Sec. 1. 30-A MRSA §5252, sub-§2, as amended by PL 1989, c. 104, Pt. C, §§8 and 10, is further amended to read:

2. Captured assessed value. "Captured assessed value" means the valuation amount by which the current assessed value of a tax increment financing district exceeds the original assessed value of the district. If the current assessed value is equal to or less than the original there is no captured assessed value. "Captured assessed value" does not include the value of telecommunications personal property that becomes subject to local property taxation as a result of the repeal of Title 36, section 458.

Sec. 2. 36 MRSA §112, sub-§9-A is enacted to read:

9-A.__Review of telecommunications taxation.__By January 1, 2001 and January 1, 2004, the assessor shall review the provisions of this Title relating to the taxation of telecommunications services including the taxation of electronic commerce.__The review must include an analysis of the impact of structural and technological changes in the telecommunications industry and a review of federal and other national activities relating to the taxation of telecommunications services and electronic commerce.__Before issuing a final report, the assessor shall solicit comments from the Public Utilities Commission, the Public Advocate, the Maine Science and Technology Foundation, the Department of Economic and Community Development, businesses providing and using telecommunications services and electronic commerce, organizations representing municipal officials and members of the public.__The assessor shall submit a report by January 1, 2001 and January 1, 2004 to the joint standing committee of the Legislature having jurisdiction over taxation matters containing the results of the review required by this subsection, the assessor's recommendations regarding changes to the laws relating to the taxation of telecommunications services and electronic commerce and a summary of significant comments received by the assessor during the review.

This subsection is repealed January 2, 2004.

Sec. 3. 36 MRSA §457, sub-§§9 and 10 are enacted to read:

9.__Transition.__The tax imposed under this section is repealed for tax years based on the status of property after April 1, 2000.__Pursuant to subsection 5-A, the payment of taxes due on June 1, 2000 is equal to the total of the amount by which the 1999 gross tax assessment exceeds the estimated tax paid for that year and the payment of taxes due on June 1, 2001 is equal