ON THE EXPIRATION OF THE 16 LEAVE, RESTORE THE COVERED INDIVIDUAL TO AN EQU IVALENT POSITION OF 17 EMPLOYMENT . 18 8.3–708. 19 IF A COVERED INDIVIDUAL IS RECEIV ING BENEFITS UNDER T HIS TITLE OR IS 20 TAKING LEAVE FOR WHI CH BENEFITS MAY BE P AID UNDER THIS TITLE , THE 21 EMPLOYER OF THE COVE RED INDIVIDUAL SHALL CONTINUE ANY EMPLOYM ENT 22 BENEFITS IN THE SAME MANNER AS REQUIRED U NDER TITLE 3, SUBTITLE 12 OF 23 THIS ARTICLE FOR THE TIME PERIOD THAT THE COVERED INDIVIDUAL I S ABSENT 24 FROM WORK OR RECEIVI NG BENEFITS UNDER TH IS TITLE. 25 SUBTITLE 8. NOTICE TO EMPLOYEES. 26 8.3–801. 27 (A) AN EMPLOYER SHALL PRO VIDE WRITTEN NOTICE TO EACH EMPLOYEE 28 OF THE RIGHTS AND DU TIES OF AN EMPLOYEE UNDER THIS TITLE AT THE TI ME OF 29 HIRE AND ANNUALLY TH EREAFTER. 30 (B) (1) WHEN AN EMPLOYEE REQU ESTS LEAVE UNDER THI S TITLE, OR 31 WHEN AN EMPLOYER KNO WS THAT AN EMPLOYEE ’S LEAVE MAY BE FOR A REASON 32 UNDER § 8.3–302 OF THIS TITLE, THE EMPLOYER SHALL NOTIFY THE EMPLOYEE OF 33 56 HOUSE BILL 496 THE EMPLOYEE ’S ELIGIBILITY TO TAK E LEAVE FOR WHICH BE NEFITS MAY BE PAID 1 UNDER THIS TITLE WIT HIN 5 BUSINESS DAYS. 2 (2) THE NOTICE PROVIDED U NDER PARAGRAPH (1) OF THIS 3 SUBSECTION SHALL INC LUDE: 4 (I) THE RIGHT OF AN ELIG IBLE EMPLO YEE TO RECEIVE 5 PROGRAM BENEFITS UNDE R THIS TITLE; 6 (II) THE PROCEDURE FOR FI LING A CLAIM FOR BEN EFITS; 7 (III) AN ELIGIBLE EMPLOYEE ’S RESPONSIBILITIES W ITH 8 RESPECT TO PROVIDING NOTIFICATION PRIOR T O THE COMMENCEMENT O F LEAVE 9 AND ANY PENALTIES FO R FAILING TO DO SO; 10 (IV) THE RIGHT OF AN EMPL OYEE TO FILE A COMPL AINT FOR 11 ALLEGED VIOLATIONS O F THIS TITLE; 12 (V) THE RIGHT OF AN ELIG IBLE EMPLOYEE TO JOB 13 PROTECTION ; AND 14 (VI) A DESCRIPTION OF THE PROHIBITED ACTS , PENALTIES, AND 15 COMPLAINT PROCEDURES UNDER SUBTITLE 9 OF THIS TITLE. 16 (C) THE NOTICES REQUIRED UNDER THIS SUBTITLE SHALL BE PROVIDED IN 17 ACCORDANCE WITH REGU LATIONS ADOPTED BY T HE SECRETARY. 18 SUBTITLE 9. PROHIBITED ACTS; PENALTIES. 19 8.3–901. 20 (A) IF AN INDIVIDUAL WILL FULLY MAKES A FALSE STATEMENT OR 21 MISREPRESENTATION RE GARDING A MATERIAL F ACT OR WILLFULLY FAI LS TO 22 REPORT A MATERIAL FA CT TO OBTAIN BENEFIT S UNDER THIS TITLE , THE 23 INDIVIDUAL IS DISQUA LIFIED FROM RECEIVIN G BENEFITS FOR 1 YEAR. 24 (B) IF AN EMPLOYER WILLFU LLY MAKES OR CAUSES TO BE MADE A FALSE 25 STATEMENT OR WILLFUL LY FAILS TO REPORT A MATERIAL FACT REGARD ING A 26 CLAIM FOR BENEFITS B Y AN EMPLOYEE , THE EMPLOYER IS SUBJ ECT TO A CIVIL 27 PENALTY OF UP TO $1,000 FOR EACH OCCURRENCE . 28 (C) AN EMPLOYER MAY NOT W ILLFULLY: 29 (1) FAIL OR REFUSE TO PAY CONTRIBUTIONS TO THE FUND; OR 30 HOUSE BILL 496 57 (2) TAKE DEDUCTIONS FROM THE WAGES OF AN EMPL OYEE TO PAY 1 ANY PORTION OF THE E MPLOYER CONTRIBUTION S DUE FROM THE EMPLO YER. 2 8.3–902. 3 (A) THE DIVISION MAY SEEK REP AYMENT OF BENEFITS F ROM AN 4 INDIVIDUAL WHO RECEI VED BENEFITS UNDER THIS TITLE IF: 5 (1) THE BENEFITS WERE PA ID ERRONEOUSLY OR AS A RESULT OF 6 WILLFUL MISREPRESENT ATION BY THE INDIVID UAL; OR 7 (2) A CLAIM FOR BENEFITS UNDER THIS TITLE IS REJECTED AFTER 8 THE BENEFITS WERE PA ID. 9 (B) THE SECRETARY MAY WAIVE I N WHOLE OR IN PART T HE REPAYMENT OF 10 BENEFITS UNDER SUBSE CTION (A) OF THIS SECTION IF: 11 (1) THE ERROR IN PAYMENT WAS NOT DUE TO ANY F ALSE STATEMENT , 12 NONDISCLOSURE OF MAT ERIAL FACT, OR MISREPRESENTATION BY A COVERED 13 INDIVIDUAL; OR 14 (2) THE REPAYMENT WOULD BE AGAINST EQU ITY AND GOOD 15 CONSCIENCE OR ADMINI STRATIVE EFFICIENCY . 