An Act To Prioritize Funding in the TransCap Trust Fund
Maine Legislature, Session 124, LD 0951
Committee: Transportation
Sponsors: MAZUREK, DIAMOND, BLANCHARD, BROWNE, CAIN, CAREY, HOGAN, TUTTLE, WHEELER

MAINE STATE LEGISLATURE 
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124th MAl E LEGISLATURE 
Legislative Document 
No. 951 
H.P.654 
House of Representatives, March 10, 2009 
An Act To Prioritize Funding in the TransCap Trust Fund 
(EMERGENCY) 
Reference to the Committee on Transportation suggested and ordered printed. 
Presented by Representative MAZUREK of Rockland. 
Cosponsored by Senator DIAMOND of Cumberland and 
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MILLICENT M. MacFARLAND 
Clerk 
Representatives: BLANCHARD of Old Town, BROWNE of Vassalboro, CAIN of Orono, 
CAREY of Lewiston, HARLOW ofPOliland, HOGAN of Old Orchard Beach, TUTTLE of 
Sanford, WHEELER of Kittery. 
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Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, revenue is scheduled to be deposited into the TransCap Trust Fund 
beginning July 1, 2009 for capital improvements to bridges and highways; and 
Whereas, this legislation affects the allocation of that revenue; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, 
lOBe it enacted by the People of the State of Maine as follows: 
Sec. 1. 30-A MRS A §6006-G, sub-§4, as enacted by PL 2007, c. 470, Pt. D, § 1, 
is amended to read: 
4. 
Uses. 
Revenues deposited in the fund from sources enumerated in the 
Constitution of Maine, Article IX, Section 19 may be used or applied only in accordance 
with that provision and subsection 6. Within this limitation, the fund may be used for one 
or more of the following purposes: 
A. To make grants and loans to the Department of Transportation and municipalities 
under this section, except that such bonds may be used only for capital projects that 
have an anticipated useful life of at least 5 years greater than the bond term; 
B. To guarantee or insure, directly or indirectly, the payment of notes or bonds 
issued or to be issued by the State for the purpose of fmancing capital improvements 
that will forward the capital goals set forth in Title 23, section 73, subsection 6; 
C. To guarantee or insure, directly or indirectly, funds established by municipalities 
for the purpose of financing any capital improvements described in Title 23, section 
1803-B; 
D. To invest available fund balances and to credit the net interest income on those 
balances to the fund; 
E. To invest as a source of revenue or security for the payment of principal and 
interest on general or special obligations of the bank if the proceeds of the sale of the 
obligations have been deposited in the fund or loaned to eligible participants in the 
programs financed with the fund or as a source of revenue to subsidize municipal 
loan payment obligations; and 
F. To pay the costs of the bank associated with the administration of the fund and 
projects fmanced by it as long as no more than 2% of the aggregate of the highest 
fund balance in any fiscal year is used for these purposes. 
Sec. 2. 30-A MRS A §6006-G, sub-§6 is enacted to read: 
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6. Allocation of revenue. Revenue deposited in the fund must be allocated between 
expenditures for bridges and highways as set out in this subsection. 
A. At least 20% but no more than 35% must be used for bridge capital improvements 
consistent with the capital goal specified in Title 23, section 73, subsection 6, 
paragraph F. 
B. The balance after the allocations under paragraph A and less the administration 
costs specified in subsection 4, paragraph F must be used for highway capital 
improvements consistent with the capital goals specified in Title 23, section 73, 
subsection 6, paragraphs A to D, in accordance with the following: 
(1) As a first priority, the goals in Title 23, section 73, subsection 6, paragraph A 
must be met; 
(2) As a 2nd priority, the goals in Title 23, section 73, subsection 6, paragraph B 
must be met; 
(3) As a 3rd priority, the goals in Title 23, section 73, subsection 6, paragraph C 
must be met; and 
(4) As a 4th priority, the goals in Title 23, section 73, subsection 6, paragraph D 
must be met. 
The Department of Transportation may recommend alternative allocations of the revenue 
in the fund in its biennial report submitted pursuant to Title 23, section 73, subsection 6. 
Emergency clause. 
In view of the emergency cited in the preamble, this 
legislation takes effect July 1, 2009. 
SUMMARY 
Current law requires, beginning July 1,2009, that 7.5% of the net excise tax imposed 
on internal combustion engine fuel be deposited in the TransCap Trust Fund, the purpose 
of which is to provide financial assistance for the planning, design, acquisition, 
reconstruction and rehabilitation of transportation capital improvements. 
This bill requires that at least 20%, but no more than 35%, of the revenue be allocated 
for capital improvements to bridges and the balance to highways and prioritizes the use of 
the funds for the highway capital improvements.