Whereas, the unfunded actuarial liability of the Maine State Retirement System represents a financial and moral obligation of the State to present and future state employee and teacher retirees; and

Whereas, despite initiatives in recent years to reduce the overall cost by accelerating the payment schedule, amortization of the unfunded actuarial liability as required by the Constitution of Maine, Article IX, Section 18-B continues to be a major cost to State Government; and

Whereas, additional initiatives should be immediately sought to further reduce the State's costs by further accelerating the amortization schedule; and

Whereas, past reductions in the level of retirement benefits available under the Maine State Retirement System have resulted in a substantial inequity between 2 groups of state employees and teachers: those who had more than 10 years of creditable service on July 1, 1993 and those who did not; and

Whereas, state employees and teachers in both groups have the same duties and responsibilities, but one group has significantly better retirement benefits than the other; and

Whereas, due to the changes in retirement benefits, many state employees and teachers who did not have 10 years of creditable service on July 1, 1993 may be forced to work in critical or demanding positions into the age when their effectiveness begins to decline, which is not sound public policy; and

Whereas, these factors have contributed to a decline in state employee and teacher morale, have negatively impacted the productivity of the state employee and teacher workforce and have limited the ability to attract and retain the best-qualified individuals into state employment and teaching; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows: