An Act To
Maine Legislature, Session 123, LD 2281
Committee Amendment CA_A_H815 (House)
Amends: 20-A MRSA §1, 20-A MRSA §1479, 20-A MRSA §1485, 20-A MRSA §1486, 20-A MRSA §1502, 20-A MRSA §1506, 20-A MRSA §2307, 20-A MRSA §2603, 20-A MRSA §15680, 20-A MRSA §15681-A, 20-A MRSA §15691-A, 20-A MRSA §15696

COMMITTEE AMENDMENT "A" to H.P. 1646, L.D. 2281, Bill, "An Act To 
Amend the Laws Governing the Reorganization of School Administrative Units" 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 20-A MRSA §1, sub-§26, as amended by PL 2007, c. 240, Pt. XXXX, 
§5, is further amended to read: 
26. 
School administrative unit. 
"School administrative unit" means the state-
approved unit of school administration and includes a municipal school unit, school 
administrative district, community school district, regional school unit or any other 
municipal or quasi-municipal corporation responsible for operating or constructing public 
schools, except that it does not include a career and technical education region. 
Beginning July I, 2009 2010, "school administrative unit" means the state-approved unit 
of school administration and includes only a municipal school unit and a regional school 
unit formed pursuant to chapter 103-A. 
Sec. 2. 20-A MRSA §1479, sub-§3, as enacted by PL 2007, c. 240, Pt. XXXX, 
§ 13, is amended to read: 
3. Expiration of contract. After July I, ~ 
2010, if a contract between a previous 
education unit and another previous education unit or a private school approved for 
tuition purposes expires, and the previous education unit that was the sending unit is a 
member of a regional school unit under this chapter, the provisions of this subsection 
apply. 
A. If the option of attending a public school in another school administrative unit or 
a private school approved for tuition purposes subject to chapter 219 was available to 
students in the previous education unit, that option continues to be available to 
students who reside in the municipalities that composed the previous education unit 
after the municipality's inclusion in the regional school unit. 
B. The regional school unit may negotiate the contract pursuant to chapter 115. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ~" •• H.P. I .... L.D. 2281 
Sec. 3. 20-A MRS A §1483, as enacted by PL 2007, c. 240, Pt. XXXX, § 13, is 
amended to read: 
§1483. Regional school unit budget; budget formats 
1. Content. Beginning with the budget for the 200820092009-2010 school year, a 
regional school unit shall include in its budget document: 
A. 
The regional school unit's total cost of funding public education from 
kindergarten to grade 12, its non-state-funded debt service, if any, and any additional 
expenditures authorized by law; 
B. A summary of anticipated revenues and estimated school expenditures for the 
fiscal year; and 
II 
C. The following statement, including the estimated doIlar amount of state retirement 
payments: "This budget does not include the estimated amount of $ ....... in employer 
share of teacher retirement costs that is paid directly by the State." 
Sec. 4. 20-A MRS A §1484, as enacted by PL 2007, c. 240, Pt. XXXX, §13, is 
amended to read: 
§1484. Checklist required 
Beginning with the budget for the 2008 2009 2009-2010 school year, prior to a vote 
on articles dealing with regional school unit appropriations, the moderator of a regular or 
special regional school unit budget meeting shall require the clerk or secretary of the 
regional school unit board to make a checklist of the registered voters present. The 
number of voters listed on the checklist is conclusive evidence of the number present at 
the meeting. 
Sec. 5. 20-A MRSA §1485, first " as enacted by PL 2007, c. 240, Pt. XXXX, 
§ 13, is amended to read: 
After January 31, ~ 
2009, the format of the annual budget of a regional school 
unit must be in accordance with this section. 
Sec. 6. 20-A MRSA §1485, sub-§l, ~, as enacted by PL 2007, c. 240, Pt. 
XXXX, §13, is amended to read: 
F. 
For fiscal year 2008092009-10, data documenting state and local savings from 
the reorganization to regional school units and the resulting mill rate reduction for 
each municipality. 
Sec. 7. 20-A MRSA §1486, first " as enacted by PL 2007, c. 240, Pt. XXXX, 
§ 13, is amended to read: 
After January 31, ~ 
2009, the procedure for approval of the annual budget of a 
regional school unit must be in accordance with this section and section 1485. 
Sec. 8. 20-A MRSA §1502, sub-§2, ,A, as enacted by PL 2007, c. 240, Pt. 
XXXX, § 13, is amended to read: 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ~ 
" to H.P. 1646, L.D. 2281 
I 
A. On or after July I, ~ 
I 0, when a referendum is called for the purpose of 
authorizing the issuance of bonds or notes for capital outlay purposes, the articles 
must be substantially as set out in this paragraph. 
(1) "Do you favor authorizing the board of directors of (name of regional school 
unit) to issue bonds or notes in the name of this regional school unit for school 
construction purposes in an amount not to exceed $.......... to construct a 
....................................................... (elementary or secondary school) to be located 
at.. ....................... (specifically defined lot where school is to be erected)? 
Yes No" 
(2) "Do you favor authorizing the board of directors of (name of regional school 
II 
unit) to issue bonds or notes in the name of this regional school unit for school 
construction or minor capital projects in an amount not to exceed $ .......... for the 
purpose of ........ ............. ........ .......... ........ ...... (purpose of school construction 
project)? 
Yes No" 
(3) "Do you favor authorizing the board of directors of (name of regional school 
unit) to use the bond issue or notes in an amount not to exceed $ ......... , which was 
voted by the regional school unit on ................... (date), to construct a 
........................... 
