LD 1
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Page 2 of 70 An Act To Increase the State Share of Education Costs, Reduce Property Taxes an... Page 4 of 70
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LR 328
Item 1

 
3. Fund to be nonlapsing.__The balance of the stabilization
fund may not lapse but must be carried forward to carry out the
purposes of this chapter.

 
4. Investment of funds. The money in the stabilization fund
may be invested as provided by law with the earnings credited to
the stabilization fund.

 
5. Investment proceeds; exception. At the close of every month
during which the stabilization fund is at the 12% limitation
described in subsection 1, the State Controller shall transfer
from the General Fund to the Retirement Allowance Fund
established in section 17251 an amount equivalent to the
investment earnings that otherwise would have been credited to
the stabilization fund.

 
6. Death benefits. The Governor shall allocate funds from the
stabilization fund as needed to pay benefits due pursuant to
Title 25, chapter 195-A. Allocations may be made upon written
request of the Chief of the State Police, State Fire Marshal or
Director of Maine Emergency Medical Services, and after
consultation with the State Budget Officer.

 
§1533.__Declaration of budget emergency

 
If the Legislature has adjourned sine die prior to the close
of a fiscal year and the commissioner determines that available
General Fund resources will not be sufficient to meet General
Fund appropriations, the commissioner may declare a budget
emergency, and the Governor may reduce the stabilization fund
below the 1% minimum threshold established by section 1532, but
only to a level sufficient to bring the budget back into balance.__
The Governor shall inform the Legislative Council immediately
upon such transfers from the stabilization fund.

 
§1534.__General Fund appropriation limitation

 
The General Fund appropriation for each fiscal year of the
current fiscal biennium and the next fiscal biennium may not
exceed the adjusted General Fund appropriation of the previous
fiscal year, multiplied by one plus the long-term growth rate
limitation as defined in section 1710-F, subsection 4. The
limitation may be exceeded only by the amount of the additional
costs or the lost federal revenue from the following exceptional
circumstances: unfunded or under-funded new federal mandates,
losses in federal revenues or other revenue sources, citizen's
initiatives or referenda that require increased state spending,
court orders or decrees that require additional state resources
to comply with the orders or decrees and sudden or significant
increases in demand for existing state services that are not the


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