16 8.3–903. 17 IF AN EMPLOYER FAILS TO PAY THE CONTRIBUT IONS DUE TO THE FUND, THE 18 SECRETARY MAY , IN ACCORDANCE WITH § 8.3–404 OF THIS TITLE: 19 (1) ASSESS THE AMOUNT OF CONTRIBUTIONS AND INTEREST DUE ; 20 (2) MAKE AN ADDITIONAL A SSESSMENT IN AN AMOU NT NOT TO 21 EXCEED TWO TIMES THE CONTRIBUTIONS WITHHE LD, AS A PENALTY FOR FAI LURE 22 TO PAY THE CONTRIBUT IONS DUE; AND 23 (3) ORDER AN AUDIT OF TH E EMPLOYER FOR THE I MMEDIATELY 24 FOLLOWING FISCAL YE AR TO INVESTIGATE AN D DETERMINE COMPLIAN CE WITH 25 THIS TITLE AND TITLES 3, 8, AND 9 OF THIS ARTICLE. 26 8.3–904. 27 58 HOUSE BILL 496 A PERSON MAY NOT DISCH ARGE, DEMOTE, OR OTHERWISE DISCRIM INATE OR 1 TAKE ADVERSE ACTION AGAINST A COVERED IN DIVIDUAL BECAUSE THE COVERED 2 INDIVIDUAL HAS: 3 (1) FILED FOR, APPLIED FOR, OR RECEIVED BENEFITS , OR TAKEN 4 FAMILY OR MEDICAL LE AVE FOR WHICH BENEFI TS MAY BE PAID UNDER THIS TITLE; 5 (2) INQUIRED ABOUT THE R IGHTS AND RESPONSIBI LITIES UNDER 6 THIS TITLE; 7 (3) COMMUNICATED TO THE PERSON AN INTENT TO FILE A CLAIM, A 8 COMPLAINT, OR AN APPEAL UNDER T HIS TITLE; OR 9 (4) TESTIFIED OR INTENDS TO TESTIFY OR OTHERW ISE HAS ASSISTED 10 IN A PROCEEDING UNDE R THIS TITLE. 11 8.3–905. 12 (A) (1) AN EMPLOYEE ALLEGING A VIOLATION OF THIS SUBTITLE MAY 13 FILE A COMPLAINT WITH THE SECRETARY TO RECOVER LOST WAGES AND DAMAG ES 14 EQUAL TO THE AMOUNT OF WAGES, SALARY, EMPLOYMENT BENEFITS , OR OTHER 15 COMPENSATION DENIED OR LOST, AND APPROPRIATE PUNI TIVE DAMAGES . 16 (2) A COMPLAINT UNDER THIS SUBSECTION MAY ALSO SEEK 17 APPROPRIATE RELIE F INCLUDING REINSTAT EMENT OR THE HIRING OF EMPLOYEES 18 WITH OR WITHOUT BACK PAY. 19 (B) THIS SECTION DOES NOT DEPRIVE A PRIVATE RI GHT OR CAUSE OF 20 ACTION TO ANY EMPLOY EE FOR VIOLATIONS OF § 8.3–904 OF THIS SUBTITLE OR § 21 8.3–707 OF THIS TITLE. 22 8.3–906. 23 (A) (1) NOTWITHSTANDING ANY A DMINISTRATIVE REMEDY AVAILABLE 24 UNDER § 8.3–905 OF THIS SUBTITLE, AN EMPLOYEE MAY BRIN G AN ACTION AGAINST 25 AN EMPLOYER FOR VIOL ATIONS OF § 8.3–904 OF THIS SUBTITLE OR § 8.3–707 OR § 26 8.3–708 OF THIS TITLE TO REC OVER LOST WAGES AND DAMAGES EQUAL TO THE 27 AMOUNT OF WAGES , SALARY, EMPLOYMENT BENEFITS , OR OTHER COMPENSATIO N 28 DENIED OR LOST , AND APPROPRIATE PUNI TIVE DAMAGES . 29 (2) AN ACTION UNDER THIS SUBSECTION MAY SEEK INJUNCTIVE AND 30 OTHER APPROPRIATE EQ UITABLE RELIEF INCLU DING REINSTATEMEN T OR THE 31 HIRING OF EMPLOYEES WITH OR WITHOUT BACK PAY. 32 HOUSE BILL 496 59 (B) ON A FINDING THAT AN EMPLOYEE IS ENTITLED TO JUDGMENT IN AN 1 ACTION UNDER SUBSECT ION (A) OF THIS SECTION , THE COURT SHALL ALLO W 2 AGAINST THE EMPLOYER REASONABLE ATTORNEY ’S FEES AND OTHER COS TS. 3 8.3–907. 4 (A) (1) THE SECRETARY SHALL ESTAB LISH A SYSTEM FOR AP PEALS BY 5 COVERED INDIVIDUALS IN THE CASE OF DENIA L OF BENEFITS UNDER THIS TITLE. 6 (2) THE SECRETARY MAY USE THE PROCEDURES UNDER § 8–806 OF 7 THIS ARTICLE FOR THE SYSTEM REQUIRED UNDE R PARAGRAPH (1) OF THIS 8 SUBSECTION. 