An Act To Clarify the Use of Tax Increment Financing Funds for Recreational Development
Maine Legislature, Session 125, LD 0533
Committee: Taxation
Sponsors: CLARK, SAVIELLO, CRAY, DAVIS, JOHNSON, KNIGHT, LONG, THERIAULT, GOODALL, PATRICK
Amends: 30-A MRSA §5225

Legislative Document 
No. 533 
H.P. 416 
House of Representatives, February 15, 2011 
An Act To Clarify the Use of Tax Increment Financing Funds for 
Recreational Development 
Reference to the Committee on Taxation suggested and ordered printed pursuant to Joint 
Rule 218. 
HEATHER J.R. PRIEST 
Clerk 
Presented by Representative CLARK of Millinocket. 
Cosponsored by Senator SAVIELLO of Franklin and 
Representatives: CRAY of Palmyra, DAVIS of Sangerville, JOHNSON of Greenville, 
KNIGHT of Livermore Falls, LONG of Sherman, THERIAULT of Madawaska, Senators: 
GOODALL of Sagadahoc, PATRICK of Oxford. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  30-A MRSA §5225, sub-§1, ¶C, as amended by PL 2009, c. 314, §11, is 
further amended to read: 
C.  Costs related to economic development, environmental improvements, 
recreational trails or employment training within the municipality, including, but not 
limited to: 
(1)  Costs of funding economic development programs or events developed by 
the municipality or funding the marketing of the municipality as a business or 
arts location; 
(2)  Costs of funding environmental improvement projects developed by the 
municipality for commercial or arts district use or related to such activities; 
(3)  Funding to establish permanent economic development revolving loan funds 
or investment funds; 
(4)  Costs of services to provide skills development and training for residents of 
the municipality.  These costs may not exceed 20% of the total project costs and 
must be designated as training funds in the development program;  
(5) Quality child care costs, including finance costs and construction, staffing, 
training, certification and accreditation costs related to child care;  
(6)  Costs relating to planning, design, construction, maintenance, grooming and 
improvements to associated with new or existing recreational trails determined by 
the department to have significant potential to promote economic development, 
including, but not limited to, costs for multiple projects and project phases that 
may include planning, design, construction, maintenance, grooming and 
improvements with respect to new or existing recreational trails, which may 
include bridges that are part of the trail corridor, used all or in part for all-terrain 
vehicles, snowmobiles, hiking, bicycling, cross-country skiing or other related 
multiple uses; and 
(7) Costs associated with a new or expanded transit service, limited to: 
(a) Transit service capital costs, including but not limited to:  transit vehicles 
such as buses, ferries, vans, rail conveyances and related equipment; bus 
shelters and other transit-related structures; and benches, signs and other 
transit-related infrastructure; and 
(b) In the case of transit-oriented development districts, ongoing costs of 
adding to an existing transit system or creating a new transit service and 
limited strictly to transit operator salaries, transit vehicle fuel and transit 
vehicle parts replacements; and 
SUMMARY 
This bill amends the laws regarding municipal development districts to clarify that 
once the Department of Economic and Community Development has determined that 
new or existing recreational trails within a municipality have significant potential to 
promote economic development, the project costs for planning, design, construction, 
maintenance, grooming and improvements with respect to the trails, which may include 
bridges that are part of the trail corridor, are authorized for multiple projects or project 
phases related to the trails.