An Act To Clarify the Laws Governing Certain Benefits Provided to Veterans and Military Service Members
Maine Legislature, Session 127, LD 1610
Committee: Veterans and Legal Affairs
Amends: 10 MRSA §963-A, 10 MRSA §1026-A, 12 MRSA §1819, 12 MRSA §1819-B, 20-A MRSA §5201, 29-A MRSA §453, 29-A MRSA §1404-B, 29-A MRSA §1410, 30-A MRSA §4743, 37-B MRSA §158

Legislative Document 
No. 1610 
H.P. 1098 
House of Representatives, February 25, 2016 
An Act To Clarify the Laws Governing Certain Benefits Provided to 
Veterans and Military Service Members 
Reported by Representative LUCHINI of Ellsworth for the Joint Standing Committee on 
Veterans and Legal Affairs pursuant to Resolve 2015, chapter 19. 
Reference to the Committee on Veterans and Legal Affairs suggested and ordered printed 
pursuant to Joint Rule 218. 
ROBERT B. HUNT 
Clerk 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  10 MRSA §963-A, sub-§51-A, as amended by PL 2001, c. 417, §3, is 
repealed. 
Sec. 2.  10 MRSA §1026-A, sub-§1, as amended by PL 2009, c. 124, §3, is 
further amended to read: 
1.  Insurance.  The authority may make commitments and agreements to insure loan 
payments. Any loan insurance must be subject to the following: 
A.  Loan insurance may not exceed: 
(1)  One hundred percent of the principal amount of the loan made to any 
borrower including related entities for any of the following types of loans or 
projects: 
(a)  Loans to veterans and wartime veterans, except that the authority may 
not at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$5,000,000; 
(b)  Underground and aboveground oil storage facility projects and projects 
to install equipment related to the improvement of air quality pursuant to 
requirements for gasoline service station vapor control and petroleum liquids 
transfer vapor recovery, except that the authority may not at any time have, in 
the aggregate amount of the principal and interest outstanding, loan insurance 
obligations pursuant to this division exceeding $5,000,000; 
(c)  Clean fuel vehicle projects and sustainable biofuel vehicle projects, 
except that the authority may not at any time have, in the aggregate amount 
of the principal and interest outstanding, loan insurance obligations pursuant 
to this division exceeding $5,000,000; 
(d)  Waste oil disposal site clean-up projects, except that the authority may 
not at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$1,000,000; or 
(e)  The Plymouth waste oil remedial study, except that the authority may not 
at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$1,000,000; and 
(2)  Ninety percent of the principal amount of the loan made to any borrower, 
including related entities for any other manufacturing enterprise, industrial 
enterprise, recreational enterprise, fishing enterprise, agricultural enterprise, 
natural resource enterprise or any other eligible business enterprise; 
B.  The loan must be serviced as required by the authority; 
D.  The authority must determine that there is a reasonable prospect that the loan will 
be repaid; 
E.  The loan must be in compliance with the credit policy of the authority; 
F.  Loan insurance payments may not exceed the lesser of: 
(1)  Principal, outstanding accrued interest and collection costs approved by the 
authority; and 
(2)  The original insured amount; and 
G.  Terms other than those specified in paragraphs A to F as may be required by law 
or by rule of the authority. 
The authority may provide insurance for related entities of up to $7,000,000. 
Notwithstanding any provision to the contrary in this chapter, the authority may provide 
special loan insurance benefits to veterans and wartime veterans determined by rule of the 
authority developed in consultation with the Department of Defense, Veterans and 
Emergency Management, Bureau of Maine Veterans' Services. 
For all loan insurance liability in excess of $1,000,000 and in other instances when the 
authority determines it is appropriate, the authority shall obtain a written assessment from 
the Department of Environmental Protection of the environmental conditions known by 
the department to exist at a project location so that the authority fully considers 
environmental risks when making its decisions.  Environmental conditions posing risks 
that must be considered include, but are not limited to, licensing obligations, existing or 
historic regulatory noncompliance and site clean-up responsibilities. 
