122nd MAINE LEGISLATURE
LD 1381 LR 1263(03)
An Act To Update Teachers' Minimum Salaries
Fiscal Note for Bill as Amended by Committee Amendment "   "
Committee: Education and Cultural Affairs
Fiscal Note Required: Yes
Minority Report
   
             
Fiscal Note
Current Cost - State Mandate
Projections Projections
2005-06 2006-07 2007-08 2008-09
Net Cost (Savings)
General Fund $0 $3,110,809 $0 $0
Appropriations/Allocations
General Fund  $0 $3,110,809 $0 $0
State Mandate
New or Expanded Activity Unit Affected Costs
Requiring certain "qualifying schools" where a teacher bargaining agent exists and a contact is in effect to reopen negotiations to determine the use of the funds provided in fiscal year 2006-07 for salary adjustments is a mandate.  Unless General Fund appropriations are provided to fund at least 90% of the additional costs or a Mandate Preamble is amended to the bill and two-thirds of the members of each House vote to exempt this mandate from the funding requirement, the affected school administrative units may not be required to implement this measure. School Significant
Fiscal Detail and Notes
This legislation provides teacher salary adjustments for certain qualifying school administrative units and provides $3,789,808 in funding for the total cost of this measure.
This bill includes General Fund appropriations totaling $3,110,809 in fiscal year 2006-07 for the Department of Education for the costs associated with providing the one-time teacher salary adjustment to eligible school administrative units.  Of that amount, $2,894,943 is provided to the General Purpose Aid for Local Schools program (GPA) and $215,866 is provided to the Teacher Retirement program to increase the employer contributions of the normal cost component of the Maine State Retirement System as a result of the teacher salary adjustment.
Public Law 2005, Chapter 519, the 2006-2007 Supplemental Budget, eliminated the proposal to establish a minimum salary of $30,000 for certified teachers for the school year starting after June 30, 2006.  Of the $3.6 million that had been available within the fiscal year 2006-07 GPA program to support the increase in teacher salaries, $2.9 million was used to fund transition adjustments for certain eligible school administrative units, leaving approximately $0.7 million remaining to fund the teacher salary adjustment.  With only $0.7 million available within the GPA funding, additional General Fund appropriations are required for the balance.