An Act To Create the Presque Isle Utilities District
Maine Legislature, Session 126, LD 1293
Committee: Energy, Utilities and Technology
Sponsors: WILLETTE, SAUCIER, SHERMAN

Legislative Document 
No. 1293 
H.P. 920 
House of Representatives, April 2, 2013 
An Act To Create the Presque Isle Utilities District 
Reference to the Committee on Energy, Utilities and Technology suggested and ordered 
printed. 
MILLICENT M. MacFARLAND 
Clerk 
Presented by Representative WILLETTE of Mapleton. 
Cosponsored by Representative SAUCIER of Presque Isle, Senator SHERMAN of Aroostook. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  Territorial limits and corporate name and purposes.  The 
inhabitants and territory of the City of Presque Isle constitute a quasi-municipal 
corporation under the name of the Presque Isle Utilities District, referred to in this Act as 
"the utilities district," for the purpose of supplying the inhabitants of the utilities district 
with potable water for domestic, commercial, sanitary and municipal purposes and for the 
purpose of providing in the utilities district a system of public sewerage and drainage for 
the comfort, convenience and health of the inhabitants of the utilities district. 
Sec. 2.  Powers of the Presque Isle Utilities District.  The utilities district is 
authorized to take, hold, divert, use and distribute water from any source within the 
territory of the utilities district, including the Presque Isle Stream in the Town of 
Mapleton, the Town of Chapman and Township 10, Range 3.  The utilities district is also 
authorized, for the purposes of its incorporation, to locate, construct and maintain pipes, 
dams, wells, reservoirs, pumping stations, treatment plants and other necessary structures 
and equipment and to do all things necessary to furnish water, sewerage and drainage for 
those purposes and for the public health, safety, comfort and convenience of the 
inhabitants of the utilities district.  
Sec. 3.  Authorized to lay mains, pipes, conduits and other water 
conveyances through public ways and across private lands.  The utilities district 
is authorized to lay, maintain, repair and replace pipes, mains and other fixtures and 
appurtenances in, along and through the streets, roads, ways, highways, bridges, lakes, 
ponds, rivers and water courses and in, along and through the private lands of any person 
or corporation within the utilities district.  When the utilities district lays, maintains, 
repairs or replaces pipes, mains and any fixtures or appurtenances in any street, road, way 
or highway, it shall do so with as little obstruction as practicable to public travel and shall 
at its own expense and without unnecessary delay replace in proper condition the earth 
and pavement removed by it.  
The utilities district is authorized to lay, maintain, repair and replace pipes, mains and 
other fixtures and appurtenances to or into any drain or sewer now or hereafter built that 
empties into rivers, watercourses or treatment works, the discharge to be at such point or 
points consistent with the requirements of public health and as convenient and reasonable 
for the utilities district and the flow of existing watercourses. 
1.  Sewer extensions.  Sewer extensions are governed by the Maine Revised Statutes, 
Title 38, section 1252, subsection 7. 
2.  Abutting owners have right to enter.  The utilities district shall permit the 
owners of premises abutting upon its lines of pipes and conduits to enter the same with all 
proper sewerage and to connect the same for potable water, if the owners of such 
premises conform to the rules and regulations of the utilities district and pay the 
established rates, tolls, rents and other lawful charges. 
3.  Inspection of sewers.  The officers or agents of the utilities district must have free 
access to all premises served by its sewers at all reasonable hours for inspection of 
plumbing and sewage fixtures to ascertain the quality and quantity of sewage discharged 
and the manner of discharge and to enforce the rules and regulations of the utilities 
district. 
4.  Injury to the property of the utilities district.  Any person who places, 
discharges or leaves any offensive or injurious matter or material on or in the conduits, 
manholes or receptacles of the utilities district contrary to its regulations or who 
knowingly injures any conduit, pipe, manhole, pump or other property held, owned or 
used by the utilities district is liable to pay twice the amount of the damages to the 
utilities district, to be recovered in any proper action. 