Sec. 3.  10 MRSA §1026-A, sub-§1, as amended by PL 2015, c. 38, §1 and 
affected by §3, is further amended to read: 
1.  Insurance.  The authority may make commitments and agreements to insure loan 
payments. Any loan insurance must be subject to the following:  
A.  Loan insurance may not exceed: 
(1)  One hundred percent of the principal amount of the loan made to any 
borrower including related entities for any of the following types of loans or 
projects: 
(a)  Loans to veterans and wartime veterans, except that the authority may 
not at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$5,000,000; 
(b)  Underground and aboveground oil storage facility projects and projects 
to install equipment related to the improvement of air quality pursuant to 
requirements for gasoline service station vapor control and petroleum liquids 
transfer vapor recovery, except that the authority may not at any time have, in 
the aggregate amount of the principal and interest outstanding, loan insurance 
obligations pursuant to this division exceeding $5,000,000; 
(c)  Clean fuel vehicle projects and sustainable biofuel vehicle projects, 
except that the authority may not at any time have, in the aggregate amount 
of the principal and interest outstanding, loan insurance obligations pursuant 
to this division exceeding $5,000,000; 
(d)  Waste oil disposal site clean-up projects, except that the authority may 
not at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$1,000,000; or 
(e)  The Plymouth waste oil remedial study, except that the authority may not 
at any time have, in the aggregate amount of the principal and interest 
outstanding, loan insurance obligations pursuant to this division exceeding 
$1,000,000; and 
(2)  Ninety percent of the principal amount of the loan made to any borrower, 
including related entities for any other manufacturing enterprise, industrial 
enterprise, recreational enterprise, fishing enterprise, agricultural enterprise, 
natural resource enterprise or any other eligible business enterprise; 
B.  The loan must be serviced as required by the authority; 
D.  The authority must determine that there is a reasonable prospect that the loan will 
be repaid; 
E.  The loan must be in compliance with the credit policy of the authority; 
F.  Loan insurance payments may not exceed the lesser of: 
(1)  Principal, outstanding accrued interest and collection costs approved by the 
authority; and 
(2)  The original insured amount; and 
G.  Terms other than those specified in paragraphs A to F as may be required by law 
or by rule of the authority. 
The authority may provide insurance for related entities of up to $10,000,000. 
Notwithstanding any provision to the contrary in this chapter, the authority may provide 
special loan insurance benefits to veterans and wartime veterans determined by rule of the 
authority developed in consultation with the Department of Defense, Veterans and 
Emergency Management, Bureau of Maine Veterans' Services. 
For all loan insurance liability in excess of $1,000,000 and in other instances when the 
authority determines it is appropriate, the authority shall obtain a written assessment from 
the Department of Environmental Protection of the environmental conditions known by 
the department to exist at a project location so that the authority fully considers 
environmental risks when making its decisions.  Environmental conditions posing risks 
that must be considered include, but are not limited to, licensing obligations, existing or 
historic regulatory noncompliance and site clean-up responsibilities. 
Sec. 4.  12 MRSA §1819, last ¶, as enacted by PL 1997, c. 678, §13, is amended 
to read: 
Any disabled veteran displaying on the veteran's motor vehicle special designating 
plates or placards issued in accordance with Title 29-A, section 523, subsections 1 and 2 
or providing a driver's license displaying a sticker issued in accordance with Title 29-A, 
section 1404-B or a nondriver identification card displaying a sticker issued in 
accordance with Title 29-A, section 1410, subsection 11 is not required to pay a fee for 
admission to any state-owned park, camping area or beach. 
Sec. 5.  12 MRSA §1819-B, as enacted by PL 2009, c. 220, §2, is amended to 
read: 
§1819-B.  Day use passes for active military personnel 
Notwithstanding section 1819, the commissioner shall enter into a memorandum of 
agreement with the Department of Defense, Veterans and Emergency Management for 
the issuance of a free day use pass to state parks and historic sites to each active duty 
military member determined by the Department of Defense, Veterans and Emergency 
Management to meet the criteria established in Title 37-B, section 7.  The pass entitles 
the holder, and the holder's spouse and children when accompanied by the holder, to 
admission free of charge to all state parks and historic sites.  A spouse and children of a 
holder who is deployed for military service may present a family member identification 
card issued by the United States Armed Forces with the holder's day use pass in lieu of 
accompaniment by the holder.  For the purposes of this section, "deployed for military 
service" means active duty with the state military forces, as described in Title 37-B, 
section 102, or the United States Armed Forces, including the National Guard and 
Reserves of the United States Armed Forces, whether pursuant to orders of the Governor 
or the President of the United States. 
