Sec. 1. 30-A MRSA §4301, sub-§5-A is enacted to read:

5-A.__Growth-related capital investment.__"Growth-related capital investment" means only the following projects, grants or loans: highway construction or reconstruction projects considered significant under Title 23, chapter 3, subchapter I that increase highway capacity; the construction or purchase of newly constructed single-family homes or purchase of loans for newly constructed single-family homes; the construction or acquisition of newly constructed multifamily rental housing; the construction of new schools and related facilities; the development of industrial or business parks; the construction or expansion of pollution control facilities that expands treatment capacity; the construction or extension of sewer, water and other utility lines; grants and loans for infrastructure and public facilities eligible under the Community Development Block Grant program or similar programs; and grants or loans for state office, court and civic buildings.__"Growth-related capital investment" does not include funds for the operation or maintenance of a governmental facility or program, the renovation of a governmental facility that does not expand significantly the facility's capacity, general purpose aid for education, community revenue sharing or public health programs.

Sec. 2. 30-A MRSA §4349, as amended by PL 1993, c. 721, Pt. B, §2 and affected by Pt. H, §1, is further amended by repealing and replacing the headnote to read:

§4349.__State capital investments

Sec. 3. 30-A MRSA §4349, sub-§1-A is enacted to read:

1-A.__Growth-related capital investments.__Growth-related capital investments by the State must be made only in:

A. A locally designated growth area, as identified in a comprehensive plan adopted pursuant to and consistent with the goals and guidelines of this subchapter;

B.__Areas served by a public sewer system determined to have capacity to accept the growth-related project; or

C.__Areas other than described in paragraphs A or B only for the following projects:

(1) A project certified to the office of the head of the agency funding the project as necessary to remedy a threat to public health or safety or to comply with environmental clean-up laws;