APPROVED CHAPTER
MAY 9, 2025 66
BY GOVERNOR PUBLIC LAW
STATE OF MAINE
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IN THE YEAR OF OUR LORD
TWO THOUSAND TWENTY-FIVE
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H.P. 87 - L.D. 154
An Act to Amend the Transportation Laws
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 23 MRSA §1654-A, as enacted by PL 2011, c. 652, §4 and affected by §14,
is amended to read:
§1654-A. Transfers from the unallocated balance in Highway Fund unallocated
surplus
At the close of each fiscal year, the State Controller shall transfer to the Department of
Transportation, Secondary Road Program Fund, established in section 1803‑C and referred
to in this section as "the fund," the uncommitted balance in the Highway Fund unallocated
surplus account. The amount transferred to the fund, when added to previous transfers to
the fund for the fiscal year in which the uncommitted balance is transferred, may not exceed
the program funding cap provided in section 1803‑C, subsection 4. Any remaining
uncommitted balance in the Highway Fund after the transfer to the fund must be transferred
to the Department of Transportation, Highway and Bridge Capital program amounts
exceeding $100,000 from the unallocated balance in the Highway Fund to the Department
of Transportation Highway and Bridge Capital; Highway Light Capital; Maintenance and
Operations; and Multimodal Transportation Fund programs, for capital and all other needs.
The Commissioner of Transportation may allot these funds by financial order upon the
recommendation of the State Budget Officer and the approval of the Governor. The
transferred amounts are considered adjustments to allocations. Within 30 days after
approval of the financial order, the Commissioner of Transportation shall provide to the
joint standing committee of the Legislature having jurisdiction over transportation matters
a report detailing the financial status of the Department of Transportation, Highway and
Bridge Capital program.
For the purposes of this section, "uncommitted balance in the Highway Fund
unallocated surplus account" or "uncommitted balance" "unallocated balance in the
Highway Fund" means the amount remaining in the account at the close of the fiscal year
after the deduction of all allocations, budgeted financial commitments and adjustments
considered necessary by the State Controller any other transfers authorized by statute.
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 The State Controller shall include in the State Controller's official annual financial
report at the close of each fiscal year a statement showing all transfers made from the
Highway Fund unallocated surplus account unallocated balance in the Highway Fund for
the fiscal period.
Sec. 2. 23 MRSA §1801, first ¶, as repealed and replaced by PL 1999, c. 473, Pt.
D, §1, is amended to read:
Municipal transportation assistance funds must be targeted to the capital needs of rural
local roads and highways, bridges and minor spans and must also reflect urban compact
maintenance responsibilities on state and state aid roadways.
Sec. 3. 23 MRSA §1801, 3rd ¶, as amended by PL 2011, c. 652, §5 and affected
by c. 652, §14, is further amended to read:
Responsibility for decisions regarding maintenance and improvement of roads must
follow the principle that roads that primarily serve regional or statewide needs must be the
State's responsibility, roads that primarily serve local needs must be a local responsibility
and roads that primarily serve as minor collector routes and major collector routes may be
improved through a partnership between municipalities or counties and the State.
Sec. 4. 23 MRSA §1801, 5th ¶, as amended by PL 2011, c. 652, §5 and affected
by §14, is further amended to read:
The purpose of the Local Road Assistance Program established in this subchapter is to
provide equitable financial assistance to communities for their use in improving local roads
and maintaining state roads in urban compact areas. The purpose of the Secondary Road
Program Fund established in this subchapter is to establish a partnership between
communities and the State in making capital improvements to state aid minor collector
highways and state aid major collector highways.
Sec. 5. 23 MRSA §1803-B, sub-§1, as amended by PL 2013, c. 354, Pt. I, §§1 and
2 and affected by §4, is further amended to read:
1. Distribution and use of funds. Funds from the Local Road Assistance Program
must be distributed to each eligible municipality, county or Indian reservation through rural
road assistance and urban compact assistance funding as follows.
A. Rural road assistance funds must be distributed as follows.
(1) Funds are distributed at a rate of $600 per year per lane mile for all rural state
aid minor collector roads and all public roads maintained by a municipality located
outside urban compact areas as defined in section 754, except that funds are
distributed at a rate of $300 per year per lane mile for all seasonal public roads.
(2) Funds must be used for maintenance or for capital improvements as defined
by this chapter, or for capital improvements to state aid minor collector highways
and state aid major collector highways as described in section 1803‑C. In
municipalities, counties and Indian reservations in which there are no rural state
aid minor collector or major collector roads, funds may also be used for winter
highway maintenance, acquisition of highway maintenance equipment or the
construction of highway maintenance buildings if the governing legislative body
affirmatively votes that its town ways and local bridges are in sufficiently good
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 condition so as to not require significant repair or improvement for at least 10 years
of roadway infrastructure, bridges and drainage structures.
B. Urban compact assistance funds must be distributed as follows.
(1) Funds are distributed at a rate of $2,500 per year per lane mile for summer
maintenance performed by municipalities on state and state aid highways in
compact areas as defined in section 754. For each lane mile beyond the 2nd lane
on a highway with more than 2 lanes, funds are reimbursed at a rate of $1,250 per
lane mile for summer maintenance in compact areas. Funds are distributed at a
rate of $1,700 per year per lane mile for winter maintenance performed by
municipalities on state highways in compact areas as defined in sections 754 and
1001 regardless of the number of lanes. Funds are distributed at a rate of $600 per
year per lane mile for all other public roads maintained by a municipality and
located inside a compact area, except that funds are distributed at a rate of $300
per year per lane mile for all seasonal public roads.
(2) Funds must be used only for the maintenance or for capital improvement of
public roads infrastructure, bridges and drainage structures.
D. Beginning July 1, 2014, the annual funding dedicated for the Local Road Assistance
Program must be 9% of the Highway Fund allocation to the Department of
Transportation. On July 1, 2014 and every July 1st thereafter, the Commissioner of
Transportation shall administratively adjust the base funding and the reimbursement
rates per lane mile proportionately according to revenue available.
Sec. 6. 23 MRSA §1803-C, as amended by PL 2023, c. 646, Pt. A, §§30 and 31, is
repealed.
Sec. 7. Appropriations and allocations. The following appropriations and
allocations are made.
TRANSPORTATION, DEPARTMENT OF
Highway and Bridge Capital 0406
Initiative: Eliminates the Secondary Road Program Fund and removes the base allocation.
OTHER SPECIAL REVENUE FUNDS 2025-26 2026-27
All Other ($500) ($500)
__________ __________
OTHER SPECIAL REVENUE FUNDS TOTAL ($500) ($500)
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Statutes affected:
Bill Text ACTPUB , Chapter 66: 23.1654, 23.1801, 23.1803