9 (B) JUDICIAL REVIEW OF AN Y DECISION WITH RESP ECT TO BENEFITS 10 UNDER THIS TITLE SHA LL BE ALLOWED IN A C OURT OF COMPETENT JU RISDICTION 11 AFTER AN AGGRIEVED P ARTY HAS EXHAUSTED A LL ADMINISTRATIVE RE MEDIES 12 ESTABLISHED BY THE SECRETARY U NDER THIS TITLE. 13 (C) THE SECRETARY SHALL IMPLE MENT PROCEDURES TO E NSURE 14 CONFIDENTIALITY OF A LL INFORMATION RELAT ED TO ANY CLAIMS FIL ED OR 15 APPEALS TAKEN TO THE MAXIMUM EXTENT ALLOW ED BY LAW. 16 SUBTITLE 10. SHORT TITLE. 17 8.3–1001. 18 THIS TITLE MAY BE CIT ED AS THE MARYLAND FAMILY AND MEDICAL LEAVE 19 INSURANCE PROGRAM. 20 Article – State Finance and Procurement 21 6–226. 22 (a) (2) (i) Notwithstanding any other provision of law, and unless 23 inconsistent with a federal law, grant agreement, or other federal requirement or with the 24 terms of a gift or settlement agreement, net interest on all State money allocated by the 25 State Treasurer under this section to special funds or accounts, and otherwise entitled to 26 receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 27 Fund of the State. 28 (ii) The provisions of subparagraph (i) of this paragraph do not apply 29 to the following funds: 30 144. the Health Equity Resource Community Reserve Fund; 31 [and] 32 60 HOUSE BILL 496 145. the Access to Counsel in Evictions Special Fund; AND 1 146. THE FAMILY AND MEDICAL LEAVE INSURANCE 2 FUND. 3 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 4 apply only prospectively and may not be applied or interpreted to have any effect on or 5 application to any collective bargaining agreement entered into before the effective date of 6 this Act. 7 SECTION 3. AND BE IT FURTHER ENACTED, That, on or before October 1, 2022, 8 the Secretary of Labor shall adopt regulations as required under § 8.3–403 of the Labor and 9 Employment Article, as enacted by Section 1 of this Act it is the intent of the General 10 Assembly that $25,000,000 be set aside in the fiscal year 2023 budget to support the work 11 of the Commission on the Establishment of a Family Medical Leave and Insurance 12 Program, as enacted by Section 1 of this Act, and any other changes necessary for the 13 Maryland Department of Labor to prepare for the implementation of a Family Medical 14 Leave and Insurance Program. 15 SECTION 4. 3. AND BE IT FURTHER ENACTED, That it is the intent of the 16 General Assembly that the statutory framework establishing a Family Medical Leave and 17 Insurance Program in the State shall: 18 (1) general funds be loaned to the Family and Medical Leave Insurance 19 Fund by July 1, 2023, in an amount sufficient to supplement contributions and provide 20 funding for costs to administer the Family and Medical Leave Insurance Program; and 21 (2) any funds loaned to the Family and Medical Leave Insurance Fund be 22 repaid to the General Fund by the Secretary of Labor as soon as the Fund receives enough 23 contributions to become self–sustaining be effective not later than June 1, 2023; 24 (2) include, to the extent practicable, the findings and recommendations of 25 the Commission on the Family Medical Leave and Insurance Program, as enacted by 26 Section 1 of this Act; 27 (3) enable individuals to receive benefits under the Program by June 1, 28 2024; 29 (4) require employers and employees to share in the cost of contributions 30 to fund the Program; and 31 (5) generally provide temporary benefits to certain individuals who take 32 leave from employment for family– and medical–related reasons. 