In this subtitle the following words have the meanings indicated. “Board” means the Uninsured Employers’ Fund Board. “Fund” means the Uninsured Employers’ Fund.

There is an Uninsured Employers’ Fund.

There is an Uninsured Employers’ Fund Board.

The Board consists of five members, appointed by the Governor with the advice and consent of the Senate. Of the five members of the Board: two shall have substantial experience as officers or employees of a property and casualty insurance company; one shall have substantial experience in the field of accounting or finance; one shall be a policyholder of workers’ compensation insurance issued in the State; and one shall represent the general public. Before taking office, each appointee to the Board shall take the oath required by Article I, § 9 of the Maryland Constitution. The term of a member is 4 years. At the end of a term, a member continues to serve until a successor is appointed and qualifies. A member who is appointed after a term has begun serves only for the rest of the term and until a successor is appointed and qualifies. The Governor may remove a member for incompetence or misconduct.

The Board shall determine the times and places of its meetings. Subject to the State budget, each member of the Board is entitled to: compensation for each day that the member is engaged in duties of the office; and reimbursement for expenses under the Standard State Travel Regulations. The Board shall: appoint a Director for the Fund; and review the Director’s administration of the Fund. The Director: shall have immediate supervision and direction over the administration of the Fund; may employ staff in accordance with the State budget; and shall serve as the appointing authority for all staff. An employee may appeal a disciplinary action taken by the Director to the Board.

The Attorney General is the legal adviser to the Director and Fund. The Attorney General may represent the Fund in any case that does not involve the rights of the Fund against another individual who: is in the same employ as the employee who received benefits under Title 9 of this article; and caused the injury or death of the employee. Staff whom the Attorney General assigns to represent the Fund may not represent another party in a claim under Title 9 of this article. Staff whom the Attorney General assigns to represent the Fund may apply to the Director for authority to hire and, within an amount that the Director sets, to pay each expert or witness who is needed to defend a claim properly. The Director shall assign to help the staff of the Attorney General each employee of the Fund who is needed to represent the Fund.

The Director may adopt any reasonable regulation to process and pay an award charged against the Fund.

The Fund shall consist of: the money credited to the Fund under Title 9 of this article; income from investments that the State Treasurer makes for the Fund; and interest on deposits or investments of money from the Fund. Subject to subsection (d) of this section, the Director shall use the Fund to pay: each award under Title 9 of this article charged against the Fund; the amount that the Director authorizes for an expert or witness hired under § 10–310(c) of this subtitle; other proper charges that the Director authorizes; whenever an employer who is self–insured in accordance with § 9–404 or § 9–405 of this article becomes insolvent, any outstanding obligations of the employer; and hearing loss claims for retirees of the Bethlehem Steel Corporation. The liability of the Board, Director, Fund, State Treasurer, and State for all proper charges against the Fund is limited to the assets of the Fund. Beginning in fiscal year 2021, the Director may use the Fund to pay for the administration of the Fund only if an appropriation is included in the State budget for this purpose.

The State Treasurer is custodian of the Fund. The State Treasurer shall keep the Fund separate from State money.

The Director shall supervise the administration of the Fund. The Fund annually shall submit to the Governor a proposed budget for the Fund, for inclusion in the budget bill to be submitted to the General Assembly. The proposed budget shall include an appropriation from the Fund for its budget.

The Board shall establish reserves to meet potential losses of the Fund.

The State Treasurer shall invest surplus money of the Fund in any security in which a savings bank may invest under State law. If the State Treasurer invests in a certificate of deposit, it shall: be interest bearing; be issued by: a bank located and authorized to do business in the State; a national banking association located in the State; or a trust company located and authorized to do business in the State; and be secured in full by a pledge of a direct obligation of the State or United States. If sale of a security in which money of the Fund is invested is in the best interest of the Fund, the State Treasurer may sell the security.

The State Treasurer shall disburse money from the Fund only on a voucher that is signed by the Director for the Fund.

The State Treasurer annually shall submit to the Director for the Fund a statement that: for the fiscal year for which the statement is made: states the balance of the Fund on the last day of the year; states the income of the Fund; and summarizes the payments from the Fund; and states the balance of the Fund on the last day of the preceding fiscal year. On or before October 1 of each year, the Board shall submit to the Governor and, subject to § 2–1257 of the State Government Article, the General Assembly an annual report that includes a detailed statement of the balances and expenses of the Fund.