Maine’s bear referendum and bond proposals: What are they specifying, what are they funding?

Thu, 10/30/2014 - 7:30pm

    On Nov. 4, Maine voters will elect the Governor, one of Maine’s two United States Senators, Maine’s Representatives to Congress, members of the Maine Legislature (State Senators and State Representatives) and certain county officers.  County officers will vary depending on the county, but include the following: Judge of Probate, Register of Probate, County Treasurer, Register of Deeds, Sheriff, District Attorney and County Commissioner. 

    Citizens will also vote on one citizen initiative and five spending proposals. Interest rates on these proposed bonds are projected to be 4 percent over a 10-year lifespan.

    “If the bonds submitted here are approved by voters and issued for the full statutory period authorized, an estimate of the total interest and principal that may reasonably be expected to be paid is $61,000,000, representing $50,000,000 in principal and $11,000,000 in interest,” wrote Neria R. Douglass, Treasurer of State, in her report that is included in the Maine Citizen’s Guide to the Referendum Election.

    According to the Maine State Treasurer, if the Nov. 4 bond proposals are ratified, General Obligation debt service as a percentage of the State’s General Fund, Highway Fund and Revenue Sharing appropriations is expected to be 2.71 percent in FY15 and 2.88 percent in FY16.

    Currently, Maine has $226 million in authorized but unissued bonds.

    The total amount that must be paid in the present fiscal year for bonded debt already outstanding (for FY2015) is $96 million.

     

      

    Question 1

    Do you want to ban the use of bait, dogs or traps in bear hunting except to protect property, public safety, or for research?

     IB 1/LD 1745: An Act To Prohibit the Use of Dogs, Bait or Traps When Hunting Bears Except under Certain Circumstances

    This citizen-initiated legislation would amend the laws relating to hunting bear in Maine to prohibit certain practices which are currently allowed.  The legislation, if enacted, would prohibit hunters from:

    1) using food as bait to entice, attract or hunt bear,

    2) using a dog or dogs to hunt or pursue bear, or

    3) setting a trap to hunt or capture bear. 

    A hunter found to have violated these prohibitions would be subject to a mandatory one-year suspension of his or her hunting license.

    The use of dogs, bait or a trap is permitted for certain scientific and research purposes or for state or federal employees when necessary to hunt or capture a specific offending bear that threatens livestock, domestic animals, threatened or endangered wildlife or public safety.  The bear must pose a bona fide threat in order for these methods to be used. Baiting is also permitted by owners or operators of commercial timberlands in order to prevent damage to commercial timberland.

    Additional exceptions would allow the Department of Inland Fisheries and Wildlife, or an accredited university acting pursuant to a permit granted by the Department, to use bait, dogs or traps for scientific or research purposes, but not for the purpose of killing bear.  Owners or operators of commercial timberland with a permit from the Department of Inland Fisheries and Wildlife would be allowed to use bait at a feeding station for bear in order to prevent damage to their commercial timberland, but not for the purpose of killing bear.

    If approved, this citizen initiated legislation would take effect 30 days after the Governor proclaims the official results of the election.

    A “YES” vote is to enact the initiated legislation.

    A “NO” vote opposes the initiated legislation.

    Preliminary Fiscal Impact:
    Minor cost increase - General Fund
    No net revenue impact - General Fund

    Correctional and Judicial Impact:
    Establishes new Class E crimes.
    The number of new charges filed is expected to be insignificant.
    The collection of additional fines may increase General Fund revenue by minor amounts.


    Question 2:  Bond Issue

    Do you favor an $8,000,000 bond issue to support Maine agriculture, facilitate economic growth in natural resources-based industries and monitor human health threats related to ticks, mosquitoes and bedbugs through the creation of an animal and plant disease and insect control laboratory administered by the University of Maine Cooperative Extension Service?

    Link to legislation for Public Law 572 and Public Law 608

    The funds provided by this bond issue, in the amount of $8,000,000, will be used to provide funds to assist Maine agriculture and to protect Maine farms through the creation of an animal and plant disease and insect control facility administered by the University of Maine Cooperative Extension Service.

    The purpose is to support Maine agriculture, facilitating economic growth in natural resources-based industries, and monitor human health threats related to ticks, mosquitoes and bedbugs.  The bonds would run for a period not longer than 10 years from the date of the original issue and would be backed by the full faith and credit of the State.

    The original bill was sponsored by Rep. Fredette of Newport
    Fiscal Note

    Current biennium cost increase - General Fund

    Total estimated life time cost is $9,760,000 representing $8,000,000 in principal and $1,760,000 in interest (assuming interest at 4 percent over 10 years.

