2022 session of the Maine Legislature: Retirement gains for MainePERS participants

State/Teacher/Legislative/Judicial Retirement Plan
The Legislature’s decision to increase the pension base by 2.4% will bring the pension base to $24,186.25 effective Sept. 1, 2022. The pension base is the amount on which retiree pension cost of living adjustments (COLAs) are applied; the pension-base increase thus benefits both current and future state retirees. The retroactive 1% retiree pension COLA boost we secured on the 2021 retiree pension COLA was reflected in the May 2022 retiree payroll. That 1% retiree COLA boost applied to participants in the State/Teacher/Legislative/Judicial Retirement Plan. Please note that COLA boost didn’t apply to Participating Local District retirees. These gains help soften some of the many severe cuts imposed by former governor Paul LePage and the 125th Maine Legislature in 2011 to give tax breaks for the wealthy. We’re glad to see some progress on reversing them. It’s important to note these gains in our retirement security wouldn’t have happened without all of us speaking up and making our voice heard. While there’s more work to be done to strengthen retirement security, these victories show what we can accomplish
by standing together and speaking with a united voice.

Participating Local District (PLD) Consolidated Retirement Plan
UPDATE from the Maine Public Employees Retirement System (MainePERS): Retroactive cost-of-living adjustment (COLA) for eligible retirees who receive monthly payment through the Participating Local District (PLD) Consolidated Retirement Plan: On July 14, 2022, in accordance with its rulemaking authority, the MainePERS Board of Trustees approved a retroactive cost-of-living adjustment (COLA) for eligible retirees who receive monthly payment through the Participating Local District (PLD) Consolidated Retirement Plan. (See, MainePERS Rules, Chapter 803 – Participating Local District Consolidated Retirement Plan). The rulemaking will result in the following:

  • PLD retirees who received a COLA in September 2021 are entitled to an additional 1.0% increase.
  • Since the additional 1.0% COLA is retroactive to September 2021, the increase will result in a one-time retroactive payment that will be calculated based on benefits received since September 2021.
  • This 1.0% increase will be included in future payments beginning in September 2022.

This special 1.0% COLA payment was scheduled for payment in August and will result in a separate advice or check from the normal August benefit payment.
This special PLD payment does not affect members of state-sponsored plans, which include state employees, teacher, judges and legislators. Eligible members in those plans received retroactive 1.0% COLA payments in June, as authorized by the State of Maine’s Supplemental Budget.

Updated: September 19, 2022 — 1:23 PM