An Act To Increase the Portion of R'etirement Benefits to Which the Cost-of-living Adjustment Applies
Maine Legislature, Session 129, LD 1537
Committee Amendment CA_A_H446 (House)

COMMITTEE AMENDMENT ",4,, to H.P. 1120, L.D. 1537, Bill, "An Act To 
Increase the Portion of R'etirement Benefits to Which the Cost-of-living Adjustment 
Applies" 
Amend the bill by adding after section 1 the following: 
'Sec. 2. Appropriations and allocations. · The following appropriations and 
allocations are made. 
RETIREMENT SYSTEM, MAINE PUBLIC EMPLOYEES 
Retirement System - Retirement Allowance Fund 0085 
Initiative: Provides funds for the cost of the unfunded actuarial liability created by 
increasing the portion of retirement benefits on which the cost-of-living adjustment is 
based from $20,000 to $30,000. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
IDGHWAYFUND 
All Other 
HIGHWAY FUND TOTAL 
2019-20 
$249,282,236 
$249 ,282,23 6 
2019-20 
$23,388,879 
$23,388,879 
COMMITTEE AMENDMENT 
2020-21 
$0 
$0 
2020-21 
$0 
$0 
COMMITTEE AMENDMENT «A "to H.P. 1120, L.D. 1537 
FEDERAL EXPENDITURES FUND 
All Other 
FEDERAL EXPENDITURES FUND TOTAL 
OTHER SPECIAL REVENUE FUNDS 
All Other 
OTHER SPECIAL REVENUE FUNDS TOTAL 
FEDERAL BLOCK GRANT FUND 
All Other 
FEDERAL BLOCK GRANT FUND TOTAL 
2019-20 
$20,498,456 
$20,498,456 
2019-20 
$32,998,895 
$32,998,895 
2019-20 
$1,006,940 
$1,006,940 
2020-21 
$0 
$0 
2020-21 
$0 
$0 
2020-21 
$0 
$0 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment is the majority report of the committee and adds an appropriations 
and allocations section to the bill. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/21/19 :th'ac. 
LD 1537 
LR 1295(02) 
An Act To Increase the Portion of Retirement Benefits to Which the Cost-of-living Adjustment Applies 
Fiscal Note for Bill as Amended by Committee Amendment ,A ( H-'f '/b) 
Committee: Labor and Housing 
Net Cost (Savings) 
General Fund 
Highway Fund 
Appropriations/ Allocations 
General Fund 
Highway Fund 
Federal Expenditures Fund 
Other Special Revenue Funds 
Federal Block Grant Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2019-20 
$249,282,236 
$23,388,879 
$249,282,236 
$23,388,879 
$20,498,456 
$32,998,895 
$1,006,940 
FY2020-21 
$0 
$0 
$0 
$0 
$0 
$0 
$0 
Projections 
FY 2021-22 
$1,457,899 
$348,829 
$1,457,899 
$348,829 
$313,167 
$520,451 
$24,333 
Projections 
FY 2022-23 
$1,457,899 
$348,829 
$1,457,899 
$348,829 
$313,167 
$520,451 
$24,333 
Increasing the portion of retirement benefits on which the cost-of-living adjustment is applied to will increase the 
unfunded actuarial liability (UAL) of the Maine Public Employees Retirement System (MainePERS) by approximately 
$350 million. Pursuant to the Constitution of Maine, Article IX, Section 18-A, unfunded liabilities may not be created 
except those that result from experience losses. This bill includes a one-time General Fund appropriation of $249 .3 
million in fiscal year 2019-20 to the Retirement Allowance Fund program within MainePERS for its estimated share of 
the increase in the UAL. This bill also includes a Highway Fund allocation of $23 .4 million for its share of the cost. 
Federal Expenditures Fund, Other Special Revenue Funds and Federal Block Grant Fund allocations totaling $54.5 
million are also included in the bill. Various other funds totaling $22.8 million but not shown above will require 
allocation by financial order. 
This provision will also increase the normal cost component of the employer retirement rate by approximately $3.0 
million annually beginning in fiscal year 2021-22. The annual impact to the General Fund and Highway Fund is 
estimated to be $1.46 million and $349,000, respectively. The increase in costs to the Federal Expenditures Fund, 
Other Special Revenue Funds and the Federal Block Grant Fund total $858,000. Various other funds totaling $335,000 
but not shown above will require allocation by financial order. 
LR1295(02) - Fiscal Note - Page 1 of 1