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129th MAINE LEGISLATURE |
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LD 1965 |
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LR 2777(01) |
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An Act To Set a
Minimum Wage for School Support Staff |
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Preliminary Fiscal
Impact Statement for Original Bill |
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Sponsor: Rep. Collings of Portland |
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Committee: Labor and Housing |
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Fiscal Note Required: Yes |
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| Preliminary
Fiscal Impact Statement |
Current biennium cost increase - local school administrative
units
Future biennium cost increase - General Fund |
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FY 2019-20 |
FY 2020-21 |
Projections FY 2021-22 |
Projections FY 2022-23 |
| Net Cost
(Savings) |
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General Fund |
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$0 |
$80,000 |
$0 |
$0 |
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| Appropriations/Allocations |
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General Fund |
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$0 |
$80,000 |
$0 |
$0 |
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| Fiscal Detail
and Notes |
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This bill
establishes a minimum hourly wage of $16 per hour for school support staff
beginning with the 2020-2021 school year.
The General Purpose Aid for Local Schools program within the
Department of Education will require a one-time General Fund appropriation of
$80,000 in fiscal year 2020-21 to update its data collection system to allow
for school administrative units to report hourly wage data for school support
staff. Once collected, this data will
be incorporated into the essential programs and services (EPS) funding model
that is used to calculate the total cost of public education from
kindergarten to grade 12. |
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Requiring a
minimum hourly wage of $16 per hour for school support staff will increase
costs to local school administrative units (SAU's) beginning in fiscal year
2020-21. According to the department,
SAU's will be responsible for funding 100% of the cost of this initiative
until the hourly wage data for these school personnel can be collected and
incorporated into the EPS funding model.
For those components within the model that are expenditure driven, it
will be 2 years before the salary increase will be reflected in the total
cost of education as determined by the EPS funding model. Other components of the model that are not
expenditure driven could be incorporated sooner, allowing for those costs to
be reflected in the total cost of education for fiscal year 2021-22. Given this information, the increase in the
State's contribution for funding K-12 public education as a result of this
legislation will not occur until the 2022-2023 biennium. No estimate of this
increase can be made until the update to the data collection system mentioned
in the first paragraph above. |
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The increase in
the minimum wage for school support staff may also increase costs to the
child nutrition programs, which are not included in the calculation of the
total cost of public education for kindergarten to grade 12 and do not
receive state subsidy from the General Purpose Aid for Local Schools
program. Unless General Fund
appropriations are provided, SAU's will be responsible for 100% of this cost,
as well. |
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