An Act to Clarify and Strengthen the Government Shutdown Loan
Maine Legislature, Session 132, LD 2102
Committee: Health Coverage, Insurance and Financial Services
Sponsors: MATHIESON, DAUGHTRY, FECTEAU
Amends: 10 MRSA §1100-J, 10 MRSA §1100-L

Legislative Document
No. 2102
H.P. 1417
House of Representatives, January 7, 2026
An Act to Clarify and Strengthen the Government Shutdown Loan 
Guarantee Program
(AFTER DEADLINE)
(EMERGENCY)
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
205.
Reference to the Committee on Health Coverage, Insurance and Financial Services 
suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative MATHIESON of Kittery.
Cosponsored by President DAUGHTRY of Cumberland and
Representatives: ARFORD of Brunswick, Speaker FECTEAU of Biddeford, GATTINE of 
Westbrook, Senators: BAILEY of York, BALDACCI of Penobscot.
Emergency preamble.  Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, this legislation needs to take effect before the expiration of the 90-day 
period in order to provide protection as soon as possible to employees who are not being 
paid during a government shutdown; and
Whereas, this protection for these employees is necessary to prevent missed rent and 
mortgage payments, food insecurity and the loss of health care coverage; and
Whereas, agencies responsible for administering the Government Shutdown Loan 
Guarantee Program need immediate authority to adjust staffing and communicate with 
participating credit unions and financial institutions in order to prevent confusion and 
inefficiency; and
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore,
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  10 MRSA §1100-JJ, sub-§1, ¶C is enacted to read:
C.  The eligibility of an affected employee is not dependent on:
(1)  The affected employee applying for unemployment compensation benefits;
(2)  A credit check;
(3)  The membership of the affected employee at a credit union or the status of the 
affected employee as a customer of a financial institution to which the affected 
employee is applying for a loan; or
(4)  The ability of the affected employee to appear in person, as long as the affected 
employee can prove that the affected employee is a resident of this State and a 
member of the Armed Forces of the United States or National Guard who is 
stationed outside of this State.
Sec. 2.  10 MRSA §1100-LL, sub-§3, as enacted by PL 2025, c. 494, §2, is 
repealed.
Sec. 3. Transfer. Notwithstanding any provision of law to the contrary, the State 
Controller shall transfer $250,000 from the Department of Professional and Financial 
Regulation, Bureau of Financial Institutions, Other Special Revenue Funds account to the 
Government Shutdown Loan Guarantee Program Fund, established within the Office of the 
Treasurer of State pursuant to the Maine Revised Statutes, Title 5, section 160, no later 
than 14 days following the effective date of this Act to be used to guarantee the repayment 
of loans made by an eligible financial institution to an eligible affected employee pursuant 
to Title 10, chapter 110, subchapter 15.
Sec. 4.  Appropriations and allocations.  The following appropriations and 
allocations are made.
TREASURER OF STATE, OFFICE OF
Government Shutdown Loan Guarantee Program Fund Z433
Initiative: Provides one-time allocation of $250,000 to the Government Shutdown Loan 
Guarantee Program Fund to assist with guaranteeing repayment of a portion of loans made 
by eligible financial institutions and credit unions to federal or state employees affected by 
government shutdowns.
OTHER SPECIAL REVENUE FUNDS
2025-26
2026-27
All Other
$250,000
$0
__________
__________
OTHER SPECIAL REVENUE FUNDS TOTAL
$250,000
$0
Emergency clause.  In view of the emergency cited in the preamble, this legislation 
takes effect when approved.
SUMMARY
This bill amends the laws governing the Government Shutdown Loan Guarantee 
Program by amending the provisions regarding eligibility for loans and removing language 
that provides that if the amount expended for loan guarantee payments equals or exceeds 
10% of the total of all loans issued, the Finance Authority of Maine must stop approving 
claims and notify the Treasurer of State and each eligible financial institution of the total 
amount of loan guarantee payments made and that the authority has ceased honoring loan 
claims. It also allocates $250,000 to the program.