(elementary 
or 
secondary 
school) to 
be 
located 
at 
............................................................................... (specifically defined lot where 
school is to be located)? 
Yes No" 
(4) "Do you favor authorizing the board of directors of (name of regional school 
unit) to construct a .......................................................... (elementary or secondary 
school) to be located at ................................................................... (specifically 
defined lot where school is to be located) with the total project cost not to exceed 
$ ......... and to issue bonds or notes in the name of this regional school unit for 
school construction purposes in an amount not to exceed $ ......... with the balance 
of 
the 
total 
project 
costs 
to 
be 
derived 
from 
..................................................................... (description of other sources of funds 
such as initial state share when approved for current fiscal year funding, proceeds 
from insured losses, money from federal sources, other noneducational funds, 
etc.) '1 
Yes No" 
Sec. 9. 20-A MRS A §1502, sub-§2, ~C, as enacted by PL 2007, c. 240, Pt. 
XXXX, §13, is amended to read: 
C. 
On or after July 1, ~ 
I 0, when a referendum is called for the purpose of 
authorizing the regional school unit board to contract for the schooling of secondary 
pupils, the article must be as set out in this paragraph. 
(1) "Do you favor authorizing the board of directors of (name of regional school 
unit) to contract in the name of this regional school unit with (name of regional 
school unit or private school) for the schooling of secondary pupils for a term of 
.................... years? 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. A 
.. to H.P. 1646, L.D. 2281 
Yes No" 
Sec. 10. 20-A MRSA §1502, sub-§2, ~, as enacted by PL 2007, c. 240, Pt. 
XXXX, § 13, is amended to read: 
D. On or after July I, ;w()8 20 10, when a referendum is called for the purpose of 
accepting or rejecting a prospective gift, the article must be as set out in this 
paragraph. 
(1) "Do you favor authorizing the board of directors of (name of regional school 
unit) 
to 
accept 
a 
prospective 
gift 
under 
the 
following 
conditions? 
.................................. (terms and conditions). 
Yes No" 
II 
Sec. 11. 20-A MRSA §1506, sub-§l, ~A, as enacted by PL 2007, c. 240, Pt. 
XXXX, § 13, is amended to read: 
A. "Existing debt" means any bond, note, loan agreement, lease-purchase agreement 
or other debt instrument issued prior to July 1,;w()8 2010 for the purposes of fund ing 
public schools, or for refinancing such debt, that remains outstanding at the time of a 
reorganization pursuant to this chapter. 
"Existing debt" does not include routine 
payables or commercial contract obligations. 
Sec. 12. 20-A MRSA §1506, sub-§4, as enacted by PL 2007, c. 240, Pt. XXXX, 
§ 13, is amended to read: 
4. Debt of original education units. After July 1, 200S 2010, for each original 
education unit with existing debt that has reorganized into a new unit, if the new unit has 
not agreed to assume liability to pay that existing debt, the regional school unit board 
shall serve as agent for purposes of that existing debt and has full authority to: 
A. Sue and be sued in the name of the original education unit with respect to the 
existing debt; 
B. Determine the debt service due each fiscal year on any existing debt; 
C. 
As applicable, allocate to each member of the original education unit the 
member's share of the annual debt service for the existing debt of the original 
education unit in addition to each member's share of costs of the new unit; 
D. 
Collect the allocation for debt service on the existing debt from the original 
education unit or, as applicable, from each member of the original education unit in 
addition to each member's share of costs of the new unit; 
E. Pay the debt service on the existing debt of the original education unit when due; 
and 
F. Take all other actions necessary and proper with respect to the existing debt. 
Allocations between members of the original education unit to pay the debt service for 
the existing debt must be made on the basis of the cost-sharing formula of the original 
education unit in effect on July I, ~ 
2009, as applied to the year of allocation. In the 
case of state-subsidized debt service, the provisions of subsection 3 apply. Amounts to 
pay the debt service on the existing debt of the original education units must be included 
in the budget that the regional school unit board of a new unit submits for approval. If 
COMMITTEE AMENDMENT 
'j' 
1 
COMMITTEE AMENDMENT .. ~ 
.. t. H.P. I .... Ln. 2281 
the original education unit is divided between different new units that have not agreed to 
assume liability to pay the existing debt, the commissioner shall require that the 
reorganization plan of one of those new units provide for that new unit to serve as agent 
for purposes of the existing debt of the original education unit. That new unit, as agent, 
has the authority provided by this subsection, except that the new unit shall notify the 
other new units containing members of the original education unit of the amounts they 
must assess and collect from their members who were members of the original education 
unit, and those other new units shall perform the functions in subsection 4, paragraphs C 
and 0 with respect to their members, and shall pay the appropriate amounts over to the 
new unit serving as agent. 
Sec. 13. 20-A MRSA §2307, as enacted by PL 2007, c. 240, Pt. XXXX, §21, is 
amended to read: 
§2307. School budgets 
Notwithstanding any other law, municipal school budgets developed after January 1, 
~ 
2009 must follow the same school budget requirements as regional school units 
pursuant to chapter 103-A. 
Sec. 14. 20-A MRSA §2603, as enacted by PL 2007, c. 240, Pt. XXXX, §22, is 
amended to read: 
§2603. Collaborative agreements between previous education units 
A collaborative agreement between 2 or more previous education units may remain in 
effect after July 1, ~ 
2010. 
Notwithstanding any other provision of law to the 
contrary, collaborative agreements in existence on the effective date of this section may 
be extended or modified by the parties to the collaborative agreement. 
