Sec. 1. 23 MRSA §4209, sub-§8 is enacted to read:

8.__State assistance for transportation providers funded with property taxes from municipalities or counties.__Notwithstanding any other provision of this section, the department shall provide funding for operating assistance to any nonprofit transportation provider that is funded with property taxes from municipalities or counties according to the following schedule:

A.__For the fiscal year beginning on July 1, 2001, an amount equal to at least 20% of the property tax revenues paid to the provider in the previous fiscal year;

B.__For the fiscal year beginning on July 1, 2002, an amount equal to at least 25% of the property tax revenues paid to the provider in the previous fiscal year; and

C.__For fiscal years beginning on or after July 1, 2003, an amount equal to at least 30% of the property tax revenues paid to the provider in the previous fiscal year.

SUMMARY

This bill reduces the burden on property taxes in communities with public transportation by requiring the State to fund a higher portion of the operating costs of the nonprofit transportation providers. The bill sets the State's minimum contribution for fiscal year 2001-02 at 20% of the property taxes paid to a nonprofit provider in the prior fiscal year. The State's contribution increases by 5% of that amount in each of the next 2 fiscal years until it reaches 30%, where it remains for subsequent fiscal years.