An Act To Encourage Cost Savings by State Employees
Maine Legislature, Session 121, LD 1686
Committee: State and Local Government
Sponsors: DAGGETI, MOODY, BROMLEY, MAYO, ROTUNDO, COLWELL, PATRICK, SUSLOVIC, THOMPSON

Legislative Document 
No. 1686 
S.P.618 
In Senate, December 17, 2003 
An Act To Encourage Cost Savings by State Employees 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
203. 
Received by the Secretary of the Senate on December 16, 2003. Referred to the Committee 
on State and Local Government pursuant to Joint Rule 308.2 and ordered printed pursuant to 
Joint Rule 218. 
Presented by President DAGGETI of Kennebec. 
Cosponsored by Representative MOODY of Manchester and 
JOY J. O'BRIEN 
Secretary of the Senate 
Senators: BROMLEY of Cumberland, MAYO of Sagadahoc, ROTUNDO of Androscoggin, 
Representati ves: Speaker COLWELL of Gardiner, PATRICK of Rumford, SUSLOVIC of 
Portland, THOMPSON of China. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 5 MRSA c. 56-A is enacted to read: 
CHAPTER 56-A 
EMPLOYEE AWARDS 
§651. 
Employee Suggestion System 
1. 
Definitions. 
As 
used 
in this 
chapter, 
unless 
the 
context 
otherwise 
indicates, 
the 
following 
terms 
have 
the 
following meanings. 
A. 
"Board" 
means 
the 
Employee 
Suggestion 
System 
Board 
established in subsection 3. 
B. 
"System" 
means 
the 
Employee 
Suggestion 
System 
established in subsection 2. 
2. 
System established. 
The Employee Suggestion System is 
established to encourage by means of cash or honorary awards 
state employees to find substantial savings and efficiencies in 
state operations. 
3. 
Board. 
The 
Employee 
Suggestion 
System 
Board 
is 
established and consists of the Commissioner of Administrative 
and Financial Services and 
other departmental commissioners 
appointed by the Governor. 
A. 
The board shall elect a chair annually. 
B. 
The 
Commissioner 
of 
Administrative 
and 
Financial 
Services is responsible for administering the system and 
shall assign an employee, who may have other assignments not 
related to the system, to manage the system on a day-to-day 
basis. 
C. 
The 
board 
may 
adopt 
routine 
technical 
rules 
in 
accordance with chapter 375, subchapter 2-A to implement the 
system, including criteria for suggesting ideas and making 
awards. 
4. 
Ineligible employees. 
The board may exclude certain 
levels of positions from participation in the system. 
Persons in 
positions enumerated in chapter 71 or in Title 2, sections 6 to 
E are not eligible to receive cash awards under the system. 
5. 
Maximum cash award; 
cost savings. 
The 
maximum cash 
award approved for a suggestion that results in cost savings is 
Page l-LR22l8(1) 
limited to 10% of the first year's estimated All Other savings or 
$2,000, whichever is less. 
Except as provided in subsection 6, 
an award may not be made for any suggested savings of less than 
$250. 
Any cash awards approved by the board must be charged 
against the fund or funds to which estimated savings apply. 
If 
it is not possible to reasonably estimate the savings, the board 
may pay an initial amount and pay an additional amount at the end 
of the first year or may pay the full amount at the end of the 
first year. 
6. 
Improvements to service without cost savings. 
Upon the 
recommendation of the agency head of the affected program, the 
board may approve an award not to exceed $100 for a suggestion 
that results in improved services or operation of the program but 
does not result in identifiable cost savings. 
7. 
Reductions in service. 
An award may not be approved by 
the board for 
a 
suggestion that generates savings 
through 
a 
reduction of services, unless it is an identified duplication of 
services. 
8. 
Confidentialit~. 
The 
name 
of 
the 
person with 
the 
suggestion must be treated confidentially by the board and any 
other person handling the suggestion until a final decision is 
made by the board, if requested by the person with the suggestion. 
9. 
Assistance. 
Any department or other organization of 
State Government shall provide whatever assistance the 
board 
requests for evaluating suggestions or other purposes. 
10. 
Administration. 
Notwithstanding 
any 
other 
law, 
whenever an award is made from a fund, an equal amount must be 
transferred 
from 
the 
same 
fund 
to 
a 
special 
revenue 
fund 
available 
to 
the 
Department 
of 
Administrative 
and 
Financial 
Services to be used to administer the system. 
11. 
Promotion. 
The board shall ensure that all employees 
are aware of the system and the potential award amounts. 
SUMMARY 
This 
bill 
establishes 
the 
Employee 
Suggestion 
System, 
whereby state employees in classified service are eligible for 
cash or honorary awards for suggestions that would result in 
substantial 
savings 
or 
improvements 
or efficiencies in state 
operations. 
A cash award would be limited to 10°'!> of the first 
year's estimated saving, up to a cap of $2,000. 
This legislation 
is modeled on law that was repealed in 1995.