<div dir="ltr"><div class="gmail_default" style="font-family:verdana,sans-serif"><br clear="all"></div><div><div dir="ltr" class="gmail_signature" data-smartmail="gmail_signature"><div dir="ltr"><div><div dir="ltr">Katie Gourley<div>RSU 25</div><div>Business Manager</div><div>207-469-7311</div><div><a href="mailto:katie@rsu25.org" target="_blank">katie.gourley@rsu25.org</a></div></div></div></div></div></div><br><br><div class="gmail_quote"><div dir="ltr" class="gmail_attr">---------- Forwarded message ---------<br>From: <strong class="gmail_sendername" dir="auto">James Boothby</strong> <span dir="auto"><<a href="mailto:jim.boothby@rsu25.org">jim.boothby@rsu25.org</a>></span><br>Date: Mon, Mar 11, 2024 at 1:32 PM<br>Subject: Fwd: Updated Information on the Paid Family Medical Leave Act<br>To: Katie Gourley <<a href="mailto:katie@rsu25.org">katie@rsu25.org</a>><br></div><br><br><div dir="ltr"><br><br><div class="gmail_quote"><div dir="ltr" class="gmail_attr">---------- Forwarded message ---------<br>From: <strong class="gmail_sendername" dir="auto">MSSA</strong> <span dir="auto"><<a href="mailto:MSSA@msmaweb.com" target="_blank">MSSA@msmaweb.com</a>></span><br>Date: Mon, Mar 11, 2024 at 12:25 PM<br>Subject: Updated Information on the Paid Family Medical Leave Act<br>To: <br></div><br><br><div>
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<p class="MsoNormal" align="center" style="text-align:center"><span style="font-family:"Times New Roman",serif">Maine School Superintendents Association<u></u><u></u></span></p>
<p class="MsoNormal" align="center" style="text-align:center"><span style="font-family:"Times New Roman",serif">49 Community Drive<u></u><u></u></span></p>
<p class="MsoNormal" align="center" style="text-align:center"><span style="font-family:"Times New Roman",serif">Augusta, ME 04330<u></u><u></u></span></p>
<p class="MsoNormal" align="center" style="text-align:center"><span style="font-family:"Times New Roman",serif">(207) 622-3473<u></u><u></u></span></p>
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<span><span style="color:#212121"><u></u> <u></u></span></span></p>
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<span><span style="color:#212121">TO:</span></span><span><span style="color:#212121">
</span></span><span><span style="color:#212121">Superintendent, Assistant Superintendents and CTE Directors</span></span><span><span style="color:#212121"> </span></span><u></u><u></u></p>
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<span><span style="color:#212121">FROM:</span></span><span><span style="color:#212121">
</span></span><span><span style="color:#212121">Patricia Hopkins, President</span></span><span><span style="color:#212121"> </span></span><u></u><u></u></p>
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<span> </span><span><span style="color:#212121">Eileen King, Executive Director</span></span><span><span style="color:#212121"> </span></span><u></u><u></u></p>
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<span><span style="color:#212121">DATE:</span></span><span><span style="color:#212121"> March 11, 2024</span></span><span><span style="color:#212121"> <u></u><u></u></span></span></p>
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<p style="margin-right:0in;margin-bottom:0in;margin-left:.75in;vertical-align:baseline">
<span><span style="color:#212121">RE: Updated Information on the Paid Family Medical Leave Act<u></u><u></u></span></span></p>
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<span><span style="color:#212121"> </span></span> <span style="font-size:9.0pt"><u></u><u></u></span></p>
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<span>As </span>many are aware, the Maine Department of Labor (MDOL) is in the process of preparing implementing regulations for the recently enacted Paid Family Medical Leave Act (Act). The final regulations are expected later this Spring<span>.
In the meantime, the </span>MDOL recently sent out a preliminary FAQ document that answers some questions about the Act. MSSA submitted a question about the timing of being prepared to<span> remit the employer and
</span>employee shares of the 1% combined payroll tax as it aligns with your <span style="color:#212121">
Collective Bargaining Agreement. In working with Drummond Woodsum, this is the guidance we are sending out. </span><span style="font-size:9.0pt"><u></u><u></u></span></p>
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<span>The law contemplates that employe</span>es and employers will contribute into a fund that will be used to pay the leave benefits available under the Act. The total combined contribution rate for larger employers is 1% of wages<span>.
Employers </span>are responsible for collecting both the employer and employee portions of the combined 1% tax and remitting them to the fund<span>. The
</span>Act states that “an employer with 15 or more employees may deduct up to 50% of the premium for an employee from that employees’ wages”.
