An Act To Enhance the Redevelopment of the Brunswick Naval Air Station
Maine Legislature, Session 124, LD 1664
Committee Amendment CA_A_S503 (Senate)
Amends: 5 MRSA §13083-S

COMMITTEE AMENDMENT "It" to S.P. 629, L.D. 1664, Bill, "An Act To 
Enhance the Redevelopment of the Brunswick Naval Air Station" 
Amend the bill by inserting after section 8 the following: 
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'Sec. 9. 5 MRSA §13083-S-1 is enacted to read: 
§13083-S-1. Brunswick Naval Air Station Job Increment Financing Fund 
1. Definitions. As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A. "Affiliated business" means one of2 businesses exhibiting either of the following 
relationships: 
(1) One business owns 50% or more of the stock of the other business or owns a 
controlling interest in the other; or 
(2) Fifty percent of the stock of each business or a controlling interest in each 
business is directly or indirectly owned by a common owner or owners. 
B. "Assessor" means the State Tax Assessor. 
C. "Base level of employment" means either the total employment of an employer as 
of the March 31 st, June 30th, September 30th and December 31 st of the calendar year 
immediately preceding the date the employer begins operations at the base area 
divided by 4 or its average employment during the base period, whichever is greater. 
D. "Base period" means the 3 calendar years prior to the year in which an employer 
begins operations at the base area. 
E. "College" means Southern Maine Community College in the Maine Community 
College System. 
F. 
"Commissioner" means the Commissioner of Economic and Community 
Development. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT" It" to S.P. 629, L.D. 1664 
G. "Fund" means the Brunswick Naval Air Station Job Increment Financing Fund 
established pursuant to subsection 2. 
H. "Job tax increment" means that level of state income tax withholding attributed to 
any employees employed within the base area above the base level of employment 
for an employer in the base area or its average employment during the base period. 
"Job tax increment" does not include withholding from employees or positions 
shifted by an employer as calculated generally pursuant to Title 36, chapter 917. The 
shifting restriction must apply to all employers in the base area. 
2. Fund established. The Brunswick Naval Air Station Job Increment Financing 
Fund is established to receive job tax increment transfers from job creation in the base 
area. 
The fund must receive annually from the State the amount calculated under 
subsection 5. 
3. Limitations. The fund is subject to the following limitations. 
A. Subject to the provisions of paragraph E, payments from the fund allocated to the 
authority must be used solely to fund the costs of municipal services, including, but 
not limited to, water, sewer, electricity, telecommunications, fire protection, police 
protection, sanitation services and the maintenance of buildings, facilities, grounds 
and roads in the base area. 
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B. Subject to the provisions of paragraph E, payments allocated to the college must 
be used solely to fund the costs of higher education services, including, but not 
limited to, faculty and staff salaries and instruction, operations, equipment, 
maintenance and financing costs, including, but not limited to, closing costs, issuance 
costs and interest paid to holders of evidences of indebtedness issued to pay for 
project costs and any premium paid over the principal amount of that indebtedness 
because of the redemption of the obligations before maturity. 
C. To the extent that revenues received by the fund are not expended for current 
costs under paragraphs A and B, the fund must retain the revenues to defray future 
costs under those paragraphs. 
D. State income tax withholding eligible for reimbursement to a qualified business 
pursuant to Title 36, chapter 917 or to a qualified pine tree development zone 
business under Title 30-A, chapter 206 is not eligible for use in the calculation of a 
payment to the fund under subsections 4 and 5. State income tax withholding under 
Title 36, chapter 919, or any other tax credit or reimbursement program based on 
state income tax withholding, is not eligible for use in calculation of a payment to the 
fund under subsections 4 and 5. 
E. Payments made to the fund must be allocated as follows: 
(1) For payments transferred to the fund in 2011 and 2012, 100% must be 
allocated to the college; 
(2) For payments made to the fund in 2013, 75% must be allocated to the college 
and 25% must be allocated to the authority; and 
(3) For payments made to the fund in 2014 and after, 50% must be allocated to 
the college and 50% must be allocated to the authority. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT 'A''' to S.P. 629, L.D. 1664 
F. Payments to the fund are not allowed for calendar years beginning on or after 
January 1, 2031. If at least 5,000 net new jobs are created in the base area prior to 
2031, the services funded under paragraphs A and B must be reviewed by the joint 
standing committee of the Legislature having jurisdiction over economic 
development matters in order to determine whether continuance of the fund is 
necessary. 
4. Certification by authority. By February 15th of each year, beginning in 2011, 
the authority shall provide a rep0l1 identifying each employer located at the base area to 
the commissioner. The commissioner shall certify annually to the assessor on or before 
June 30th of each year, beginning in 2011, the following information: 
A. Employment, payroll and state withholding data necessary to calculate the base 
level of employment; 
B. The total number of employees added during the previous year within the base 
area above the base level of employment, including additional associated payroll and 
withholding data necessary to calculate the job tax increment and establish the 
appropriate payment to the fund; 
C. A listing of all employers within the base area that pay withholding taxes, the 
locations of those employers and the nlllnber of employees at each location; 
D. A listing of all affiliated businesses, data regarding current employment, payroll 
and Maine income tax withholding for each affiliated business within the base area; 
and 
E. 
Any information required by the assessor to determine the employment tax 
increment revenues pursuant to Title 36, chapter 917. 
5. Procedure for payment of revenue to the fund. On or before July 15th of each 
year, the assessor shall review the information required by subsection 4 and calculate the 
job tax increment for the preceding calendar year. The assessor shall also calculate the 
employment tax increment in the base area for reimbursement to qualified businesses and 
qualified Pine Tree Development Zone businesses pursuant to Title 36, chapter 917. On 
or before July 15th of each year, the assessor shall certify to the State Controller the total 
remaining job tax increment after reimbursements have been made to qualified businesses 
and qualified Pine Tree Development Zone businesses pursuant to Title 36, chapter 917. 
On or before July 31 st of each year, the State Controller shall transfer 50% of the 
remaining job tax increment to the state job tax increment contingent account established, 
maintained and administered by the State Controller from General Fund undedicated 
revenue within the withholding tax category. On or before July 31st of each year, the 
State Controller shall deposit this revenue into the fund and distribute the payments 
pursuant to subsection 3. 
6. Administration. The Commissioner of Administrative and Financial Services 
shall administer the fund and may adopt rules pursuant to the Maine Administrative 
Procedure Act for implementation of the fund. Rules adopted pursuant to this subsection 
are routine technical rules pursuant to chapter 375, subchapter 2-A.' 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT" A" to S.P. 629, L.D. 1664 
Amend the bill in section 9 in the 2nd line (page 3, line 38 in L.D.) by striking out the 
following: "Advanced Technology and Engineering Center" and inserting the following: 
'Midcoast Campus' 
Amend the bill in section 9 in the last line (page 4, line 2 in L.D.) by striking out the 
following: "Advanced Technology and Engineering Center" and inserting the following: 
'Midcoast Campus' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment establishes the Brunswick Naval Air Station Job Increment 
Financing Fund to receive annually from the State 50% of the increase in Maine income 
tax withholding attributed to employees in the base area over the tax withholding at the 
base level of employment for a business, with payments made to the fund allocated as 
follows: 
l. For payments transferred to the fund in 2011 and 2012, 100% must be allocated to 
Southern Maine Community College for use solely to fund the costs of higher education 
services, including, but not limited to, faculty and staff salaries and instruction, 
operations, equipment, maintenance and financing costs, including, but not limited to, 
closing costs, issuance costs and interest paid to holders of evidences of indebtedness 
issued to pay for project costs and any premium paid over the principal amount of that 
indebtedness because of the redemption of the obligations before maturity; 
2. For payments made to the fund in 2013, 75% must be allocated to the college for 
the uses stated above and 25% must be allocated to the Midcoast Regional 
Redevelopment Authority for use solely to fund the costs of municipal services in the 
base area, including, but not limited to, water, sewer, electricity, telecommunications, fire 
protection, police protection, sanitation services and the maintenance of buildings, 
facilities, grounds and roads; and 
3. For payments made to the fund in 2014 and after, 50% must be allocated to the 
college and 50% must be allocated to the authority. 
