H.P. 681 - L.D. 933
Emergency preamble. Whereas, Acts and resolves of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, it has come to the attention of the Legislature that insurance fraud is a serious concern of both the insurance industry and law enforcement; and
Whereas, a study of the laws related to insurance fraud is necessary to determine the extent of the problem in the State and to develop possible recommendations to strengthen the State's laws governing insurance fraud; and
Whereas, this resolve establishes the Commission to Study Insurance Fraud; and
Whereas, members of the commission established by this resolve must be appointed prior to the expiration of the 90-day period; and
Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore, be it
Sec. 1. Commission established. Resolved: That the Commission to Study Insurance Fraud, referred to in this resolve as the "commission," is established; and be it further
Sec. 2. Commission membership. Resolved: That the commission consists of the following 12 members:
1. Ten members appointed by the Governor representing the following interests and constituent groups: five representatives from the insurance industry; one representative of the Office of the State Fire Marshal; one representative of the Medicaid fraud unit of the Department of Human Services; one representative of the private bar; one representative of a hospital; and one representative of health care providers. Trade groups representing these interests may make recommendations to the Governor regarding appointees to the commission; and
2. Two Legislators, one of whom must be a Senator appointed by the President of the Senate and one of whom must be a Representative appointed by the Speaker of the House; and be it further
Sec. 3. Appointments; meetings. Resolved: That all appointments must be made no later than 30 days following the effective date of this resolve. The Executive Director of the Legislative Council must be notified by all appointing authorities once the selections have been made. Within 15 days after the appointment of all members, the Chair of the Legislative Council shall call and convene the first meeting of the commission. The commission shall select a chair from among its members; and be it further
Sec. 4. Duties. Resolved: That the commission shall study the following issues:
1. The current statutory provisions governing insurance fraud in this State including the civil and criminal penalties available and the effectiveness of those provisions;
2. Any model legislation relating to insurance fraud proposed by the National Association of Insurance Commissioners and the laws concerning insurance fraud in other states; and
3. Any other issues concerning insurance fraud determined relevant to the study by the commission; and be it further
Sec. 5. Staffing assistance. Resolved: That the Bureau of Insurance shall provide staffing assistance to the commission. The Office of Policy and Legal Analysis may also serve as a resource to the commission; and be it further
Sec. 6. Reimbursement. Resolved: That the legislative members of the commission are entitled to legislative per diem and reimbursement for travel and other necessary expenses upon application to the Executive Director of the Legislative Council; and be it further
Sec. 7. Meetings. Resolved: That the commission may meet up to 5 times; and be it further
Sec. 8. Report. Resolved: That the commission shall submit its report and recommendations, together with any necessary implementing legislation, to the joint standing committee of the Legislature having jurisdiction over insurance matters no later than January 1, 1998. If the commission requires an extension, it may apply to the Legislative Council, which may grant the extension; and be it further
Sec. 9. Appropriation. Resolved: That the following funds are appropriated from the General Fund to carry out the purposes of this resolve.
1997-98
LEGISLATURE
Commission to Study Insurance Fraud
Personal Services $550
All Other 1,000
Provides funds for the per diem and expenses of legislative members and miscellaneous costs, including printing, of the Commission to Study Insurance Fraud.
__________
TOTAL $1,550
Emergency clause. In view of the emergency cited in the preamble, this resolve takes effect when approved.
Effective June 12, 1997.
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