An Act To Establish the Lincoln and Sagadahoc Multicounty Jail Authority
Maine Legislature, Session 121, LD 1199
Committee: State and Local Government
Sponsors: MAYO, WATSON, HALL, EARLE, GROSE, HUTTON, LESSARD, PERCY, RINES, TRAHAN

Legislative Document 
No. 1199 
S.P.405 
In Senate, March 6, 2003 
An Act To Establish the Lincoln and Sagadahoc Multicounty Jail 
Authority 
(EMERGENCY) 
Reference to the Committee on State and Local Government suggested and ordered printed. 
Presented by Senator MAYO of Sagadahoc. 
Cosponsored by Representative WATSON of Bath and 
JOY J. O'BRIEN 
Secretary of the Senate 
Senator: HALL of Lincoln, Representatives: EARLE of Damariscotta, GROSE of Woolwich, 
HUTTON of Bowdoinham, LESSARD of Topsham, PERCY of Phippsburg, RINES of 
Wiscasset, TRAHAN of Waldoboro. 
Printed on recycled paper 
Mandate preamble. 
This measure requires one or more local 
~ 
units of government to expand or modify activities so as to 
necessitate additional expenditures from local revenues but does 
not provide 
funding for at least 
90% 
of those expenditures. 
Pursuant to the Constitution of Maine, Article IX, Section 2L 
() 
2/3 of all of the members elected to each House have determined 
it necessary to enact this measure. 
Emergency preamble. Whereas. Acts of the Le9islature do not 
become effective until 90 days after adjournment. unless enacted 
as emergencies; and 
Whereas, Lincoln 
County 
and 
Sagadahoc 
County 
have 
been 
exploring the concept of a common jail for many months; and 
Whereas, Lincoln County and Sagadahoc County may soon need 
i8 
l4 
to begin making binding commitments regarding a common jail; 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: 
Sec. I. 30-A MRSA c.17 is enacted to read: 
CHAPTER 17 
LINCOLN AND SAGADAHOC MULTICOUNTY JAIL AUTHORITY 
SUBCHAPTER 1 
GENERAL PROVISIONS 
§1801. 
Short tit1e 
This chapter may be 
known and cited as "the Lincoln and 
'lO 
Sagadahoc Multicounty Jail Authority Act. " 
§1802. 
Definitions 
As 
used 
in this 
chapter, 
unless 
the 
context 
otherwise 
indicates, the following terms have the following meanings. 
1. 
Authority. 
"Authority" or "jail authority" means the 
authority formed under this chapter and Title 13-B. 
so 
Page l-LR0571 (1) 
2. 
COJlllllissioner. 
"Commissioner" or "county commissioner" 
means 
a person elected or appointed to the Lincoln County or 
Sagadahoc County board of commissioners. 
3. 
Consent of county. 
"Consent of county" means 
a vote 
~ 
taken pursuant to section 122. 
!:l 
4. 
Director. 
"Director" and "board of directors" means the 
directors of the jail authority. 
LU 
5. 
Jail facility. 
"Jail facility" or "jail" means any land 
area, structure, location or eguipment, or combination of them, 
used for the confinement of prisoners. 
L4 
6. 
Municipality. 
"Municipality" means a city or town. 
1. 
Municipal officers. 
"Municipal 
officers" 
means 
the 
" " 
municipal officers or councillors of a 
town or the mayor and 
municipal officers or councillors of a city. 
'() 
8. 
Operating and governance 
agreement. 
"Operating 
and 
.<0 
governance agreement" means the documents that set the terms of 
the jail authority operations and structure for governance. 
9. 
Revenues. 
"Revenues" means the proceeds of bonds, all 
:" 
revenues, 
rates, 
tolls, 
assessments, 
rents, 
transportation 
charges, 
reimbursement 
from 
the 
State, 
including 
community 
: n 
corrections 
money, 
boarding 
fees 
and 
inmate-related 
medical 
reimbursements, 
and other charges and receipts derived by the 
;Il 
jail 
authority 
from 
the 
operation 
of 
a 
multicounty 
jail, 
including, 
but 
not 
limited 
to, 
investment 
earnings 
and 
the 
-
proceeds of insurance, condemnation, sale or other disposition of 
properties, and must include proceeds from assessments when the 
:y 
power of assessment has been granted to the jail authority under 
sections 1952 and 1953. 
;(, 
, " 
)<> 
S1803. 
Relationship to other laws 
This chapter provides an alternative method for carrying out 
W 
the 
purposes 
of this 
chapter 
and 
is 
supplemental 
to 
powers 
conferred by other laws, and is not in derogation of any existing 
",~ 
powers. 
ly 
S1804. 
Exemption from taxation 
t (i 
1. 
Exemption. 
The property, both real and personal, rights 
and franchises of the jail authority formed under this chapter 
l:, 
are exempt from taxation. 
2. 
Pa~nts in lieu of taxes. 
The jail authority may elect 
to make payments in lieu of taxes to communi til:!S in which its 
property is located or utilized. 
SUBCHAPTER 2 
ORGANIZATION 
SIB5!. 
Formation 
1U 
The formation of the multicounty jail authority must be ln 
accordance with this subchapter. 
1. 
Commissioners; meeting. 
The commissioners shall meet to 
consider all available information regarding the jail authority. 
l r, 
Notwithstanding section 122, the commissioners shall consider a 
site or sites for the multicounty jail. 
The site or sites are 
t8 
not reguired to be in the county seat of either county. 
If the 
commissioners vote to proceed with the formation of the jail 
~n 
authority, 
which 
vote 
reguires 
a 
majority 
vote 
of 
the 
commissioners of each county, 
they shall hold public hearings 
~2 
pursuant to the provisions of subsection 2. 
2. 
Public hearing. 
A public hearing must 
be 
held ln 
Lincoln County and Sagadahoc County. The notice of public hearing 
.26 
must contain the name of the proposed authority; the territory of 
the proposed authority, 
which must be within the borders of 
~e 
Lincoln County and Sagadahoc County; the locations identified as 
potential 
sites 
for 
the 
multicounty 
jail; 
and 
any 
other 
IU 
information the 
commissioners 
determine 
relevant. 
The 
public 
hearing must be held at a convenient place wi thin the counties. 
