Declaration of Intent to Obtain Approval of EPIP. During the submission period announced by the Secretary, any employer who intends to enroll in an EPIP may submit a DOI, signed by the employer, acknowledging, attesting, and agreeing to certain requirements, including but not limited to: The employer intends to provide an EPIP to all its employees that meets or exceeds all the requirements of Labor and Employment Article, §§8.3-101, et seq., Annotated Code of Maryland and this subtitle. The employer met with an insurance producer or carrier about available commercially insured EPIPs. A signature from the insurance producer or carrier acknowledging the meeting in §A(1)(b) of this regulation. Except as provided in Ch. 363, Section 2, Acts of (2025), beginning on the effective date of a DOI and continuing until the Division has approved the EPIP application, the employer shall collect and hold all contributions from both the employer and employees that would otherwise be due to the State plan in an escrow account, provided that: The employer collects employee contributions via payroll deduction or makes contributions on behalf of the employee; Employee contributions are withheld during the pay period for which they are being collected; and Employee contributions are not retroactively collected. If, after the submission of a DOI, an EPIP is approved, the employer shall return employee contributions held in escrow to the employees from whom they were withheld, or if the EPIP approved is a self-insured EPIP the contributions held in escrow may be used to seed the separately accounted self-insured EPIP fund. If a former employee cannot be located, the employee’s contributions shall be remitted to the State plan. The employer shall submit an EPIP application no later than the date announced by the Secretary. If, after the submission of a DOI, the employer is not approved for an EPIP before the date announced by the Secretary, the employer is liable for remitting to the State plan an amount equal to the sum of all unpaid employer and employee contribution payments due for the periods contributions were not made plus any interest and penalties for late payment. If necessary, the funds held in escrow under §A(1)(d) of this regulation shall be used to remit payment under §A(1)(h) of this regulation. The Division shall approve or deny a DOI within 15 business days of submittal. An approved DOI becomes effective on the first day of the calendar quarter following the date of approval by the Division. The Division may terminate a DOI for: Misuse of employee contributions by the employer; Failure to hold funds in escrow as required; Failure to adhere to applicable FAMLI program requirements; Excessive withholding of contributions from the pay of employees beyond the amount that would have been withheld under the State plan; Failure to respond timely to a reasonable request from the Division for information about the EPIP or DOI; Failure to submit quarterly wage and hour reports; Failure to submit an EPIP application; or Denial by the Division of an EPIP application. All DOIs expire December 31, 2027. DOI and Contributions. Initial EPIP Enrollment. If an employer is approved to be exempt from contributions to the State plan via a DOI and their subsequent EPIP application is approved, the employer shall remain in an EPIP for a minimum of 4 calendar quarters. Failure to complete the initial EPIP enrollment shall result in the employer’s automatic enrollment in the State plan and remittance to the Division an amount equal to the total contributions that would have been paid to the State plan beginning January 1, 2027 minus any contributions made to the State plan prior to approval of the EPIP plus any interest and penalties for late payment. If an employer whose DOI was approved enters into an EPIP and the EPIP is terminated before December 31, 2028, either by the employer or the Division, the employer shall remit to the Division the contributions and interest from which they were exempted as a result of the DOI. If an employer whose DOI was approved enters into an EPIP and the EPIP is terminated before December 31, 2029, either by the employer or the Division, the employer is responsible for half the contributions and interest from which they were exempted as a result of the DOI.