An Act Concerning Spending Caps
Maine Legislature, Session 123, LD 1459
Committee: Taxation
Sponsors: MILLS, PLOWMAN, SHERMAN, COTTA, CURTIS, GILES, MAREAN
Amends: 5 MRSA §1534, 20-A MRSA §15671-A, 30-A MRSA §706-A

Legislative Document 
No. 1459 
H.P.1029 
House of Representatives, March 16,2007 
An Act Concerning Spending Caps 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representati ve FLOOD of Winthrop. 
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MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Senators: MILLS of Somerset, PLOWMAN of Penobscot, Senator 
SHERMAN of Aroostook and Representatives: COTTA of China, CURTIS of Madison, 
GILES of Belfast, MAREAN of Hollis. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 5 MRSA §1534, sub-§3, ~, as enacted by PL 2005, c. 2, Pt. A, §5 and 
affected by § 14, is amended to read: 
B. 
The appropriation limitation in subsection 1 may be exceeded only by a 2/3 vote 
of both Houses of the Legislature in a separate measure that identifies the 
extraordinary circumstance and the intent of the Legislature to exceed the 
appropriation limitation. 
Sec. 2. 5 MRSA §1534, sub-§4, as enacted by PL 2005, c. 2, Pt. A, §5 and 
affected by § 14, is amended to read: 
4. Increase in appropriation limitation. The appropriation limitation established in 
subsection 1 may be increased for other purposes only by a 2/3 vote of both Houses of the 
Legislature in a separate measure that identifies the intent of the Legislature to exceed the 
appropriation limitation. 
Sec. 3. 20-A MRSA §15671-A, sub-§3, as amended by PL 2005, c. 2, Pt. D, §35 
and affected by §§72 and 74 and affected by c. 12, Pt. WW, §18, is further amended to 
read: 
3. 
Exceeding maximum local cost share expectations; separate article. 
Beginning with the 2005-2006 school budget, the legislative body of a school 
administrative unit may adopt an additional local appropriation that exceeds the local cost 
share expectation established by section 15688, subsection 3-A, paragraph A only if that 
action is approved in a separate article by a 2/3 vote of the school administrative unit's 
legislative body through the same process that the school budget is approved in that 
school administrative unit and in accordance with section 15690. 
If that additional 
appropriation causes the school administrative unit to exceed the maximum state and 
local spending target described in subsection 4, the requirements of subsection 5 apply. 
Sec. 4. 20-A MRSA §15671-A, sub-§5, ~, as amended by PL 2005, c. 12, Pt. 
WW, §3 and affected by § 18, is further amended to read: 
B. 
In a municipality where the responsibility for final adoption of the school budget 
is vested by the municipal charter in a council, this paragraph applies, except that the 
petition and referendum provisions apply only if the municipal charter does not 
otherwise provide for or prohibit a petition and referendum process with respect to 
the matters described in this paragraph. 
(1) A majority Two thirds of the entire membership of the school board or 
committee must approve the additional amount in a regular budget meeting. 
(2) 
An article approving the additional amount must conform to the 
requirements of section 15690, subsection 3, paragraph B and be approved by a 
majority 2/3 of the entire membership of the council in a vote taken in 
accordance with section 15690, subsection 5 or, if the council votes not to 
approve the article, by a majority of voters voting in a referendum called pursuant 
to subparagraph (4). 
Page I - 123LR0032(Ol)-1 
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(3) If an article is approved by the council pursuant to subparagraph (2), the 
voters may petition for a referendum vote on the same article in accordance with 
subparagraph (4). If a petition is filed in accordance with subparagraph (4), the 
vote of the council is suspended pending the outcome of the referendum vote. 
Upon approval of the article by a majority of the voters voting in that 
referendum, the article takes effect. If the article is not approved by a majority of 
the voters voting in that referendum, the article does not take effect. Subsequent 
to the vote, the school committee or board may again propose an additional 
amount, subject to the requirements of this section. 