Sec. 4.  Authority to acquire property; right of eminent domain 
conferred; procedures in exercising eminent domain.  The utilities district is 
authorized and empowered to acquire and hold real and personal property necessary or 
convenient for its purposes.  The utilities district is granted the right of eminent domain as 
specified in the Maine Revised Statutes, Title 38, section 1152 with respect to its sewer 
functions and is granted the right of eminent domain as specified in Title 35-A, section 
6408 with respect to its water functions. 
1.  Procedure as to the exercise of right of eminent domain for sewer.  With 
respect to the sewer functions of the utilities district, the procedures for the exercise of 
eminent domain must conform to Title 38, sections 1152-A, 1153 and 1154.  
2.  Procedure as to the exercise of right of eminent domain for water.  With 
respect to the water functions of the utilities district, the procedures for the exercise of 
eminent domain must conform to Title 35-A, section 6409. 
Except as otherwise provided by law, the utilities district may not take by right of 
eminent domain any property or facilities of any other public utility used or acquired for 
future use in the performance of a public duty. 
Sec. 5.  Procedure if public utility must be crossed.  If the utilities district, in 
constructing, maintaining or replacing any of its facilities, must cross any property of 
another public utility, the utilities district must obtain the consent of the other public 
utility and undertake the work in accordance with conditions established by agreement.  
If, within 30 days after requesting consent, the utilities district fails to reach an agreement 
with the public utility, the district may petition the Public Utilities Commission to 
determine the time, place and manner of the crossing. All work must be done under the 
supervision and to the satisfaction of the public utility or as prescribed by the 
commission.  All work must be done at the expense of the utilities district. 
Sec. 6.  Trustees, appointment; tenure of office; vacancies; first meeting 
and organization of board; annual report; transition provisions.  All the affairs 
of the utilities district are managed by a board of 7 trustees who must be residents of the 
City of Presque Isle and who are appointed by the city council of the City of Presque Isle, 
but no member of the city council may, during the term for which the member is elected, 
be appointed as a trustee of the utilities district.  The trustees hold office for terms of 3 
years and until their respective successors are appointed and qualified, except that the 
trustees in office for the Presque Isle Sewer District and Presque Isle Water District when 
this Act becomes effective serve as the first trustees of the utilities district. 
As soon as convenient after this Act becomes effective, the trustees shall meet and 
elect from among their members a president and clerk, adopt a corporate seal and elect a 
treasurer, who may or may not be a trustee, and any other officers and agents as needed, 
who with the treasurer serve at the pleasure of the trustees.  The treasurer shall furnish a 
bond in the sum and with sureties approved by the trustees.  The utilities district shall pay 
the cost of the bond.  Members of the board of trustees may hold any office under the 
board, but may not receive any compensation, except as trustees, unless authorized by 
vote of the city council of the City of Presque Isle.  The compensation of the trustees is 
$500 per annum, unless otherwise provided by vote of the city council.  Whenever a 
vacancy occurs in the office of president, clerk or treasurer it must promptly filled by the 
trustees. 
Whenever the term of office of a trustee expires, the city council of the City of 
Presque Isle shall appoint a successor to serve the full term of 3 years.  If any other 
vacancy arises from any cause it must be filled in like manner for the unexpired term.  All 
trustees are eligible for reappointment.  Trustees must be sworn to the faithful 
performance of their duties by the clerk of the City of Presque Isle.  When any trustee 
ceases to be a resident of the City of Presque Isle, that trustee vacates the office of trustee.  
The trustees may adopt and establish bylaws consistent with the laws of the State and 
necessary for the convenience and the proper management of the affairs of the utilities 
district and perform other acts within the powers delegated by law to the trustees.  The 
trustees shall publish an annual financial report. 
1.  Transition provisions; annual meeting.   The terms of office of the 6 existing 
trustees of the Presque Isle Sewer District and the Presque Isle Water District change as 
follows: the terms of office of the 2 trustees whose terms expire in 2014 instead expire in 
2013; the terms of office of the 2 trustees whose terms expire in 2015 instead expire at 
the end of the 2013-14 municipal fiscal year; and the terms of office of the 2 trustees 
whose terms expire in 2016 instead expire at the end of the 2014-15 municipal fiscal year.  
