3.__Fund purposes.__Allocations from the fund must prevent any loss of services or increased cost of services to a MaineCare member or a person receiving benefits under the elderly low-cost drug program under section 254 that would otherwise result from insufficient General Fund appropriations, insufficient federal matching funds or any other shortage of funds, changes in federal or state law, rule or policy or the implementation of the federal Medicare Prescription Drug, Improvement, and Modernization Act of 2003.

4.__Report by State Controller.__The State Controller shall report at least annually on the fund on or before the 2nd Friday in November to the joint standing committee of the Legislature having jurisdiction over appropriations and financial affairs and the joint standing committee of the Legislature having jurisdiction over health and human services matters.__The report must summarize the status of and activity in the fund.

Sec. JJJ-2. Funds deposited. Any funds remaining from funds appropriated to the Medical Care - Payments to Providers account in Public Law 2005, chapter 386 to fund shortfalls in the account for fiscal year 2004-05 must be calculated by the State Controller, who shall transfer the funds to the MaineCare Stabilization Fund by June 30, 2006.

PART KKK

Sec. KKK-1. Calculation and transfer; General Fund savings through increased efficiencies. Notwithstanding any other provision of law, the State Budget Officer shall calculate the amount of savings that result from this Part that apply against each General Fund account for all departments and agencies except legislative branch departments and agencies from increased efficiencies and shall transfer the amounts by financial order upon approval of the Governor. These transfers are considered adjustments to appropriations in fiscal years 2005-06 and 2006-07. The State Budget Officer shall provide the joint standing committee of the Legislature having jurisdiction over appropriations and financial affairs a report of the transferred amounts not later than November 5, 2006.

Sec. KKK-2. Appropriations and allocations. The following appropriations and allocations are made.

ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF