An Act To Authorize a General Fund Bond Issue for Maine Resident College Graduates Employed in Maine
Maine Legislature, Session 122, LD 0786
Committee: Appropriations and Financial Affairs
Sponsors: CUMMINGS, CAIN, FARRINGTON, GOLDMAN, NORTON, RECTOR, BRENNAN

Legislative Document 
No. 786 
H.P.563 
House of Representatives, February 15,2005 
An Act To Authorize a General Fund Bond Issue for Maine 
Resident College Graduates Employed in Maine 
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered 
printed. 
Presented by Representative CUMMINGS of Portland. 
7J1~ 
1?1·711d£~ 
MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Representatives: CAIN of Orono, FARRINGTON of Gorham, GOLDMAN of 
Cape Elizabeth, NORTON of Bangor, RECTOR of Thomaston, Senator: BRENNAN of 
Cumberland. 
Printed on recycled paper 
Preamble. 
Two 
thirds of both Houses 
deeming it necessary in accordance with 
Maine, Article IX, Section 14 to authorize 
on behalf of the State of Maine to provide 
this Act, 
of the Legislature 
the Constitution of 
the issuance of bonds 
funds as described in 
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 for the purposes described in section 6 of 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 Finance Authority of Maine. 
Sec. 6. Allocations from General Fund bond issue. 
of the sale of the bonds authorized under this 
expended as designated in the following schedule. 
FINANCE AUTHORITY OF MAINE 
Page l-LR1687 (1) 
The proceeds 
Act must be 
• 
Provides funds to be used to defray 
a portion of the cost of a Maine 
resident's college education at 
either an in-state or out-of-state 
postsecondary school if, after 
graduation, the individual is 
employed in Maine. 
$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 
deauthorized and may not be issued, except that the Legislature 
may, wi thin 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 to be used to defray 
a 
portion 
of 
the 
cost 
of 
a 
Maine 
resident's 
college 
education 
at 
either 
an 
in-state 
or 
out-of-state 
postsecondary school if, after graduation, the individual is 
employed in Maine?" 
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, 
$50, 000, 000, will be used to defray a portion 
Maine 
resident's college education at either 
out-of-state 
postsecondary 
school 
if, 
after 
individual is employed in Maine. 
in the amount of 
of the cost of a 
an in-state or 
graduation, 
the