Maine Legislature, Session 121, LD 1629
Committee Amendment CA_C-SA_G_S350 (Senate)
Amends: 36 MRSA §683, 36 MRSA §6207, 36 MRSA §6209

SENATE 
AMENDMENT "G" to COMMITTEE 
AMENDMENT "C" to H.P. 
1209, L.D. 1629, "RESOLUTION, Proposing a Competing Measure under 
the Constitution of Maine To Create Municipal Service Districts 
To Reduce the Cost of Local Government, To Provide Property Tax 
Relief and To Increase Economic Competitiveness" 
Amend the amendment by inserting after Part B the following: 
'PART C 
Sec. C-l. 36 MRSA §683, sub-§l, as repealed and replaced by PL 
2003, c. 20, Pt. BB, 
@1 and affected by §3, is repealed and the 
following enacted in its place: 
1. 
Exemption amount. 
The estate up to the just value of 
$7,000 of the homestead of a permanent resident of this State who 
has owned a homestead in this State for the preceding 12 months 
is 
exempt 
from 
taxation except 
for 
assessments 
for 
special 
benefits, 
In 
determining 
the 
local 
assessed 
value 
of 
the 
exemption, 
the 
assessor 
shall 
multiply 
the 
amount 
of 
the 
exemption by the ratio of current just value upon which the 
assessment is based as furnished in the assessor's annual return 
pursuant to section 383. 
If the title to a homestead is held by 
the applicant jointly or in COmmon with others, the exemption may 
not exceed $7,000 of the just value of the homestead, but may be 
apportioned among the owners who reside on the property to the 
extent of their respective interests. 
A municipality responsible 
for administering the homestead exemption has no obligation to 
create separate accounts for each partial interest in a homestead 
owned jointly or in comm~ 
Sec. C-2. 36 MRSA §683, sub-§l-A, as enacted by PL 2003, c. 
20, Pt. BB, @2 and affected by §3, is repealed. 
SENATE AMENDMENT 
SENATE AMENDMENT .. e- .. to COMMITTEE AMENDMENT "c" to H.P. 1209, 
L.D. 1629 
Sec. C-3. 36 MRSA §6207, sub-§l, lIA-l, as amended by PL 1997, 
c. 557, Pt. A, §3 and affe~ted by Pt. G, §1, is further amended 
to read: 
A-I. 
~i~6y-~e~eeB6 For application periods beginning before 
August 1, 2004. 50% of that portion of the benefit base that 
exceeds 4% but does not exceed 8"t. of income plus 100% of 
that portion of the benefit base that exceeds 8'lt. of income 
to a maximum payment of $1/000~~ 
Sec. C-4. 36 MRSA §6207, sub-§l, "B to D are enacted to read: 
B. 
For the application period beginning August 1. 
2004, 
52.5'lt. of that portion of the benefit base that exceeds 4% 
but does not exceed 8'lt. of income plus 100'lt. of that portion 
of the benefit base that exceeds 8"t. of income to a maximum 
payment of $1,250; 
C. 
For the application period beginning August 1, 2005, 55% 
of that portion of the benefit base that exceeds 4% but does 
not exceed 8% of income plus 100"t. of that portion of the 
benefit base that exceeds 8"t. of income to a maximum payment 
of $1. 7 50; and 
D. 
For the application period beginning on or after August 
I. 
2006, 
60, of that portion of the benefit base that 
exceeds 4'lt. but does not exceed 8"t. of income plus 100% of 
that portion of the benefit base that exceeds 8% of income 
to a maximum payment of $2,000. 
Sec. CaS. 36 MRSA §6207, sub-§2, as amended by PL 1997 I 
c. 
557, Pt. A, @3 and affected by Pt. G, @1 / is repealed. 
Sec. C-6. 36 MRSA §6207, sub-§2-A is enacted to read: 
2-A. 
Income eligibilit;r. Households are not eligible for a 
benefit if household income exceeds the following amounts: 
A. 
For application periods beginning before August I. 2004. 
$29,900 
for 
single-member 
households 
and 
$46.300 
for 
households with 2 or more members; 
B. 
For the application period beginning on August I. 2004. 
$35,000 
for 
single-member 
households 
and 
$50,000 
for 
households with 2 or more members; and 
C. 
For the application period beginning on August I. 2005. 
$40,000 
for 
single-member 
households 
and 
$60,000 
for 
households with 2 or more members; and 
SENATE AMENDMENT 
SENATE AMENDMENT "6" to COMMITTEE AMENDMENT "c" to H. P. 1209, 
L.D. 1629 
D. 
For the application periods beginning on or af~r August 
1. 
2006 c 
$50 c 000 for single-member households and $75,000 
for households with 2 or more members. 
Sec. e-7. 36 MRSA §6209, sub-§l, as amended by PL 1989, c. 
508, §25, is further amended to read: 
1.. 
Household limitation adjustment. 
Beginning March 
1, 
1989, 
and annually thereafter, 
the State Tax 
Assessor shall 
determine 
the household income eligibility adjustment factor. 
That factor 6aa~~ ~ 
be multiplied by the income limitations in 
section 6206, applicable for the year prior to that for which 
relief is requested. The result 
6aa~~ ~ 
be rounded to the 
nearest $100 and saall-apply applies to the year for which relief 
is requested corresponding to the year on which the annualized 
cost of living adjustments were based. 
Beginning March 1, 1991, 
the same procedure saa11 I!ll.l.ll be employed to adjust the income 
limitation in section 6207, subsection a l=A. 
Sec. e-8. Application. 
