PARIS – Selectmen voted unanimously Monday to provide cost-of-living adjustments to employees who have signed up with the Maine State Retirement System.
The action represents an amendment to the MSRS benefit plan, which previously did not provide a cost-of-living adjustment. The plan change becomes effective in June.
The cost-of-living adjustment applies to benefits earned by current and future employees on the plan, and will cost $131,093. The funds will be drawn from the town’s $280,786 surplus account balance with the state retirement plan.
An Oct. 29 letter to Town Manager Steve McAllister from a MSRS plan administrator said the town will have enough surplus remaining “to offset the employer’s required contribution of 2.8 percent of future payrolls for several years” to come.
The first COLA adjustments will be paid to town employees who are members of the MSRS in September 2004.
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