An Act To Cut Taxes on Maine Residents by over $140,000,000
Maine Legislature, Session 123, LD 1925
House Amendment HA_I_H628 (House)
Amends: 36 MRSA §5111, 36 MRSA §5111-C

HOUSE AMENDMENT ,::I-" to H.P. 1362, L.D. 1925, Bill, "An Act To Cut Taxes 
on Maine Residents by over $140,000,000" 
Amend the bill by striking out the title and substituting the following: 
II 
'An Act To Cut Taxes on Maine Residents' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 36 MRSA §5111, first~, as amended by PL 1999, c. 731, Pt. T, §l, is 
IS 
further amended to read: 
A tax is imposed for eaek taxable year beginning on or after Janl:laF), 1, 2000, on the 
Maine taxable income of every resident individual of this State. The amount of the tax is 
determined as provided in this section, except that the rates provided in this section for 
tax years beginning on or after January 1, 2008 must be adjusted as provided by section 
Sill-C. 
Sec. 2. 36 MRSA §5111-C is enacted to read: 
§Sl11-C. Reductions in individual income tax rates 
1. Highest rates reduced. For tax years beginning on or after January 1, 2008, the 
8.5% tax rate on the top tax brackets contained in section 5111, subsections I-B, 2-B and 
3-B must be adjusted as follows. 
A. For tax years beginning in 2008 and 2009, the tax rate that was applicable in the 
immediately preceding tax year must be reduced by 1.5%. 
B. 
For a tax year beginning in 2010, the tax rate that was applicable in the 
immediately preceding tax year must be reduced by 1 %. 
C. For a tax year beginning in 2011 or after, the tax rate is 4.5%. 
2. Second-highest rates reduced. For tax years beginning on or after January 1, 
2009, the 7% tax rate on the second-highest tax brackets contained in section 5111, 
subsections I-B, 2-B and 3-B must be adjusted as follows. 
HOUSE AMENDMENT 
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HOUSE AMENDMENT :;J<. to H.P. 1362, L.D. 1925 
A. 
For a tax year beginning in 2009, the tax rate that was applicable In the 
immediately preceding tax year must be reduced by 1.5%. 
B. 
For a tax year beginning in 2010, the tax rate that was applicable In the 
immediately preceding tax year must be reduced by 1%. 
C. For a tax year beginning in 2011 or after, the tax rate is 4.5%. 
3. Forms, instructions and tables. The State Tax Assessor shall incorporate the 
changes arising from this section into the forms, instructions, rate schedules and 
withholding tables for the appropriate tax years. 
Sec. 3. Transfer of funds; Department of Professional and Financial 
Regulation. Notwithstanding any other provision of law, the State Controller shall 
transfer $2,500,000 from various accounts within the Other Special Revenue Funds 
accounts of the Department of Professional and Financial Regulation to the 
unappropriated surplus of the General Fund no later than June 30, 2008. Notwithstanding 
any other provision of law, the State Controller shall transfer $2,500,000 from various 
accounts within the Other Special Revenue Funds accounts of the Department of 
Professional and Financial Regulation to the unappropriated surplus of the General Fund 
no later than June 30, 2009. 
Sec. 4. Transfer of funds; Department of Administrative and Financial 
Services. Notwithstanding any other provision of law, the State Controller shall transfer 
$8,000,000 from the Financial and Personnel Services Fund Internal Service Fund within 
the Department of Administrative and Financial Services to the unappropriated surplus of 
the General Fund no later than June 30, 2008. 
Notwithstanding any other provision of 
law, the State Controller shall transfer $8,000,000 from the Financial and Personnel 
Services Fund Internal Service Fund within the Department of Administrative and 
Financial Services to the unappropriated surplus of the General Fund no later than June 
30,2009. 
Sec. 5. Calculation and transfer; General Fund savings; Department of 
Health and Human Services. Notwithstanding any other provision of law, the State 
Budget Officer shall calculate the amount of departmentwide savings identified in this 
Act in the Department of Health and Human Services related to the privatization of 
contract services that applies to each applicable General Fund account in the department 
and shall transfer the amounts by financial order upon the approval of the Governor. 
These transfers are considered adjustments to appropriations in fiscal year 2007-08 and 
fiscal year 2008-09. 
