An Act to Complete and Implement the Comprehensive Review of the Classification and Compensation System for Executive Branch Employees
Maine Legislature, Session 131, LD 1854
Committee: State and Local Government
Sponsors: GATTINE, BALDACCI, ABDI, ANKELES, ARFORD, BELL, BOYLE, BRENNAN, CLOUTIER, CLUCHEY, COLLINGS, COPELAND, CRAFTS, CRAVEN, CRAY, CROCKETT, DANA, DHALAC, DILL, DODGE, DOUDERA, EATON, FAULKINGHAM, FAY, GEIGER, GERE, GOLEK, GRAHAM, GRAMLICH, HASENFUS, HEPLER, HOBBS, JACKSON, JAUCH, KESSLER, KUHN, LANDRY, LEE, LOOKNER, MADIGAN, MALON, MASTRACCIO, MATHIESON, MATLACK, MEYER, MILLETT, MILLIKEN, MONTELL, MOONEN, MORIARTY, MURPHY, O'CONNELL, O'NEIL, OSHER, PAULHUS, PERRY, PLUECKER, POIRIER, PRINGLE, RANA, RECKITT, RIELLY, RISEMAN, ROBERTS, ROEDER, RUNTE, RUSSELL, SACHS, SALISBURY, SARGENT, SAYRE, SHAGOURY, SHEEHAN, SKOLD, SMITH, STOVER, SUPICA, TALBOT ROSS, TERRY, WARREN, WHITE, WILLIAMS, ZAGER, ZEIGLER, BAILEY, BEEBE-CENTER, BLACK, BRENNER, CARNEY, CHIPMAN, CURRY, DAUGHTRY, GROHOSKI, HICKMAN
Amends: 5 MRSA §1536, 5 MRSA §7061

Legislative Document
No. 1854
H.P. 1184
House of Representatives, May 2, 2023
An Act to Complete and Implement the Comprehensive Review of the 
Classification and Compensation System for Executive Branch Employees
Reference to the Committee on State and Local Government suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative GATTINE of Westbrook.
Cosponsored by Senator BALDACCI of Penobscot and
Representatives: ABDI of Lewiston, ANKELES of Brunswick, ARFORD of Brunswick, BELL of Yarmouth, 
BOYLE of Gorham, BRENNAN of Portland, CLOUTIER of Lewiston, CLUCHEY of Bowdoinham, COLLINGS 
of Portland, COPELAND of Saco, CRAFTS of Newcastle, CRAVEN of Lewiston, CRAY of Palmyra, 
CROCKETT of Portland, DANA of the Passamaquoddy Tribe, DHALAC of South Portland, DILL of Old Town, 
DODGE of Belfast, DOUDERA of Camden, EATON of Deer Isle, FAULKINGHAM of Winter Harbor, FAY of 
Raymond, GEIGER of Rockland, GERE of Kennebunkport, GOLEK of Harpswell, GRAHAM of North 
Yarmouth, GRAMLICH of Old Orchard Beach, HASENFUS of Readfield, HEPLER of Woolwich, HOBBS of 
Wells, JACKSON of Oxford, JAUCH of Topsham, KESSLER of South Portland, KUHN of Falmouth, LANDRY 
of Farmington, LaROCHELLE of Augusta, LEE of Auburn, LOOKNER of Portland, MADIGAN of Waterville, 
MALON of Biddeford, MASTRACCIO of Sanford, MATHIESON of Kittery, MATLACK of St. George, 
MEYER of Eliot, MILLETT of Cape Elizabeth, MILLIKEN of Blue Hill, MONTELL of Gardiner, MOONEN of 
Portland, MORIARTY of Cumberland, MURPHY of Scarborough, O'CONNELL of Brewer, O'NEIL of Saco, 
OSHER of Orono, PAULHUS of Bath, PERRY of Calais, PERRY of Bangor, PLUECKER of Warren, POIRIER 
of Skowhegan, PRINGLE of Windham, RANA of Bangor, RECKITT of South Portland, RIELLY of Westbrook, 
RISEMAN of Harrison, ROBERTS of South Berwick, ROEDER of Bangor, RUNTE of York, RUSSELL of 
Verona Island, SACHS of Freeport, SALISBURY of Westbrook, SARGENT of York, SAYRE of Kennebunk, 
SHAGOURY of Hallowell, SHEEHAN of Biddeford, SKOLD of Portland, SMITH of Palermo, STOVER of 
Boothbay, SUPICA of Bangor, Speaker TALBOT ROSS of Portland, TERRY of Gorham, WARREN of 
Scarborough, WHITE of Waterville, WILLIAMS of Bar Harbor, ZAGER of Portland, ZEIGLER of Montville, 
Senators: BAILEY of York, BEEBE-CENTER of Knox, BLACK of Franklin, BRENNER of Cumberland, 
CARNEY of Cumberland, CHIPMAN of Cumberland, CURRY of Waldo, DAUGHTRY of Cumberland, 
GROHOSKI of Hancock, HICKMAN of Kennebec, INGWERSEN of York, President JACKSON of Aroostook, 
LaFOUNTAIN of Kennebec, LAWRENCE of York, MOORE of Washington, NANGLE of Cumberland, 
PIERCE of Cumberland, RAFFERTY of York, RENY of Lincoln, ROTUNDO of Androscoggin, TIPPING of 
Penobscot, VITELLI of Sagadahoc.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  5 MRSA §1536, sub-§1, ¶A, as amended by PL 2015, c. 267, Pt. L, §8, is 
further amended to read:
A.  Eighty percent to the stabilization fund; and
Sec. 2.  5 MRSA §1536, sub-§1, ¶G, as enacted by PL 2021, c. 398, Pt. ZZZ, §3, 
is amended to read:
G.  Twenty Nineteen percent to the Highway and Bridge Capital program, Other 
Special Revenue Funds account.; and
Sec. 3.  5 MRSA §1536, sub-§1, ¶H is enacted to read:
H.  One percent to the State Employee Compensation Stabilization Fund under section 
7061, subsection 8.
