§15667.__Hardship cushions

Hardship cushions as provided in subsection 1 or 2 must be paid from funds generated through setting a maximum allowable percentage of gain as provided in subsection 3.

1.__Cushions for fiscal years through June 30, 2002.__If the combined changes for operating and program cost subsidies calculated in sections 15663 and 15664 would represent a loss to a unit from fiscal year 1999-00 to fiscal year 2000-01, then the commissioner shall distribute to that unit an additional cushion subsidy sufficient to limit the unit's loss to 1/2 of what it would otherwise be.__There is no cushion for the fiscal year that begins July 1, 2001.

2.__Cushions for fiscal years beginning July 1, 2002.__For fiscal years that begin on or after July 1, 2002, if the combined changes for operating and program cost subsidies calculated in sections 15663 and 15664 would represent a loss to a unit in excess of 5% from one fiscal year to the next, and if that unit's state share percentage in the first of the 2 fiscal years exceeds 30%, the commissioner shall distribute to that unit an additional cushion subsidy sufficient to limit the unit's loss to 5%.

3.__Maximum gain.__As necessary to fund the cushions in subsection 1 or 2, the commissioner shall determine a maximum allowable percentage of gain that units may receive from one fiscal year to the next in combined operating and program cost subsidies.__The commissioner shall set the maximum percentage for each year at such a rate that the excess funds generated equal the amount necessary to pay the hardship cushions required under subsection 1 or 2.

Sec. 5. Effective date. Those sections of this Act that amend the Maine Revised Statutes, Title 20-A, section 8605, subsection 2, paragraph B and section 15603, subsection 26-A, paragraph F and that section that repeals Title 20-A, chapter 606-A take effect July 1, 2000.