An Act To Compensate Maine Residents for the Impacts of High- . voltage Transmission Lines
Maine Legislature, Session 124, LD 1427
Committee: Taxation
Sponsors: MARTIN, SHERMAN, CONNOR, MILLER, ROTUNDO, BOWMAN, GERZOFSKY, NUTTING

MAINE STATE LEGISLATURE 
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124th MAl E LEGISLATURE 
Legislative Document 
No. 1427 
H.P. 1003 
House ofRepresentitives, Apri17, 2009 
An Act To Compensate Maine Residents for the Impacts of High- . 
voltage Transmission Lines 
(EMERGENCY) 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative MARTIN of Eagle Lake. 
Cosponsored by Senator SHERMAN of Aroostook and 
7J1d~ /h. 1ll1LC~{ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: CONNOR of Kennebunk, HINCK ofPOliland, MILLER of Somerville, 
ROTUNDO of Lewiston, Senators: BOWMAN of York, GERZOFSKY of Cumberland, 
NUTTING of Androscoggin. 
Printt:t.l 0.11 rt.'L.:)'ch:d p:lpt.:r 
Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, transmission lines capable of transmitting electricity at voltages of 100 
kilovolts or'greater may cause harm to Maine's scenic beauty and neighborhood quality of 
I ife; and 
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Whereas, such transmission lines cause harm to propelty values and tax revenues of 
municipalities; and 
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Whereas, the existence of such transmission lines imposes financial costs on Maine 
electricity ratepayers; and 
Whereas, such transmission lines may cause harm to the health of Maine residents; 
and 
Whereas, in the judgment of the Legislatui'e, 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. 
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therefore, 
Be it enacted by the People of the State of Maine as follows: 
PART A 
Sec. A-I. 36 MRS A §459 is enacted to read: 
§459. State tax on high-voltage electric transmission property 
L Definitions. As used in this section, unless the context otherwise indicates, the 
following terms have the following-meanings. 
A. "High-voltage electric transmission propelty" means property of any kind used in 
the transmission of electricity at a voltage of 1 00 kilovolts or ITIOre, including, 
without limitation, -land, easelnents, leasehold interests, poles, towers, foundations, 
structures, wires, transformatio'n equipment insulators, breakers, switches, meters 
and other fixtures. "High-voltage electric transmission propelty" does not include 
transformation equipment and other propelty used solely to reduce the voltage of 
electricity from a voltage of 100 kilovolts or more to a voltage of less than 100 
kilovolts. 
2. Tax imposed. A tax is imposed on high-voltage electric transmission property at 
the rate of 10 mills multiplied by the just value of the property. Just-value and ownership 
of the property must be determined as of the April 1 st preceding the assessment. In 
determining the just vallie, the State Tax Assessor shall consider the operating income 
generated by the high-voltage electric transmission property. 
3. Returns to State Tax Assessor. Each person owning or leasing high-voltage 
electric transmission property that on the first day of April in any year is situated, whether 
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permanently or temporarily, within this State shall, on or before the 20th day of April in 
that year, return to the State Tax Assessor a complete list of such property on a form.to be 
furnished by the State Tax Assessor. 
4. 
Assessment and procedure. 
The State Tax Assessor shall assess the tax 
specified in subsection 2 on high-voltage electric transmission property owned or leased 
by any person. The tax on high-voltage electric transmission property must be assessed 
and paid in accordance with this subsection. 
A. The State Tax Assessor shall make the assessment by May 30th of each year. 
B. The tax assessment must be paid no later than the August 15th following the date 
of assessment. 
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5. Collection. Taxes assessed ulider this section by the State Tax Assessor must be 
enforced as generally provided by this Title. 
6. Local propel'tv taxation. High-voltage electric transmission propelty subject to 
taxation under this section continues to be subject to ordinary local propelty taxation. 
The tax imposed by this section is in addition to ordinalY local propelty taxation. 
7. Contributions; M'aine Transmission Mitigation Fund. The State Tax Assessor 
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shall determine annually the total amount of tax revenue collected under this section. The 
State Tax Assessor shall deduct the cost of administering this section from those revenues 
and repOlt the remainder to the Treasurer of State, who shall credit .that amount to the 
Maine TransmIssion Mitigation Trust Fund established in Title 35-A, section 3603. 
Sec. A-2. Application. This Part applies to high-voltage electriC transmission 
property in use on or after April 1, 2009. 
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PARTB 
Sec. B-1. 35-A MRSA c. 36 is enacted to read: 
CHAPTER 36 
MITIGATION OF IMPACT OF TRANSMISSION LINES 
§3601. Definitions 
As used in this chapter, unless the context otherwise indicates, the following terms 
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have the following meanings. 
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Customer. 
"Customer" means a customer of the State's transmission and 
d istri bution uti I ities. 
2. Transmission line tax~ "Transmission line' tax" means the tax imposed on high-
voltai.!:e electric tl'ansmission propelt\ pursuant to Title 36. section 459. 