The term of office of the new trustee added by this Act, who will be appointed by the city 
council of the City of Presque Isle, expires at the end of the 2015-16 municipal fiscal 
year. 
Within one month after each annual appointment, the trustees of the utilities district 
shall meet for the purpose of electing a president, clerk and treasurer from among them to 
serve for the following year. 
Sec. 7.  Authorized to make and assume contracts.  The utilities district, 
through its trustees, in order to carry out the purposes of its incorporation is authorized to 
contract with persons, districts, municipalities, utilities or corporations. 
Sec. 8.  Authorized to acquire property and franchises of the Presque Isle 
Water District.  The utilities district is authorized and empowered to acquire by 
purchase or by the exercise of the right of eminent domain the entire plant, property, 
franchise, property rights, privileges and assets owned by the Presque Isle Water District, 
including all land, waters, water rights, reservoirs, pipes, machinery, fixtures, hydrants, 
tools and all apparatus and appliances used or usable in supplying water facilities and 
drainage in the territory served by the water district. 
Sec. 9.  Authorized to acquire property and franchises of the Presque Isle 
Sewer District.  The utilities district is authorized and empowered to acquire by 
purchase or by the exercise of the right of eminent domain the entire plant, property, 
franchise, property rights, privileges and assets owned by the Presque Isle Sewer District, 
including all land, easements, mains, conduits, fixtures, pumping stations, basins, 
treatment facilities and outlets used or usable in providing a public system of public 
sewerage and drainage in the territory served by the district. 
Sec. 10.  Authorized to borrow money; to issue bonds and notes.  For 
accomplishing the purposes of this Act, the utilities district, by vote of its board of 
trustees, is authorized to borrow money temporarily and to issue for the borrowing of 
money its negotiable notes. 
The utilities district, by vote of its board of trustees, is authorized to issue bonds, 
notes or other evidences of indebtedness of the utilities district, bearing interest at a rate 
or rates and having terms and provisions as the trustees determine.  All notes and bonds 
with a maturity of more than one year and issued in connection with the water system 
only must first be approved by the Public Utilities Commission. 
All bonds, notes and other evidences of indebtedness issued by the utilities district 
must have inscribed upon their face the corporate name of the utilities district and be 
signed by the treasurer and countersigned by the president of the board of trustees of the 
utilities district. 
All bonds, notes and evidences of indebtedness issued by the utilities district are legal 
obligations of the utilities district, which is declared to be a quasi-municipal corporation 
within the Maine Revised Statutes, Title 35-A, section 6412.  All bonds, notes and other 
evidences of indebtedness issued by the utilities district are legal investments for savings 
banks and are exempt from state income tax.  
Sec. 11.  Property tax exempt.  The property of the utilities district is exempt 
from all taxation in the City of Presque Isle. 
Sec. 12.  Sewer rates payable; adoption of new rates; application of 
revenue; collection of unpaid rates; authority to disconnect water for 
nonpayment of sewer service.  All individuals, firms and corporations, whether 
public, private or municipal, shall pay to the treasurer of the utilities district the sewer 
rates, tolls, rents and other lawful charges established by the trustees for the sewer or 
drainage service used or available with respect to their real estate.  All sewer rates, tolls, 
rents and other lawful charges are governed by the Maine Revised Statutes, Title 38, 
section 1202. 
Prior to the adoption of a new sewer rate schedule, the trustees shall hold a public hearing 
regarding the proposed rate schedule. The trustees shall publish the proposed sewer rates 
and notice of the hearing at least once in a newspaper having a general circulation in the 
district not less than 7 days prior to the hearing. The district shall mail to each ratepayer a 
notice of the public hearing and the proposed new sewer rates at least 14 days prior to the 
hearing. 
The sewer rates, tolls, rents and other lawful charges are established to provide revenue 
for the following purposes: 
1.  To pay the current expenses for operating and maintaining the sewer system 
including depreciation; 
2.  To provide for payment of the principal of, premium on, if any, and interest on all 
bonds and notes issued by the utilities district for the benefit of its sewer system, as the 
same become due and payable; 
3.  To create and maintain such reserves as may be required by any trust agreement or 
resolution securing bonds and notes; and 
4.  To provide funds for paying the cost of all necessary repairs, replacements and 
renewals of the sewer system of the utilities district. 
