Legislative Document No. 602 S.P. 189 In Senate, February 5, 2019
An Act To Authorize a General Fund Bond Issue To Support Research and Development in Maine
Reference to the Committee on Appropriations and Financial Affairs suggested and ordered printed.
DAREK M. GRANT Secretary of the Senate
Presented by Senator DILL of Penobscot. Cosponsored by Representative HUBBELL of Bar Harbor and Senators: BLACK of Franklin, CARPENTER of Aroostook, MIRAMANT of Knox, Representative: HICKMAN of Winthrop.
Printed on recycled paper 1 Preamble. Two thirds of both Houses of the Legislature deeming it necessary in 2 accordance with the Constitution of Maine, Article IX, Section 14 to authorize the 3 issuance of bonds on behalf of the State of Maine to provide funds as described in this 4 Act,
5 Be it enacted by the People of the State of Maine as follows:
6 Sec. 1. Authorization of bonds. The Treasurer of State is authorized, under the 7 direction of the Governor, to issue bonds in the name and on behalf of the State in an 8 amount not exceeding $50,000,000 for the purposes described in section 5 of this Act. 9 The bonds are a pledge of the full faith and credit of the State. The bonds may not run for 10 a period longer than 10 years from the date of the original issue of the bonds.
11 Sec. 2. Records of bonds issued; Treasurer of State. The Treasurer of State 12 shall ensure that an account of each bond is kept showing the number of the bond, the 13 name of the successful bidder to whom sold, the amount received for the bond, the date of 14 sale and the date when payable.
15 Sec. 3. Sale; how negotiated; proceeds appropriated. The Treasurer of State 16 may negotiate the sale of the bonds by direction of the Governor, but no bond may be 17 loaned, pledged or hypothecated on behalf of the State. The proceeds of the sale of the 18 bonds, which must be held by the Treasurer of State and paid by the Treasurer of State 19 upon warrants drawn by the State Controller, are appropriated solely for the purposes set 20 forth in this Act. Any unencumbered balances remaining at the completion of the project 21 in this Act lapse to the Office of the Treasurer of State to be used for the retirement of 22 general obligation bonds.
23 Sec. 4. Interest and debt retirement. The Treasurer of State shall pay interest 24 due or accruing on any bonds issued under this Act and all sums coming due for payment 25 of bonds at maturity.
26 Sec. 5. Disbursement of bond proceeds from General Fund bond issue. 27 The proceeds of the sale of the bonds authorized under this Act must be expended as 28 designated in the following schedule under the direction and supervision of the agencies 29 and entities set forth in this section. 30 ECONOMIC AND COMMUNITY 31 DEVELOPMENT, DEPARTMENT OF 32 33 Office of Innovation
34 Provides funds to the Maine Technology Institute for investment in research, 35 development and commercialization in the State's 7 targeted technology sectors to be 36 used for infrastructure, equipment and technology upgrades that enable organizations 37 to gain and hold market share, to increase revenues and to expand employment or 38 preserve jobs, including in the biotechnical and biomedical sectors by attracting more 39 research capacity and in the forest products sector by using Maine fiber to reduce
Page 1 - 129LR2185(01)-1 1 carbon emissions. The funds must be awarded through a competitive process to 2 Maine-based public and private entities, leveraging other funds in a one-to-one ratio. 3 4 Total $50,000,000
5 Sec. 6. Contingent upon ratification of bond issue. Sections 1 to 5 do not 6 become effective unless the people of the State ratify the issuance of the bonds as set 7 forth in this Act.
8 Sec. 7. Appropriation balances at year-end. At the end of each fiscal year, all 9 unencumbered appropriation balances representing state money carry forward. Bond 10 proceeds that have not been expended within 10 years after the date of the sale of the 11 bonds lapse to the Office of the Treasurer of State to be used for the retirement of general 12 obligation bonds.
13 Sec. 8. Bonds authorized but not issued. Any bonds authorized but not issued 14 within 5 years of ratification of this Act are deauthorized and may not be issued, except 15 that the Legislature may, within 2 years after the expiration of that 5-year period, extend 16 the period for issuing any remaining unissued bonds for an additional amount of time not 17 to exceed 5 years.
18 Sec. 9. Referendum for ratification; submission at election; form of 19 question; effective date. This Act must be submitted to the legal voters of the State at 20 a statewide election held in the month of November following passage of this Act. The 21 municipal officers of this State shall notify the inhabitants of their respective cities, towns 22 and plantations to meet, in the manner prescribed by law for holding a statewide election, 23 to vote on the acceptance or rejection of this Act by voting on the following question: 24 "Do you favor a $50,000,000 bond issue to fund investment in research, 25 development and commercialization in the State's 7 targeted technology 26 sectors to be used for infrastructure, equipment and technology upgrades 27 that enable organizations to gain and hold market share, to increase 28 revenues and to expand employment or preserve jobs for Maine people in 29 the biotechnical, biomedical and forest products sectors, to be awarded 30 through a competitive process to Maine-based public and private entities, 31 leveraging other funds in a one-to-one ratio?" 32 The legal voters of each city, town and plantation shall vote by ballot on this question 33 and designate their choice by a cross or check mark placed within a corresponding square 34 below the word "Yes" or "No." The ballots must be received, sorted, counted and 35 declared in open ward, town and plantation meetings and returns made to the Secretary of 36 State in the same manner as votes for members of the Legislature. The Governor shall 37 review the returns. If a majority of the legal votes are cast in favor of this Act, the 38 Governor shall proclaim the result without delay and this Act becomes effective 30 days 39 after the date of the proclamation.
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