Notice of the public hearing must be given to the municipal 
officers of each municipality within Lincoln County and Sagadahoc 
County and must be published at least once in a 
newspaper of 
general circulation in each county 14 days prior to the date of 
the public hearing. 
Ie 
3. 
Organizational meeting. 
If after the public hearings 
the commissioners desire to form a jail authority, they shall 
call an organizational meeting. 
Notice of the meeting must be 
published and the meeting held in the same manner as provided in 
-l2 
subsection 2. 
A majority of the commissioners from each county 
shall attend the organizational meeting, and the vote to form a 
multicounty 
jail 
authority 
reguires 
a 
majority 
vote 
of 
the 
commissioners of each county. At the organizational meeting, the 
.. l(j 
commissioners 
shall 
discuss 
the 
terms 
of 
an 
operating 
and 
governance 
agreement 
among 
the 
participating 
counties. 
The 
operating and governance agreement determines: 
A. 
The number and gualifications of the directors; 
• 
• 
... 
1U 
B. 
The terms of the directors, including provisions for 
initial terms and ongoing terms; and 
C. 
Provisions similar to paragraphs A and B regarding an 
advisory committee. 
The commissioners shall also agree upon contracts between the 
authority 
and 
the 
counties 
regarding 
cost sharing 
and 
the 
placement of prisoners. 
L~ 
SI852. 
Transfer of property and assets 
Iii 
:Il 
The directors shall determine what property or properties, 
if any, 
owned by Lincoln County and Sagadahoc County may be 
necessary to perform the functions of the jail authority and may 
request in writing that the commissioners convey title to the 
property to the jail authority, and the commissioners may make 
the conveyance. 
The jail authority shall pay fair compensation 
for the property or properties. Any request by the directors must 
be in writing within 2 years of the date of the certificate of 
organization. 
The 
authority shall 
provide 
a 
right 
of 
first 
refusal to the county in which the property is located should the 
property no longer be needed by the authority. 
~6 
SI853. 
Directors 
'U 
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I h 
1. 
Authorization. 
All of the affairs of the jail authority 
are managed by a board of directors that consists of not less 
than 
directors. 
The initial board consists of 
public 
members, one from each of the commissioners' districts; 4 county 
commissioners, 2 from each county and 2 sheriffs, one from each 
county. 
The exact number of directors must be determined by the 
operating and governance agreement. Each director is entitled to 
one 
vote. 
The 
jail authority 
may 
alter 
the 
number 
of 
its 
directors by amending the operating and governance agreement. 
A 
quorum of the directors may conduct the affairs of the jail 
author i ty even if there is a vacancy on the board of directors. 
A 
quorum 
is 
a 
simple 
majority 
of 
eligible 
and 
appointed 
directors, 
as 
long 
as 
each 
county is 
represented. 
A simple 
majority of directors voting, either in person or by written 
consent, may conduct the affairs of the jail authority. 
2. 
Term. 
The 
duration of 
terms is determined by 
the 
operating and governance agreement. Directors shall serve until 
their successors are appointed and qualified. 
Any director may 
be appointed to successive terms without limit. 
3. 
Vacancy. 
Any vacancy on the board of directors must be 
I;() 
filled within 30 days after the vacancy occurs by appointment of 
the 
commissioners 
of 
the 
county 
that 
the 
director 
is 
to 
~ 
represent. An appointee to a vacancy serves until the expiration 
of the term of the director for whose position the appointment 
was made, and may be reappointed. 
Ii 
§1854. 
Appointment of director; organizational meeting 
Ul 
1. 
Appointment of directors. 
Directors are appointed by 
the commissioners of the county they represent, except that any 
host county director must be appointed by all the commissioners 
of the counties in the jail authority. 
Alternate directors may 
be appointed by the commissioners to act in the absence of a 
director. 
The operating and governance agreement defines the 
specific 
process 
for 
appointing 
directors. 
To 
the 
extent 
possible, 
the 
board 
of 
directors 
shall 
include 
a 
mix 
of 
individuals with sufficient manageriaL technicaL financial or 
corrections experience to execute their duties efficiently and 
effectively. Appointments must be by vote of the commissioners, 
attested to by the county clerk, and presented to the clerk of 
the 
jail 
authority, 
once 
selected. 
The 
commissioners, 
by 
majority vote, may remove their appointed directors during their 
term for cause after notice and hearing. 
,~4 
2. 
First meeting. 
Upon receipt of the names of all the 
directors, the commissioners shall set a time, place and date for 
,~b 
the first meeting of the directors. 
Notice of the meeting must 
be given to the directors by certified or registered mail, return 
lR 
receipt requested, and mailed at least 10 days prior to the date 
set for the meeting. 
l() 
3. 
Elect officers. 
The directors shall elect from their 
own members a chair, vice-chair, treasurer and clerk. 
They shal~ 
choose, 
employ 
and 
fix 
the 
stipend 
of 
any 
other 
necessary 
officers and agents who serve at the directors' pleasure. 
They 
shall adopt 
a 
corporate seal. 
Prior to the election of the 
Hi 
officers, 
each 
director 
shall 
be 
sworn 
to 
the 
faithful 
performance of the director's duties by the respective county 
clerk. 
'fO 
4. 
Bylaws. 
The directors may 
from time to time adoptL 
establish and amend bylaws consistent with this subchapter and 
'f2 
the laws of the State that are necessary or reasonable for the 
proper 
management 
of 
the 
affairs of 
the jail authority 
and 
perform any other acts within the powers delegated to them by law. 
'*6 
5. 
Annual meeting. 
After the meeting of the board of 
directors, the directors shall meet annually at a time determined 
by their bylaws for the purpose of electing a chair, vice-chair, 
treasurer and clerk to serve until the next annual election and 
SO 
until their successors 
are 
appointed 
and qualified. 
To 
the 
• 
• 
• 
• 
extent possible, the treasurer shall be chosen based on financial 
c: 
skills. 
The treasurer shall furnish bond in such sum and with 
such sureties as the directors shall approve, but not less than 
50% of the anticipated annual revenues of the jail authority, the 
cost to be paid by the authority, unless the treasurer has no 
,; 
official role in the receipt and disbursement of money. 
The 
directors shall make and publish an annual report. including a 
H 
report of the treasurer. 
LO 
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6. 
Employed by jail authority. 
A member of the board of 
directors 
of 
the 
jail 
authority 
may 
not 
be 
employed 
for 
compensation as an employee or in any other capacity by the jail 
authority. 