     


    Question 3:  Bond Issue

    Do you favor a bond issue to provide $4,000,000 in funds to insure portions of loans to small businesses to spur investment and innovation and to provide $8,000,000 in funds to make flexible loans to small businesses to create jobs, revitalize downtowns and strengthen the rural economy?

    Link to legislation for Public Law 596

    Approval of this bond would allow the Finance Authority of Maine to insure portions of loans to small businesses made by a participating financial institution in order to spur investment and innovation.

    This Act would authorize the State to issue general obligation bonds in the amount of $12 million to provide funds to insure portions of loans to eligible businesses made by financial institutions as well as to provide funds for state, regional and local economic development agencies to make flexible loans to eligible businesses as described below.  The bonds would run for a period not longer than 10 years from the date of the original issue and would be backed by the full faith and credit of the State.

    Proceeds from the sale of these bonds would be administered by FAME for the following purposes:

    $4 million would be used to insure portions of loans to eligible businesses made by a participating financial institution in order to spur investment and innovation. The loan insurance would be offered through an existing Commercial Loan Insurance program that is established in statute and rule and is administered by FAME.

    $8 million would be used to make flexible loans to eligible businesses to create jobs, revitalize downtowns and strengthen the rural economy. These loans would be issued by state, regional and local economic development agencies through an existing program known as the Regional Economic Development Revolving Loan Program, which is established in statute and administered by FAME.

    With these additional funds, the program would be targeted to businesses with 100 or fewer employees or annual sales of $10 million or less. The maximum allowable loan for any business would be $350,000.

     If approved, the authorization of these bonds would take effect 30 days after the Governor's proclamation of the vote.

    A "YES" vote approves the issuance of up to twelve million dollars ($12,000,000) in general obligation bonds to finance the activities described above.

    A "NO" vote disapproves the bond issue in its entirety.

    Total estimated life time cost is $14,640,000 representing $12,000,000 in principal and $2,640,000 in interest (assuming interest at 4 percent over 10 years).

        


    Question 4:  Bond Issue

    Do you favor a $10,000,000 bond issue, to be awarded through a competitive process and to be matched by $11,000,000 in private and other funds, to build a research center and to discover genetic solutions for cancer and the diseases of aging, to promote job growth and private sector investment in this State, to attract and retain young professionals and make the State a global leader in genomic medicine?

    Link to legislation for Public Law 574

    This question, if approved, would provide funds, to be awarded through a competitive process and to be matched by $11 million in private and other funds, to expand the State's research capabilities in the areas of mammalian genetics and murine biometric analytics, make the State a global resource for precision medicine, improve the State's capacity to attract and retain young professionals and bring additional grant funding, private sector investment, job growth and economic activity to the State, according to proponents.

    Proceeds from the sale of these bonds would be administered by the Maine Technology Institute within the Department of Economic and Community Development.

    "Murine" refers to mice and rats, and "murine biometric analytics" and "mammalian genetics" are areas in which the Jackson Laboratory on Mount Desert Island specializes. "Precision medicine" and "genomic medicine" are terms that relate to the use of advanced genetic research to analyze the cause of an individual patient's disease at the molecular level in order to tailor medical treatment to the individual characteristics of each patient.

    The funds must be awarded through a competitive process and are to be matched by $11 million in private and other funds.

    If approved, the authorization of these bonds would take effect 30 days after the Governor's proclamation of the vote.

    A "YES" vote approves the issuance of up to $10 million in general obligation bonds to finance the activities described above.

    A "NO" vote disapproves the bond issue in its entirety.

    Total estimated life time cost is $12,200,000 representing $10,000,000 in principal and $2,200,000 in interest (assuming interest at 4 percent over 10 years).

     


    Question 5:  Bond Issue

    Do you favor a $3,000,000 bond issue, to be awarded through a competitive process and to be matched by $5,700,000 in private and public funds, to modernize and expand infrastructure in a biological laboratory specializing in tissue repair and regeneration located in the State in order to increase biotechnology workforce training, retain and recruit to the State multiple biomedical research and development groups and create a drug discovery and development facility that will improve human health and stimulate biotechnology job growth and economic activity?

    Link to legislation for Public Law 568

    This bond, if approved, would provides funds, to be awarded through a competitive process to institutions that, as of the effective date of this Act, have been designated as Centers of Biomedical Research Excellence by the United States Department of Health and Human Services, National Institutes of Health, National Institute of General Medical Sciences and have also received IDeA Network of Biomedical Research Excellence grants and to be matched by $5,700,000 in private and public funds, to modernize and expand infrastructure in a biological laboratory specializing in tissue repair and regeneration located in the State, in order to increase biotechnology workforce training, retain and recruit to the State multiple biomedical research and development groups and create a drug discovery and development facility that will improve human health and stimulate biotechnology job growth and economic activity.

