An Act To Provide Relief for Significant Reductions in Municipal Property Fiscal Capacity
Maine Legislature, Session 127, LD 1699
Senate Amendment SA_A_S519 (Senate)

SENATE AMENDMENT "A" to S.P. 705, L.D. 1699, Bill, "An Act To Provide 
Relief for Significant Reductions in Municipal Property Fiscal Capacity" 
Amend the bill by striking out all of sections 1, 2 and 3 and inserting the following: 
'Sec. 1. Property fiscal capacity determination for fiscal year 2016-17 for 
municipality with decline in valuation. 
Notwithstanding the Maine Revised 
Statutes, Title 20-A, section 15672, subsection 23, paragraph C, for fiscal year 2016-17, 
if a municipality's 2016 certified state valuation declines in an amount that is greater than 
4.5% from the next most recently certified state valuation and that decline is due to the 
loss in value attributable to a single taxpayer, the State Tax Assessor shall certify to the 
Commissioner of Education that the municipality's property fiscal capacity is the average 
of the 2016 certified state valuation for that municipality and the property fiscal capacity 
under Title 20-A, section 15672, subsection 23, paragraph C.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment limits to fiscal year 2016-17 the change in the determination for 
property fiscal capacity as used to determine the amount of state aid a school 
administrative unit receives under the school funding formula if a municipality has 
experienced a decline in state valuation of at least 4.5% attributable to one taxpayer. 
FISCAL NOTE REQUIRED 
(See attached) 
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SPONSOREDB~ 
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(Senator MILLETT) 
COUNTY: Cumberland 
SENA TE AMENDMENT 
Approved: 04/13/16 
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LD 1699 
LR 2817(02) 
An Act To Provide Relief for Significant Reductions in Municipal Property Fiscal Capacity 
Fiscal Note for Senate Amendment 'Y-t to Original Bill 
Sponsor: Sen. Millett of Cumberland 
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Fiscal Note Required: Yes 
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Fiscal Note 
Limits all provisions to one-time 
Fiscal Detail and Notes 
This amendment limits the modification in the way the "property fiscal capacity" is determined for municipalities 
under certain conditions to fiscal year 2016-17 only. This amendment eliminates the impact on the distribution of 
school subsidy to SAU's in future years when a municipality experiences a significant decline in valuation. 
As amended, requiring the Department of Education to identify savings from unused debt service within the General 
Purpose Aid for Local Schools program to fund the provisions in this legislation without impacting the mill rate 
expectation established in Public.Law 2015, c. 389, Part C, section 11 for fiscal year 2016-17 will allow 
municipalities unaffected by this legislation to receive the same amount of state subsidy they would have received 
absent this legislation. Those SAU's affected by this legislation will receive more state subsidy than would have been 
received had this legislation not been in place. The impact on each individual SAU affected by this legislation in 
fiscal year 2016-17 can not be determined at this time. Without this bill any unused debt service funds would be 
carried forward into fiscal year 2017-18 to be available for other expenditures within GP A. 
LR28 l 7(02) - Fiscal Note - Page 1 of 1