(4) If a written petition, signed by at least 10% of the number of voters voting in 
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the last gubernatorial election in the municipality, requesting a vote on the 
additional amount is submitted to the municipal officers within 30 days of the 
council's vote pursuant to subparagraph (2), the article voted on by the council 
must be submitted to the legal voters in the next regular election or a special 
election called for the purpose. The election must be held within 45 days of the 
submission of the petition. The election must be called, advertised and conducted 
according to the law relating to municipal elections, except that the registrar of 
voters is not required to prepare or the clerk to post a new list of voters and 
absentee ballots must be prepared and made available at least 14 days prior to the 
date of the referendum. For the purpose of registration of voters, the registrar of 
voters must be in session the secular day preceding the election. The voters shall 
indicate by a cross or check mark placed against the word "Yes" or "No" their 
opinion on the article. The results must be declared by the municipal officers and 
entered upon the municipal records. 
Sec. 5. 30-A MRSA §706-A, sub-§7, as affected by PL 2005, c. 2, Pt. B, §4 and 
amended by c. 12, Pt. WW, § 10 and affected by § § 13 and 14, is further amended to read: 
7. 
Process for exceeding county assessment limit. 
A county may exceed or 
increase the county assessment limit only if approved by a vote of a majority 2/3 of all 
the members of both the county budget committee or county budget advisory committee 
and the county commissioners. 
Unless a county charter othenvise provides or prohibits a petition and referendum 
process, if a written petition, signed by at least 10% of the number of voters voting in the 
last gubernatorial election in the county, requesting a vote on the question of exceeding 
the county assessment limit is submitted to the county commissioners within 30 days of 
the commissioners' vote pursuant to this subsection, the article voted on by the 
commissioners must be submitted to the legal voters in the next regular election or a 
special election called for that purpose. The election must be held within 45 days of the 
submission of the petition. 
The election must be called, advertised and conducted 
according to the law relating to municipal elections, except that the registrar of voters is 
not required to prepare or the clerk to post a new list of voters, the filing requirement 
contained in section 2528 does not apply and absentee ballots must be prepared and made 
available at least 14 days prior to the date of the referendum. 
For the purpose of 
registration of voters, the registrar of voters must be in session the secular day preceding 
the election. The voters shall indicate by a cross or check mark placed against the word 
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"Yes" or "No" their opinion on the article. The results must be declared by the county 
commissioners and entered upon the county records. 
Sec. 6. 30-A MRSA §S721-A, suh-§7, as affected by PL 2005, c. 2, Pt. C, §5 and 
amended by c. 12, Pt. WW, § 12 and affected by § § IS and 16, is further amended to read: 
7. Process for exceeding property tax levy limit. A municipality may exceed or 
increase the property tax levy limit only by the following means. 
A. 
If the municipal budget is adopted by town meeting or by referendum, the 
property tax levy limit may be exceeded by the same process that applies to adoption 
of the municipal budget except that the vote to exceed the property tax levy limit 
must be approved by 2/3 of the voters and must be by written ballot on a separate 
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article that specifically identifies the intent to exceed the property tax levy limit. 
B. 
If the municipal budget is adopted by a town councilor city council, the property 
tax levy limit may be exceeded only by a majority 2/3 vote of all the elected members 
of the town councilor city council on a separate article that specifically identifies the 
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intent to exceed the property tax levy limit. Unless a municipal charter otherwise 
provides or prohibits a petition and referendum process, if a written petition, signed 
by at least 10% of the number of voters voting in the last gubernatorial election in the 
municipality, requesting a vote on the question of exceeding the property tax levy 
limit is submitted to the municipal officers within 30 days of the council's vote 
pursuant to this paragraph, the article voted on by the council must be submitted to 
the legal voters in the next regular election or a special election called for that 
purpose. The election must be held within 45 days of the submission of the petition. 
The election must be called, advertised and conducted according to the law relating to 
municipal elections, except that the registrar of voters is not required to prepare or the 
clerk to post a new list of voters and absentee ballots must be prepared and made 
available at least 14 days prior to the date of the referendum. For the purpose of 
registration of voters, the registrar of voters must be in session the secular day 
preceding the election. The voters shall indicate by a cross or check mark placed 
against the word "Yes" or "No" their opinion on the article. The results must be 
declared by the municipal officers and entered upon the municipal records. 
SUMMARY 
This bill provides that the spending caps set in Public Law 2005, chapter 2 may be 
exceeded only by a 2/3 vote. Current law provides that these caps may be exceeded by a 
majority vote.