    The purposes of the modernization and expansion of infrastructure are to increase biotechnology workforce training, retain and recruit multiple biomedical research and development groups to Maine, and create a drug discovery and development facility to improve human health and stimulate biotechnology job growth and economic activity. 

    Proceeds from the sale of these bonds would be administered by the Maine Technology Institute within the Department of Economic and Community Development. The funds are to be awarded through a competitive process to institutions that have been designated as Centers of Biomedical Research Excellence by the United States Department of Health and Human Services, National Institutes of Health and the National Institute of General Medical Sciences, and have also received IDeA Network of Biomedical Research Excellence grants. This describes a collaborative network of 13 private and public colleges, universities and research institutions in Maine led by the Mount Desert Island Biological Laboratory.

    Total estimated life time cost is $3,660,000 representing $3,000,000 in principal and $660,000 in interest (assuming interest at 4 percent over 10 years).

     


    Question 6:   Bond Issue

    Do you favor a $10,000,000 bond issue to ensure clean water and safe communities across Maine; to protect drinking water sources; to restore wetlands; to create jobs and vital public infrastructure; and to strengthen the State’s long-term economic base and competitive advantage?

    link to legislation for Public Law 589

    This Act would authorize the State to issue general obligation bonds in an amount not to exceed $10 million to provide funds to improve the State's water resources through investments in drinking water systems, wastewater treatment facilities, wetlands restoration and public improvement projects such as upgraded culverts and stream crossings. The bonds would run for a period not longer than 10 years from the date of the original issue of the bonds and would be backed by the full faith and credit of the State.

    Proceeds from the sale of these bonds would be administered as follows:

    Department of Environmental Protection, $5,400,000, which would be used for public improvement projects including stream crossing or culvert upgrades.

    $400,000 would be used to restore state wetlands.

    $2,400,000 would go into an existing state revolving loan fund administered by the Maine Bond Bank and the Department of Environmental Protection and would be distributed in the form of loans to municipalities to construct and upgrade wastewater treatment facilities. These funds are expected to make the State eligible to secure federal grants in the amount of $12 million, a 5:1 ratio of federal to state funds.

    $1,800,000 would go into the state's safe drinking water revolving loan fund, administered by the Maine Bond Bank and the Department of Health and Human Services. Loans from this fund may be issued to eligible public water systems to design, construct or improve drinking water supplies or treatment and distribution systems, or for any actions authorized or required under the federal Safe Drinking Water Act of 1996. This funding is expected to make the State eligible to secure federal grants in the amount of $9 million– a 5:1 ratio of federal to state funds.

    If approved, the authorization of these bonds would take effect 30 days after the Governor's proclamation of the vote.

    A "YES" vote approves the issuance of up to $10 million in general obligation bonds to finance the activities described above.

    A "NO" vote disapproves the bond issue in its entirety.

    Total estimated life time cost is $12,200,000 representing $10,000,000 in principal and $2,200,000 in interest (assuming interest at 4 percent over 10 years).

     



    Question 7: Bond Issue

    Do you favor a $7,000,000 bond issue to facilitate the growth of marine businesses and commercial enterprises that create jobs and improve the sustainability of the State’s marine economy and related industries through capital investments, to be matched by at least $7,000,000 in private and other funds?”

    Link to legislation for Public Law 592

    This bond, if approved, would provide funds to facilitate the growth of marine businesses and commercial enterprises that create jobs and improve the sustainability of the State's marine economy and related industries through capital investments, awarded after a competitive process administered by the Department of Economic and Community Development in consultation with the Department of Marine Resources and the Maine Technology Institute, to be matched by at least $7 million in private and other funds.

     Determination of awards. The Department of Economic and Community Development, in consultation with the Department of Marine Resources and Maine Technology Institute, shall oversee the disbursement of bond proceeds and matching funds authorized pursuant to Part A in accordance with this section. Awards of bond proceeds and matching funds must be made on a competitive basis following a request for proposal process for a single award of $7,000,000.

    1. A successful applicant must include the following entities:

    A. A marine-based research program at a private or public university or a nonprofit research institution;

    B. Commercial fishing or aquaculture interests;

    C. Community-based organizations committed to the growth of the local economy; and

    D. Private sector businesses.

     

    2. A successful application must also include proposals for growth in each of the following areas:

    A. Traditional commercial fishing interest;

    B. Aquaculture industry;

    C. Value-added seafood processing; and

    D. Market development for Maine-based products.

    Total estimated life time cost is $8,540,000 representing $7,000,000 in principal and $1,540,000 in interest, assuming interest at 4 percent over 10 years.