Sec. 6.  20-A MRSA §5201, sub-§3, ¶A, as amended by PL 1983, c. 704, §2, is 
further amended to read: 
A.  War veterans A veteran who have has not completed high school before their the 
veteran's 18th birthday may enroll in the public schools in the school administrative 
units unit where they reside the veteran resides until they graduate the veteran 
graduates or until the end of the school year in which they reach the veteran reaches 
the age of 25.  For the purposes of this paragraph, "veteran" means a person who has 
served on active duty in the United States Armed Forces including the Reserves of 
the United States Armed Forces and the National Guard and received a discharge 
other than dishonorable. 
Sec. 7.  29-A MRSA §453, sub-§2, as amended by PL 2007, c. 647, §1 and 
affected by §8, is further amended to read: 
2.  Fee.  The Except as otherwise provided in this subsection, the annual service fee 
for a vanity registration plate is $25 in addition to the regular motor vehicle registration 
fee.  The fee for a vanity plate that is also a veterans registration plate issued under 
section 523 is $25 upon issuance of the plate and is not subject to an annual service fee.  
The service fee must be credited to the General Highway Fund, except that, beginning 
July 1, 2009, $10 of the service fee must be transferred on a quarterly basis by the 
Treasurer of State to the TransCap Trust Fund established by Title 30-A, section 6006-G.  
A sum sufficient to defray the cost of this program must be allocated annually from the 
General Highway Fund. 
Sec. 8.  29-A MRSA §1404-B is enacted to read: 
§1404-B.  License sticker; disabled veteran designation 
The Secretary of State shall, at the request of a person who is a 100% disabled 
veteran, issue a sticker to that person to place in a location designated by the Secretary of 
State on the back of the person's driver's license to indicate that the person is a 100% 
disabled veteran.  The Secretary of State before issuing the sticker shall require the 
veteran to provide certification from the United States Department of Veterans Affairs or 
any branch of the United States Armed Forces as to the veteran's permanent disability and 
receipt of 100% service-connected benefits. 
Sec. 9.  29-A MRSA §1410, sub-§11 is enacted to read: 
11.  Nondriver identification card sticker; disabled veteran designation.  The 
Secretary of State shall, at the request of a person who is a 100% disabled veteran, issue a 
sticker to that person to place in a location designated by the Secretary of State on the 
back of the person's nondriver identification card to indicate that the person is a 100% 
disabled veteran.  The Secretary of State before issuing the sticker shall require the 
veteran to provide certification from the United States Department of Veterans Affairs or 
any branch of the United States Armed Forces as to the veteran's permanent disability and 
receipt of 100% service-connected benefits. 
Sec. 10.  30-A MRSA §4743, as amended by PL 1993, c. 427, §4, is repealed and 
the following enacted in its place: 
§4743.  Housing rentals and tenant admissions; veteran preference 
In the operation or management of housing projects, an authority shall at all times 
observe the following duties with respect to rentals and tenant admissions. 
1.  Rent to persons of low income.  It shall rent or lease at least 20% of the dwelling 
units in any project only to persons or families of low income and at rentals within the 
financial reach of persons or families of low income. 
2.  Number of rooms.  It may rent or lease to a tenant dwelling accommodations 
consisting of the number of rooms, but no greater number, that it considers necessary to 
provide safe and sanitary accommodations to the proposed occupants of the rooms 
without overcrowding. 
3.  Preferences.  In the selection of tenants for housing projects, as among low-
income families that are eligible applicants for occupancy in dwellings of given sizes and 
at specified rents, a housing authority shall extend the following preferences. 
A.  First, preference must be given to families that are to be displaced by any low-
rent housing project or by any public slum-clearance or redevelopment project 
initiated after January 1, 1947, or that were so displaced within 3 years before 
applying to the public housing agency for admission to any low-rent housing.  