<b><i>Unless otherwise agreed upon</i></b>, the Act provides that the employer and the employee will each contribute 50% towards the 1% combined
<span>tax<u> </u>amount.</span><span><span style="font-size:9.0pt"><u></u><u></u></span></span></p>
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<span>The Act further </span>states that the rights and responsibilities under the Act do not apply in situations in which a public employer is a party to a collective bargaining agreement in existence on October 25, 2023, until the existing
collective bargaining agreement expires<span>. We have been getting some questions about this language and offer the following scenarios
</span>as guidance<span>.</span><span style="font-size:9.0pt"><u></u><u></u></span></p>
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<span><span style="color:#d13438"> </span></span><span style="font-size:9.0pt"><u></u><u></u></span></p>
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<span><span style="color:#212121">1. If the Collective Bargaining Agreement was ratified after 10/</span></span>25/<span style="color:#212121">2023</span>, you should plan to raise 0.5%
<span style="color:#212121">of</span> your district’s wages for January 2025-June 2025 in your FY 2024-2025 budget and begin payroll withholding for the employees’ 0.5% share on<span>
<span style="color:#212121">January 1, 2025.</span></span><u></u><u></u></p>
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<span><span style="color:#212121">2. If the Collective Bargaining Agreement is going to expire
</span>before</span> January 1, 2025, you should plan to raise 0.5% of your district’s wages in your FY 2024-2025 budget and begin payroll withholding for the employees’ 0.5% share on
<span style="color:#212121">January 1,<span> 2025.</span></span><u></u><u></u></p>
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<span><span style="color:#212121">3. If the Collective Bargaining
</span>Agreement </span>was in place before 10/25/2023 and expires after January 1, 2025, districts will begin<span><span style="color:#212121">
</span>payroll withholding of the employees’ 0.5% share and </span>paying the district’s 0.5% share of the tax upon the expiration of the CBA.<span style="font-size:9.0pt"><u></u><u></u></span></p>
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<u></u> <u></u></p>
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<u></u><span style="font-size:10.0pt;font-family:Symbol"><span>·<span style="font:7.0pt "Times New Roman"">
</span></span></span><u></u><span><i><span style="color:#212121">For example: If a
</span>contract </i></span><i>was executed prior to 10/25/2023 and is set to expire June 30, 2025, districts should be prepared to raise the district’s 0.5%<span> share of the tax</span><s>
</s><span style="color:#212121">for </span>the quarterly tax for FY 2025-2026 as they re-negotiate the contract<span>. Payroll withholding for the employees’ 0.5% share
</span>of the tax will commence immediately upon contract expiration.<u><span style="color:#d13438">
</span></u>Please check the contract expiration date to determine which fiscal year you will need to raise funds to pay the tax.</i><span style="color:#d13438"> </span><u></u><u></u></p>
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<span><span style="color:#212121">4.</span></span> For non<span style="color:#212121">-union employees, be prepared
</span>to<span> pay the district’s 0.5% share of the tax and to begin payroll withholding of the employees’ 0.5% share
</span>commencing on January 1,<span><span style="color:#212121"> 2025.</span></span><span><span style="color:#d13438"> </span><u></u><u></u></span></p>
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<span><span style="color:#212121">5.</span></span> For administrators without a
<span>collective bargaining agreement, be prepared to pay<u>
</u>the district’s 0.5% share of the tax and to begin payroll withholding of the employees’ 0.5% share commencing on<s>
</s><span style="color:#212121">January 1, 2025</span>.</span><span><span style="color:#d13438"> </span></span><span><u></u><u></u></span></p>
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<span><span style="color:#212121">It is strongly recommended that you very carefully assess each of the
</span></span>collective bargaining agreements by analyzing the dates for compliance. Many of you have multiple collective bargaining agreements
<span style="color:#212121">with different </span>expiration dates.<span style="color:#d13438"> </span><span style="font-size:9.0pt"><u></u><u></u></span></p>
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</div></div><br clear="all"><div><br></div><span class="gmail_signature_prefix">-- </span><br><div dir="ltr" class="gmail_signature" data-smartmail="gmail_signature"><div dir="ltr"><div>Jim Boothby, Superintendent</div><div>Regional School Unit 25</div><div>62 Mechanic Street </div><div>Bucksport, ME 04416</div><div> </div><div>Phone 207-469-7311</div><div>Fax 207-469-6640</div></div></div></div>
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<span style="background-color:rgb(255,255,255);font-size:12pt">CONFIDENTIALITY NOTICE: </span><span style="background-color:rgb(255,255,255);font-size:12pt">This e-mail message, including any attachments, is intended solely for the individual(s) or entity to which it is addressed. It may contain confidential or proprietary information. Unauthorized dissemination, distribution, copying, use, or other action(s) taken in reliance upon to the contents of, and any attachments to, this e-mail is strictly prohibited. If you have received this e-mail in error, please notify the sender immediately by reply e-mail or telephone (<b>207-469-7311</b>) and permanently delete the original and any copies and/or printouts.</span>