121st Maine Legislature
		Office of Fiscal and Program Review
		LD 713
		An Act to Support Health Care Safety Net Programs
		LR 1689(01)
		Fiscal Note for Original Bill
		Sponsor: Sen. Martin of Aroostook
		Committee: Health and Human Services
		Fiscal Note Required: Yes
Fiscal Note
					Projections	Projections
			2003-04	2004-05	2005-06	2006-07
Net Cost (Savings)
	General Fund		$492,500	($553,500)	($554,046)	($555,176)
Appropriations/Allocations
	General Fund  - DHS		$3,300,000	$3,750,000	$3,750,000	$3,750,000
	General Fund  - MRS		$55,500	$0	$0	$0
Revenue
	General Fund  - Cigarette Tax		$2,860,000	$4,300,000	$4,300,000	$4,300,000
	General Fund  - Sales & Use Tax		$3,000	$3,500	$4,046	$5,176
	Other Special Revenue		$165	$192	$222	$284
Fiscal Detail and Notes
	This bill increases the tax on cigarettes and is expected to increase General Fund revenue by $2,863,000 in fiscal year 2003-04 and $4,303,500 in fiscal year 2004-05, based on an October 1, 2003 effective date.  The increase in the sales and use tax will also increase transfers to the Local Government Fund for state-municipal revenue sharing by an estimated $165 in fiscal year 2003-04 and $192 in fiscal year 2004-05.  Maine Revenue Services will also require a one-time General Fund appropriation of $55,500 in fiscal year 2003-04 for the related administrative costs associated with increasing the cigarette tax.  This bill also includes General Fund appropriations of $3,300,000 in fiscal year 2003-04 and $3,750,000 in fiscal year 2004-05 for grant programs administered by the Bureau of Health, Department of Human Services.