An Act To Update and Amend the Finance Authority of Maine Act
Maine Legislature, Session 129, LD 1056
Committee Amendment CA_A_H224 (House)
Amends: 10 MRSA §1026-A

COMMITTEE AMENDMENT"/)" to H.P. 779, L.D. 1056, Bill, "An Act To 
Update and Amend the Finance Authority of Maine Act" 
Amend the bill by striking out all of section 5 and inserting the following: 
'Sec. 5. 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 proj eots and sustainable 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; 
COMMITTEE AMENDMENT 
rt di 5. 
COMMITTEE AMENDMENT "A "to H.P. 779, L.D. 1056 
(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 ofup to $7,000,000 $7,500,000. 
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.' 
Amend the bill by relettering or renumbering any nonconsecutive Pait letter or 
section number to read consecutively. 
COMMITTEE AMENDMENT 
A. of 5. 
COMMITTEE AMENDMENT "A "to H.P. 779, L.D. 1056 
SUMMARY 
This amendment increases the maximum amount of insurance the Finance Authority 
of Maine may provide to related entities from $7,000,000 to $7,500,000. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Appl'oved: 04/21/19 feac 
LD 1056 
LR 1067(02) 
An Act To Update and Amend the Finance Authority of Maine Act 
Fiscal Note for Bill as Amended by Committee Amendment ./),{/I· )) Y) 
Committee: Innovation, Development, Economic Advancement and Business 
Fiscal Note Required: Yes 
Fiscal Note 
Increased loan liability - Finance Authority of Maine 
Fiscal Detail and Notes 
This legislation allows the Finance Authority of Maine (FAME) to increase its maximum loan insurance amount 
through its Commercial Loan Insurance Program from $7.0 million to $7.5 million per entity. FAME has indicated 
that there are sufficient funds in its loan insurance reserve fund to support the increase. 
LR1067(02) - Fiscal Note - Page 1 of 1