Sec. 15. 20-A MRS A §15671-A, sub-§2, ~, as amended by PL 2007, c. 240, 
Pt. XXXX, §24, is further amended to read: 
B. For property tax years beginning on or after April 1, 2005, the commissioner shall 
calculate the full-value education mill rate that is required to raise the statewide total 
local share. The full-value education mill rate is calculated for each fiscal year by 
dividing the applicable statewide total local share by the applicable statewide 
valuation. The full-value education mill rate must decline over the period from fiscal 
year 2005-06 to fiscal year 2008-09 and may not exceed 9.0 mills in fiscal year 2005-
and may not exceed 8.0 mills in fiscal year 2008-09. The full-value education mill 
rate must be applied according to section 15688, subsection 3-A, paragraph A to 
determine a municipality's local cost share expectation. Full-value education mill 
rates must be derived according to the following schedule. 
(I) For the 2005 property tax year, the full-value education mill rate is the 
amount necessary to result in a 47.4% statewide total local share in fiscal year 
2005-06. 
(2) For the 2006 property tax year, the full-value education mill rate is the 
amount necessary to result in a 46.14% statewide total local share in fiscal year 
2006-07. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" A" to H.P. 1646, L.D. 2281 
(3) For the 2007 property tax year, the full-value education miIl rate is the 
amount necessary to result in a 45.56% statewide total local share in fiscal year 
2007-08. 
(4) Except as provided in subparagraph (6), for the 2008 property tax year and 
subsequent tax years, the full-value education mill rate is the amount necessary to 
result in a 45.0% statewide total local share in fiscal year 2008-09 and after. 
(6) For school administrative units that do not conform to the requirements of 
chapter 103-A for the ;wQ.9 2010 property tax year, the full-value education mill 
rate is the amount necessary to result in a 46.14% statewide total local share in 
0 
fiscal year 2009 10 2010-11 and after. 
Sec. 16. 20-A MRSA §15680, sub-§I, ~A, as amended by PL 2007, c. 240, Pt. 
XXXX, §25, is further amended to read: 
A. System administration. The per-pupil amount for "system administration" is the 
actual system administration expenditures, as defined in the State's accounting 
handbook for local school systems, for the most recent year available excluding 
expenditures for leases and the purchase of land and buildings, less revenues to 
system administration for services to other governments and refunds from a statewide 
school management association, divided by the average October and April enrollment 
counts for that fiscal year and then inflated to an estimated allocation year level by a 
10-year average increase in the Consumer Price Index or other comparable index. 
Beginning in school year 2008 2009 2009-2010, this per-pupil amount must be based 
on school year 2005-2006 system administration expenditures then reduced by 50% 
and inflated to an estimated allocation year level by a 10-year average increase in the 
Consumer Price Index or other comparable index; 
Sec. 17. 20-A MRS A §15680, sub-§I, ~, as amended by PL 2007, c. 240, Pt. 
XXXX, §26, is further amended to read: 
B. Operation and maintenance of plant. The per-pupil amount for "operation and 
maintenance of plant" is the actual operation and maintenance of plant expenditures, 
as defined in the State's accounting handbook for local school systems, for the most 
recent year available excluding expenditures for leases and the purchase of land and 
buildings, divided by the average October and April enrollment counts for that fiscal 
year and then inflated to an estimated allocation year level by a 10-year average 
increase in the Consumer Price Index or other comparable index. For school year 
2008 2009 2009-2010, the resulting per-pupil amount must be reduced by 5%; 
Sec. 18. 20-A MRSA §15681-A, sub-§2-A, as enacted by PL 2007, c. 240, Pt. 
XXXX, §27, is amended to read: 
2-A. Reduction for fiscal year 2009-10. For fiscal year 200809 2009-10, the 
commissioner shall reduce by 5% the allocation for special education costs as described 
in subsection 2. These calculated special education costs for school administrative units 
for fiscal year 2008 09 2009-10 are subject to the appeals procedure described in 
subsection 2. 
COMMITTEE AMENDMENT 
COMMITIEE AMENDMENT" A" to H.P. 1646, L.D. 2281 
I 
Sec. 19. 20-A MRSA §15681-A, sub-§3-A, as enacted by PL 2007, c. 240, Pt. 
XXXX, §28, is amended to read: 
3-A. Reduction for fiscal year 2009-10. For fiscal year 2008 09 2009-10, the 
commissioner shall reduce by 5% the allocation for transportation costs as described in 
subsection 3. These calculated transportation costs for school administrative units for 
fiscal year 2008 09 2009-10 are subject to the appeals procedure described in subsection 
3. 
Sec. 20. 20-A MRSA §15691-A, first ~, as enacted by PL 2007, c. 240, Pt. 
XXXX, §32, is amended to read: 
Beginning with the 2008 2009 2009-20 I 0 school year, this section applies to 
II 
municipal assessments paid to a regional school unit. 
Sec. 21. 20-A MRSA §15696, as enacted by PL 2007, c. 240, Pt. XXXX, §33, is 
amended to read: 
§15696. Penalties for nonconforming school administrative units 
1. Authorized adjustments. Notwithstanding any other provision of this Title, the 
following adjustments to the calculation of subsidy under chapter 606-B are required 
beginning July 1, ~ 
2010 for a school administrative unit that is not a conforming 
school administrative unit: 
A. The school administrative unit is eligible for only 50% of the minimum state 
allocation under Title 20-A, section 15689, subsection I; 
B. The school administrative unit's total cost of education is reduced by adjusting the 
cost component for system administration under section 15680, subsection 1, 
paragraph A by half; 
C. The school administrative unit is not eligible for a transition adjustment under 
section 15686 or any comparable year-over-year transition amount; and 
D. The school administrative unit receives less favorable consideration for approval 
and funding for school construction pursuant to rules of the state board. 
