An Act To Authorize a General Fund Bond Issue To Fund Wastewater Infrastructure Projects for Ratification by Voters in the June 2017 Election
Maine Legislature, Session 128, LD 1510
Committee: Appropriations and Financial Affairs
Sponsors: FREDETTE

Legislative Document
No. 1510
H.P. 1034
House of Representatives, April 25, 2017
An Act To Authorize a General Fund Bond Issue To Fund 
Wastewater Infrastructure Projects for Ratification by Voters in the 
June 2017 Election
Submitted by the Department of Environmental Protection pursuant to Joint Rule 204.
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered 
printed.
ROBERT B. HUNT
Clerk
Presented by Representative FREDETTE of Newport.
Preamble.  Two thirds of both Houses of the Legislature deeming it necessary in 
accordance with the Constitution of Maine, Article IX, Section 14 to authorize the 
issuance of bonds on behalf of the State of Maine to provide funds as described in this 
Act, 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  Authorization of bonds.  The Treasurer of State is authorized, under the 
direction of the Governor, to issue bonds in the name and on behalf of the State in an 
amount not exceeding $50,000,000 for the purposes described in section 5 of this Act.  
The bonds are a pledge of the full faith and credit of the State.  The bonds may not run for 
a period longer than 10 years from the date of the original issue of the bonds.  At the 
discretion of the Treasurer of State, with the approval of the Governor, any issuance of 
bonds may contain a call feature. 
Sec. 2.  Records of bonds issued; Treasurer of State. The Treasurer of State 
shall ensure that an account of each bond is kept showing the number of the bond, the 
name of the successful bidder to whom sold, the amount received for the bond, the date of 
sale and the date when payable. 
Sec. 3.  Sale; how negotiated; proceeds appropriated.  The Treasurer of State 
may negotiate the sale of the bonds by direction of the Governor, but no bond may be 
loaned, pledged or hypothecated on behalf of the State.  The proceeds of the sale of the 
bonds, which must be held by the Treasurer of State and paid by the Treasurer of State 
upon warrants drawn by the State Controller, are appropriated solely for the purposes set 
forth in this Act.  Any unencumbered balances remaining at the completion of the project 
in this Act lapse to the Office of the Treasurer of State to be used for the retirement of 
general obligation bonds. 
Sec. 4.  Interest and debt retirement.  The Treasurer of State shall pay interest 
due or accruing on any bonds issued under this Act and all sums coming due for payment 
of bonds at maturity. 
Sec. 5.  Disbursement of bond proceeds from General Fund bond issue.  
The proceeds of the sale of the bonds authorized under this Act must be expended as 
designated in the following schedule under the direction and supervision of the 
Department of Environmental Protection. 
Provides funds for grants to towns to help replace malfunctioning septic systems that 
are polluting coastal watersheds or causing a public nuisance. 
ENVIRONMENTAL PROTECTION, 
DEPARTMENT OF 
Small Community Grant Program 
Total 
$2,000,000
Provides funds for wastewater treatment facility planning, construction grants and 
hydrographic modeling in coastal watersheds, prioritizing areas with high-value 
shellfish resources. 
Provides funds to assist homeowners whose homes are served by substandard or 
malfunctioning wastewater treatment systems, including straight pipe discharges, 
individual overboard discharge systems, subsurface wastewater disposal systems, 
septic tanks, leach fields and cesspools, which result in direct discharges of domestic 
pollutants to coastal watersheds. 
Sec. 6.  Contingent upon ratification of bond issue.  Sections 1 to 5 do not 
become effective unless the people of the State ratify the issuance of the bonds as set 
forth in this Act. 
Sec. 7.  Appropriation balances at year-end.  At the end of each fiscal year, all 
unencumbered appropriation balances representing state money carry forward.  Bond 
proceeds that have not been expended within 10 years after the date of the sale of the 
bonds lapse to the Office of the Treasurer of State to be used for the retirement of general 
obligation bonds. 
Sec. 8.  Bonds authorized but not issued.  Any bonds authorized but not issued, 
or for which bond anticipation notes are not issued, within 5 years of ratification of this 
Act are deauthorized and may not be issued, except that the Legislature may, within 2 
years after the expiration of that 5-year period, extend the period for issuing any 
remaining unissued bonds or bond anticipation notes for an additional amount of time not 
to exceed 5 years. 
Sec. 9.  Referendum for ratification; submission at election; form of 
question; effective date.  This Act must be submitted to the legal voters of the State at 
a statewide election held in June 2017 following passage of this Act.  The municipal 
officers of this State shall notify the inhabitants of their respective cities, towns and 
plantations to meet, in the manner prescribed by law for holding a statewide election, to 
vote on the acceptance or rejection of this Act by voting on the following question: 
"Do you favor a $50,000,000 bond issue to improve water quality, 
support the planning and construction of wastewater treatment facilities 
Wastewater Treatment Facility Planning 
and Construction Grants 
Total 
$47,650,000
Overboard Discharge 
Total 
$350,000
and assist homeowners whose homes are served by substandard or 
malfunctioning wastewater treatment systems?" 
The legal voters of each city, town and plantation shall vote by ballot on this question 
and designate their choice by a cross or check mark placed within a corresponding square 
below the word "Yes" or "No."  The ballots must be received, sorted, counted and 
declared in open ward, town and plantation meetings and returns made to the Secretary of 
State in the same manner as votes for members of the Legislature.  The Governor shall 
review the returns.  If a majority of the legal votes are cast in favor of this Act, the 
Governor shall proclaim the result without delay and this Act becomes effective 30 days 
after the date of the proclamation. 
The Secretary of State shall prepare and furnish to each city, town and plantation all 
ballots, returns and copies of this Act necessary to carry out the purposes of this 
referendum. 
SUMMARY 
The funds provided by this bond issue, in the amount of $50,000,000, will be used to 
fund the replacement of malfunctioning septic systems, wastewater treatment facility 
planning, construction grants and hydrographic modeling in coastal watersheds, 
prioritizing areas with high-value shellfish resources, and assistance to homeowners 
whose homes are served by substandard or malfunctioning wastewater treatment systems.