An Act To Establish Municipal Cost Components for Unorganized Territory Services To Be Rendered in Fiscal Year 2010-1 1
Maine Legislature, Session 124, LD 1807
Committee Amendment CA_A_H758 (House)
Amends: 36 MRSA §1603, 36 MRSA §1606

COMMITTEE AMENDMENT "'A,, to H.P. 1294, L.D. 1807, Bill, "An Act To 
Establish Municipal Cost Components for Unorganized Territory Services To Be 
Rendered in Fiscal Year 2010-1 1" 
Amend the bill by striking out the title and sUbstituting the following: 
'An Act To Establish Municipal Cost Components for Unorganized Territory 
Services To Be Rendered in FiscalYear 2010-11 and To Make Certain Changes in 
the Laws Governing Tax Increment Financing Payments in the Unorganized 
Territories' 
Amend the bill by inserting after the enacting clause the following: 
'PART A' 
Amend the bill in section 1 in the heading "County Reimbursements for Services:" in 
the 5th line (page 1, line 35 in L.D.) by striking out the following: "880" and insel1ing 
the following: '933' and in the last line (page 1, line 42 iil L.D.) by striking out the 
following: "$5,820,971" and inserting the following: '$5,821,024' 
Amend the bill by insel1ing at the end before the emergency clause the following: 
'PARTB 
Sec. B-1. 36 MRSA §1603, as amended by PL 2007, c. 627, §34, is further 
amended to read: 
§1603. Definition of "municipal cost component" 
1. Definition. For the purposes of this chapter, "municipal cost component" means 
the cost of funding services in the Unorganized Territory Tax District that would not be 
borne by the State if the Unorganized Territory Tax District were a municipality, but does 
not include a state cost allocation charge, including, without limitation, reimbursement to 
the General Fund for departmental functions such as accounting, personnel administration 
COMMITTEE AMENDMENT 
t:l' 
~~' 
('. ,,' 
~~~,f 
"" 
COMMITTEE AMENDMENT "A" to H.P. 1294, L.D. 1807 
and supervIsion. 
"Municipal cost component" also includes the cost of funding 
obligations of the unorganized territory under the terms of a tax increment financing 
district approved by the Commissioner of Economic and Community Development pffiw 
to July 1, 2008 pursuant to Title 30-A, chapter 206. The "municipal cost component" 
includes, but is not limited to: 
A. The cost of education, as would be determined by the Essential Programs and 
Services Funding Act if the unorganized territory were a municipality; 
B. The cost of services the state funds in the unorganized territory that are funded 
10caIly by a mlinicipality; the cost of forest fire protection to be included in the cost 
component must be determined in accordance with Title 12, section 9205-A and 
coIlected in the same manner as other portions of the municipal cost component; 
C. The cost of reimbursement by the State for services a county provides to the 
unorganized territory in accordance with Title 30-A, chapter 305. A county may not 
be reimbursed for services provided on or after January 1, 1979, unless a legislative 
aIlocation is obtained pursuant to this chapter. If a county receives, in addition to its 
budget, funds that are desigilated by the Legislature for a specific purpose and the 
county does not spend those funds for that specific purpose in that fiscal year, then 
the reimbursement under this chapter to that county for the next fiscal year must be 
reduced by an amount equal to the amount of funds so designated that were not 
expended for that specific purpose; and 
D. The cost for payments that the unorganized territory is required to make pursuant 
to the terms of a tax increment financing district approved by the Commissioner of 
Economic and Community Developrrient pursuant to Title 30-A, chapter 206 prior to 
July 1, 2008 with respect to taxable property in the Unorganized Territory Tax 
District. 
Sec. B-2. 36 MRSA §1606, sub-§2, as enacted by PL 2007, c. 627, §35, is 
amended to read: 
2. Tax increment financing payments. With respect to a tax increment financing 
district located in the unorganized territory and approved by the Commissioner of 
Economic and Community Development pursuant to Title 30-A, chapter 206 prior to July 
1, 2008, the Treasurer of State must deposit into the development program fund 
established by a county for the tax increment financing district pursuant to Title 30-A, 
section 5227, subsection 3 the tax increment revenues on the captured assessed value, as 
that term is defined in Title 30-A, section 5222. The payment must be made on or before 
October 15th following the date of assessment or within 30 days after the taxes 
constituting the tax increment are paid, whichever is later. The amount of the assessment 
is appropriated for the purposes of this subsection.' 
Amend the bill by relettering or renumbering any nonconsecutive Pmt letter or 
section number to read consecutively. 
SUMMARY 
This amendment corrects a mathematical error. In addition, the amendment removes 
the date that limited tax increment financing payments in the unorganized territories to 
COMMI 
'EE AMENDMENT 
\. 
') 
) 
:; 
'r' 
; , 
;f"~ 
~ ~q,~~~ 
, .. ,1""<'"' 
q\ 
'. 
...... 
COMMITTEE AMENDMENT ,A " 
to H.P. 1294, L.D. 1807 
tax increment financing districts approved by the Commissioner of Economic and 
Community Development prior to July 1, 2008. 
FISCAL ~OTE REQLlRED 
(See attach~d) 
COMMITTEE AMENDMENT 
Approved: 03121110 frac.. 
LD 1807 
LR 2626(02) 
An Act To Establish Municipal Cost Components for Unorganized Territory Services To Be Rendered 
in Fiscal Year 201 0-11 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment 'A" 
Committee: Taxation 
Fiscal Note Required: Yes 
Fiscal Note 
No net fiscal impact 
The amounts in the bill for the state costs included in the municipal cost components are based on budgeted 
/l 
" r 
) 
expenditures for fiscal year 2010-11. These costs are incorporated into the tax assessment for the unorganized 
') 
territory, which is collected as dedicated revenue to the Unorganized Territory Education and Services Fund.' 
Transfers are then made to the other dedicated accounts for certain expenditures related to the Unorganized Territory 
and to the General Fund to reimburse for actual General Fund expenditures included in the municipal cost 
components. This bill will not affect budgeted General Fund revenue or appropriations. 
) 
LR2626(02) - Fiscal Note - Page I of I