Sec. 6. Calculation and transfer; General Fund savings; Department of 
Health and Human Services. Notwithstanding any other provision of law, the State 
Budget Officer shall calculate the amount of departmentwide savings identified in this 
Act in the Department of Health and Human Services related to the provision of health 
services that applies to each applicable General Fund account in the department and shall 
transfer the amounts by financial order upon the approval of the Governor. These 
transfers are considered adjustments to appropriations in fiscal year 2007-08 and fiscal 
year 2008-09. 
HOUSE AMENDMENT 
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HOUSE AMENDMENT Y to H.P. 1362, L.D. 1925 
Sec. 7. Calculation and transfer; General Fund savings; Department of 
Economic and Community Development. Notwithstanding any other provision of 
law, the State Budget Officer shall calculate the amount of savings in the Department of 
Economic and Community Development related to the departmentwide savings identified 
in this Act that applies to each applicable General Fund account in the department and 
shall transfer the amounts by financial order upon the approval of the Governor. These 
transfers are considered adjustments to appropriations in fiscal year 2007-08 and fiscal 
year 2008-09. 
Sec. 8. 
Calculation and transfer; General Fund savings; Legislature. 
Notwithstanding any other provision of law, the State Budget Officer shall calculate the 
amount of savings in the Legislature related to the unallocated savings identified in this 
Act that applies to each applicable General Fund line category in the department and shall 
transfer the amounts by financial order upon the approval of the Governor. These 
transfers are considered adjustments to appropriations in fiscal year 2007-08 and fiscal 
year 2008-09. 
Sec. 9. Calculation and transfer; General Fund savings; Department of 
Environmental Protection. Notwithstanding any other provision of law, the State 
Budget Officer shall calculate the amount of savings in the Department of Environmental 
Protection related to the departmentwide savings identified in this Act that applies to each 
applicable General Fund account in the department and shall transfer the amounts by 
financial order upon the approval of the Governor. These transfers are considered 
adjustments to appropriations in fiscal year 2007-08 and fiscal year 2008-09. 
Sec. 10. Calculation and transfer; General Fund savings; Department of 
Education. Notwithstanding any other provision of law, the State Budget Officer shall 
calculate the amount of savings in the Department of Education related to the 
departmentwide savings identified in this Act that applies to each applicable General 
Fund account in the department and shall transfer the amounts by financial order upon the 
approval of the Governor. These transfers are considered adjustments to appropriations in 
fiscal year 2007-08 and fiscal year 2008-09. 
Sec. 11. Calculation and transfer; General Fund savings; Department of 
Administrative and Financial Services. Notwithstanding any other provision of 
law, the State Budget Officer shall calculate the amount of savings in the Department of 
Administrative and Financial Services related to the departmentwide savings in public 
building costs identified in this Act that applies to each applicable General Fund account 
in the department and shall transfer the amounts by financial order upon the approval of 
the Governor. These transfers are considered adjustments to appropriations in fiscal year 
2007-08 and fiscal year 2008-09. 
Sec. 12. Calculation and transfer; General Fund savings; Department of 
Administrative and Financial Services. Notwithstanding any other provision of 
law, the State Budget Officer shall calculate the amount of savings in the Department of 
Administrative and Financial Services related to the departmentwide savings from 
information technology costs identified in this Act that applies to each applicable General 
Fund account in the applicable agency or department and shall transfer the amounts by 
HOUSE AMENDMENT 
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HOUSE AMENDMENT rO H.P. 1362, L.D. 1925 
financial order upon the approval of the Governor. These transfers are considered 
adjustments to appropriations in fiscal year 2007-08 and fiscal year 2008-09. 
Sec. 13. Transfer of funds; Department of Administrative and Financial 
Services. Notwithstanding any other provision of law, the State Controller shall transfer 
$1,300,000 from the Central Fleet Management program of the Department of 
Administrative and Financial Services to the unappropriated surplus of the General Fund 
no later than June 30, 2008. 
Notwithstanding any other provision of law, the State 
Controller shall transfer $1,300,000 from the Central Fleet Management program of the 
Department of Administrative and Financial Services to the unappropriated surplus of the 
General Fund no later than June 30, 2009. 
Sec. 14. Transfer of funds; Department of Administrative and Financial 
Services. Notwithstanding any other provision of law, the State Controller shall transfer 
$25,615,728 from the unappropriated surplus of the General Fund to the Maine Budget 
Stabilization Fund established by the Maine Revised Statutes, Title 5, section 1532 no 
later than June 30, 2008. 