Among these families: 
(1)  First preference must be given to families of disabled veterans whose 
disabilities have been determined by the United States Department of Veterans 
Affairs to be service-connected; 
(2)  Second preference must be given to families of deceased veterans whose 
deaths have been determined by the United States Department of Veterans 
Affairs to be service-connected; and 
(3)  Third preference must be given to families of other veterans and the families 
of persons on active duty with the United States Armed Forces, including the 
National Guard and Reserves of the United States Armed Forces. 
B.  Second, preference must be given to families of other veterans and the families of 
persons on active duty with the United States Armed Forces, including the National 
Guard and Reserves of the United States Armed Forces.  Among these families: 
(1)  First preference must be given to families of disabled veterans whose 
disabilities have been determined by the United States Department of Veterans 
Affairs to be service-connected; and 
(2)  Second preference must be given to families of deceased veterans whose 
deaths have been determined by the United States Department of Veterans 
Affairs to be service-connected. 
As used in this section, unless the context otherwise indicates, "veteran" means a 
person who has served on active duty in the United States Armed Forces, including the 
National Guard and Reserves of the United States Armed Forces, who received a 
discharge other than dishonorable 
Notwithstanding any provisions of this section, an authority may agree to conditions 
as to tenant eligibility or preference required by the Federal Government under federal 
law in any contract for financial assistance with the authority. 
Nothing in this section or section 4742 may be construed as limiting the power of an 
authority to vest in an obligee the right, in the event of a default by the authority, to take 
possession of a project or cause the appointment of a receiver of the project, free from all 
the restrictions imposed by this section or section 4742. 
Sec. 11.  37-B MRSA §158, sub-§2 is enacted to read: 
2.  Report required.  Beginning October 1, 2016, the Adjutant General shall cause a 
quarterly report to be made to the Adjutant General of all funds expended from the fund.  
The report must contain information as to the military sponsor, military unit of the 
sponsor, rank of the military member, the amount of funds provided and the general 
reason for the award of funds, as well as any other information requested by the Adjutant 
General.  Beginning April 1, 2017, the Adjutant General shall submit annually to the joint 
standing committee of the Legislature having jurisdiction over veterans affairs a summary 
report on the fund, including the number of grants awarded from the fund, the range of 
grants and the average amount of each grant. 
Sec. 12.  Contingent effective date.  That section of this Act that amends the 
Maine Revised Statutes, Title 10, section 1026-A, subsection 1, as amended by Public 
Law 2015, chapter 38, section 1 and affected by Public Law 2015, chapter 38, section 3, 
takes effect only upon the receipt by the Finance Authority of Maine Loan Insurance 
Reserve Fund of an appropriation, allocation or other funding source in the amount of at 
least $37,000,000 in accordance with the contingency set forth in Public Law 2015, 
chapter 38, section 3.  Upon receipt by the Finance Authority of Maine Loan Insurance 
Reserve Fund of an appropriation, allocation or other funding source in the amount of at 
least $37,000,000 in accordance with Public Law 2015, chapter 38, section 3, the Finance 
Authority of Maine shall notify the Secretary of State, the Secretary of the Senate, the 
Clerk of the House of Representatives and the Revisor of Statutes. 
SUMMARY 
This bill is submitted by the Joint Standing Committee on Veterans and Legal Affairs 
pursuant to Resolve 2015, chapter 19.  The bill implements the recommendations of a 
subcommittee established to streamline the criteria for the delivery and administration of 
state-established services and benefits to veterans and military service members in the 
State.  The bill repeals the definition of "wartime veteran" with regard to small business 
loans administered by the Finance Authority of Maine.  It provides an alternative to 
license plates as a method of showing eligibility for free day-use admission to state parks 
by disabled veterans by directing the Secretary of State to provide for a sticker to be 
placed on the veteran's driver's license or state identification card.  The bill also provides 
that a person with a veterans registration plate that is also a vanity plate is not required to 
pay the annual service fee for the vanity plate after an initial $25 fee is paid.  The bill 
clarifies references to veterans and military service members in the law governing the 
application of veteran preferences for rental housing administered through the Maine 
State Housing Authority.  Finally, the bill codifies in statute a provision currently in rule 
that requires the Adjutant General to issue an annual report on the expenditures made 
from the Maine Military Family Relief Fund.