There may be a lien issued on real estate served or benefited by the sewers of the utilities 
district to secure the payment of unpaid sewer rates and other lawful charges.  The sewer 
lien takes precedence over all other claims on the real estate, except claims for taxes.  The 
procedures for obtaining, enforcing and receiving payment on the sewer lien must 
conform to Title 38, sections 1208 and 1208-A. 
Notwithstanding any other provision of law, in the event a user of the utilities district's 
sewer system fails within a reasonable time to pay the utilities district's rates, fees or 
charges for sewer service, the utilities district may disconnect water service to the user, as 
long as the disconnection is accomplished in accordance with procedures established in 
applicable law or rules governing disconnection of utility services and terms and 
conditions approved by the Public Utilities Commission. 
Sec. 13.  Water rates; application of revenue; sinking fund.  All individuals, 
firms and corporations, whether public, private or municipal, shall pay to the treasurer of 
the utilities district the rates and other lawful charges established by the trustees for the 
water used or made available to them.  All water rates and other lawful charges of the 
utilities district are governed by the Maine Revised Statutes, Title 35-A, chapter 61. 
The water rates and other lawful charges are established to provide revenue for the 
following purposes: 
1.  To pay the current expenses for operating and maintaining the water system 
including depreciation; 
2.  To provide for the payment of interest on the indebtedness created by the utilities 
district for the benefit of its water system; and 
3.  To provide each year a sum equal to not less than 1% nor more than 5% of the 
entire indebtedness created by the utilities district for the benefit of its water system, 
which sum must be turned into a sinking fund to provide for the extinguishment of said 
indebtedness.  The money set aside for the sinking fund must be devoted to the retirement 
of the obligations of the utilities district or invested in such securities as savings banks are 
allowed to hold.  The trustees may, in their discretion and in lieu of the establishment of a 
sinking fund, issue bonds of the utilities district so that not less than 1% of the amount of 
the bonds so issued mature and are retired each year. 
There may be a lien issued on real estate served by the utilities district to secure the 
payment of unpaid water rates and other lawful charges.  The water lien takes precedence 
over all other claims on the real estate, except claims for taxes and sewer rates.  The 
procedures for obtaining, enforcing and receiving payment on the water lien is governed 
by Title 35-A, section 6111-A. 
Sec. 14.  Incidental powers granted.  All incidental powers, rights and privileges 
necessary to the accomplishment of the objectives set forth in this Act are granted to the 
utilities district. 
Sec. 15.  Referendum; effective date.  This Act takes effect when approved only 
for the purpose of permitting its submission to the legal voters within the City of Presque 
Isle at a referendum called for that purpose and held within 2 years of the effective date 
of this Act.  The election must be called by the city council of the City of Presque Isle and 
must be held at the regular voting places.  The referendum must be called, advertised and 
conducted according to the law relating to municipal elections.  The registrars shall make 
a complete list of all the eligible voters of the proposed district as described in this Act.  
The list prepared by the registrars governs the eligibility of a voter.  For the purpose of 
registration of voters, the registrars of voters must be in session the regular workday 
preceding the referendum.  The subject matter of this Act is reduced to the following 
question: 
"Do you favor merging the Presque Isle Water District and the Presque 
Isle Sewer District to create the Presque Isle Utilities District?" 
The voters shall indicate by a cross or check mark placed against the word "Yes" or 
"No" their opinion of the same. 
The results must be declared by the city council of the City of Presque Isle and due 
certificate of the results filed by the clerk with the Secretary of State. 
This Act takes effect for all other purposes immediately upon its approval by a 
majority of the legal voters of the City of Presque Isle voting at the referendum.  Failure 
to achieve the necessary approval in any referendum does not prohibit subsequent 
referenda consistent with this section as long as the referenda are held within 2 years after 
the effective date of this Act. 
SUMMARY 
This bill combines the Presque Isle Sewer District and the Presque Isle Water District 
to create the Presque Isle Utilities District.