Sec. 4.  5 MRSA §7061, sub-§4, as enacted by PL 1987, c. 541, is amended to read:
4.  Implementation.  The procedure established pursuant to this section shall must be 
implemented by the bureau in conjunction with state agencies. State agencies shall provide 
sufficient employees and resources to efficiently and effectively implement this section.
A.  The procedure shall provide for periodic updating of job descriptions and the 
compensation plan under section 7065 at least every 5 years to accurately reflect 
current duties and responsibilities of each job classification.
B.  Beginning in 2024, the procedure must provide a market pay study every 2 years 
that compares the salaries of state employees with employees performing comparable 
work for a sampling of private and public employees in the State, other New England 
states and other states as appropriate.
C.  Beginning in 2024, the procedure must provide for a comprehensive review of the 
classification plan every 10 years to make modifications and improvements as 
determined necessary.
Sec. 5.  5 MRSA §7061, sub-§8 is enacted to read:
8.  State Employee Compensation Stabilization Fund.  The State Employee 
Compensation Stabilization Fund, referred to in this subsection as "the fund," is established 
and administered by the Department of Administrative and Financial Services. Amounts in 
the fund must be expended to augment the salaries of state employees to provide parity 
between the salaries of state employees and the salaries of comparable positions in the 
public and private sectors as determined by a market pay study under subsection 4, 
paragraph B or other market pay study conducted, contracted or reviewed by the 
Department of Administrative and Financial Services and as agreed upon through 
negotiations with the labor organization that represents state employees. The fund is funded 
by revenue received pursuant to section 1536, subsection 1, paragraph H.  Amounts in the 
fund may be invested as provided by law, and interest earned by the fund is credited to the 
fund.  The balance of the fund may not lapse but must be carried forward to the next fiscal 
year. For purposes of this subsection, "state employee" has the same meaning as in Title 
26, section 979-A, subsection 6.
Sec. 6.  Commissioner of Administrative and Financial Services to complete 
review.  The Commissioner of Administrative and Financial Services shall complete a 
comprehensive review of the classification and compensation system for employees of the 
executive branch of the State performed pursuant to a memorandum of agreement executed 
with the Maine State Employees Association on June 25, 2019, including a recalculation 
of the market salary report using current salary data.
Sec. 7.  Report to Legislature. By January 31, 2024, the Commissioner of 
Administrative and Financial Services shall submit a report based upon recommendations 
made by a consultant commissioned by the commissioner to perform a comprehensive 
review of the classification and compensation system for employees of the executive 
branch of the State performed pursuant to a memorandum of agreement executed with the 
Maine State Employees Association on June 25, 2019. 
Sec. 8.  Implementation; automatic increase. By July 1, 2024, the Commissioner 
of Administrative and Financial Services shall implement the recommendations to fund the 
closing of the pay gap between employees of the State and public and private employees 
performing comparable work in the State, other New England states and other states as 
appropriate.  If the recommendations under section 7 are not implemented by July 1, 2024, 
the salary of every employee of the executive branch must increase by 5%.  The 
commissioner shall pay for salary increases under this section from the State Employee 
Compensation Stabilization Fund established in the Maine Revised Statutes, Title 5, section 
7061, subsection 8.
Sec. 9.  Appropriations and allocations.  The following appropriations and 
allocations are made.
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF
Administration - Human Resources 0038
Initiative: Provides one-time funding to the Department of Administrative and Financial 
Services to commission a comprehensive study of the classification and compensation 
system for employees of the executive branch of State Government pursuant to a 
memorandum of agreement executed with the Maine State Employees Association on June 
25, 2019.
GENERAL FUND
2023-24
2024-25
All Other
$1,000,000
$0
__________
__________
GENERAL FUND TOTAL
$1,000,000
$0
SUMMARY
This bill requires:
1. A periodic updating of the compensation plan for classified state employees;
2. A market pay study every 2 years comparing the salaries of classified state 
employees with salaries of employees performing comparable work;
3. A comprehensive review of the classification plan every 10 years to make 
modifications and improvements as determined necessary;
4.  The establishment of the State Employee Compensation Stabilization Fund to pay 
for the increase of state employee salaries as determined by market pay studies conducted, 
contracted or reviewed by the Department of Administrative and Financial Services and as 
agreed upon through negotiations with the labor organization representing state employees.  
Funding for the State Employee Compensation Stabilization Fund comes from 1% of the 
unappropriated General Fund surplus at the close of each fiscal year;
5. The Commissioner of Administrative and Financial Services to complete a 
comprehensive review of the classification and compensation system for employees of the 
executive branch of the State performed pursuant to a memorandum of agreement executed 
with the Maine State Employees Association on June 25, 2019, including a recalculation 
of the market salary report using current salary data;
6. The Commissioner of Administrative and Financial Services to submit a report based 
upon recommendations made by a consultant commissioned by the commissioner to 
perform a comprehensive review of the classification and compensation system for 
employees of the executive branch of the State; 
7.  The implementation, by July 1, 2024, of the recommendations to close the pay gap.  
If the Commissioner of Administrative and Financial Services fails to implement the 
recommendations by July 1, 2024, the salaries of all state employees is increased by 5%; 
and
8.  One-time funding to the Department of Administrative and Financial Services to 
commission the comprehensive review.