An Act To Remove Certain Restrictions Imposed on Retired State Employees Who Retum to Work as Educators
Maine Legislature, Session 128, LD 1396
Committee Amendment CA_B_H523 (House)

COMMITTEE AMENDMENT ,13" to H.P. 970, L.D. 1396, Bill, "An Act To 
Remove Certain Restrictions Imposed on Retired State Employees Who Retum to Work 
as Educators" 
Amend the bill in section 1 in § 17859 in subsection 1-A in paragraph A in the last 
line (page 1, line 22 in L.D.) by inserting after the following: "yeat'S;" the following: 
'and' 
Amend the bill in section 1 in § 17859 in subsection 1-A by striking out all of 
paragraphs D and E (page 1, lines 29 and 33 in L.D.) and insetting the following: 
'D. 
At the same normal retirement cost contribution rate of the employer and 
employee as is required for the position if the position were filled by an employee 
who is not a retired state employee or retired teacher.' 
Amend the bill in section 1 in § 17859 in subsection 1-A in the 2nd blocked paragraph 
from the end in the last 5 lines (page 2, lines 1 to 5 in L.D.) by striking out all of the last 
underlined sentence. 
SUMMARY 
This amendment is the minority report of the committee. The amendment clarifies 
that a retired state employee or retired teacher who returns to service as a classroom-
based employee or school administrator is entitled to the same normal retirement cost 
contributions that the employer and the employee are required to provide to the Maine 
Public Employees Retirement System that would be required for the position if the 
position were filled by an employee who is not a retired state employee or retired teacher. 
COMMITTEE AMENDMENT 
Approved: 06/19/17 feac=-
LD 1396 
LR 895(03) 
An Act To Remove Certain Restrictions Imposed on Retired State Employees Who Return to Work as 
Educators 
Fiscal Note for Bill as Amended by Committee Amendment 'B 
Committee: Education and Cultural Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
Current biennium cost increase - local school administrative units 
Undetermined future biennium impact - State Employee and Teacher Program 
Fiscal Detail and Notes 
Under current law, school administrative units (SAU's) are not required to pay either the employer or employee 
contribution of the normal cost component of the State Employee and Teacher Retirement Program within the Maine 
Public Employees Retirement System for those retirees who have reached normal retirement age and who retired after 
September 1, 2011 and return to work as a classroom-based employee. This legislation adds school administrator 
positions and requires SAU's to pay both the employee and employer contributions for the classroom-based and 
school administrator positions filled by retired state employees and teachers even though no additional retirement 
benefits are being accrued by the returning employee. This provision will result in increased costs to SAU's versus 
what they would have been required to pay under current law. The impact to individual SAU's can not be estimated at 
this time. 
The impact to the State Employee and Teacher Program within the Maine Public Employees Retirement System as a 
result of both employee and employer contributions being made towards the normal cost component of the plan while 
a retired state employee or teacher holds the position as a classroom-based employee or school administrator will be 
positive and will help offset any potential long-term negative impact to the program that may occur when members 
retire and begin receiving benefit payments earlier than actuarially anticipated. 
LR0895(03) - Fiscal Note - Page 1 of 1