Notwithstanding any other provision of law, the State 
Controller shall transfer $25,615,728 from the unappropriated surplus of the General 
Fund to the Retirement Allowance Fund established by Title 5, section 17251 no later 
than June 30, 2008. Notwithstanding any other provision of law, the State Controller 
shall transfer $12,807,864 from the unappropriated surplus of the Reserve for General 
Fund Operating Capital no later than June 30,2008. 
Sec. 15. Application. This Act applies to tax years beginning on or after January 
1,2008. 
Sec. 16. Appropriations and allocations. The following appropriations and 
allocations are made. 
ADMINISTRATIVE AND FINANCIAL SERVICES,DEPARTMENT OF 
Central Fleet Management 0703 
Initiative: Deallocates funds from Central Fleet Management. 
CENTRAL MOTOR POOL 
Unallocated 
CENTRAL MOTOR POOL TOTAL 
2007-08 
($1,300,000) 
2008-09 
($1,300,000) 
($1,300,000) 
($1,300,000) 
Executive Branch Departments and Independent Agencies - Statewide 0017 
Initiative: Deappropriates funds in the Executive Branch Departments and Independent 
Agencies - Statewide program from anticipated savings in information technology. 
GENERAL FUND 
Unallocated 
2007-08 
($7,000,000) 
HOUSE AMENDMENT 
2008-09 
($7,000,000) 
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HOUSE AMENDMENT 'Y'O H.P. 1362, L.D. 1925 
GENERAL FUND TOTAL 
($7,000,000) 
($7,000,000) 
Executive Branch Departments and Independent Agencies - Statewide 0017 
Initiative: Deappropriates funds in the Executive Branch Departments and Independent 
Agencies - Statewide program from anticipated savings in public buildings. 
GENERAL FUND 
Unallocated 
GENERAL FUND TOTAL 
Financial and Personnel Services - Division of 0713 
2007-08 
2008-09 
($28,000,000) ($28,000,000) 
($28,000,000) ($28,000,000) 
Initiative: Deallocates funds from the Financial and Personnel Services Fund. 
FINANCIAL AND PERSONNEL SERVICES 
2007-08 
2008-09 
FUND 
Unallocated 
($8,000,000) 
($8,000,000) 
FINANCIAL AND PERSONNEL SERVICES FUND 
($8,000,000) 
($8,000,000) 
TOTAL 
ADMINISTRATIVE AND FINANCIAL 
SERVICES, DEPARTMENT OF 
DEPARTMENT TOTALS 
2007-08 
2008-09 
GENERAL FUND 
($35,000,000) 
($35,000,000) 
FINANCIAL AND PERSONNEL SERVICES 
($8,000,000) 
($8,000,000) 
FUND 
CENTRAL MOTOR POOL 
($1,300,000) 
($1,300,000) 
DEPARTMENT TOTAL-ALL FUNDS 
($44,300,000) ($44,300,000) 
ECONOMIC AND COMMUNITY DEVELOPMENT, DEPARTMENT OF 
Departmentwide 0019 
Initiative: Deappropriates funds from departmentwide activities. 
GENERAL FUND 
Unallocated 
2007-08 
2008-09 
($11,000,000) ($11,000,000) 
HOUSE AMENDMENT 
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HOUSE AMENDMENT..y to H.P. 1362, L.D. 1925 
GENERAL FUND TOTAL 
($11,000,000) 
($11,000,000) 
ECONOMIC AND COMMUNITY 
DEVELOPMENT, DEPARTMENT OF 
DEPARTMENT TOTALS 
2007-08 
2008-09 
GENERAL FUND 
($11,000,000) 
($11,000,000) 
DEPARTMENT TOTAL-ALL FUNDS 
($11,000,000) 
($11,000,000) 
EDUCATION, DEPARTMENT OF 
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Learning Systems 0839 
Initiative: 
Deappropriates funds in the Learning Systems program from anticipated 
savings in support and learning programs. 
GENERAL FUND 
Unallocated 
GENERAL FUND TOTAL 
EDUCATION, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENT TOTAL - ALL FUNDS 
2007-08 
($500,000) 
($500,000) 
2007-08 
($500,000) 
($500,000) 
ENVIRONMENTAL PROTECTION, DEPARTMENT OF 
Departmentwide 0019 
Initiative: Deappropriates funds from anticipated savings. 
