An Act To Protect Earned Pay
Maine Legislature, Session 128, LD 0563
Committee Amendment CA_A_H72 (House)

COMMITTEE AMENDMENT " 4 " to H.P. 405, L.D. 563, Bill, "An Act To 
Protect Earned Pay" 
Amend the bill by adding after section 1 the following: 
'Sec. 2. Appropriations and allocations. The following appropriations and 
allocations are made. 
LABOR, DEPARTMENT OF 
Employment Security Services 0245 
fuitiative: Provides one-time funds to make changes to the unemployment benefit system 
to incorporate the elimination of both vacation and holiday pay offsets. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
2017-18 
$829,563 
$829,563 
2018-19 
$0 
$0 
SUMMARY 
This amendment provides funds to the Department of Labor for the costs associated 
with updating the employment benefit system to reflect the changes made in the bill. The 
amendment adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 04/12/17 ;t;,;,aC!-
LD563 
LR 1791(02) 
An Act To Protect Earned Pay 
Fiscal Note for Bill as Amended by Committee Amendment'~' (J{- 7 J) 
Committee: Labor, Commerce, Research and Economic Development 
Fiscal Note Required: Yes 
Fiscal Note 
Current biennium cost increase - All Funds 
Current biennium cost increase - Unemployment Compensation Trust Fund 
Potential future biennium revenue increase - Unemployment Compensation Trust Fund 
FY 2017-18 
FY 2018-19 
Projections 
FY 2019-20 
Projections 
FY 2020-21 
Net Cost (Savings) 
General Fund 
Appropriations/ Allocations 
General Fund 
Fiscal Detail and Notes 
$829,563 
$829,563 
$0 
$0 
$0 
$0 
$0 
$0 
This bill includes a one-time General Fund appropriation of $829,563 in fiscal year 2017-18 to the Employment 
Security Services program within the Department of Labor for the costs associated with updating the unemployment 
benefit system to reflect the elimination of both the vacation and holiday pay offsets. 
Removing holiday pay and vacation pay in excess of 4 weeks' wages as deductible income when calculating a 
claimant's unemployment compensation benefit amount will increase costs to the Unemployment Compensation Trust 
Fund beginning in fiscal year 2017-18 due to an increase in benefit payments. An analysis performed by the 
Department of Labor's Center for Workforce Research and Information estimates the increase in benefit costs to be 
between 0.14% and 0.63% of total regular benefits, depending on the economic conditions at the time. If this 
provision had been in place in 2016, the estimated increase in benefit costs would have been between $142,000 and 
$636,000 based on total regular benefit costs of $100,340,000. If this provision had been in place during the recession 
year of 2009, the estimated increase would have been between $360,000 and $1,600,000, based on total regular 
benefit costs of $256,000,000. 
LRl 791(02) - Fiscal Note - Page 1 of2 
This expansion of benefits may potentially affect the contribution rate schedule in future biennia. The impact to all 
employers and the timing of the impact can not be determined at this time and will depend on the level of benefits 
paid, contributions received and the balance of the trust fund when the contribution schedule is calculated. 
This bill will increase unemployment costs for executive branch departments and agencies that are in direct 
reimbursement status. The actual costs can not be determined. However, information provided by the Department of 
Labor indicates that, if this provision had been in place in 2016, the increased costs to the Executive Branch and the 
Judicial Branch would have been $1,929 and $400, respectively. The Legislative Branch would not have experienced 
an increase. These direct reimbursement costs would impact whatever fund the affected state employees are paid 
from. 
LRl 791 (02) - Fiscal Note - Page 2 of 2