An Act Pertaining to Trustee Services for the Maine Turnpike Authority
Maine Legislature, Session 121, LD 0906
Committee: Transportation
Sponsors: HATCH, USHER, DAMON, SAY AGE, COLLINS, JODREY, PARADIS, SAMPSON
Amends: 23 MRSA §1970

Legislative Document 
No. 906 
S.P.302 
In Senate, February 20, 2003 
An Act Pertaining to Trustee Services for the Maine Turnpike 
Authority 
Submitted by the Maine Turnpike Authority pursuant to Joint Rule 204. 
Reference to the Committee on Transportation suggested and ordered printed. 
Presented by Senator HATCH of Somerset. 
Cosponsored by Representative USHER of Westbrook and 
JOY J. O'BRIEN 
Secretary of the Senate 
Senators: DAMON of Hancock, SAY AGE of Knox, Representatives: COLLINS of Wells, 
JODREY of Bethel, McKENNEY of Cumberland, McNEIL of Rockland, PARADIS of 
Frenchville, SAMPSON of Auburn. 
Printt!u on rel:yc!eo paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 23 MRSA §1970, as enacted by PL 1981, c. 595, §3, is 
repealed and the following enacted in its place: 
S1970. 
Bonds; how secured 
I. 
Trust indentures. 
In the discretion of the authority, 
bonds may be secured by a trust indenture by and between the 
authority and a corporate trustee, which may be any trust company 
or bank having the powers of a trust company within or outside of 
the State, or by a loan or other security agreement with a lender 
or with such a trustee containing provisions that may be included 
in a bond resolution or trust indenture under this chapter. 
The 
trust indenture or loan or other security agreement may pledge or 
assign tolls or revenues to be received but may not conveyor 
mortgage the turnpike or any part thereof. Either the resolution 
providing for the issuance of the bonds or the trust indenture or 
loan or other security agreement 
may 
contain provisions 
for 
protecting 
and 
enforcing 
the 
rights 
and 
remedies 
of 
the 
bondholders or other lenders or of the trustee, if any, as may be 
reasonable and proper and not in violation of law, 
including: 
covenants setting forth the duties of the authority in relation 
to the acg;uisi tion of property; the construction, maintenance, 
operation, repair and insurance of the turnpike; the custody, 
safeguarding 
and 
application 
of 
all 
money; 
and 
any 
other 
provisions 
that 
the 
authority 
determines 
are 
necessary, 
convenient or desirable for the security of bondholders and other 
lenders or of the trustee, if any. 
Any such indenture or loan or 
other security agreement may restrict the individual right of 
action 
of 
bondholders 
or 
other 
lenders 
to 
the 
extent 
the 
authority determines is necessary, convenient or desirable. 
All 
expenses incurred in carrying out the trust indenture or loan or 
other security agreement may be treated as a part of the cost of 
the maintenance, operation and repair of the turnpike. 
2. 
Other 
agreements. 
The authority may enter into 
an 
agreement with 
a 
bank 
or 
financial 
institution incorporated 
within or outside of the State as necessary or convenient for the 
provision of trustee, paying agent, depository or other financial 
services 
in 
connection 
with 
bonds 
issued 
by 
the 
authority 
pursuant to this chapter, and it is lawful for any bank or trust 
company to enter into any such agreements with the authority and 
to furnish indemnity bonds or to pledge any securities reg;uired 
by the authority. 
Page l-LR1357(1} 
SUMl\f 
,Y 
This bill clarifies that the Maine Turnpike Authority may 
obtain trustee and similar services from any bank or financial 
institution. 
The number of banks within or outside of the State 
that 
provide 
the 
services 
required 
by 
the 
Maine 
Turnpike 
Authority has been steadily declining. 
This bill also makes 
corrections to eliminate redundancy and improve the clarity of 
the section.