An Act To Authorize a General Fund Bond Issue To Improve Highways, Bridges and Multimodal Facilities
Maine Legislature, Session 129, LD 1850
Committee: Appropriations and Financial Affairs
Sponsors: DIAMOND, McLEAN

Legislative Document
No. 1850
S.P. 634
In Senate, August 26, 2019
An Act To Authorize a General Fund Bond Issue To Improve 
Highways, Bridges and Multimodal Facilities
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered 
printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator DIAMOND of Cumberland.  (GOVERNOR'S BILL)
Cosponsored by Representative McLEAN of Gorham.
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 $105,000,000 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.
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 agencies 
and entities set forth in this section.
Provides funds to construct, reconstruct, rehabilitate and preserve Priority 1, Priority 
and Priority 3 state highways under the Maine Revised Statutes, Title 23, section 
73, subsection 7 and associated improvements, to replace and rehabilitate bridges and 
to fund the municipal partnership initiative.
TRANSPORTATION, DEPARTMENT 
OF
Total
$85,000,000
Provides funds for facilities or equipment related to freight and passenger railroads, 
transit, ports, marine transportation, aviation and bicycle and pedestrian 
improvements that preserve public safety or otherwise have demonstrated high 
transportation value including property acquisition.
Provides funds for a competitive grant program that matches local funding for the 
upgrade of municipal culverts at stream crossings in order to improve fish and 
wildlife habitats and increase community safety. Eligible project sponsors include 
local governments, municipal conservation commissions, soil and water conservation 
districts and private nonprofit organizations. A proposal for funding from an eligible 
project sponsor must include a map and summary of the proposed project, describing 
how it meets the following criteria:
1.  Contribution to competitive grant program goals. The extent to which the 
proposed project allows communities to more effectively prepare for storm and flood 
events and advances the goals of restoring habitat for fish, including sea-run fish and 
native brook trout; and
2.  Cost-effectiveness. The extent to which the proposed project represents an 
efficient and cost-effective investment, including the proportion of total project 
funding that will be provided from other sources and the potential avoided costs 
associated with the proposed project. Funds may not be used to cover all of the costs 
associated with a proposed project.
Provides funds for the renovation of a wharf and bulkhead at the Gulf of Maine 
Research Institute in Portland to bring the wharf back into operation as secured 
access and berthing for commercial fishing vessels and to support vessels for marine 
research at sea that supports continued long-term marine job development.
Total
$15,000,000
ENVIRONMENTAL PROTECTION, 
DEPARTMENT OF
Total
$4,000,000
ECONOMIC AND COMMUNITY 
DEVELOPMENT, DEPARTMENT OF
Total
$1,000,000
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 
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 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 the month of November 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 $105,000,000 bond issue to build or improve roads, 
bridges, railroads, airports, transit and ports and make other 
transportation investments, to be used to match an estimated 
$137,000,000 in federal and other funds?"
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 $105,000,000, will be used 
to build or improve roads, bridges, railroads, airports, transit and ports and make other 
transportation investments to match an estimated $137,000,000 in federal and other 
funds.
FISCAL NOTE REQUIRED
(See attached)
Approved: 08/23/19
LD 1850
LR 2576(01)
Bond Issues
Term (years)
Principal
Rate (%)
Interest
Total Cost
General Fund - Non-Taxable
$89,000,000
4.25%
$20,803,750
$109,803,750
General Fund - Taxable
$16,000,000
4.75%
$4,180,000
$20,180,000
Referendum Costs
Month/Year
Election Type
Question
Length
Nov-19
General
Bond Issue
Standard
The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general 
election in November.  If the number or size of the referendum questions requires production and delivery of a second 
ballot, an additional appropriation of $172,000 may be required.
Current biennium cost increase - General Fund
Fiscal Note
An Act To Authorize a General Fund Bond Issue To Improve Highways, Bridges and Multimodal 
Facilities
Fiscal Note for Original Bill
Sponsor: Sen. Diamond of Cumberland
Committee: Not Referred
Fiscal Note Required: Yes
LR2576(01) - Fiscal Note - Page 1 of 1