A.__Were incurred prior to June 30, 2003; and

B.__Must be paid using property tax revenue, as opposed to user fees, state grants, loans or revenues other than those provided pursuant to this section, or other federal, state or local revenue sources other than property tax.

Sec. B-5. Legislative implementation. No later than March 1, 2004, the Joint Standing Committee on Taxation and the Joint Standing Committee on Appropriations and Financial Affairs shall review and may report out legislation in accordance with the intentions of and not inconsistent with this Resolution to further clarify and govern the design, implementation, management and oversight of the financial incentives for the formation of municipal service districts provided by education cost control assistance under the Maine Revised Statutes, Title 20-A, chapter 613, state assumption of county tax obligations under Title 30-A, section 709, the municipal debt assumption under Title 30-A, section 5686 and the Municipal Service District Fund established in Title 30- A, chapter 112-A, including but not limited to provisions regarding transfers to and from the Municipal Service District Fund from the General Fund to effectuate the purposes and intent of this Resolution. No later than March 1, 2004, the Joint Standing Committee on State and Local Government shall review the State's statutes regarding the rights, duties and obligations of municipalities, including those laws in Title 30-A, and develop and report out legislation to amend those laws, as necessary, in accordance with the intentions of and not inconsistent with the purposes and intents of this Resolution.

PART C

Sec. C-1. 36 MRSA §661, sub-§4-A is enacted to read:

4-A.__Payment to municipal service district municipalities.__A municipality that receives payment pursuant to subsection 4 that is a member of a municipal service district, as established by Title 30-A, chapter 112, shall pay that same amount to the Treasurer of State.

Sec. C-2. 36 MRSA §661, sub-§6 is enacted to read:

6.__Municipal service districts.__Notwithstanding any other provision of law, a municipal service district established in