Sec. 22. PL 2007, c. 240, Pt. XXXX, §36, sub-§8 is amended to read: 
8. 
Referendum on reorganization plan. 
The municipal officers of each 
municipality in a proposed reorganized school administrative unit shall place a warrant 
article substantially as follows on the ballot of a municipal referendum conducted in 
accordance with the referendum procedures applicable to the school administrative unit 
of which the municipality is a member. A referendum must be held on or before January 
15, 2008 for a reorganization plan that was submitted by December IS, 2007 and that the 
Commissioner of Education found meets the requirements of this Part. A referendum 
must be held on June 10, 2008 June 9, 2009 for any plan received or revised after 
December IS, 2007 and subsequently found by the Commissioner of Education to meet 
the requirements of this Part. 
"Article: 
Do you favor approving the school administrative reorganization plan 
prepared by the (insert name) Reorganization Planning Committee to reorganize 
COMMITTEE AMENDMENT 
" 
COMMITTEE AMENDMENT ,,11 " to H.P. 1646, L.D. 2281 
(insert names of affected school administrative units) into a regional school unit, with 
an effective date of 
? 
YeslNo" 
The following statement must accompany the article: 
"Explanation: 
A "YES" vote means that you approve of the (municipality or school administrative 
unit) joining the proposed regional school unit, which will be provided with the 
following incentives: 
More favorable consideration in approval and funding of school construction 
projects; and 
Eligibility for additional financial support for reorganization costs. 
A "NO" vote means that you do not approve of the (municipality or school 
administrative unit) joining a regional school unit, which will result in the existing 
(municipality or school administrative unit) receiving the following penalties: 
Less favorable consideration in approval and funding of school construction 
projects; and 
A reduction in state funding of education costs in an amount estimated to be 
$ 
for school year 200_ and $ 
for school year 200_, with the 
possibility of ongoing penalties for continued failure to join an approved regional 
school unit. 
Reductions in state education funding will likely result in an 
increased mill rate expectation to meet the local share of education costs." 
The Department of Education shall pay the cost of a referendum conducted before or on 
January 15, ~ 
2009. 
Sec. 23. PL 2007, c. 240, Pt. XXXX, §36, sub-§ll is amended to read: 
11. Result of disapproval at January 2008 referendum. A school administrative 
unit that rejects a proposed reorganization plan at the January 15, 2008 referendum or at a 
subsequent referendum on or before November 4, 200& November 3, 2009 may restart 
the process to form a regional school unit with the same or other school administrative 
units and may seek assistance from the Department of Education to prepare another 
reorganization plan. 
A. 
Subsequent reorganization plans must meet the same requirements as for 
reorganization plans filed prior to the January 2008 referendum, except that the 
timelines are adjusted to reflect a July 1, 2{)().9 2010 reorganization date. 
B. 
The penalties set forth in Title 20-A, section 15696 apply to any school 
administrative unit that fails to approve a reorganization plan on or before November 
4,20083,2009 and to implement that plan by July 1, 2{)().9 2010. 
Sec. 24. PL 2007, c. 240, Pt. XXXX, §36, sub-§12 is amended to read: 
12. Reformulation of SAD as RSU. 
Not later than December 1, ~ 
2009, the 
Commissioner of Education shall notify any school administrative district that has not 
COMMITTEE AMENDMENT 
COMM 'TT£[ AMENDMENT ~ 
" to H.P. , ..... L.D. 228' 
I 
voted to form a regional school unit on or before November 4, 2008 November 3, 2009 
that the school administrative district must be recreated as a regional school unit under 
Title 20-A, chapter !03-A, effective July I, ~ 
2010. 
Notwithstanding any other 
provision of law, a school administrative district may be changed to a regional school unit 
upon notice to the State Board of Education without dissolving the school administrative 
district. 
Sec. 25. PL 2007, c. 240, Pt. XXXX, §38 is amended to read: 
Sec. XXXX-38. 
Notification of allocation of funding to school 
administrative units. Notwithstanding the Maine Revised Statutes, Title 20-A, section 
15689-8, subsection 2, paragraph A, the notice by the Commissioner of Education to 
school boards of the estimated amount of state funds to be allocated to the school· 
administrative unit for school years 2008 2009 2009-2010 and 2009 2010 2010-20 II 
must be provided not later than March 31 st. 
Sec. 26. PL 2007, c. 240, Pt. XXXX, §39 is amended to read: 
Sec. XXXX-39. Adjustment for regional school unit start-up costs. The 
Commissioner of Education shall establish an adjustment for the fiscal year 2008 09 
2010-11 to support the start-up costs associated with the reorganization of school 
administrative units to regional school units in accordance with the Maine Revised 
Statutes, Title 20-A, chapter 103-A. 
Sec. 27. PL 2007, c. 240, Pt. XXXX, §41 is amended to read: 
Sec. XXXX-41. Transfer of property and assets; regional school units 
approved prior to January 16, 2010. This section applies to a regional school unit 
that is approved prior to January 16, 2{}Q& 20 I O. 
1. 
