An Act To Increase the Base for the Cost-of-living Increase for Retired State Employees and Teachers
Maine Legislature, Session 126, LD 0232
Committee Amendment CA_A_S375 (Senate)

COMMITTEE AMENDMENT" A" to S.P. 68, L.D. 232, Bill, "An Act To Increase 
the Base for the Cost-of-living Increase for Retired State Employees and Teachers" 
Amend the bill by striking out everything after the title and before the summary and 
inserting the following: 
'Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, it is imperative that this legislation take effect prior to the close of fiscal 
year 2013-14 in order to reserve sufficient funds from the General Fund unappropriated 
surplus at the end of fiscal year 2013-14 to pay for the one-time, noncumulative cost-of-
living adjustment payable in calendar year 2014; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. PL 2011, c. 380, Pt. T, §22 is amended to read: 
Sec. T -22. Noncumulative cost-of-living adjustment retirement benefit. 
No later than August 15th in 2012, 2013 and 2014, the Executive Director of the Maine 
Public Employees Retirement System shall notify the State Controller of the total cost of 
providing a payment to retirees that would otherwise have been eligible for a cost-of-
living adjustment but for the operation of the suspension of the annual cost-of-living 
adjustments pursuant to the provisions of this Part. The benefit calculation for the 
noncumulative cost-of-living adjustments payable in 2012 and 2013 is equal to the 
change in the Consumer Price Index for the year ending in June of the prior calendar 
year, up to a maximum of 3%, but in no case may the change be less than 0%, multiplied 
by the retirement benefit payments up to a maximum of $20,000 for the one-year period 
ending August 31 st of that calendar year, excluding any retirement benefits calculated 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" A "to S.P. 68, L.D. 232 
pursuant to this section. The benefit calculation for the noncumulative cost-of-living 
adjustment payable in 2014 is equal to the change in the Consumer Price Index for the 
year ending in June 2013, up to a maximum of 3%, but in no case may the change be less 
than 0%, multiplied by the retirement benefit payments up to a maximum of $30,000 for 
the one-year period ending August 31, 2014, excluding any retirement benefits calculated 
pursuant to this section. The State Controller shall transfer the amounts calculated 
pursuant to this section up to the balance available in the reserve for retirement benefits 
established in the Maine Revised Statutes, Title 5, section 1522 no later than September 
st of each year. If the balance in the reserve for retirement benefits on that date is not 
sufficient to fully fund the total benefits calculated, the State Controller shall transfer the 
amount that is available in the reserve to the Maine Public Employees Retirement System 
and the executive director shall proportionally reduce the benefit calculated by this 
section to equal the amount of funding provided. 
Emergency clause. 
In view of the emergency cited in the preamble, this 
legislation takes effect when approved.' 
SUMMARY 
This amendment replaces the bill and increases the base for the calculation of the 
one-time, noncumulative cost-of-living adjustment payable in 2014 for retired teachers 
and state employees under the Maine Public Employees Retirement System from $20,000 
to $30,000. The amendment also adds an emergency preamble and emergency clause. 
FISCAL .\OTE REQURED 
(See attached) 
COMMITTEE AMENDMENT 
• 
Approved: 01129114 
;:W'ae 
LD232 
LR 1001(02) 
An Act To Increase the Base for the Cost-of-Iiving Increase for Retired State Employees and Teachers 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment '~" (S- 3 15.) 
Committee: Appropriations and Financial Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
Increasing the maximum base for the calculation of the one-time noncumulative cost-of-living adjustment payable to 
retired state employees and teachers under the Maine Public Employees Retirement System in 2014 from $20,000 to 
$30,000 will increase the portion of the fiscal year 2013-14 year-end unappropriated surplus of the General Fund, also 
known as the Cascade, that is to be used to fund this provision. The Maine Public Employees Retirement System 
estimates the additional cost to be approximately $2.25 million. 
LRIOOI(02) - Fiscal Note - Page 1 of 1