An Act To Dedicate a Percentage ofthe Sales and Use Tax on Motor Vehicles and Motor Vehicle Parts to the Highway Fund
Maine Legislature, Session 125, LD 0052
Committee Amendment CA_A_H694 (House)

COMMITTEE AMENDMENT ,,11 " to H.P. 45, L.D. 52, Bill, "An Act To Dedicate 
a Percentage ofthe Sales and Use Tax on Motor Vehicles and Motor Vehicle Parts to the 
Highway Fund" 
Amend the bill by striking out the title and substituting the following: 
'An Act To Dedicate a Percentage of the Sales and Use Tax on Automobiles and 
Motorcycles to the Highway Fund' 
Amend the bill in section 1 in § 1817 by striking out all of the indented paragraph 
(page 1, lines 4 to 19 in L.D.) and inserting the following: 
'Beginning on July 1, 2013, and every July 1st thereafter, the State Controller shall 
transfer to the Highway Fund an amount, as certified by the State Tax Assessor, that is 
equal to 20% of the revenue from the tax imposed on the sale or use of automobiles, as 
defined in section 1752, subsection l-B, and motorcycles, as defined in Title 29-A, 
section 101, subsection 38, pursuant to section 1811 or 1861 for the first 6 months ofthe 
prior fiscal year after the reduction for the transfer to the Local Government Fund under 
Title 30-A, section 5681, subsection 5. Beginning on October 1, 2013, and every October 
1st thereafter, the State Controller shall transfer to the Highway Fund an amount, as 
certified by the State Tax Assessor, that is equal to 20% of the revenue from the tax 
imposed on the sale or use of automobiles, as defined in section 1752, subsection I-B, 
and motorcycles, as defined in Title 29-A, section 101, subsection 38, pursuant to section 
1811 or 1861 for the last 6 months of the prior fiscal year after the reduction for the 
transfer to the Local Government Fund. The tax amount must be based on actual sales for 
that fiscal year and may not consider any accruals that may be required by law. The 
amount transferred from General Fund sales and use tax revenues does not affect the 
calculation for the transfer to the Local Government Fund. The transfer required by this 
section does not apply to taxes imposed on casual sales pursuant to section 1764.' 
Amend the bill by inserting after section 1 the following: 
'Sec. 2. Appropriations and allocations. The following appropriations and 
allocations are made. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT '{i "to H.P. 45, L.D. 52 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF 
Revenue Services - Bureau of 0002 
Initiative: Provides an appropriation to modify sales tax retum forms and for related 
processing, imaging and report-writing software to capture information needed to 
implement transfers to the Highway Fund. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
SUMMARY 
2011-12 
$0 
$0 
2012-13 
$20,000 
$20,000 
This amendment provides that 20% of the sales or use tax on automobiles and 
motorcycles, rather than on motor vehicles and motor vehicle parts as in the bill, must be 
transferred to the Highway Fund beginning in 2013, rather than in 2012 as in the bill. 
The amendment also adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 01126112 
~ac::.. 
LD52 
LR85(02) 
An Act To Dedicate a Percentage of the Sales and Use Tax on Motor Vehicles and Motor Vehicle Parts 
to the Highway Fund 
Fiscal Note for Bill as Amended by Committee Amendment 'tt" 
Committee: Taxation 
Net Cost (Savings) 
General Fund 
Highway Fund 
Appropriations/Allocations 
General Fund 
Revenue 
General Fund 
Highway Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2011-12 
FY 2012-13 
Projections 
FY 2013-14 
Projections 
FY2014-15 
$0 
$0 
$0 
$0 
$0 
$20,000 
$0 
$20,000 
$27,498,700 
$29,588,700 
($27,498,700) 
($29,588,700) 
$0 
$0 
$0 
($27,498,700) 
($29,588,700) 
$0 
$27,498,700 
$29,588,700 
This legislation proposes to transfer 20% of the sales or use tax on automobiles, motorcycles and the parts of such 
vehicles from the General Fund to the Highway Fund. The first required transfer would be made on July 1, 2013, thus 
having no effect on either General Fund or Highway Fund Revenues through fiscal year 2012-13. After the current 
biennium, this transfer would result in a reduction in General Fund revenue of $27,498,700 in fiscal year 2013-14 and 
$29,588,700 in fiscal year 2014-15, with corresponding increases in Highway Fund revenues. No Highway Fund 
allocations have been included as the legislation does not address how the funds should be spent. 
The bill includes a one-time General Fund appropriation of $20,000 to the Bureau of Revenue Services within the 
Department of Administrative and Financial Services to modify the sales tax return form and make related changes to 
software and imaging processes in fiscal year 2012-13. 
LR0085(02) - Fiscal Note - Page 1 of 1