7. 
Committee. 
The board of directors may establish an 
advisory 
committee 
pursuant 
to 
the 
operating 
and 
governance 
agreement under section 1851, subsection 3 and grant authority as 
it determines necessary. 
The board of directors may establish 
any and all committees as it determines necessary. 
§1855. 
Assumption of responsibilities 
The jail becomes the responsibility of the jail authority 
when 
its 
board 
of 
directors 
declares 
the 
multicounty 
jail 
operational. 
§1856. 
Agreement to provide limited services 
Before the board of directors declares a multicounty jail 
operational, the jail authority may contract with either Lincoln 
County or Sagadahoc County to provide for services related to the 
counties' obligations under chapter 13. 
§1857. 
Withdrawal of counties 
Lincoln County or Sagadahoc County may withdraw from the 
jail authority at any time prior to the commitment by the jail 
authority, or either county on behalf of the jail authority, to 
issue any instrument of indebtedness, including, but not limited 
to, bonds and notes. 
The date upon which the jail authority or 
either county is committed to issue the debt is established by a 
majority vote of the board of directors at least 90 days 
In 
advance of that date. At the time of withdrawal, the withdrawing 
county 
remains 
liable 
for 
its 
proportionate 
share 
of 
jail 
authority debts and withdrawal expenses incurred prior to the 
date of withdrawal and shall make provisions satisfactory to the 
board of directors and the commissioners to pay its share of the 
debt outstanding at the time of withdrawal. 
If a county withdraws from the jail authoritJ;' or if the jail 
authority is dissolved, all of the responsibilities granted to 
the 
jail administrator 
are 
assumed 
by 
the 
sheriffs 
of 
the 
respective counties. 
G 
After 
issuance 
of 
instruments 
of 
indebtedness 
with 
a 
maturity 
of 
one 
year 
or 
more, 
neither 
Lincoln 
County 
nor 
Ii 
Sagadahoc County may withdraw from the jail authority while the 
indebtedness remains outstanding without the approval of 2/3 of 
to 
the board of directors and a majority vote of the commissioners 
from each county. 
A withdrawing county shall make provisions 
satisfactory to 2/3 of the board of directors and a majority of 
the commissioners 
from each county to pay its share of debt 
outstanding at the time of withdrawal. 
In considering the request of a 
county to withdraw, 
the 
board of directors 
and 
the 
commissioners 
shall consider 
the 
UJ 
effect of the proposed withdrawal on the ability of the jail 
authority to continue operating the multicounty jail in a manner 
~o 
and at a cost to the remaining county that is reasonable. 
1~2 
If the withdrawal causes the costs of the other county to 
increase as a condition of withdrawal the withdrawing county may 
;4 
be 
required by the board of directors and the commissioners 
either to secure an alternate and equivalent source of prisoners 
,~() 
for the reasonable life of the jail facility or to execute an 
agreement 
to 
make 
payments 
to 
the 
jail authority 
following 
~8 
withdrawal that maintains the costs of the other county to remain 
constant when adjusted annually for 
the effect of all other 
factors on the costs until an alternate and equivalent source of 
prisoners is secured or results from the nonwithdrawing county's 
i2 
population. 
'4 
Subject to any reguired approval by the board of director::; 
and the commissioners of each county, withdrawal by a county may 
be accomplished by a vote of the commissioners. 
§1858. 
Disso1ution 
'10 
1. 
Method. 
In the event both counties vote to withdraw 
pursuant to section 1857, the board of directors shall vote to 
dissolve the jail authority. 
The board of directors may, at any 
time 
by 
2/3 
vote, 
recommend 
to 
the counties 
that the 
jail 
authority be dissolved. If such a 
recommendation is made, 
the 
commissioners 
in each county shall vote 
on the question of 
dissolving the jail authority. 
If the commissioners in each of 
the 
counties vote to dissolve 
the jail authority, 
the jail 
authority must be dissolved by the board of directors at a time 
fixed by the board of directors. 
so 
• 
• 
• 
• 
2. 
Assets and liabilities. 
Upon dissolution, the directors 
; 
shall 
conclude 
the affairs of 
the jail authority and shall 
liguidate the jail authority's assets and liabilities by: 
to 
t2 
L4 
I Ii 
n 
'I) 
A. 
Paying all expenses and paying or securing the payment 
of all debts of the jail authority in a manner permissible 
by the debt instruments: and 
B. 
Distributing all assets and all liabilities in a manner 
permissible by the debt instruments proportionately between 
the counties in accordance with any formula contained in 
section 1954 for guarantees and assessments. 
3. 
Filing of articles of dissolution. 
A copy of 
the 
articles of dissolution must be filed with the Secretary of State 
by the board of directors. 
SUBCHAPTER 3 
POWERS 
S190l. 
Powers 
:4 
The power and authority of the jail authority formed under 
this chapter and the administration and the general supervision 
'(, 
of all affairs of the authority are vested in the directors. 
The 
jail authority has the power, within the counties, to provide for 
: H 
the planning, construction, equipping, operation and maintenance 
of a common facility for corrections j 
to generate revenues from 
~I.' 
those 
activities 
and 
incur 
expenses 
from 
those 
activities, 
including reimbursement to Lincoln County and Sagadahoc County 
:2 
for organizational costs, and make contracts with persons, firms, 
corporations, 
partnerships, 
limited 
partnerships 
and 
other 
\4 
entities, 
whether 
private, 
public 
or 
municipal, 
as 
may 
be 
necessary or proper j 
and, 
in general, to do any or all other 
;,; 
thinas necessary or incidental for the exercise of its powers or 
to the accomplishment of the purposes of the jail authority. 
When 
the 
board of directors declares 
the 
jail facility 
operational any powers and duties necessary to the operation of 
the Lincoln and Sagadahoc Multicounty Jail facility under this 
chapter are assumed by the administrator of the mUlticounty jail 
facility. 
The power to make contracts includes, but is not limited to: 
1. 
Experts. 
Contracting 
with 
architects, 
engineers, 
,tH 
financial and legal consultants and other experts for services: 
2. 
Operation. 
Contracting 
with 
persons, 
firms, 
G 
corporations, 
limited partnerships, partnerships, 
associations, 
authorities and agencies for the operation of the multicounty 
j ail 
and 
for 
services 
relating 
to 
the 
operation 
of 
the 
multicounty jail: 
LO 
IR 
.~ () 
3. 
