An Act to Protect State
Maine Legislature, Session 132, LD 0900
Committee Amendment CA_A_S146 (Senate)

COMMITTEE AMENDMENT "/^ " to S.P. 3 89, L.D. 900, "An Act to Protect State
Retiree Pensions from Inflation"
Amend the bill in section 2 in paragraph A-4 in the first line (page 1, line 21 in L.D,)
by inserting after the following: "22" the following: 'and fiscal year 2027-28'
Amend the bill by inserting after section 2 the following;
'See. 3. Appropriations and allocations. The following appropriations and
allocations are made.
RETIREMENT SYSTEM, MAINE PUBLIC EMPLOYEES
Retirement System - Retirement Allowance Fund 0085
Initiative: Provides one-time funds to pay the unfunded actuarial liability created by
requiring that cost-of-living increases be applied to the first $40,000 in fiscal year 2026-27
and fiscal year 2027-28 and $50,000 beginning in fiscal year 2028-29 of a retiree's benefit
as well as increasing the maximum cost-of-living percentage increase that may be applied
to a retiree's benefit from 3% to 4% in fiscal year 2026-27 and fiscal year 2027-28 and 5%
beginning in fiscal year 2028-29.
GENERAL FUND 2025-26 2026-27
AUOther $0 $1,652,960,000
GENERAL FUND TOTAL $0 $1,652,960,000
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, provides that for fiscal
year 2027-28, the Board of Trustees of the Maine Public Employees Retirement System,
COMMITTEE AMENDMENT
^
COMMITTEE AMENDMENT "A-" to S.P. 389, L.D. 900 ( ^"I^U
whenever there is a percentage increase in the Consumer Price Index from July 1 st to June
30th, must automatically make an equal percentage increase in retirement benefits up to a
maximum increase of 4%, The amendment also adds an appropriations and allocations
section.
FISCAL NOTE REQUIRED
(See attached)
Page2-132LR1451(02)
COMMITTEE AMENDMENT
Revised; 05/08/25 t-KI^.
LD 900 LR 1451(02)
An Act to Protect State Retiree Pensions from Inflation
Fiscal Note for Bill as Amended by Committee Amendment '^"/ <-,
Committee: Labor
Fiscal Note Required: Yes
Fiscal Note
Projections Projections
FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Net Cost (Savings)
General Fund $0 $1,652,960,000 $0 $0
jpproprintions/Allocations
General Fund $0 $1,652,960,000 $0 $0
Fiscal Detail and Notes
This legislation requires that cost-of-Hving increases for retirees be applied to the first $40,000 of the retiree's benefit in
fiscal year 2026-27 and fiscal year 2027-28 and the first $50,000 of the retiree's benefit in fiscal year 2028-29 and in
each subsequent year thereafter. It also increases the maximmu cost-of-livlng percentage increase that may be applied to
a retiree's benefit from 3% to 4% in fiscal year 2026-27 and fiscal year 2027-28 and 5% beginning in fiscal year 2028-
29. This bill includes a one-time General Fund appropriation of $1,652,960,000 in fiscal year 2026-27 to the Maine
Public Employees Retirement System for the unfunded actuarial liability created as a result oftliese provisions which,
pursuant to the Maine Constitution, must be funded immediately.
Tliese provisions will also increase the normal cost component of the employer retirement rate beginning in the 2028-
2029 biennium (future costs). The impact in the employer contribution rate can not be estimated at this time.
LR1451(02) - FiscnlNote - Page 1 of I