An Act To Amend Provisions Limiting the Return to Work after Retirement by Teachers, School Employees and State Employees
Maine Legislature, Session 125, LD 1632
Committee Amendment CA_A_S567 (Senate)
Amends: 5 MRSA §17859

COMMITTEE AMENDMENT" A" to S.P. 542, L.D. 1632, Bill, "An Act To 
Amend Provisions Limiting the Return to Work after Retirement by Teachers, School 
Employees and State Employees" 
Amend the bill by striking out the title and substituting the following: 
'An Act To Amend Provisions Limiting the Return to Work after Retirement by 
Teachers and School Administrators' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 5 MRSA §17859, as amended by PL 2011, c. 420, Pt. L, §1, is further 
amended to read: 
§17859. Retiring and returning to work 
1. Restoration to service. Any state employee or teacher school administrator who 
has reached normal retirement age and who retires after September 1, 2011 may be 
restored to service for up to 5 years. The decision to hire a retired state employee or 
retired teacher school administrator under this section is at the discretion of the 
appointing authority. The retired state employee or retired teacher school administrator 
must have had a bona fide termination of employment in accordance with state and 
federal laws and rules, may not return to employment after retirement with the same 
employer for at least 30 calendar days after the termination of employment and may not 
return to employment before the effective date of the person's retirement. 
For the 
purposes of this section. "school administrator" means a superintendent as defined in Title 
20-A section 1. subsection 39 or a principal as defined in Title 20-A section 1. 
subsection 21. 
2. Compensation and benefits. The compensation and benefits of the retired state 
employee or retired teacher school administrator who returns to service after retirement as 
set out in subsection 1 is governed by this subsection. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT "A" to S.P. 542, L.D. 1632 
A. 
The compensation of the retired state employee or retired teacHer school 
administrator who returns to service must be set at 75% of the compensation 
established for the position to be filled, at a step determined by the appointing 
authority. 
B. The retired state employee or retired teacHer school administrator who returns to 
service under this section is not a member and therefore may not accrue additional 
creditable service or change the retired state employee's or retired teacHer's school 
administrator's earnable compensation for benefit calculation purposes. 
C. During the period of reemployment, the retired state employee or retired teacHer 
school administrator is not entitled to health insurance, dental insurance or life 
insurance benefits. The retired state employee or retired teacHer school administrator 
is entitled to all other benefits for the reemployment position under collective 
bargaining agreements or civil service laws and rules. Health insurance benefits must 
be provided under the provisions of section 285, subsection I-A for retired state 
employees or Title 20-A, section 13451 for retired teacHers school administrators and 
life insurance benefits must be provided under the provisions of section 18055. 
3. Contributions to the Maine Public Employees Retirement System and state 
group health plan. The portion of the employer contribution that goes to pay the 
retirement system for the unfunded liability and the state group health plan for retiree 
health care must be continued and based on the retired state employee's or retired 
teacHer's school administrator's compensation as provided under subsection 2 during the 
reemployment period. 
4. Notification requirements. Employers under this section are required to identify 
and report to the retirement system, in the manner specified by the retirement system, 
each individual who is a retiree who becomes an employee of the employer under the 
option provided in this section. Departments shall also report each retiree who becomes 
an employee to the Bureau of the Budget in a manner specified by the bureau. The 
employer shall report each such employee whenever and so long as the employee is the 
employer's employee. 
S. Exclusion. A retired state employee or retired teacHer school administrator who is 
hired as a substitute teacher is not subject to the restoration to service 5-year limitation in 
subsection 1 or the compensation limitation in subsection 2, paragraph A.' 
SUMMARY 
This amendment is the minority report of the committee. This amendment amends 
the bill to retain the provisions in current law that provide that limitations on conditions 
of restoration to service after retirement enacted in 2011 apply to state employees. The 
amendment retains the provisions of the bill that exempt teachers from these limitations 
and that provide that the limitations apply to school superintendents and principals. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
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Approved: 04125112 ;tvac;. 
LD 1632 
LR2594(02) 
An Act To Amend Provisions Limiting the Return to Work after Retirement by Teachers 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment "A" S .. Sb'1 
Committee: Appropriations and Financial Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
No net fiscal impact 
When limitations on conditions of restoration to service after retirement were enacted in 2011 no costs or savings 
were budgeted. It was assumed that limiting compensation to 75% would deter some retirees from returning to work 
and those positions would have to be filled by replacement workers. The State and school administrative units would 
have to pay health insurance costs and retirement costs for new replacement workers, which would offset the savings 
from the 25% reduction in compensation for those who would return at the lower pay. Excluding teachers from these 
limitations is not expected to significantly change the net impact of the original legislation. 
LR2594(02) - Fiscal Note - Page 1 of 1