Corrections. 
Contracting for 
County, 
Sagadahoc 
County 
i'i_nd __ other 
including other counties: 
corrections with Lincoln 
governmental 
agenc:i,~LS I 
4. 
Government. 
Contracting with 
State 
Government, 
the 
Federal Government or any subdivision or agency of the State or 
the United States for services; 
5. 
County 
employee 
services. 
Contracting with 
Lincoln 
County or Sagadahoc County for the services of any officers or 
employees of either county: 
6. 
Counties. 
Contracting with Lincoln County and Sagadahoc 
County to reimburse organizational costs; 
7. 
Real 
and 
personal 
property. 
Purchasing, 
selling, 
leasing, acquiring, 
conveying, mortgaging, 
improving and using 
real and personal property in connection with the purposes of the 
jail authority; 
8. 
Staff; 
employment. 
Employing and establishing salaries 
~B 
and 
qualifications 
for 
such 
professional, 
clerical 
and 
administrative staff personnel as may be necessary or convenient 
\~I 
to the operation of the jail authority; and 
,4 
lB 
9. 
Use of bidding processes. 
Making contracts, 
issuing 
bonds, notes or other debt instruments under subchapter 4 
and 
dealing generally with 3rd parties, including the power to use a 
negotiated or competitive bidding process or any other process 
that 
may 
be 
advantageous 
to 
the 
jail 
authority. 
The 
determination of the process to be used is made by and at the 
discretion of the directors. 
SI90l. 
Real and personal property; right of eminent domain 
The jail authority formed under this chapter may acquire and 
hold real and personal property that the jail authority considers 
necessary for its purposes and is granted the right of eminent 
domain. 
The 
jail authority 
may 
take 
and 
hold, 
either 
by 
Hi 
exercising its right of eminent domain or by purchase, lease or 
otherwise, for public uses any land, real estate, easements or 
interest 
in 
land, 
real 
estate 
or 
easements 
necessary 
for 
construction and operating the mUlticounty jail. 
so 
.. 
.. 
• 
• 
.. 
§1903. 
Procedure in exercise of right of eminent domain 
The right of eminent domain granted in section 1902 may only 
be exercised after complying with the following procedures. 
I) 
1. Notice to owner. 
The jail authority shall provide notice 
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to the owner of property subject to seizure as follows. 
A. 
The owner or owners of record shall be: 
(1) 
Notified that the directors are exercising the 
right of eminent domain; 
(2) 
Provided with a description and scale map of the 
land or easement to be taken; 
(3) 
Presented with the final amount offered for the 
land or easement to be taken, based on the fair market 
value as estimated by the jail authority; and 
(4) 
Notified of the time and place of the hearing 
under subsection 4. 
B. 
Notice may be made: 
(1) 
By personal service in hand by an officer duly 
qualified to serve civil process in this State; or 
(2) 
By certified mail, return receipt requested, to 
the last known address of the owner or owners. 
C. 
If the owner or owners are not known or if the owner or 
owners can not be notified by personal service or certified 
mail, notice may be given by publication in the same manner 
under subsection 4. 
2. 
Notice to tenant. 
Notice under subsection 1 must be 
given to any tenants in the same manner as for the owner of the 
property. 
3. 
Notice 
to 
the affected municipality. 
Notice 
under 
subsection 1 
must be given to the municipality in which the 
property to be acquired is located in the same manner as for the 
owner of the property and must be addressed to the municipal 
officers. 
4. 
Hearing. 
The directors shall hold a public hearing on 
the advisability of the proposed exercise of the right of eminent 
domain. 
Notice of the hearing must be made by publication in a 
newspaper of general circulation in the area of the taking and 
,2 
must be given once 
a 
week for 
successive weeks, 
the last 
publication to be at least 2 weeks prior to the time appointed in 
the hearing. The hearing notice must include: 
A. 
The time and place of the hearing: 
B. 
A description of the land or easement proposed to be 
taken: and 
lO 
C. 
The name of the owners, if known. 
§1904. 
Condemnation proceedings 
l4 
1(1 
'-10 
The jail authority formed under this chapter, in exercising 
the right of eminent domain conferred upon it by section 1902 
shall file in the office of the commissioners of the county in 
which the property to be 
taken is located and 
cause to 
be 
recorded in the registry of deeds in the county' plans of the 
location of all lands, 
real estate, easements or interest in 
lands, real estate or easements, with an appropriate description 
and the names of the owners, if known. 
When for any reason the 
jail authority fails to acquire property that the jail authority 
is authorized to take and that is described in that location, or 
if the description of the location so recorded is defective and 
uncertain, the authority may, at any time, correct and perfect 
the description of the location and file a new description. 
In 
that case, 
the jail authority is liable in damages only for 
property for which the owner had not previously been paid, to be 
assessed as of the time of the original taking, 
and the jail 
authority is 
not liable for 
any 
acts 
that would 
have 
been 
justified if the original taking had been lawful. 
En~~not 
be made on any private lands, except to make surveys, until the 
expiration of 10 days from the filing, at which time possession 
may be had of all the lands, real estate, easements or interests 
in lands, real estate or easements and other property and rights 
to be taken, but title may not vest in the j ail authority until 
payment for the property. 
§1905. 
Appeal 
If a person sustaining damages by the taking by the jail 
authority 
under 
section 
1903 
does 
not 
agree 
with 
the 
jail 
authority upon the sum to be paid, either party, upon petition to 
the superior court of 
the 
county in which 
the property is 
located, may have the damages assessed by the superior court. 
The procedure and all subsequent proceedings and right of appeal 
must be under the same restrictions, conditions and limitations 
41:1 
as are or may be by law prescribed in the case of damages by the 
laying out of highways by the commissioners, except that title to 
''i() 
the lands, real estate, easements or interests in lands, real 
Page ll-LR057l(1) 
• 
estate or easements and other property and rights to be taken may 
not vest in the jail authority until payment to the owner of the 
amount awarded for the taking or, if the payment is refused upon 
+ 
tender, until tender is made to the owner. The amount awarded 
must 
be 
escrowed at interest for 
the benefit of the owner, 
I, 
pending final determination of the amount to which the owner is 
entitled. 
" 
,\ 
III 
S1906. 
