This Act would authorize the State to issue bonds in an amount not to exceed seven million nine hundred and twenty-five thousand dollars ($7,925,000) to raise funds for drinking water and wastewater treatment programs, as described below. The bonds would run for a period not longer than 10 years from the date of issue and would be backed by the full faith and credit of the State.
Proceeds of the sale of these bonds in the amount of three million five hundred and ninety thousand dollars ($3,590,000) would go into the states 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 would make the State eligible to secure matching federal grants in the amount of seventeen million nine hundred and fifty thousand dollars ($17,950,000) over two years (a 5:1 ratio of federal to state funds).
The remaining bond proceeds of four million three hundred and thirty-five thousand dollars ($4,335,000) would go into an existing state revolving loan fund administered by the Maine Bond Bank and would be distributed by the Department of Environmental Protection in the form of loans to municipalities to construct and upgrade wastewater treatment facilities. This funding would make the State eligible to secure matching federal grants in the amount of twenty-one million six hundred and seventy-five thousand dollars ($21,675,000) over two years (a 5:1 ratio of federal to state funds).
If approved, the authorization of these bonds would take effect 30 days after the Governors proclamation of the vote.
A YES vote favors the issuance of up to seven million nine hundred and twenty-five thousand dollars ($7,925,000) in general obligation bonds for the purposes described above.
A NO vote opposes the bond issue in its entirety.
Do you favor a $7,925,000 bond issue to be expended over 2 years for revolving loan funds for drinking water systems and for wastewater treatment facilities, which will make the State eligible to secure $39,625,000 in federal grants?