Board of directors. The directors of the board of each regional school unit 
established in the Maine Revised Statutes, Title 20-A, chapter 103-A shall determine 
what school property of the municipalities in existence prior to July 1, 2{}Q& 2010 and of 
the school administrative units in existence prior to July 1, 2{}Q& 2010 in their regions is 
necessary to carry out the functions of the regional school unit and shall request in 
writing that the board of each such school administrative unit or the municipal officers 
transfer title of their school property and buildings to the regional school unit board of 
directors. 
2. Transfer. The municipal officers and boards contacted pursuant to subsection 1 
may make the transfer of property and assets notwithstanding any other provision in the 
charter of the school administrative unit or municipality. 
3. Financing assumed debts. A regional school unit shall assume the outstanding 
indebtedness of a school administrative unit in existence prior to July 1, 20(}8 2010 for 
school construction projects approved for subsidy under Title 20-A, chapter 609 and 
pursuant to section 1506. If a regional school unit board of directors has assumed the 
outstanding indebtedness of a school administrative unit in existence prior to July 1, 2{}Q& 
2010 the directors of the regional school unit board may, notwithstanding any other 
statute or any provision of any trust agreement, use any sinking fund or other money set 
aside by the school administrative unit in existence prior to July 1, ~ 
2010 to payoff 
the indebtedness for which the money was dedicated. A regional school unit board of 
COMMITTEE AMENDMENT 
.\ 
COMMITTEE AMENDMENT'~ " to H.P. 1646, L.D. 2281 
directors is not required to assume the outstanding indebtedness of a school 
administrative unit in existence prior to July 1, ~ 
2010 in its regional school unit for 
nonstate funded projects pursuant to Title 20-A, section 15905-A and pursuant to section 
1481. 
Sec.28. PL 2007, c. 240, Pt. XXXX, §42 is amended to read: 
Sec. XXXX-42. Transfer of property and assets; regional school units 
approved after January 15, 2010. This section applies to a regional school unit that 
is approved after January 15,2008 and before November 5,20083,2009. 
1. Board of directors. The directors of the board of each regional school unit 
established in the Maine Revised Statutes, Title 20-A, chapter 103-A shall determine 
what school property of the municipalities in existence prior to July 1, 2()()9 2010 and of 
the school administrative units in existence prior to July 1, ~ 
2010 in their regions is 
necessary to carry out the functions of the regional school unit and shall request in 
writing that the board of each such school administrative unit or the municipal officers 
transfer title of their school property and buildings to the regional school unit board of 
directors. 
2. Transfer. The municipal officers and boards contacted pursuant to subsection 1 
may make the transfer of property and assets notwithstanding any other provision in the 
charter of the school administrative unit or municipality. 
3. Financing assumed debts. A regional school unit shall assume the outstanding 
indebtedness of a school administrative unit in existence prior to July 1, ~ 
2010 for 
school construction projects approved for subsidy under Title 20-A, chapter 609 and 
pursuant to section 1506. If a regional school unit board of directors has assumed the 
outstanding indebtedness of a school administrative unit in existence prior to July 1, ~ 
2010 the directors of the regional school unit board may, notwithstanding any other 
statute or any provision of any trust agreement, use any sinking fund or other money set 
aside by the school administrative unit in existence prior to July 1, ~ 
2010 to payoff 
the indebtedness for which the money was dedicated. A regional school unit board of 
directors is not required to assume the outstanding indebtedness of a school 
administrative unit in existence prior to July 1, ~ 
2010 in its regional school unit for 
nonstate funded projects pursuant to Title 20-A, section 15905-A and pursuant to section 
1481. 
Sec.29. PL 2007, c. 240, Pt. XXXX, §43 is amended to read: 
Sec. XXXX-43. Operational date and transfer of authority. 
1. Operational date. A regional school unit board of directors becomes operational 
on the date set by the State Board of Education as provided in the Maine Revised 
Statutes, Title 20-A, chapter 103-A. 
2. Transfer of governing authority; regional school units approved prior to 
January 16, 2010. This subsection applies to regional school units approved prior to 
January 16, WQ.8. 2010. 
The regional school unit board of directors, on the date 
established in subsection I, shall assume responsibility for the management and control 
of the public schools and programs within the school administrative units in existence 
prior to July 1, ~ 
2010 that are within the regional school unit. 
Those school 
Page lO-123LR3491(02)-1 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT'~ " to H.P. 1646, L.D. 2281 
I 
administrative units in existence prior to July 1, ~ 
2010, on the date established in 
subsection 1, have no further responsibility for the operation or control of the public 
schools and programs within the school administrative unit except those pursuant to 
section 1481. 
3. 
Transfer of governing authority; regional school units approved after 
January 15, 2010. 
This subsection applies to regional school units approved after 
January 15, ~ 
2010 and before November 5, 2008 3, 2009. The regional school unit 
board of directors, on the date established in subsection 1, shall assume responsibility for 
the management and control of the public schools and programs within the school 
administrative units in existence prior to July 1, 2{)@. 2010 that are within the regional 
school unit. Those school administrative units in existence prior to July 1, ~ 
2010, on 
the date established in subsection 1, have no further responsibility for the operation or 
control of the public schools and programs within the school administrative unit except 
those pursuant to section 1481. 
4. Transfer of school accounts. Notwithstanding Title 20-A, section 15004 or any 
charter of a municipal school unit, school administrative district or community school 
district, the balance remaining in the school accounts of the former municipal school unit, 
school administrative district or community school district within the regional school unit 
must be paid to the treasurer of the regional school unit and verified through the annual 
audit process pursuant to Title 20-A, chapter 221, subchapter 2. The balance from each of 
the former municipal school unit, school administrative district or community school 
district must be used to reduce that unit's or district's local contribution to the regional 
school unit. 