Rules 
The directors may adopt rules to regulate the corrections 
L:; 
activities 
within 
the 
jail 
authority 
consistent 
with 
the 
provisions 
of 
the operating and governance 
agreement. 
Rules 
1,1 
adopted pursuant to this section are routine technical rules as 
defined in Title 5, chapter 375, subchapter 2-A. 
L I ~ 
S1907. 
Setting fees and other charges 
1" 
The directors may establish and adjust a structure for fees, 
'Ii 
including penalty charges, for correction services on behalf of 
or under contract with, the jail authority. 
." 
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S190S. 
Annual audit 
Each year an audit must be made of the accounts of the jail 
authority, and for this purpose authorized agents of a certified 
public accounting firm appointed by the directors have access to 
all necessary papers, books and records. Upon the completion of 
each audit, 
a 
report must be made to the chair of the jail 
authority board of directors and a 
copy must be sent to the 
commissioners of each county. 
The audit must be completed within 
days of the end of the authority's fiscal year. 
: ,1 
S1909. 
Surplus revenues 
lil 
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If, at the end of any fiscal year, the jail authority has 
realized a 
surplus from operations for the fiscal year after 
payment 
of 
or 
provision 
for 
all 
current 
expenses, 
current 
maintenance, repairs and replacements, current debt service on 
all outstanding bonds 
and notes 
of 
the 
jail authority, 
all 
reserves for debt service, repairs and replacements, costs or 
current expenses as may be required by 
a trust agreement or 
resolution 
securing 
bonds 
or 
notes 
or 
as 
may 
otherwise 
be 
maintained by the jail authority, and any other amounts that the 
jail authority may be obligated by law or contract to payor 
provide for, the jail authority may: 
1. 
Reduction 
in 
charges. 
Apply 
the 
surplus 
in 
the 
following fiscal year to a reduction in the rates, fees, rents or 
other charges established by the jail authority for 
services 
provided; 
cl. 
2. 
Reduction of capital debt. 
Apply the s urpl us to the 
reduction of its outstanding capital debt, 
or 
to 
a 
reserve 
,', 
account for that purpose if the financing documents do not allow 
debt reduction; or 
3. 
Refunds. 
Make a proportional refund to the counties. 
LU 
SUBCHAPTER 4 
BOIIDS AND NOTES 
lD 
§1951. 
Jail authority bonds and notes 
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1. 
Authorization of bonds. 
Subject to the limitations in 
this subchapter, the jail authority may provide by resolution of 
its board of directors and commissioners and with consent of the 
counties for the borrowing of money and the issuance from time to 
time of bonds 
and notes 
for 
any of its corporate purposes, 
including, but not limited to: 
A. 
Paying and refunding its indebtednessi 
B. 
Paying any necessary expenses and liabilities incurred 
under 
this 
chapter, 
including 
organizational 
and 
other 
necessary expenses and liabilities, whether incurred by the 
jail authority or any county in the jail authority. The jail 
authority may reimburse either county in the jail authority 
for any such expenses incurred or paid by that countYi 
c. 
Paying 
costs 
directly 
or 
indirectly associated with 
acguir ing 
properties, 
paying 
damages, 
constructing, 
maintaining 
and 
operating 
correctional 
facilities i 
and 
making renewals, additions, extensions and improvements to 
the property or facilities; and covering interest payments 
during the period of construction and for such period as the 
directors and commissioners may determinei 
D. 
Providing such reserves for debt service, repairs and 
replacements or other capital or current expenses as may be 
reguired by a trust agreement or resolution securing bonds 
or notes; 
E. 
Financing all or part of a correctional facility for a 
user. 
The term "user," as used in this section, means one 
or more persons or entities, other than a 
j ail authority, 
Page l3-LR0571(1) 
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acting 
as 
lessee, 
purchaser, 
mortgagor , 
borrower 
or 
contracting party; and 
f. 
Any combination of these purposes. 
Bonds may be issued by the jail authority under this chapter as 
general 
obligations 
of 
the 
jail 
authority 
or 
as 
special 
obligations payable solely from particular funds. The principal, 
premium and interest on all bonds must be payable solely from the 
funds provided for that purpose from revenues. 
All bonds issued 
by the jail authority under this chapter are legal obligations of 
the jail authority and the jail authority is declared to be a 
quasi-municipal corporation wi thin the meaning of section 5701. 
Bonds may be issued under this chapter without obtaining the 
consent of any commission, board, bureau or agency of the State. 
Bonds issued by the authority under this section are a municipal 
security as defined by section 5903 and are eligible for purchase 
by the Maine Munic ipal Bond Bank. 
Except as provided in thi s 
subchapter, bonds issued under this chapter by the jail authority 
do not constitute a debt or liability of the State or of either 
county in the jail authority or a pledge of the faith and credit 
of the State or either county, and a statement to that effect 
must be recited on the face of the bonds. 
Z. 
Notes. 
The 
jail 
authority 
may 
also 
provide 
by 
resolution of its board of directors for the issuance from time 
to time of: 
A. 
Notes in anticipation of bonds authorized under this 
chapter; or 
B. 
Notes in anticipation of the revenues to be collected or 
received in any year. 
Notes in anticipation of the receipt of federal or state grants 
or other aid. 
The issuance of these notes is governed by the 
applicable provisions of this chapter relating to the issuance of 
bonds, 
as long as notes in anticipation of revenue mature no 
later 
than 
one 
year 
from 
those 
notes' 
respective 
dates 
of 
issuance. 
Notes 
issued in anticipation of 
federal 
or state 
grants or other aid and renewals of grants or aid must mature no 
later than the expected date, 
as determined by the board of 
directors, 
of receipt of those grants or aid. 
The 
board of 
directors 
may 
adjust 
the 
maturity date 
of 
notes 
issued 
in 
anticipation of federal or state grants or other aid to reflect 
changes in the expected date of receipt. 
Notes in anticipation 
of revenue issued to mature less than one year from dates of 
issuance of the notes may be renewed from time to time by the 
issuance of other notes, except that the period from the date of 
an original note to the maturity of any note issued to renew or 
pay the original note or the interest on the original note may 
~ 
not exceed one year. 
'-I 
The 
jail authority may enter into agreements '",ith the State 
Government or Federal Government, or any agency of either, or any 
') 
county, corporation, commission or board authorized to grant or 
loan money or to otherwise assist in the financing of projects of 
H 
the type that the jail authority is authorized to carry out. 