33 HOUSE BILL 496 61 SECTION 5. 4. AND BE IT FURTHER ENACTED, That this Act shall take effect 1 June 1, 2022. Section 2 of this Act shall remain effective for a period of 1 year and 1 month 2 and, at the end of June 30, 2023, this Act, with no further action required by the General 3 Assembly, shall be abrogated and of no further force and effect. 4 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be c onstrued to 5 apply only prospectively and may not be applied or interpreted to have any effect on or 6 application to any collective bargaining agreement entered into before the effective date of 7 this Act. 8 SECTION 3. AND BE IT FURTHER ENACTED, That: 9 (a) On or before June 1, 2023, the Secretary of Labor shall set the total rate of 10 contribution and percentage of the total rate of contribution to be paid by employees of 11 employers and employers with 15 or more employees under § 8.3–601(a) of the Labor and 12 Employment Article, as enacted by Section 1 of this Act, effective October 1, 2023. 13 (b) The rate and percentages set under subsection (a) of this section shall be: 14 (1) based on the study required under Section 11(2) of this Act; and 15 (2) in effect from October 1, 2023, through December 31, 2025, both 16 inclusive. 17 SECTION 4. AND BE IT FURTHER ENACTED, That, on or before January 1, 2023, 18 the Maryland Department of Labor shall report to the Senate Finance Committee and the 19 House Economic Matters Committee, in accordance with § 2–1257 of the State Government 20 Article, on whether a covered employee using benefits under the Maryland Family and 21 Medical Leave Insurance Program established under § 8.3 –301 of the Labor and 22 Employment Article, as enacted by Section 1 of this Act, is also eligible for Unemployment 23 Insurance Benefits under Title 8 of the Labor and Employment Article and the effect that 24 dual eligibility has on employer ratings. 25 SECTION 5. AND BE IT FURTHER ENACTED, That the Maryland Department of 26 Labor shall: 27 (1) conduct an actuarial study on the cost to the State for paying the 28 required contribution for community providers, as described in Section 7 of this Act, under 29 § 8.3–601 of the Labor and Employment Article, as enacted by Section 1 of this Act; and 30 (2) on or before October 1, 2022, report the actuary’s findings and 31 recommendations to the Senate Finance Committee and the House Economic Matters 32 Committee, in accordance with § 2–1257 of the State Government Article. 33 SECTION 6. AND BE IT FURTHER ENACTED, That the Department of Legislative 34 Services shall: 35 62 HOUSE BILL 496 (1) contract with a consultant to study and make recommendations 1 regarding the capability and capacity of the Maryland Department of Labor to implement 2 and administer the Family and Medical Leave Insurance Program under Title 8.3 of the 3 Labor and Employment Article, as enacted by Section 1 of this Act, including 4 recommendations regarding any additional resources needed by the Department to meet 5 future demands of the Program, such as operating budget appropriations, staff, contracting 6 authority, and pay increases; and 7 (2) on or before October 1, 2022, report the consultant’s findings and 8 recommendations to the Governor and, in accordance with § 2–1257 of the State Government 9 Article, the General Assembly. 