An Act To Require the State To Meet the Mandatory 55 Percent Contribution to Schools
Maine Legislature, Session 129, LD 0259
Committee Amendment CA_A_S130 (Senate)
Amends: 20-A MRSA §5806, 20-A MRSA §15671

COMMITTEE AMENDMENT" A" to S.P. 71, L.D. 259, Bill, "An Act To Require 
the State To Meet the Mandatory 55 Percent Contribution to Schools" 
Amend the bill by inserting after the enacting clause and before section 1 the 
following: 
'Sec. 1. 20-A MRSA §5806, sub-§2, as repealed and replaced by PL 2013, c. 
497, §1, is amended to read: 
2. Maximum allowable tuition. The maximum allowable tuition charged to a 
school administrative unit by a private school is the rate established under subsection 1 or 
the state average per public secondary student cost as adjusted, whichever is lower, plus 
an insured value factor. The insured value factor is computed by dividing 5% of the 
insured value of school buildings and equipment by the average number of pupils 
enrolled in the school on October 1st and April 1st of the year immediately before the 
school year for which the tuition charge is computed. From school year 2009-2010 to 
school year 2013-2014, a school administrative unit is not required to pay an insured 
value factor greater than 5% of the school's tuition rate or $500 per student, whichever is 
less, unless the legislative body of the school administrative unit votes to authorize its 
school board to pay a higher insured value factor that is no greater than 10% of the 
school's tuition rate per student. For the 2014-2015 school year, a school administrative 
unit is not required to pay an insured value factor greater than 6% of the school's tuition 
rate per student, unless the legislative body of the school administrative unit votes to 
authorize its school board to pay a higher insured value factor that is no greater than 10% 
of the school's tuition rate per student. Beginning in the 2015-2016 school year, a school 
administrative unit is not required to pay an insured value factor greater than the amount 
of the prior school year's insured value factor adjusted by a percentage equal to the 
percentage change in the state share percentage of the total cost of funding public 
education in the prior school year as determined by section 15671, subsection 7, 
paragraph G ;B_ as compared to the applicable percentage for the current school year. In 
no case may the insured value factor be less than 6% or greater than 10% of the school's 
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tuition rate per student, unless the legislative body of the school administrative unit votes 
to authorize its school board to pay an insured value factor that exceeds the amount 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT"/\ "to S.P. 71, L.D. 259 
. I .... . 
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otherwise permitted by this subsection by no more than 5% of the school's tuition rate per 
student. For the 2013-2014 school year only, the maximum allowable tuition charged to 
a school administrative unit by a private school that participates in the Maine Public 
Employees Retirement System must be increased above the amount otherwise permitted 
under this section by an amount equal to the calculated normal cost of teacher retirement 
for that school divided by the number of enrolled students as of October 1, 2012.' 
Amend the bill by inserting after section 1 the following: 
'Sec. 2. 20-A MRSA §15671, sub-§7, 1C, as amended by PL 2017, c. 284, Pt. C, 
§20, is repealed. 
Sec. 3. Appropriations and allocations. 
The following appropriations and 
allocations are made. 
EDUCATION, DEPARTMENT OF 
General Purpose Aid for Local Schools 0308 
Initiative: Provides additional funds to increase the State's contribution to funding the 
total cost of education from kindergarten to grade 12 to 55%. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
2019-20 
$99,304,868 
$99,304,868 
2020-21 
$99,940,016 
$99,940,016 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment, which is the majority report of the committee, repeals the provision 
of law containing the annual targets for the state share percentage of the total cost of 
funding public education from kindergarten to grade 12 that include the cost of 
components of essential programs and services plus the state contributions to the 
unfunded actuarial liabilities of the Maine Public Employees Retirement System that are 
attributable to teachers, retired teachers' health insurance and retired teachers' life 
insurance. The amendment also adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/07/19 frac.. 
LD259 
LR280(02) 
An Act To Require the State To Meet the Mandatory 55 Percent Contribution to Schools 
Fiscal Note for Bill as Amended by Committee Amendment 'A" ( :':)- \'.~D) 
Committee: Education and Cultural Affairs 
-
Net Cost (Savings) 
General Fund 
Appropriations/ Allocations 
General Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2019-20 
FY 2020-21 
$99,304,868 
$99,940,016 
$99,304,868 
$99,940,016 
Projections 
FY 2021-22 
$99,940,016 
$99,940,016 
Projections 
FY 2022-23 
$99 ,940,016 
$99,940,016 
This bill sets the state share percentage of the statewide adjusted total cost of the components of essential programs 
and services at 55% for fiscal year 2019-20 and each fiscal year thereafter. The estimated cost of this provision is 
$144, 151,319 in fiscal year 2019-20 and $188, 212, 121 in fiscal year 2020-21. LD 1001, the 2020-2021 biennial 
budget, proposes to increase funding for K-12 public education by $44,846,451 and $88,272,105 in fiscal years 2019-
and 2020-21, respectively. 
This bill includes additional General Fund appropriations of $99,304,868 in fiscal year 2019-20 and $99,940,016 in 
fiscal year 2020-21 to the General Purpose Aid to Local Schools program within the Depaitment of Education 
necessary to reach the required state share percentage of 55%. Increasing the State's contribution to funding the total 
cost ofK-12 public education will result in a corresponding decrease in the amount of funds required to be raised by 
local school administrative units (SAU'S). The impact to individual SAU's can not be determined at this time. The 
included appropriations assume the additional GPA funding in LD 1001 gets enacted as proposed. If that does not 
happen, the appropriations in this bill will need to be adjusted for the differences. 
Repealing the section of law that requires the calculation of the annual targets for the state share percentage of the 
total cost of funding public education from kindergarten to grade 12 to include the State's contribution to funding the 
cost of the unfunded actuarial liability (UAL) of the Maine Public Employees Retirement System that are attributable 
to teachers, retired teachers' health insurance and retired teachers' life insurance in addition to the cost of the 
components of essential programs and services means the General Fund appropriations needed to reach the 55% target 
are higher than would be required if the costs of the UAL, health insurance and life insurance were included in the 
calculation. 
LR0280(02) - Fiscal Note - Page 1 of 1