An Act To Invest in Maine Companies
Maine Legislature, Session 127, LD 1132
Committee Amendment CA_A_S210 (Senate)
Amends: 10 MRSA §1026-U

COMMITTEE AMENDMENT" A" to S.P. 401, L.D. 1132, Bill, "An Act To 
Invest in Maine Companies" 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 10 MRSA §1026-U is enacted to read: 
§1026-U. Maine Business Capital Investment Program 
1. Establishment. The authority may create and oversee the Maine Business Capital 
Investment Program, referred to in this section as "the program," to increase the 
availability of capital to certain eligible business development projects. For purposes of 
this section, "business development project" means a project that involves the 
construction, development, rehabilitation, modernization or acquisition of a building, 
structure, system, machinery, equipment or facility that has a projected cost of at least 
$50,000,000 or is projected to result in the creation or retention of at least 250 full-time 
employment positions that pay at least 125% of the annual average weekly wage under 
Title 26, section 1043, subsection I-A. 
2. Limitation. Nothing in this section may be construed to place the assets of the 
authority at risk or to create an obligation of the State or of any political subdivision of 
the State. 
3. Fund established. The Maine Business Capital Investment Fund, referred to in 
this section as lithe fund," is established as a nonlapsing revolving loan and equity fund 
administered by the authority to support the capital needs of business development 
projects under the program. The fund consists of sums that are appropriated or allocated 
by the Legislature to the fund or transferred to the fund from time to time by the State 
Controller, interest earned from the investment of fund balances, state bond issues, state 
employee pension funds, institutional endowments and other funds from any public or 
private source received for use for any of the purposes for which the fund has been 
established. The authority may charge the fund reasonable fees for the cost of 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" A" to S.P. 401, L.D. 1132 
implementing and administering the program and any loans or bonds authorized by this 
section. 
4. Criteria to qualify for financial support. The authority shall provide financial 
support as described in subsection 5 to an applicant to support a business development 
project based in part on criteria that include but are not limited to: 
A. The creditworthiness of the applicant, considering factors such as the applicant's 
historical financial performance, management ability, plan to market the applicant's 
product or service and whether the applicant meets or exceeds industry average 
financial performance ratios commonly accepted in determining creditworthiness in 
that industry; 
B. The sufficiency of collateral pledged by the applicant; 
C. The sufficiency of projected revenues from the project or other sources to repay 
the financial obligation and meet the requirements of subsection 5 for the term of the 
obligation; 
D. 
The extent to which financial support from the authority would enhance the 
employment and wage benefits projected to be created by the business development 
project; 
E. The duration of the employment and wage benefits projected to be created by the 
business development project; and 
F. The demonstration that the financial support from the authority is necessary due to 
the reduced cost and increased flexibility of the financial support and not due to the 
applicant's inability to obtain financing from another source. 
5. Financial support. The authority may provide the following financial support to a 
qualified program applicant: 
A. 
A direct loan of up to $50,000,000 from the fund for a single business 
development project, which must be matched by an amount equal to at least 50% of 
the loan that is obtained from another source; or 
B. Up to $100,000,000 in bond funding for a single business development project 
and up to $200,000,000 to the same applicant for multiple business development 
projects. 
The authority may require other terms or conditions of financial support under this 
subsection as the authority determines necessary and reasonable. 
6. Bonding authorization. The authority may provide by resolution for the issuance 
of bonds for the purpose of funding business development projects, except that the bonds 
may not constitute a general obligation of the authority and the authority may not pledge 
an obligation under section 1053 or otherwise seek an appropriation for repayment. 
Bonds issued under this subsection may not constitute a debt of the State, or of any 
agency or political subdivision of the State, and are payable solely from the revenues of 
the business development project for which the bonds are issued. Neither the full faith 
nor credit nor taxing power of the State or any political subdivision of the State may be 
pledged to payment of bonds issued under this subsection. Notwithstanding any other 
provision of law, any bonds issued pursuant to this subsection are fully negotiable. If any 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" A" to S.P. 401, L.D. 1132 
member of the authority whose signature appears on the bond or coupons ceases to be a 
member of the authority before the delivery of those bonds, that signature is valid and 
sufficient for all purposes as if that member of the authority had remained a member of 
the authority until delivery. 
7. Requirements of recipient. Pursuant to the terms set by the authority, in addition 
to repayment of the financial support received under subsection 5, within 5 years after the 
completion of the business development project the recipient shall pay to the fund an 
amount equal to 10% of the amount of the financial support received under subsection 5. 
8. Rules. The authority may adopt rules as necessary to implement this section. 
Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, 
chapter 375, subchapter 2-A. 
Sec. 2. Contingent effective date. This Act does not take effect unless the 
Finance Authority of Maine, Maine Business Capital Investment Fund, established under 
the Maine Revised Statutes, Title 
10, section 1026-U, receives funding from 
appropriations, allocations and other funding sources in the amount of at least 
$250,000,000 and the chief executive officer for the Finance Authority of Maine notifies 
the Secretary of State, the Secretary of the Senate, the Clerk of the House of 
Representatives and the Revisor of Statutes that the funds have been received.' 
SUMMARY 
This amendment is the minority report of the committee and replaces the bill. It 
authorizes the Finance Authority of Maine to establish the Maine Business Capital 
Investment Program to provide loans or bond funding to certain eligible business 
projects. As in the bill, the projects must have projected costs of at least $50,000,000 or 
be projected to result in the creation or retention of at least 250 full-time employment 
positions that pay at least 125% of the state annual average wage. 
The amendment 
specifies that the legislation takes effect only upon the receipt by the Finance Authority of 
Maine for the Maine Business Capital Investment Fund of appropriations, allocations or 
funds from other funding sources in the amount of at least $250,000,000. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: OS/24115 
~c: 
LD 1132 
LR843(02) 
An Act To Invest in Maine Companies 
Fiscal Note for Bill as Amended by Committee Amendment 'f'l' (S-cJ.!o) 
Committee: Labor, Commerce, Research and Economic Development 
Fiscal Note Required: Yes 
Fiscal Note 
Maine Business Capital Investment Program created 
Fiscal Detail and Notes 
Contingent upon the receipt of at least $250,000,000 in appropriations, allocations or other funding sources, this bill 
establishes the Maine Business Capital Investment Program within the Finance Authority of Maine as a nonlapsing 
revolving loan and equity fund to provide loans or bond funding to certain eligible business projects. The Finance 
Authority of Maine had indicated that it will be able to implement and administer the program within the provisions 
established in this legislation. 
LR0843(02) - Fiscal Note - Page 1 of 1