10 SECTION 7. AND BE IT FURTHER ENACTED, That it is the intent of the General 11 Assembly that the State pay the required contribution under § 8.3–601 of the Labor and 12 Employment Article, as enacted by Section 1 of this Act, to the Family and Medical Leave 13 Insurance Fund established under § 8.3–501 of the Labor and Employment Article, as 14 enacted by Section 1 of this Act, for employers that are community providers that are 15 community–based agencies or programs funded by the Behavioral Health Administration, 16 the Developmental Disabilities Administration, or the Medical Care Programs 17 Administration to serve individuals with mental disorders, substance–related disorders, or 18 a combination of those disorders or developmental disabilities. 19 SECTION 8. AND BE IT FURTHER ENACTED, That, if a covered employee makes 20 an hourly wage that is less than $15.00 an hour, it is the intent of the General Assembly that 21 the State pay the covered employee’s required contribution under § 8.3–601 of the Labor and 22 Employment Article, as enacted by Section 1 of this Act, to the Family and Medical Leave 23 Insurance Fund established under § 8.3–501 of the Labor and Employment Article, as 24 enacted by Section 1 of this Act. 25 SECTION 9. AND BE IT FURTHER ENACTED, That Section 8 of this Act shall 26 remain effective for a period of 3 years and 6 months and, at the end of June 30, 2026, 27 Section 8 of this Act, with no further action required by the General Assembly, shall be 28 abrogated and of no further force and effect. 29 SECTION 10. AND BE IT FURTHER ENACTED, That, on or before June 1, 2023, 30 the Secretary of Labor shall adopt regulations as required under § 31 8.3–403 of the Labor and Employment Article, as enacted by Section 1 of this Act. 32 SECTION 11. AND BE IT FURTHER ENACTED, Th at, on or before December 1, 33 2022, the Secretary of Labor shall: 34 (1) conduct the cost analysis described in § 8.3–601(b) of the Labor and 35 Employment Article, as enacted by Section 1 of this Act; 36 (2) conduct the study and make recommendations as desc ribed in § 37 8.3–601(c) of the Labor and Employment Article, as enacted by Section 1 of this Act; and 38 HOUSE BILL 496 63 (3) report the findings and recommendations to the Senate Finance 1 Committee, the House Economic Matters Committee, and the Joint Committee on 2 Administrative, Executive, and Legislative Review in accordance with § 2–1257 of the State 3 Government Article. 4 SECTION 12. AND BE IT FURTHER ENACTED, That Sections 1, 7, 8, and 10 of 5 this Act shall take effect January 1, 2023. 6 SECTION 13. AND BE IT FU RTHER ENACTED, That, except as provided in 7 Section 12 of this Act, this Act shall take effect June 1, 2022. 8 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ Speaker of the House of Delegates. ________________________________________________________________________________ President of the Senate.