The 
jail authority may also accept grants and borrow money from the 
State Government or the Federal Government or 
any 
agency of 
either, 
or 
any 
county, 
corporation, 
commission 
or 
board 
L2 
authorized 
to 
grant 
or 
loan 
money 
as 
may 
be 
necessary 
or 
desirable to accomplish the purposes of the jail authority. 
t4 
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'+1) 
3. 
Maturity; interest: form: 
temporary bonds. 
The bonds 
issued under this chapter must be dated, must mature at such time 
or times not exceeding 40 years from their date or dates of 
issuance and must bear interest at such rate or rates as may be 
determined by the board of directors or determined pursuant to a 
formula approved by the board of directors or by a 3rd party 
rate-setting agent selected by the board of directors. 
The bonds 
may be made redeemable before maturity, at the option of the jail 
authority, 
at such price or prices and under such terms 
and 
conditions as may be fixed by the board of directors prior to the 
issuance of the bonds. The board of directors shall determine the 
form of the bonds including any interest coupons to be attached, 
and the manner of execution of the bonds, 
and shall fix the 
denomination or denominations 
of the bonds 
and the place or 
places of payment of principal and interest, which may be at any 
financial institution having trust powers inside or outside the 
State. 
Bonds must be executed in the name of the jail authority 
by the manual or facsimile signature of such officer or officers 
as may be authorized in the resolution to execute the bonds, but 
at least one signature on each bond must be a manual signature. 
Coupons, if any, attached to the bonds must be executed with the 
facsimile 
signature 
of 
the officer or officers of 
the 
jail 
authority designated in the resolution. 
If an officer whose 
signature or facsimile signature appears on any bonds or coupons 
ceases to hold that office before the delivery of the bonds, the 
signature 
or its facsimile 
is valid 
and sufficient for all 
purposes, 
as if the officer had remained in office until the 
delivery. 
Notwithstanding 
any other provisions of this 
chapter or 
any 
rec i tal s in any bonds iss ued unde r thi s chapte r , all such bonds 
are deemed to be negotiable instruments under the laws of this 
State. 
The bonds may be issued in coupon or registered form, or 
both, as the board of directors may determine, and provision may 
be made for the registration of any coupon bonds as to principal 
alone 
and 
as 
to 
both principal 
and 
interest, 
and 
for 
the 
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reconversion into coupon bonds of any bonds registered as to both 
principal and interest. 
The board of directors may sell the 
bonds in the manner, either at public or private sale, and for 
such price as they may determine to be for the best interests of 
the jail authority. 
The proceeds of the bonds of each issue must 
be used solely for the purpose for which those bonds have been 
author ized and must be disbursed in such manner and under such 
restrictions as the board of directors may provide. 
The resolution providing for the issuance of bonds, and any trust 
agreement securing the bonds, may contain such limitations upon 
the issuance of additional bonds as the board of directors may 
determine proper, and these additional bonds must be issued under 
such restrictions and limitations as may be prescribed by that 
resolution or 
trust 
agreement. 
Prior 
to 
the 
preparation 
of 
definitive 
bonds, 
the 
board 
of 
directors 
may, 
under 
like 
restr ictions, issue interim receipts or temporary bonds, with or 
without coupons, 
exchangeable for definitive bonds when those 
bonds are executed and are available for delivery. The board of 
directors may provide for the replacement of any bond that is 
mutilated, destroyed or lost. 
4. 
Pledges; covenants; trust agreement. 
In the discretion 
of the board of directors, each or any issue of bonds may be 
secured by a trust agreement by and between the j ail authority 
and a corporate trustee, which may be any financial institution 
havina trust powers inside or outside the State. 
The resolution of the directors authorizing the issuance of the 
bonds or the trust agreement may pledge or assign, in whole or in 
part, the revenues and other money held or to be received by the 
jail authority and any accounts and contracts or other rights to 
receive the revenues or money, whether existing or coming into 
existence and whether held or acguired by the jail authority and 
the 
proceeds 
of 
the 
bonds, 
and 
may 
conveyor mortgage 
the 
multicounty jailor any other properties of the jail authority. 
The resolution may also contain provisions for protecting and 
enforcing the rights and remedies of the bondholders, including, 
but not limited to, covenants setting forth the duties of the, 
jail authority and the board of directors in relation to the 
acguisition, 
construction, 
reconstruction, 
improvement, 
repair, 
maintenance, operation and insurance of the multicounty j ail or 
any of the authority'S other properties; the fixing and revising 
of rates, tolls, assessments, 
rents and transportation charges 
and other charges; the application of the proceeds of bonds; the 
custody, safeguarding and application of revenues; the defining 
of defaults and providing for remedies in the event of defaults, 
which 
may 
include 
the 
acceleration 
of 
maturities, 
the 
establishment 
of 
reserves 
and 
the 
making 
and 
amending 
of 
contracts. 
The resolution or trust agreement may set out the 
J 
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\1) 
III 
rights and remedies of the bondholders and of the trustee, if 
any, 
and 
may 
restrict 
the 
individual 
right 
of 
action 
by 
bondholders 
as 
is 
customary 
in 
trust 
agreements 
or 
trust 
indentures securing bonds or debentures of corporations. 
The 
resolution or trust agreement may contain such other provisions 
as the board of directors may determine reasonable and proper for 
the security of the bondholders, including means by which the 
resolution or trust agreement may be amended. 
All expenses incurred in carrying out the resolution or trust 
agreement may be treated as a part of the cost of operation. The 
pledge by any such resolution or trust agreement is valid and 
binding and is deemed continuously perfected for the purposes of 
the Uniform Commercial Code from the time when the pledge is 
made. 
All revenues, money, 
rights and proceeds so pledged and 
received by the jail authority are immediately subject to the 
lien of the pledge without any physical delivery or segregation 
or further action under the Uniform Commercial Code or otherwise, 
and the lien of the pledge is valid and binding as against all 
parties having claims of any kind in tort, contract or otherwise 
against the jail authority irrespective of whether those parties 
have notice of the lien of the pledge. 