Payment may be made in equal monthly installments during the 
implementation year. 
5. Transfer of teachers and employees. Except as limited by paragraph A, for 
regional school units approved prior to January 16, ~ 
2010, all teachers and school 
employees who are employed by a participating school administrative unit on June 30, 
~ 
2010 must be transferred to and employed by the regional school unit as of July 1, 
~ 
2010. Except as limited by paragraph A, for regional school units approved after 
January 15, ~ 
2009 and before November 5, 2008 3, 2009, all teachers and school 
employees who are employed by participating school administrative units on June 30, 
2{)@. 2010 must be transferred and employed by the regional school unit as of July 1, 
2{)@. 20 I O. Except as limited by paragraph B, the regional school unit shall assume all of 
the legal obligations and duties that the participating school administrative units owed to 
their employees, including but not limited to those obligations and duties arising under 
federal law, state law, collective bargaining agreements and individual employment 
contracts. It is the intent of this Part to neither decrease nor increase the rights and 
benefits of transferred employees or the employer. The regional school unit shall also 
maintain and honor any agreements, contracts or policies regarding the rights and benefits 
of retirees and former employees created by a participating school administrative unit that 
is dissolved as a result of its inclusion within a regional school unit. 
A. For regional school units approved prior to January 16, ~ 
2010, teachers or 
other employees whose employment terminates by application of law or contract or 
by action of a participating school administrative unit before July 1, ~ 
2010 may 
not be transferred. For regional school units approved after January 15, ~ 
2010 
and before November 5, ;wo.& 2010, teachers or other employees whose employment 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A" to H.P. 1646, L.D. 2281 
terminates by application of law or contract or by action of a participating school 
administrative unit before July 1, W()9 2010 may not be transferred. 
B. Teachers and other employees who are transferred to the regional school unit 
prior to the completion of the applicable probationary period for their position have 
the length of their probationary period calculated from the date of their most recent 
date of employment by the participating school administrative unit. 
6. Collective bargaining. The following provisions apply: 
A. On July 1, ;w()8 2010 for regional school units approved prior to January 16, ~ 
2010 and on July 1, ;wQ9 2010 for regional school units approved after January 15, 
;w()8 2010 aRd before November 5, 2008, the regional school unit board of directors 
shall assume all of the obligations, duties, liabilities and rights of the participating 
school administrative units 
for all purposes under Title 26, chapter 9-A. 
The 
regional school unit is considered a single employer. Notwithstanding any other 
provision oflaw, the responsibilities of the regional school unit include: 
(1) 
Continued recognition of all bargaining agents that represented any 
bargaining units of employees who were employed by a participating school 
administrative unit, pending completion of merger proceedings described in this 
section; 
(2) 
Assumption and continued observance of all collective bargaining 
agreements between such bargaining agents and a participating school 
administrative unit, which agreements continue in effect for the remainder of 
their unexpired term unless the bargaining agent and regional school unit 
mutually agree otherwise; and 
(3) 
Collective bargaining for an initial or successor collective bargaining 
agreement in any bargaining unit in which a collective bargaining agreement is 
not in effect on the operational date and for any interim agreement that may be 
required to align expiration dates in a regional school unit-wide bargaining unit, 
as described in this subsection. 
B. As early as possible but no later than August 31, 2O-l+ 2012 for regional school 
units approved prior to January 15, ;wo.g 2010 and no later than August 31, ~ 
2013 for regional school units approved after January 15, ;w()8 2010 and before 
November 2, ;w()8 2010, all bargaining units must be structured on a regional school 
unit-wide basis. Bargaining units that existed in 
the participating school 
administrative units shall merge in accordance with the procedures and criteria in this 
section. Merger into regional school unit-wide bargaining units is not subject to 
approval or disapproval of employees. 
(1) Merger into regional school unit-wide bargaining units must be completed 
according to the schedule contained in this subsection, and no later than the latest 
expiration date of any collective bargaining agreement that was in effect on the 
operational date, which covered any employees in the merged unit. 
(2) There must be one unit of teachers and, to the extent they are currently 
included in bargaining units, other certified professional employees, excluding 
principals and other administrators. 
COMMITTEE AMENDMENT 
I 
II 
IS 
COMMITTEE AMENDMENT'P " to H.P. 1646, L.D. 2281 
(3) Any additional bargaining units in a regional school unit must be structured 
as follows: 
(a) 
In the initial establishment of such units, units must be structured 
primarily on the basis of the existing pattern of organization, maintaining the 
grouping of employee classifications into bargaining units that existed prior 
to the creation of the regional school unit and avoiding conflicts among 
different bargaining agents to the extent possible. 
(b) In the event of a dispute regarding the classifications to be included 
within a regional school unit-wide bargaining unit, the current bargaining 
agent or agents or the regional school unit may petition the Maine Labor 
Relations Board to determine the appropriate unit in accordance with this 
section and Title 26, section 966, subsections 1 and 2. 
( 4) When there is the same bargaining agent in all bargaining units that will be 
merged into a regional school unit-wide bargaining unit, the units must be 
merged as of the operational date, and the regional school unit shall recognize the 
bargaining agent as the representative of the merged unit. 