The amendment provides that payments to the fund will no longer be made after 
January 1, 2031. It requires that if at least 5,000 net new jobs are created prior to 2031, 
the fund must be reviewed by the joint standing committee of the Legislature having 
jurisdiction over economic development matters in order to determine whether 
continuance of the fund is necessary. The amendment also changes the name of the 
Maine Community College System campus of Southern Maine Community College at 
Brunswick Naval Air Station, the creation of which is proposed in the bill, from the 
Advanced Technology and Engineering Center to the Midcoast Campus. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
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Approved: 03/30/1 0 
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LD 1664 
LR 2421(02) 
An Act To Enhance the Redevelopment of the Brunswick Naval Air Station 
Fiscal Note for Bill as Amended by Committee Amendment "A" 
Committee: Business, Research and Economic Development 
Net Cost (Savings) 
General Fund 
Appropriations/Allocations 
Other Special Revenue Funds 
Revenue 
General Fund 
Other Special Revenue Funds 
Transfers 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
Potential future biennium cost increase - General Fund 
2009-10 
$0 
$0 
$0 
$0 
$0 
2010-11 
$0 
$0 
$0 
$0 
$0 
Projections 
2011-12 
$24,270 
$24,720 
($24,270) 
$24,720 
$0 
Projections 
2012-13 
$101,352 
$101,352 
($101,352) 
$101,352 
$0 
The bill establishes the Brunswick Naval Air Station Job Increment Financing Fund to (1) suppOli local higher 
education programs and costs of the Midcoast Campus of Southern Maine Community College, and (2) support the 
Midcoast Regional Development Authority. The Fund will annually receive from the state 50% of the employment 
tax increment attributed to employees at the base area that is greater than the base level of employment for a business. 
This revenue would otherwise be credited to the General Fund. The reduction in General Fund revenue is estimated to 
be $24,270 in fiscal year 2011-12 and $101,352 in fiscal year 2012-13. 
This legislation provides that in fiscal years 2011-12 and 2012-13 100% of the above amounts be transferred fi'om the 
Fund to the Maine Community College System (MCCS) for higher education services costs associated with 
establishing and operating the Midcoast Campus. In fiscal year 2014 MCCS will receive 75% of the revenue credited 
to the Fund and the Midcoast Regional Development Authority will receive the remaining 25% to fund municipal 
services in the base area, including water, sewer, electricity, telecommunications, fire protection, police protection, 
sanitation services and the maintenance of buildings, facilities, grounds and roads. After that, the two purposes will 
each receive 50% of the Fund revenues until January 1,2031. 
LR2421(02) - Fiscal Note - Page 1 of2 
The Maine Community College System has estimated the first year cost of establishing and operating the Midcoast 
Campus to be approximately $1,277,328 and anticipates revenue from tuition to be $263,835 and rent revenue to be 
$10,000, resulting in net first year costs of$1,003,493. Net costs are projected to be $1,429,291 in the second year of 
operation and $1,272,118 in the third year. Given that funding from the Brunswick Naval Air Station Job Increment 
Financing Fund will not be sufficient to support the estimated costs of establishing and operating the Midcoast 
Campus, MCCS is seeking to identifY and secure alternative sources offunding. The ability of MCCS to secure other 
funding sources, other than General Fund appropriations, to support the operating costs of the Midcoast Campus can 
not be determined at this time. 
The Maine Community College System has also identified approximately $4,800,000 in costs for renovations of 
certain buildings located at the Brunswick Naval Air Station that will be used to house the higher education 
engineering and economic development center. Public Law 2009, chapter 414, An Act To Authorize Bond Issues for 
Ratification by the Voters for the November 2009 and June 2010 Elections, includes a request for $4,750,000 for this 
purpose and will be presented to the voters as part of the June 2010 referendum. If this measure is not approved by 
the voters, additional General Fund appropriations to the Maine Community College System will be required for the 
capital costs associated with establishing the Midcoast Campus. 
Any additional costs to the Bureau of Revenue Services associated with calculating job tax increments and related 
tasks can be absorbed within existing budgeted resources. 
LR2421 (02) - Fiscal Note - Page 2 of 2 
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