GENERAL FUND 
2007-08 
Unallocated 
($4,800,000) 
GENERAL FUND TOTAL 
($4,800,000) 
HOUSE AMENDMENT 
2008-09 
($500,000) 
($500,000) 
2008-09 
($500,000) 
($500,000) 
2008-09 
($4,800,000) 
($4,800,000) 
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HOUSE AMENDMENT 7to H.P. 1362, L.D. 1925 
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ENVIRONMENTAL PROTECTION, 
DEPARTMENT OF 
DEPARTMENT TOTALS 
2007-08 
2008-09 
GENERAL FUND 
($4,800,000) 
($4,800,000) 
DEPARTMENT TOTAL-ALL FUNDS 
($4,800,000) 
($4,800,000) 
HEALTH AND HUMAN SERVICES, DEPARTMENT OF (FORMERLY DHS) 
Departmentwide 0640 
Initiative: 
Deappropriates funds in the Departmentwide program from anticipated 
savings resulting from the privatization of contract services. 
GENERAL FUND 
2007-08 
2008-09 
U nail ocated 
($66,000,000) 
($66,000,000) 
GENERAL FUND TOTAL 
($66,000,000) ($66,000,000) 
Departmentwide 0640 
Initiative: 
Deappropriates funds from anticipated savings in the provision of health 
services. 
GENERAL FUND 
2007-08 
2008-09 
Unallocated 
($27,000,000) ($27,000,000) 
GENERAL FUND TOTAL 
($27,000,000) ($27,000,000) 
HEALTH AND HUMAN SERVICES, 
DEPARTMENT OF (FORMERLY DHS) 
DEPARTMENT TOTALS 
2007-08 
2008-09 
GENERAL FUND 
($93,000,000) ($93,000,000) 
DEPARTMENT TOTAL-ALL FUNDS 
($93,000,000) ($93,000,000) 
LEGISLATURE 
Legislature 0081 
HOUSE AMENDMENT 
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HOUSE AMENDMENT ~ 
to H.P. 1362, L.D. 1925 
Initiative: Deappropriates funds from anticipated savings in the Legislature program. 
GENERAL FUND 
Unallocated 
2007-08 
2008-09 
($12,000,000) 
($12,000,000) 
GENERAL FUND TOTAL 
($12,000,000) 
($12,000,000) 
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LEGISLATURE 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENT TOTAL - ALL FUNDS 
SECTION TOTALS 
GENERAL FUND 
FINANCIAL AND PERSONNEL SERVICES 
FUND 
CENTRAL MOTOR POOL 
SECTION TOTAL - ALL FUNDS 
SUMMARY 
2007-08 
2008-09 
($12,000,000) 
($12,000,000) 
($12,000,000) 
($12,000,000) 
2007-08 
2008-09 
($156,300,000) 
($156,300,000) 
($8,000,000) 
($8,000,000) 
($1,300,000) 
($1,300,000) 
($165,600,000) 
($165,600,000) 
This amendment strikes the bill and instead decreases the top 2 income tax rates over 
a 3-year period, beginning with tax year 2008, until both rates are 4.5%. These cuts in 
income tax rates are funded by deappropriations to various state agencies. 
FISCAL NOTE REQUIRED 
(See attached) 
SPONSORED BY: I'~~';z 
(Representative LANSLEY) 
TOWN: Sabattus 
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HOUSE AMENDMENT 
Approved: 06/19/07 frac:.. 
LD 1925 
LR 2657(23) 
An Act To Cut Taxes on Maine Residents by over $140,000,000 
Net Cost (Savings) 
General Fund 
Appropriations! Allocations 
General Fund 
Other Special Revenue Funds 
Revenue 
General Fund 
Other Special Revenue Funds 
Transfers 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
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Fiscal Note for House Amendment ,~" 
Sponsor: Rep. Lansley of Sabattus 
Fiscal Note Required: Yes 
Fiscal Note 
2007-08 
2008-09 
Projections 
2009-10 
Projections 
2010-11 
($32,079,743) 
$31,998,482 
$152,701,857 
$208,326,994 
($157,395,164) ($189,503,556) ($189,730,184) ($190,339,339) 
($8,000,000) 
($8,000,000) 
$0 
$0 
($55,766,271) ($232,002,038) ($342,432,041) ($398,666,333) 
($1,662,083) 
($10,764,225) 
($20,309,131) 
($23,589,817) 
($69,549,150) 
$80,049,150 
$10,500,000 
$0 
$0 
$0 
$0 
$0 
This amendment decreases the General Fund cost of the bill by $32,079,743 in fiscal year 2007-08 and increases the 
cost by $31,998482 in fiscal year 2008-09. This estimate of fiscal impact does not address the programatic aspects of 
the various deappropriations. 
LR2657(23) - Fiscal Note - Page I of I