(5) When all bargaining units that will be merged into a regional school unit-
wide bargaining unit are represented by separate local affiliates of the same state 
labor organization, the units must be merged as of the operational date. The 
identity of the single affiliate that will be designated the bargaining agent for the 
merged unit must be selected by the existing bargaining agents and the state labor 
organization. Upon completion of the merger and designation of the bargaining 
agent and notification by the state organization to the regional school unit, the 
regional school unit shall recognize the designated bargaining agent as the 
representative of employees in the merged unit. If necessary, the parties will then 
execute a written amendment to any collective bargaining agreement then in 
effect to change the name of the bargaining agent to reflect the merger. 
(6) Where there are bargaining units that will be merged into a regional school 
unit-wide bargaining unit in which there are employees who are not represented 
by any bargaining agent and other employees who are represented either by the 
same bargaining agent or separate local affiliates of the same state labor 
organization, the units must be merged as of the operational date as long as a 
majority of employees who compose the merged unit were represented by the 
bargaining agent prior to the merger. The procedures for merger of separate local 
affiliates of the same state labor organization described in subparagraph (5) must 
be followed if applicable. If prior to the merger a bargaining agent did not 
represent a majority of employees who compose the merged unit, a bargaining 
agent election must be conducted by the Maine Labor Relations Board pursuant 
to subparagraph (8). 
(7) When there are unexpired collective bargaining agreements with different 
expiration dates in the merged bargaining units described in subparagraphs (4), 
(5) and (6), all contracts must be honored to their expiration dates unless 
mutually agreed to otherwise by the public employer and the bargaining agent. 
Collective bargaining agreements must be bargained on an interim basis in any 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. IJ " 
to H.P. 1646, L.D. 2281 
merged bargaining unit so that all collective bargaining agreements expire on the 
same date. 
(8) When bargaining units with different bargaining agents must be merged into 
a single regional school unit-wide bargaining unit pursuant to this subsection, the 
bargaining agent of the merged bargaining unit must be selected in accordance 
with Title 26, section 967, except as modified in this subparagraph. 
(a) A petition for an election to determine the bargaining agent must be filed 
with the Maine Labor Relations Board by any of the current bargaining 
agents or the regional school unit. 
(b) The petition must be filed not more than 90 days prior to the expiration 
II 
date of the agreement having the latest expiration date among the bargaining 
units that will be merged into the regional school unit-wide bargaining unit. 
(c) The election ballot may contain only the names of the bargaining agents 
of bargaining units that will be merged into the regional school unit-wide 
bargaining unit and the choice of "no representative," but no other choices. 
No showing of interest is required from any such bargaining agent other than 
its current status as representative. 
(d) The obligation to bargain with existing bargaining agents continues from 
the operational date until the determination of the bargaining agent of the 
regional school unit-wide bargaining unit under this subsection; but in no 
event may any collective bargaining agreement that is executed after the 
operational date extend beyond the expiration date of the agreement having 
the latest expiration date among the bargaining units that will be merged into 
the regional school unit-wide bargaining unit that was in effect on the 
operational date. 
(e) The Maine Labor Relations Board shall expedite to the extent practicable 
all petitions for determination of the bargaining agent in the regional school 
unit-wide bargaining unit filed pursuant to this subsection. 
(t) The bargaining units must be merged into a regional school unit-wide 
bargaining unit as of the date of certification of the results of the election by 
the Maine Labor Relations Board, or the expiration of the collective 
bargaining agreements in the unit, whichever occurs later. 
C. After the merger of bargaining units into a regional school unit-wide bargaining 
unit, the bargaining agent of a regional school unit-wide bargaining unit and the 
regional school unit shall engage in collective bargaining for a collective bargaining 
agreement for the regional school unit-wide bargaining unit. In the collective 
bargaining agreement for each regional school unit-wide bargaining unit, the 
employment relations, policies, practices, salary schedules, hours and working 
conditions throughout the regional school unit must be made uniform and consistent 
as soon as practicable. 
(1) In the event that the parties are unable to agree upon an initial regional school 
unit-wide collective bargaining agreement, they must use the dispute resolution 
procedures pursuant to Title 26, section 965 to resolve their differences. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "~ " to H.P. 1646, L.D. 2281 
7. Superintendent contracts. The contracts between the superintendents and school 
administrative units within the regional school unit are transferred to the regional school 
unit board of directors. The regional school unit board of directors shall detennine the 
superintendents' duties within the regional school unit. 
Sec. 30. PL 2007, c. 240, Pt. XXXX, §45, sub-§5 is amended to read: 
5. No later than December 15, 2,00& 2009, the department shall submit a report that 
includes its findings and recommendations, including suggested legislation, for 
presentation to the joint standing committee of the Legislature having jurisdiction over 
education matters. In its proposed implementing language, the department may include 
proposals to repeal, modify, redesign, effectively coordinate or delay the implementation 
of any of the listed mandates, as may be appropriate. Following receipt and review of the 
report, the joint standing committee of the Legislature having jurisdiction over education 
matters may report out a bill to the FifSt Second Regular Session of the 124th Legislature. 
Sec.31. PL 2007, c. 240, Pt. XXXX, §46 is amended to read: 
Sec. XXXX-46. Report; validation referendum review. The Department of 
Education shall conduct a review of the results of the validation referendums conducted 
for the approval of the 2008 2009, 2009-2010 aOO, 20 10-20 II and 2011-2012 school 
budgets. In conducting its review, the department shall: 
1. Collect and analyze the results of the referendums from school administrative 
units; 
2. Determine the number of school budgets that were approved by the voters with the 
initial referendum; 
3. Determine the number of school budgets that were not approved by the voters 
with the initial referendum; 
4. For those school budgets that were not approved by the voters with the initial 
referendum, determine the number of referendums that were required to be held in order 
to obtain voter approval and the number of school budgets that exceeded the maximum 
state and local spending target; 
5. Collect and analyze other infonnation regarding the validation referendum process 
as deemed pertinent by the department; and 
6. Report its findings and recommendations, including suggested legislation, to the 
joint standing committee of the Legislature having jurisdiction over education matters by 
December 15, 2{)-l-O 2011. 
