Maine Legislature, Session 121, LD 1290
Committee Amendment CA_A_S121 (Senate)
Amends: 30-A MRSA §720, 30-A MRSA §7205, 30-A MRSA §7207

COMMITTEE AMENDMENT" A to S.P. 421, L.D. 1290, 
Act To Provide Requirements for Towns To Deorganize" 
Amend the bill by striking out all of section 1. 
Bill, "An 
Further amend the bill by striking out all of section 3 and 
inserting in its place the following: 
'Sec. 3. 30-A MRSA §720S, sub-§3, as enacted by PL 1989, c. 
216, §2, is amended to read: 
3. 
Distribution of financial liabilities and assets. 
The 
deorganization procedure shall must provide for the distribution 
of all financial and other intangible liabilities and assets of 
the municipality, including liabilities and assets held by the 
municipality in any other political subdivision that are affected 
by the deorganization. 
These assets and liabilities include, but 
are not limited to, 
outstanding bonds, 
notes 
and 
any other 
contractual obligations that extend beyond the proposed date of 
deorganization. 
The service of all bonded indebtedness or other 
debt backed by 
a 
pledge of the full faith and credit duly 
authorized by the legal voters of the deorganizing municipality 
prior 
to 
deorganization 
remains 
the 
responsibility 
of 
the 
residents of the municipality and may not be transferred in whole 
or in part to the residents of a geographic area outside the 
boundaries of the deorganizing municipality unless that debt is 
properly reissued. 
A. 
The 
commission is responsible for determining these 
assets and liabilities and incorporating these provisions in 
the deorganization procedure. 
Page l-LR0963(2) 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT 'J\" to S.P. 421, L.D. 1290 
B. 
Distribution of these assets and liabilities shall must 
be in accordance with chapter 303. 
Sec.4. 30-A MRSA §7205, sub-§7 is enacted to read: 
7. 
Fisca1 i.Jgpact assessment. 
The municipality seeking to 
deorganize shall prepare a report that identifies and analyzes 
the 
service 
and 
tax 
burden 
effects 
on 
the 
deorganizing 
municipality. 
surrounding 
municipalities 
and 
the 
unorganized 
territory that is associated with the deorganization. 
The report 
must include: 
A. 
The principal reason or reasons the inhabitants of the 
municipality are considering deorganization; 
B. 
An assessment of the government services being provided 
to the residents of the deorganizing municipality. including 
education. water and sewer service. fire protection, police 
protection. 
street 
improvements 
and 
maintenance, 
administrative services and recreational facilities and the 
effect deorganization will have on the provision of those 
services to the residents of the deorganizing municipality; 
C. 
An 
inventory of the municipally owned assets and 
a 
complete 
accounting 
Qf 
the municipality's debt 
and 
the 
financial plan for retiring that debt; 
D. 
The 
fiscal 
and 
service 
delivery 
effects 
of 
deorganization 
Qn 
surrounding 
municipalities, 
special 
districts. the cQunty and the communities within the county, 
including the unorganized territQry; and 
E. 
Any 
alternatives 
tQ 
deorganization that have 
been 
considered to address the cause Qf the deorganizatiQn effort. 
Sec. 5. 30-A MRSA §7207, first 1[, as enacted by PL 1989, c. 
216, §2, is amended to read: 
The 
lQcal 
committee 
may 
incQrpQrate 
the 
comments 
and 
suggestions received from the commission into the deorganization 
procedure. 
The 
local committee shall immediately notify the 
municipal officers and the county commissioners of the county 
where the municipality considering deQrganizatiQn is lQcated when 
the deorganizatiQn procedure has been completed. 
Sec. 6. 30-A MRS A §7207, sub-§2-A is enacted tQ read: 
2-A. 
Advisory referendum in unorganized territory. 
After 
receiving nQtice from the lQcal committee that the deorganization 
procedure is cQmplete, 
the county commissioners 
may hold an 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT "A" to S.P. 421, L.D. 1290 
advisory referendum on the deorganization in the unorganized 
terr i tory in the county according to the procedures provided in 
this 
subsection. 
The 
county 
commissioners 
may 
not hold 
an 
advisory referendum until a system for identifying voters in the 
unorganized territory is established. 
Any advisory referendum 
must be held within 60 days of the receipt of notice from the 
municipality that the deorganization process is complete. 
The method of voting must be by secret ballot in the manner 
prescribed for state elections. 
The county commissioners shall 
notify the residents of the unorganized territory of the date on 
which the 
referendum will be held. 
The 
county clerk shall 
prepare the ballots on which the following guestion must appear: 
"Do 
you 
support 
the 
deorganization 
of 
(name 
of 
municipality)?" 
The legal voters of the unorganized territory shall vote by 
ballot on this guestion and shall designate their choice by a 
cross or check mark placed within a corresponding sguare below 
the words "Yes" or "No." 
The ballots must be received. sorted 
and counted by the county clerk. and the county commissioners 
shall declare the results of the vote. 
The county clerk shall 
file a certificate of the advisory referendum results with the 
Secretary of State within 10 days of the advisory referendum. 
The clerk shall forward the results of the advisory referendum to 
the commission and to the executive director, who shall forward 
the results of the vote to the joint standing committee of the 
Legislature having jurisdiction over local government matters. 
Sec. 7. 30-A MRS A §7209, sub-§4 is enacted to read: 
4. 
Limitation. 
If the voters of 
a municipality reject 
deorganization in an advisory referendum held pursuant to this 
section, the municipality may not submit a deorganization plan to 
the Legislature for a period of 3 years from the date of that 
advisory referendum.' 
Further amend the bill by relettering or renumbering any 
nonconsecutive 
Part 
letter 
or 
section 
number 
to 
read 
consecutively. 
SUMMARY 
This 
amendment 
clarifies that all 
debt 
incurred 
by 
a 
municipality prior to deorganization will be the responsibility 
of the residents of the community and not the entire population 
of 
the 
unorganized 
territory. 
It directs 
the 
deorganizing 
community 
to 
conduct 
a 
fiscal 
impact 
analysis. 
It 
also 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. A 
.. to S.P. 421, L.D. 1290 
authorizes the county commissioners in the county where 
the 
municipality considering deorganization is located to hold an 
advisory referendum on the deorganization. 
Finally, it requires 
a municipality that has rejected the deorganization to wait 3 
years before reinitiating the process. 
COMMITTEE AMENDMENT