An Act To Clarify the Oversight of the Family Development Account Program
Maine Legislature, Session 129, LD 1217
Committee Amendment CA_A_S167 (Senate)

FffiST REGULAR SESSION 
COMMITTEE AMENDMENT "A " to S.P. 379, L.D. 1217, Bill, "An Act To 
Clarify the Oversight of the Family Development Account Program" 
Amend the bill in section 4 in §10981 by striking out all of subsection 1 (page 1, lines 
to 23 in L.D.) and inserting the following: 
'1. Account holder. "Account holder" means an eligible person who owns a family 
development account.' 
Amend the bill in section 4 in §10981 by inserting after subsection 2 a new 
subsection to read: 
'3. Eligible person. "Eligible person" means an individual whose family income is 
below 200% of the nonfarm income official poverty line as defined by the federal Office 
of Management and Budget and revised annually in accordance with the United States 
Omnibus Budget Reconciliation Act of 1981, Section 673, subsection 2.' 
Amend the bill in section 4 in §10981 in subsection 4 in the 2nd line (page 1, line 31 
in L.D.) by striking out the following: "an approved" and inserting the following: 'i 
Amend the bill in section 4 in § 10981 in subsection 6 in the first and 2nd lines (page 
2, lines 4 and 5 in L.D.) by striking out the following: "established in" and inserting the 
following: 'administered by the university under' 
Amend the bill in section 4 in § 10981 by renumbering the subsections to read 
consecutively. 
Amend the bill in section 4 in § 10982 in the first paragraph in the first line (page 2, 
line 8 in L.D.) by striking out the following: "There is established" and inserting the 
following: 'The university shall administer' 
Amend the bill in section 4 in §10982 in subsection 1 in the first line (page 2, line 15 
in L.D.) by inserting after the following: "shall" the following: '. on a schedule 
established by the university,' 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT 'ti "to S.P. 379, L.D. 1217 
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Amend the bill in section 4 in § 10982 by striking out all of subsection 3 (page 2, lines 
and 38 in L.D.) and inserting the following: 
'3. Administrative costs. No more than 15% of the family development account 
reserve fund may be used for administrative costs of the program.' 
Amend the bill in section 4 in § 10982 in subsection 6 in the first line (page 3, line 24 
in L.D.) by striking out the following: "shall" and inserting the following: 'may' 
Amend the bill in section 4 in § 10983 in subsection 1 in paragraph E in the first line 
(page 4, line 3 in L.D.) by inserting after the following: "start" the following: 'or purchase' 
Amend the bill in section 4 in § 10983 by striking out all of subsection 2 (page 4, lines 
to 12 in L.D.) and inserting the following: 
'2. Unauthorized withdrawal; penalty. Money withdrawn from an account by an 
account holder that is not withdrawn pursuant to subsection 1 may be subject to a penalty 
of 15%. All penalties must be paid by the account holder and deposited into the family 
development account reserve fund of the community development organization.' 
Amend the bill in section 4 in §10985 by striking out all of subsection 1 (page 4, lines 
to 39 and page 5, lines 1 to 9 in L.D.) and inserting the following: 
'1. Committee membership. The committee consists of 10 members as follows: 
A. Four members appointed by the Governor, including one representative of the 
Maine State Housing Authority, one representative of the Department of Health and 
Human Services and 2 representatives of financial institutions participating in the 
program; 
B. 
Three members appointed by the President of the Senate, including one 
representative of a statewide community development foundation, one person who is 
an account holder or is eligible to be an account holder or is a program graduate and 
one representative of a financial institution participating in the program; and 
C. 
Three members appointed by the Speaker of the House of Representatives, 
including one person who is an account holder or is eligible to be an account holder 
or is a program graduate, one representative of a contributor of matching funds to the 
program and one representative of a financial institution participating in the program. 
Members from state departments serve at the pleasure of their appointing authorities. All 
other members serve 3-year terms and may continue to serve beyond their terms until 
their successors are appointed. If a vacancy occurs before a term has expired, the 
vacancy must be filled for the remainder of the unexpired term by the authority who 
made the original appointment. If a member is absent for 2 consecutive meetings and has 
not been excused by the chair from either meeting, the committee may remove the 
member by majority vote.' 
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Amend the bill in section 4 by inserting after § 10985 the following: 
'§10986. Support of advisory committee 
The university shall provide support to the Advisory Committee on Family 
Development Accounts under section 10985, certify participating financial institutions 
COMMITTEE AMENDMENT 
c~~ITTEE AMENDMENT" H" to S.P. 379, L.D. 1217 ( 
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'\) 
and review proposals from community development organizations seeking to manage 
family development accounts.' 
Amend the bill by adding after section 5 the following: 
'Sec. 6. Transition of family development account program. The following 
provisions govern the transition of the family development account program, referred to 
in this section as "the program," from the Finance Authority of Maine, referred to in this 
section as "FAME," to the University of Maine System, referred to in this section as "the 
university." 
1. The university is the successor in every way to the powers, duties, responsibilities, 
programs, services and functions assigned to FAME in the administration of the program. 
2. All rules ofF AME, as they pertain to the administration of the program, that are in 
effect on the effective date of this Act remain in effect until rescinded, revised or 
amended. 
3. All contracts, agreements and compacts of FAME, as they pertain to the powers, 
duties, responsibilities, programs, services and functions of the program that are in effect 
on the effective date of this Act remain in effect until the contracts, agreements and 
compacts expire or are altered by the parties involved in the contracts, agreements or 
compacts. 
4. 
All records of FAME as they pertain to the powers, duties, responsibilities, 
programs, services and functions of FAME in the administration of the program are 
transferred to the university as necessary to implement the transition.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
SUMMARY 
This amendment adds a definition of "eligible person"; modifies the definition of 
"account holder"; adds language allowing the University of Maine System to solicit 
proposals from community development organizations on a schedule established by the 
system; allows, instead of requires, the system to adopt rules; allows, instead of requires, 
enforcement of the penalty for unauthorized withdrawals; changes the makeup of the 
Advisory Committee on Family Development Accounts from 12 members to 10 members 
and changes the descriptions of members; and adds a section describing the transition of 
the program from the Finance Authority of Maine to the system. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/03/19 .feac.. 
LD 1217 
LR 1104(02) 
An Act To Clarify the Oversight of the Family Development Account Program 
Fiscal Note for Bill as Amended by Committee Amendment ?r'r · ·· i ( 
J) 
Committee: Innovation, Development, Economic Advancement and Business 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - University of Maine System 
Fiscal Detail and Notes 
Additional costs to the University of Maine System to implement the requirements of this legislation can be absorbed 
within existing budgeted resources. 
Additional costs to the Maine State Housing Authority and the Department of Health and Human Services to serve on 
the advisory committee can be absorbed within each agency's existing budgeted resources. 
LRl 104(02) - Fiscal Note - Page 1 of 1