In its recommendations, the department shall include 
proposals to extend, modify or repeal the current validation referendum process. 
Following receipt and review of the report, the joint standing committee of the 
Legislature having jurisdiction over education matters shall report out a bill to the FifSt 
current validation referendum process. 
Sec.32. PL 2007, c. 240, Pt. XXXX, §47 is amended to read: 
Sec. XXXX-47. Reports; additional necessary implementing legislation. 
No later than January 31, 2008, the Commissioner of Education shall submit to the Joint 
COMMITTEE AMENDMENT 
1 
COMMITTEE AMENDMENT"~ " 10 H.P. 1646, L.D. 2281 
Standing Committee on Education and Cultural Affairs an initial report that contains 
recommendations and any proposed legislation necessary to fully implement this Part 
including legislation to convert school administrative districts and community school 
districts to the regional school unit form of governance on July 1, ~ 
2010. Following 
receipt and review of the initial report, the Joint Standing Committee on Education joint 
standing committee of the Legislature having jurisdiction over education matters may 
submit legislation to the Second First Regular Session of the ~ 
I 24th Legislature. No 
later than January 31, ~ 
I 0, the Commissioner of Education shall submit to the joint 
standing committee of the Legislature having jurisdiction over education matters a final 
report that contains recommendations and any proposed legislation necessary to fully 
implement this Part including proposed legislation to repeal the laws governing school 
administrative districts and community school districts. Following receipt and review of 
the final report, the joint standing committee of the Legislature having jurisdiction over 
education matters may submit legislation to the Ji:H:st Second Regular Session of the 124th 
Legislature. 
Sec. 33. PL 2007, c. 240, Pt. XXXX, §48 is amended to read: 
Sec. XXXX-48. Rulemaking for efficient, high-performing districts. The 
Commissioner of Education shall adopt major substantive rules, as defined in the Maine 
Revised Statutes, Title 5, chapter 375, subchapter 2-A, to establish criteria for the 
identification of efficient, high-performing school districts beginning with the 2008 2009 
2009-20 10 school year. In establishing the criteria, the commissioner must be guided by 
the criteria used by the Maine Education Policy Research Institute in its 2007 report "The 
Identification of Higher and Lower Performing Maine Schools" and establish an 
efficiency factor for per-pupil expenditures for system administration. The commissioner 
shall provisionally adopt the rules and submit them to the Joint Standing Committee on 
Education and Cultural Affairs joint standing committee of the Legislature having 
jurisdiction over education and cultural affairs no later than December I, ~ 
2008. 
Sec. 34. Appropriations and allocations. The following appropriations and 
allocations are made. 
EDUCATION, DEPARTMENT OF 
General Purpose Aid for Local Schools 0308 
Initiative: Appropriates funds in fiscal year 2008-09 that were deappropriated in Public 
Law 2007, chapter 240 to reflect the one year delay ofthe savings that were anticipated to 
be achieved as a result of the reorganization of school administrative units into regional 
school units. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
2007-08 
$0 
$0 
COMMITTEE AMENDMENT 
2008-09 
$36,518,661 
$36,518,661 
COMMITTEE AMENDMENT·ft " to H.P. 1646, L.D. 2281 
SUMMARY 
This amendment is a minority report of the Joint Standing Committee on Education 
and Cultural Affairs. The amendment strikes and replaces the bill reported out by the 
committee pursuant to Public Law 2007, chapter 240, Part XXXX, section 47. 
The 
amendment delays the deadlines for implementation of the school district reorganization 
laws by one year, from July 1,2009 to July 1, 2010. The amendment delays the penalties 
for noncompliance with the school district reorganization laws to be consistent with the 
July 1, 2010 deadline for implementation. The amendment also delays the following 
reductions from fiscal year 2008-09 to 2009-10: 
1. 
The 50% reduction in state allocations for per-pupil system administration 
expenditures; 
2. The 5% reduction in state allocations for per-pupil operation and maintenance of 
plant expenditures; 
3. The 5% reduction in state allocations for special education costs; and 
4. The 5% reduction in state allocations for transportation costs. 
The amendment also adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 03124/08 
~ac.. 
LD 2281 
LR 3491(02) 
An Act To Amend the Laws Governing the Reorganization of School Administrative Units 
Fiscal Note for Bill as Amended by Committee Amendment .. 4 " 
Committee: Education and Cultural Affairs 
Net Cost (Savings) 
General Fund 
Appropriations/Allocations 
General Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
2007-08 
2008-09 
$0 
$36,518,661 
$0 
$36,518,661 
Projections 
2009-10 
$0 
$0 
Projections 
2010-11 
$0 
$0 
This bill includes a General Fund appropriation of $36,518,661 in fiscal year 2008-09 to the General Purpose Aid for 
Local Schools program within the Department of Education as a result of delaying the reductions included in Public 
Law 2007, chapter 240, Part XXXX to be applied to funding for system administration by 50% and for transportation, 
building and maintenance and special education by 5% until fiscal year 2009-10. 
LR3491(02) - Fiscal Note - Page 1 of 1