3. Trust .. "Trust" means the Maine Transmission Mitigation Trust established 111 
section 3602. 
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4. Trust fund. "Trust fund" means the Maine Transmission Mitigation Trust Fund 
, established in section 3603.' 
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5. Trustee. "Trustee" means a trustee ofthe trust. 
§3602. Maine Transmission Mitigation Trust established 
1. 
Trust established; purpose. 
The Maine Transmission Mitigation Trust 'is 
established, effective July 1, 2009. The trustmav receive and shall deposit in the trust 
fund and expend in accordance with this section revenue resulting from the transmission 
line tax. 
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2. Trustees. The commission shall appoint 3 trustees to the trust. 
A .. A trustee serves a 3-vear term. If a trustee is tillable to cOll1plete the term. the 
commission shall appoint a replacement for the remainder,of that trustee's unexpired 
term. A trustee may serve a maximum of 2 consecutive terms. , 
B. A trustee has a fiduciary duty ~o} the customers in the administration of the trust 
fund. Upon accepting appoinooent as a tmstee, e'ach trustee must acknowledge the 
fiduciary duty to use the mOliley in the trust fund only for the purposes set forth LI~ this 
chapter. 
C. Each trustee shall ensure that the goals and objectives ofthe trust are achieved. 
3. Protect:ion of trust. The trustees may take legal action in the name of the trust to 
oppose efforts to reduce, impair, postpone or terminate the amount of revenues arising 
from the transmission line tax. 
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4. Rulemaking. The trustees shall adopt rules for establishing and administering the 
trust, the trust fund and its programs. ,These rules must include provisions for the 
expenditure of funds. including. but not limited to. the development of pi'ogram budgets, 
criteria for selection of municipal projects placing electric utility infrastructure 
underground aild the process for project selection and approval. Rules adopted pursuant 
to this subsection are major substantive rules pursuant to Title 5, chapter 375, siJbchapter 
'2-A. 
§3603. Maine Transmission Mitigation Trust Fund established 
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1. Trust fund established; purpose. The Maine Transmission Mitigation Trust 
Fund is established effective July 1; 2009 to support the goal of mitigating the impact of 
transmission lines on this State. The trust fund is establishedasa nonlapsing fund 
administered by the trust for the purposes established in this chapter. The trust fund may 
not be used for any other purpose, and money in the trust fund is considered to be held in 
trust for the purposes, of benefiting customers. 
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2. Revenue source; investment. Any revenue received from the transmission line 
tax is the property of the 'trust and must be deposited in the trust fund. Money' in the trust 
fund not needed to meet the purposes of this chapter must be deposited with the Treasurer 
of State to the credit of the trust fund and may be invested by the Treasurer of State as 
provided by law. Interest on these investments must be credited to the trust fund. The 
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, State may ilOt assess any indirect charges on any revenue received from the transmission 
line tax pursuant to this section. 
3. 
Administration of trust fund; expenditures. 
The trust fund must be 
administered in accordance with this subsection. 
A. On Januarv I st of each 'lear, the trustees shall distribute 20% ofthe trust fund, lip 
to $10.000,000. to municipalities that have submitted winning bids seeking funding 
for projects to place electric utility infrastructure underground. 
Any remaining 
Illoney in the trust fund must be distributed to each customer in .proportion to that· 
. customer's purchases of electricity transmitted over the State's transmission and 
,distribution utilities during the immediately priOi' calendar year. 
B. A maximum 0[5% of trust fund receipts in anyone year may be used for the total 
administrative costs of the trust. 
4. Trust fund inviolability. The State pledges to. contracts with and agrees with the 
trustees and the customers that. for the proceeds of the transmission line tax neither the 
State nor any of its agencies, including the commission, may limit, alter, amend, reduce 
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or impair the trust, its funds or any rights under the trust or ownership of the trust or 
security interest in the trust. 
The State acknowledges that such owners, holders and 
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trustees may and will rely on this pledge, contract and agreement and that any such 
limitation, alteration, amendment, reduction or irnpainnent without adequate provision 
will irreparably harm those owners, holders and trustees. 
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Emergency clause.. 
In view of the emergency cited in the preamble, this 
legislation takes effect July 1,2009. 
SUMMARY 
This bill imposes a state excise tax on certain high-voltage electric transmission 
property atthe rate of 10 mills multiplied by the just value of that property. This bill also 
creates the Maine Transmission Mitigation Trust, which manages the Maine 
Transmission Mitigatioil Trust Fund, also created in this bill. 
The revenue' from the 
excise tax is deposited in the Mairte Transmission Mitigation Trust Fund. 
Annual 
distributions from the fund of 20% of the trust fund, up to $10,000,000 annually, are 
made to muriicipalities that submit winning bids for electricity infrastructure projects 
placing transmission lines underground. 
The remainder of the Maine Transmission 
Mitigation Trust Fund must be paid t6 Maine electricity ratepayers in proportion to each 
customer's purchases of electricity transmitted over the State's transmission and 
distribution utilities.