When an injured employee, or spouse or dependent of an injured employee, is eligible for and is receiving permanent total or temporary total disability benefits under section 65-05-09, and is also eligible for, is receiving, or will receive, benefits under title II of the Social Security Act [ 42 U.S.C. 423 ], the aggregate benefits payable under section 65-05-09 must be reduced, but not below zero, by an amount equal as nearly as practicable to one-half of such federal benefit. The federal benefit, or primary insurance amount, must be determined by the social security administration. The amount to be offset must equal the primary insurance amount rounded to the next lowest dollar less credit for either the entire amount of attorney's fees and costs, or the fees and costs paid to an authorized representative of the employee as allowed by the social security administration, withheld from past-due social security benefits or paid directly by the claimant for representation before the social security administration. The amount of the offset computed by the organization initially must remain the same throughout the period of eligibility and may not be affected by any increase or decrease in federal benefits.
Any injured employee, or dependent of an injured employee, receiving permanent total or temporary total disability benefits under section 65-05-09 and whose benefits are offset as provided herein, is not eligible for any escalation of benefits which would adversely affect the organization's right to offset workforce safety and insurance benefits against social security benefits, as provided for in this chapter. This offset will become effective on January 1, 1980, provided that it meets the criteria necessary to allow states to offset federal benefits under title II of the Social Security Act [ 42 U.S.C. 424a ]. Providing further that:
N.D.C.C. § 65-05-09.1