121st Maine Legislature
		Office of Fiscal and Program Review
		LD 191
		An Act to Amend the Definition of "Commercial Agricultural Production"
		LR 0939(01)
		Fiscal Note for Original Bill
		Sponsor: Rep. Trahan
		Committee: Taxation
		Fiscal Note Required: Yes
Fiscal Note
					Projections	Projections
			2003-04	2004-05	2005-06	2006-07
Net Cost (Savings):
	General Fund		$712,782	$1,043,748	$1,088,304	$1,132,860
Revenue
	General Fund		($712,782)	($1,043,748)	($1,088,304)	($1,132,860)
	Other Special Revenue Funds		($39,098)	($57,252)	($59,696)	($62,140)
Fiscal Detail and Notes
	This bill narrows existing sales tax exemptions for certain products used in agricultural and aquacultural production and expands sales tax exemptions by exempting purchases used in commercial agricultural production.  These changes are estimated to result in a net decrease in sales and use tax collections by $751,880 in fiscal year 2003-04 and $1,101,000 in fiscal year 2004-05.  The reduction of these tax collections will decrease the amounts transferred to the Local Government Fund for state-municipal revenue sharing in those years by $39,098 and $57,252.  The to the Local Government Fund for state-municipal revenue sharing in those years by $39,098 and $57,252.  The resulting net reduction of General Fund revenue is estimated to be $712,782 in fiscal year 2003-04 and $1,043,748 in fiscal year 2004-05, based on an effective date of October 1, 2003.