Resolve, To Require a Review of the State Employee and Teacher Retirement Plan
Maine Legislature, Session 128, LD 0917
Committee: Appropriations and Financial Affairs
Sponsors: WINSOR, HAMPER

Legislative Document
No. 917
H.P. 645
House of Representatives, March 7, 2017
Resolve, To Require a Review of the State Employee and Teacher 
Retirement Plan
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered 
printed.
ROBERT B. HUNT
Clerk
Presented by Representative WINSOR of Norway.
Cosponsored by Senator HAMPER of Oxford.
Sec. 1.  Evaluation and design of retirement benefit plan for state 
employees and teachers; working group established.  Resolved:  That the Maine 
Public Employees Retirement System and the Department of Administrative and 
Financial Services, within their existing resources, shall jointly convene and provide 
necessary staffing assistance to a working group to evaluate and design retirement plan 
options for all state employees and teachers in accordance with this section. 
1.  Definitions.  As used in this resolve, unless the context otherwise indicates, the 
following terms have the following meanings. 
A.  "State employee" has the same meaning as in the Maine Revised Statutes, Title 5, 
section 17001, subsection 40. 
B.  "Teacher" has the same meaning as in Title 5, section 17001, subsection 42. 
2.  Membership.  The working group consists of: 
A.  The Executive Director of the Maine Public Employees Retirement System, who 
serves as the chair of the working group; 
B.  The Commissioner of Administrative and Financial Services or the 
commissioner's designee; 
C.  One member appointed by the Commissioner of Administrative and Financial 
Services; 
D.  Two members appointed by the chair of the working group from nominations 
submitted by the Maine Education Association; 
E.  Two members appointed by the chair of the working group from nominations 
submitted by the Maine School Management Association; and 
F.  Two members appointed by the chair of the working group from nominations 
submitted by the Maine State Employees Association. 
3.  Retirement plan options.  The working group shall evaluate various retirement 
plan options, including but not limited to the: 
A.  Creation of a new tier of the current retirement plan for new hires; 
B.  Establishment of a separate and new retirement plan for new hires; 
C.  Modification of the current retirement plan for existing members and new hires; 
D.  Coverage of new hires under the United States Social Security Act; 
E.  Establishment of supplemental voluntary retirement plans. 
4.  Evaluation criteria.  In evaluating retirement plan options, the working group 
shall assess the likelihood of each option to: 
A.  Attract and retain new state employees and teachers; 
B.  Provide for portability that benefits employers and employees; 
C.  Meet the needs of state employees and teachers for retirement security, including 
providing a secure income stream in retirement; 
D.  Manage risk with predictable and realistic long-term costs and benefits; 
E.  Be administratively efficient; and 
F.  Provide financial information to employees in planning for retirement. 
5.  Duties.  In evaluating and designing retirement plan options for state employees 
and teachers, the working group shall consult, as needed, with experts in the retirement 
and investment field and shall identify the plan or plans that it recommends for 
consideration by the Legislature.  In identifying a plan or plans, the working group shall 
determine the financial impact of each plan on the employee or teacher and on the State 
and shall develop implementation timelines and criteria for the plan or plans the working 
group recommends for consideration by the Legislature; and be it further 
Sec. 2.  Report.  Resolved:  That no later than January 1, 2018, the Maine Public 
Employees Retirement System shall submit to the Legislature the report of the working 
group established in section 1 on the retirement plan option or options that the working 
group recommends for consideration by the Legislature, including any necessary 
implementing legislation that, notwithstanding Joint Rule 353, is authorized for 
introduction to the Second Regular Session of the 128th Legislature. 
SUMMARY 
This resolve directs the Maine Public Employees Retirement System and the 
Department of Administrative and Financial Services, within their existing resources, to 
jointly convene and provide necessary staffing assistance to a working group to evaluate 
and design retirement plan options for all state employees and teachers.  The Maine 
Public Employees Retirement System is directed to submit its recommendations, 
including any necessary implementing legislation, to the Legislature no later than January 
1, 2018.