Those portions 
of this 
Part that 
repeal and replace the Maine Revised Statutes, Title 36, section 
683, subsection 1 and repeal subsection I-A apply to property 
taxes based on the status of property on or after April 1, 2004. 
Sec. e-9. 
Appropriations and allocations. 
appropriations and allocations are made. 
The 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF 
Homestead Property Tax Ezemption Reimbursement 0886 
following 
Initiative: 
Appropriates funds to revert the tiered homestead 
property tax exemption back to a $7,000 exemption regardless of 
property value beginning in fiscal year 2004-05. 
General Fund 
All Other 
General Fund Total 
Maine Residents Property Tax Program 
0648 
2003-04 
$0 
$0 
2004-05 
$4,947,662 
$4,947,662 
Initiative: 
Appropriates funds required due to the expansion of 
the Maine Residents Property Tax Program. 
General Fund 
All Other 
2003-04 
$0 
2004-05 
$9,950,000 
SENATE AMENDMENT 
SENATE AMENDMENT "G-" to COMMITTEE AMENDMENT "C" to H.P. 1209, 
L.D. 1629 
General Fund Total 
$0 
$9,950,000 
Revenue Services - Bureau of 0002 
Initiative: 
Provides 
funds 
for 
one 
Tax 
Examiner 
position 
effective June 1, 2005 and other related costs associated with an 
increase in the number of applications for the Maine Residents 
Property Tax Program. 
General Fund 
Positions - Legislative Count 
Personal Services 
1.11 Other 
General Fund Total 
ADMIBIS'TRATIVE AND FINANCIAL 
SERVICES, DEPARTMENT OF 
DEPAR"DCERT "!'OrALS 
GENERAL FUND 
DEPAR"DCERT TOTAL - ALL FUNDS 
2003-04 
2004-05 
(0.000) 
(1. 000) 
$0 
$1,775 
16,000 
$0 
$17,775 
2003-04 
2004-05 
$0 
$14,915,437 
$0 
$14,915,437' 
Further amend the amendment in the question in the last line 
(page 8, line 24 in amendment) by inserting before the following: 
"?" 
the 
following: 
I and 
by providing expanded property tax 
relief I 
Further amend the amendment by 
any 
nonconsecutive 
Part 
letter 
or 
consecutively. 
SUMMARY 
relettering or renumbering 
section 
number 
to 
read 
This amendment restores the homestead property tax exemption 
to $7,000 for all homesteads. 
The amendment also expands the 
Maine Residents Property Tax Program, commonly referred to as the 
circuit breaker program, 
by phasing in over 
a 
3-year period 
increases to the income eligibility limits, the maximum benefit 
and the percentage of refundable taxes between 4'lt, 
and 
8% of 
household income. 
The maximum benefit is increased to $1,250 in 
2004, 
$1,750 
in 
2005 
and 
$2,000 
in 
2006 
and 
after. 
The 
eligibility limits are increased for single-member households and 
multiple-member 
households 
and 
are 
increased respectively to 
$35,000 and $55,000 in 2004, $40,000 and '$60,000 in 2005 and 
SENATE AMENDMENT 
SENATE AMENDMENT "G-" to COMMITTEE AMENDMENT "C" to H.P. 1209, 
L.D. 1629 
$50,000 
and 
$75,000 
in 
2006 
and after. 
The 
percentage of 
refundable 
taxes 
between 
4% 
and 
8% 
of household 
income 
is 
increased to 52.5% in 2004, ,55% in 2005 and 60% in 2006 and after. 
FISCAL NOTE REQUIRED 
(See attached) 
SPONSORED BY, ~~ 
(Senator STANLEY 
COUNTY: 
Penobscot 
SENATE AMENDMENT 
Net Cost (Savings) 
General Food 
Appropriations/Allocations 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Approved: 08/22/03 ;!;?ac 
12lst Maine Legislature 
Office of Fiscal and Program Review 
LD 1629 
RESOLUTION, Proposing a Competing Measure under the Constitution 
of Maine To Create Municipal Budget Caps, Reduce the Cost of Local 
Government through Increased State Education Funding and Provide 
Property Tax Relief 
LR 2165(18) 
Fiscal Note for Senate Amendment 't1' to Committee Amendment "c" 
Sponsor: Sen. Stanley 
Fiscal Note Required: Yes 
Fiscal Note 
2003-04 
2004-05 
Projections 
2005-06 
$0 
$14,783,184 
$25,336,096 
$0 
$14,915,437 
$25,473,639 
$0 
$132,253 
$137,543 
$0 
$7,107 
$7,545 
Projections 
2006-07 
$35,901,0. 
$36,044,097 
$143,044 
$7,846 
This amendment increases the General Fund cost of the bill by $14,783,184 in fiscal year 2004-05. 
General Fund Summary 
Undo Tiered Homestead (PL 2003, c. 20) 
- Homestead Reimbursement 
- Individual Income Tax Revenue Impact 
Undo Tiered Homestead Subtotal 
Expand Circuitbreaker 
2003-04 
$0 
$0 
$0 
$0 
2004-05 
$4,947,662 
($132,253) 
$4,815,409 
$9,967,775 
LR2165(18) - Fiscal Note - Page lof2 
Projections 
2005-06 
$5,059,689 
($137,543) 
$4,922,146 
$20,413.950 
Projections 
2006-07 
$5,185,947 
($143,044) 
$5,042,9r ' 
$30.858,150 
• 
Net General Fund Cost (Savings) 
$0 
$14,783,184 
$25,336,096 
$35,901,053 
LR2165( 18) - Fiscal Note - Page 2 of 2