The 
resolution authorizing the 
issuance of 
bonds 
under 
this 
chapter, or any trust agreement securing those bonds, may provide 
that all or 
a sufficient amount of revenues and assessments, 
after 
providing 
for 
the 
payment 
of 
the 
cost 
of 
repair, 
maintenance and operation and reserves for the cost of repair, 
maintenance and operation as may be provided in the resolution or 
trust agreement, must be set aside at such regular intervals as 
may 
be 
provided 
in 
the 
resolution 
or 
trust 
agreement 
and 
deposited in the credit of a fund for the payment of the interest 
on and the principal of bonds issued under this chapter as the 
bonds become due, and the redemption price or purchase price of 
bonds retired by call or purchase. 
The use and disposition of 
money 
in or 
to the credit of 
the 
fund 
is subject to 
such 
regulations as may be provided in the resolution authorizing the 
issuance of the bonds or in the trust agreement securing the 
bonds and, except as may otherwise be provided in the resolution 
or trust agreement, the fund is a fund for the benefit of all 
bonds without distinction or priority of one over another. 
5. 
Trust funds. 
All money set aside for payment of the 
~~ 
bonds, or other purposes pursuant to the provisions of any trust 
agreement securing the bonds, is deemed to be a trust funds to be 
~G 
held and applied as provided by the trust agreement; except that 
investment or deposit of those funds is subject to the provisions 
,~n 
applicable to municipal funds under chapter 223, subchapter 3-A. 
The resolution authorizing the issuance of bonds or the trust 
r;o 
agreement securing the bonds must provide that any officer of a 
bank or trust company or other financial institution or fiscal 
agent to which money is paid shall act as trustee of the money 
and shall hold and apply the money for the purposes pursuant to 
~ 
this subsection, subject to any regulations as may be provided in 
the resolution or trust agreement or as may be required by this 
I, 
chapter. 
" 
6. 
Remedies. 
Any holder of bonds issued under this chapter 
or of any of the coupons attached to those bonds, and the trustee 
II 
under any trust agreement, except to the extent the rights given 
may be restricted by the resolution authorizing the issuance of 
I~ 
those bonds or trust agreement, may, either at law or in equity, 
by 
suit, 
action, 
mandamus 
or 
other 
proceeding, 
including 
I~ 
proceedings for the appointment of a receiver to take possession 
and control of the properties of the jail authority, protect and 
r, 
enforce any and all rights under the laws of the State or granted 
under this chapter or under the resolution or trust agreement. 
A 
I" 
holder 
of 
bonds 
or 
a 
trustee 
may 
enforce 
and 
compel 
the 
performance of all duties required by this chapter or by the 
'II 
resolution or 
trust 
agreement 
to 
be 
performed 
by 
the 
jail 
authority or by any officer of the jail authority, including the 
fixing, charging and collecting of rates, fees and charges for 
the use of or for the services and facilities furnished by the 
/4 
jail authority, or if applicable, the making of any assessments 
against the counties under section 1952. 
7. 
Refunding bonds. 
The jail authority formed under this 
,: c; 
chapter by resolution of its board of directors without consent 
of either county may lssue refunding bonds for the purpose of 
III 
paying any of its bonds at maturity or upon acceleration of 
maturity or redemption of those bonds. The refunding bonds may be 
issued at such time prior to the maturity or redemption of the 
refunded bonds as the board of directors determines to be in the 
IJ 
public interest. 
The refunding bonds may be issued in sufficient 
amounts 
to payor provide 
the principal of the bonds 
being 
II, 
refunded, together with any redemption premium on the bonds, any 
interest accrued or to accrue to the date of payment of those 
:~ 
bonds, 
the expenses of issuance of 
the refunding bonds, 
the 
expenses of redeeming the bonds being refunded and such reserves 
W 
for debt service or other capital or current expenses from the 
proceeds of the refunding bonds as may be required by the trust 
I ~ 
agreement 
or 
resolution 
secur ing 
bonds. 
The 
issuance 
of 
refunding bonds, the maturities and other details of the issuance 
-1-4 
of refunding bonds, the security for the issuance of refunding 
bonds, the rights of the holders of the issuance of refunding 
+" 
bonds 
and 
the 
rights, 
duties 
and 
obligations 
of 
the 
jail 
authority in respect of the same is governed by the applicable 
-I-H 
provisions of this chapter relating to the issuance of bonds. 
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8. 
Tax exemption. 
All bonds, notes or other evidences of 
indebtedness issued under this chapter, and their transfer and 
the income from bonds, notes or other evidences of indebtedness, 
including any profit made on the sale of bonds, notes or other 
evidences of indebtedness, are at all times free from taxation 
inside the State. 
9. 
Bonds 
declared legal 
investments. 
Bonds 
and 
notes 
issued by the jail authority under this chapter are securities in 
which: 
all public officers and public bodies of the State and 
its 
political 
subdivisions: 
all 
insurance 
companies 
and 
associations and other persons carrying on an insurance business: 
trust companies, 
banks, 
bankers, 
banking associations, 
savings 
banks 
and 
savings 
associations, 
including 
savings 
and 
loan 
associations, 
credit 
unions, 
building 
and 
loan 
associations, 
investment 
companies, 
executors, 
administrators, 
trustees 
and 
other fiduciaries of pension, profit-sharing, retirement funds; 
other persons carrying on 
a 
banking business: 
and all other 
persons who are now, or may be, authorized to invest in bonds or 
other obligations of the State, may properly and legally invest 
funds, including capital in their control or belonging to them. 
The bonds and notes are made securities that may properly and 
legally be deposited with and received by any state, municipal or 
public officer, or any agency or political subdivision of the 
State, for any purpose for which the deposit of bonds or other 
obligations of the State is now or may be authorized by law. 
10. 
Certain bond issues; notice; special meet:ing; vote. 
In 
the event that the directors vote to authorize bonds or notes for 
any of the corporate purposes of the jail authority, excluding 
notes payable wi thin one year or notes in anticipation of the 
revenues to be collected or received in any year or notes in 
anticipation of 
bonds 
that 
have 
already 
been 
authorized 
in 
accordance with this chapter or notes in anticipation of the 
receipt of 
approved federal 
or state grants, 
the 
authorized 
amount of which, singly or in the aggregate included in anyone 
financing, is 10% or less of the operating budget, the directors 
do not need consent of the counties, but shall provide notice to 
the general pUblic: 
A. 
Of the proposed bond or note issue and the purposes for 
which the debt is being incurred; and 
B. 
