An Act To Authorize a General Fund Bond Issue in the Amount of $50,000,000 to Promote Revitalization of Service Center Communities through Infrastructure Improvements
Maine Legislature, Session 121, LD 0885
Committee: Appropriations and Financial Affairs
Sponsors: LERMAN, FAIRCLOTH, MAILHOT, SUSLOVIC

Legislative Document 
No. 885 
H.P.662 
House of Representatives, February 20, 2003 
An Act To Authorize a General Fund Bond Issue in the Amount of 
$50,000,000 to Promote Revitalization of Service Center 
Communities through Infrastructure Improvements 
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered 
printed. 
Presented by Representative LERMAN of Augusta. 
/J'l~ 
/J7.11!(}£~ 
MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Representatives: FAIRCLOTH of Bangor, MAILHOT of Lewiston, 
SUSLOVIC of Portland. 
Printed on recycled paper 
Preamble. 
Two 
thirds of both Houses of the Legislature 
deeming it necessary in accordance with the Constitution of 
Maine, Article IX, Section 14 to authorize the issuance of bonds 
on behalf of the State of Maine to provide funds as described in 
this Act, 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. Authorization of bonds. 
The Treasurer of State is 
authorized, under the direction of the Governor, to issue bonds 
in the name and on behalf of the State in an amount not exceeding 
$50,000,000 to raise funds to capitalize the Municipal Investment 
Trust 
Fund to 
finance 
infrastructure 
improvements 
to 
service 
center communi ties as authorized by this Act. 
The bonds are a 
pledge of the full faith and credit of the State. 
The bonds may 
not run for a period longer than 10 years from the date of the 
original issue of the bonds. 
At the discretion of the Treasurer 
of State, with the approval of the Governor, 
any issuance of 
bonds may contain a call feature. 
Sec. 2. Records of bonds issued kept by Treasurer of State. 
The 
Treasurer of State shall keep an account of each bond showing the 
number of the bond, the name of the successful bidder to whom 
sold, the amount received for the bond, the date of sale and the 
date when payable. 
Sec. 3. 
Sale; 
how 
negotiated; 
proceeds appropriated. 
The 
Treasurer 
of 
State 
may 
negotiate the 
sale of 
the 
bonds 
by 
direction of the Governor, but no bond may be loaned, pledged or 
hypothecated on behalf of the State. 
The proceeds of the sale of 
the bonds, which must be held by the Treasurer of State and paid 
by the Treasurer of State upon warrants 
drawn by the State 
Controller, are appropriated solely for the purposes set forth in 
this Act. 
Any unencumbered balances remaining at the completion 
of the project in this Act lapse to the debt service account 
established for the retirement of these bonds. 
Sec. 4. Interest and debt retirement. 
The Treasurer of State 
shall pay interest due or accruing on any bonds issued under this 
Act and all sums coming due for payment of bonds at maturity. 
Sec. 5. Disbursement of bond proceeds. 
The proceeds of the 
bonds must be expended as set out in this Act under the direction 
and supervision of the Maine Municipal Bond Bank. 
Sec. 6. Allocations from General Fund bond issue. 
The proceeds 
of the sale of the bonds must be expended as designated in the 
following schedule. 
Page l-LR0647 (1) 
MAINE MUNICIPAL BOND BANK 
To capitalize the Municipal Investment Trust 
Fund to finance infrastructure improvements 
to service center communities. 
$50,000,000 
Sec. 7. Contingent upon ratification of bond issue. 
Sections 1 to 
do not become effective unless the people of the State ratify 
the issuance of the bonds as set forth in this Act. 
Sec. 8. Appropriation balances at year-end. 
At the end of each 
fiscal year, all unencumbered appropriation balances representing 
state money carry forward. 
Bond proceeds that have not been 
expended within 10 years after the date of the sale of the bonds 
lapse to General Fund debt service. 
Sec. 9. Bonds authorized but not issued. 
Any bonds authorized 
but not issued, 
or for which bond anticipation notes are not 
issued 
within 
years 
of 
ratification 
of 
this 
Act, 
are 
deauthor ized and may not be issued, except that the Legislature 
may, within 2 years after the expiration of that 5-year period, 
extend the period for issuing any remaining unissued bonds or 
bond anticipation notes for an additional amount of time not to 
exceed 5 years. 
Sec. 10. 
Referendum for ratification; submission at statewide 
election; form of question; effective date. 
This Act must be submitted 
to the legal voters of the State at a statewide election held on 
the Tuesday following the first Monday of 
November 
following 
passage of this Act. 
The municipal officers of this State shall 
notify the inhabitants of their respective cities, 
towns 
and 
plantations to meet, in the manner prescribed by law for holding 
a statewide election, to vote on the acceptance or rejection of 
this Act by voting on the following question: 
"Do you favor a $50,000,000 bond issue for the purpose of 
capitalizing the Municipal Investment Trust Fund to finance 
infrastructure improvements to service center communities?" 
The legal voters of each city, 
town and plantation shall 
vote by ballot on this question and designate their choice by a 
cross or check mark placed wi thin a corresponding square below 
the word "Yes" or "No." 
The ballots must be received, sorted, 
counted and declared in open ward, town and plantation meetings 
and returns made to the Secretary of State in the same manner as 
votes for members of the Legislature. 
The Governor shall review 
the returns and, if a majority of the legal votes are cast in 
favor of this Act, the Governor shall proclaim the result without 
delay, and this Act becomes effective 30 days after the date of 
the proclamation. 
The Secretary of State shall prepare and furnish to each 
city, town and plantation all ballots, returns and copies of this 
Act necessary to carry out the purposes of this referendum. 
SUMMARY 
The funds provided by this bond issue, in the 
$50, 000, 000 will be used to capitalize the Municipal 
Trust 
Fund 
to 
finance 
infrastructure 
improvements 
center communities. 
amount of 
Investment 
to 
service