Of a special jail authority meeting for the purpose of 
permitting 
the 
collection of 
testimony 
from 
the 
public 
concerning the amount of the debt so authorized. 
Notice of the proposed bond or note issue, the purposes for which 
the debt is being issued and the call of the special meeting must 
be 
published 
at 
least 
once 
in 
a 
newspaper 
having 
general 
circulation in the 2 counties. 
11. 
Negotiated or competitive bidding process. 
Any notes, 
bonds or other instruments of indebtedness may be the subject of 
" 
a negotiated or competitive bidding process or any other process 
that may be advantageous to the jail authority. 
Determination of 
i\ 
the process to be used must be made by and at the discretion of 
the directors. 
J() 
§1952. 
Charges 
I' 
All 
persons, 
firms 
and 
corporations, 
whether 
public 
or 
I~ 
private, shall pay to the treasurer of the jail authority formed 
under 
this 
chapter 
the 
rates, 
tolls, 
assessments, 
rents, 
I'; 
transportation 
charges 
and 
other 
charges 
established 
by 
the 
directors for services provided by the jail authority. In this 
I" 
subchapter, 
the 
words 
"other 
charges" 
include, 
but 
are 
not 
limi ted to, interest on delinquent accounts at a rate not to 
exceed the highest lawful rate set by the Treasurer of State for 
municipal taxes. 
The jail authority may submit periodic bills 
directly to individual users or to the counties as determined by 
the directors. 
'h 
, ~) ... 
The jail authority may establish schedules of charges by any 
method determined by the directors. 
The rates, tolls, assessments, rents, transportation charges 
and other charges must be so established as to provide revenue at 
least sufficient, together with any other money available, to: 
1. 
Current operating expenses. 
Pay the current expenses of 
operating and maintaining the multicounty jail facility; 
2. 
Unanticipated operating expenses. 
Create and maintain a 
reserve 
not 
to 
exceed 
3. 59b 
of 
the 
operating 
budget 
for 
unanticipated operating expenses; 
3. 
Payment of interest and principal. 
Pay the principal, 
premium and interest on all bonds and notes issued by the jail 
authority under this chapter when due and payable; 
.' 
4. 
Payments into reserve funds. 
Create and maintain such 
I~ 
reserves as may be required by any trust agreement or resolution 
securing bonds and notes; 
5. 
Repairs, replacements and renewals. 
Provide funds for 
paying 
the 
cost 
of all 
necessary 
repairs, 
replacements 
and 
renewals of the multicounty jail facilities; and 
1-,(1 
6. 
Payment of obligations. 
Payor provide for any and all 
amounts that the jail authority may 
be obligated to payor 
provide for 
by 
law or contract, 
including any resolution or 
contract with or for the benefit of the holders of its bonds and 
notes and including payment of organizational costs to Lincoln 
County and Sagadahoc County. 
:1 
§1953. 
Collection of unpaid charges 
III 
The treasurer of the jail authority may collect the rates, 
tolls, 
assessments, 
rents, 
transportation 
charges 
and 
other 
I: 
charges established by the jail authority and those charges are 
committed to the treasurer. 
The treasurer may, after demand for 
payment, sue in the name of the jail authority in a civil action 
for any rate, toll, rent, assessment, transportation charge or 
L0 
other 
charges 
remaining 
unpaid 
in 
any 
court 
of 
competent 
jurisdiction. 
In 
addition, 
the 
treasurer 
may 
order 
the 
LR 
termination of service for nonpayment of any amount owed to the 
jail authority. 
The treasurer may 
also collect rates, tolls, 
:{l 
assessments, 
rents, 
transportation 
charges 
or 
other 
charges 
remaining unpaid pursuant to Title 36, section 891._ 
>+ 
§1954. 
Guarantee by counties of jail authority bonds and notes 
Subject 
to 
the 
consent 
of 
the 
counties, 
the 
board 
of 
directors and a majority of the commissioners of each county may 
provide by resolution for the issuance, at one time or from time 
to time, of guaranteed notes and bonds of the jail authority for 
any purpose for which the jail authority may issue debt. 
Bonds 
issued by 
the authority under 
this section are 
a 
municipal 
security as defined by section 5903 and are eligible for purchase 
by the Maine Municipal Bond Bank. 
Except as otherwise provided, 
notes and bonds issued by the jail authority in accordance with 
this section must be authorized, 
issued and sold in the same 
manner as and subject to the other provisions of this subchapter 
relating to notes and bonds. 
The principal, premiums, if any, 
and interest on notes and bonds issued under this section must be 
guaranteed by the counties of the jail authority and the full 
faith 
and 
credit 
of 
the 
counties 
must 
be 
p1edged 
for 
the 
guarantee provided in this section. 
The share of liability of 
each 
county 
for 
the 
guaranteed 
notes 
and 
bonds 
must 
be 
established in accordance with the method established in the 
operating and governance agreement. 
§1955. Bonds issued by counties 
For the purpose of assisting the jail authority in financing 
the 
multicounty 
jail 
authorized 
by 
this 
chapter, 
and 
notwithstanding any other provision of law, with consent of the 
',0 
counties, Lincoln County and Sagadahoc County may issue general 
/l 
obligation bonds backed by the full faith and credit of the 
counties. 
Proceeds of the bonds or any part of the bonds may be 
either loaned or contributed to the jail authority. 
The issuance 
~ 
of the bonds and the loaning or contributing of funds to the jail 
authority formed under this chapter constitute a valid purpose 
for which either county may raise or appropriate money. 
General 
obligation bonds issued by either county under this section are 
" 
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2h 
municipal securities as defined in section 5903, and are eligible 
for purchase by the Maine Municipal Bond Bank. A county issuing 
bonds under this section and the jail authority receiving the 
proceeds 
of 
the 
bonds 
may 
enter 
into 
such 
contracts 
and 
agreements as they may agree upon, both with each other and 3rd 
parties, 
establish trust or enterprise 
funds 
to provide 
for 
timely payment of the bonds, employ a trustee and do all things 
that may be necessary or convenient to the jail authority or the 
county to make use of the bonds as may be determined by the board 
of directors and the county commissioners of the county issuing 
bonds. 
Emergency clause. 
In view of the emergency cited in the 
preamble, this Act takes effect when approved. 
SUMMARY 
This bill establishes the Lincoln and Sagadahoc Multicounty 
:8 
Jail Authority.