Sec. F-6. Appropriations and allocations. The following appropriations and allocations are made.

ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF

Business Equipment Tax Reimbursement Program 0806

Initiative: Deappropriates funds in the Business Equipment Tax Reimbursement program in order to establish the Business Equipment Tax Reimbursement Reserve account from General Fund undedicated revenue within the individual income tax category.

GENERAL FUND 2005-06 2006-07

All Other ($78,132,345) ($82,896,495)

____________ ____________

GENERAL FUND TOTAL ($78,132,345) ($82,896,495)

REVENUES 2005-06 2006-07

Individual income tax

General Fund ($74,069,463) ($78,585,877)

Local Government Fund ($4,062,882) ($4,310,618)

____________ ____________

REVENUES TOTAL ($78,132,345) ($82,896,495)

Sec. F-7. Maine Residents Property Tax Program. The State Tax Assessor shall undertake a study of the Maine Residents Property Tax Program and shall specifically examine how the program can be amended so that the maximum benefit provided by the program may be increased over time. The study shall examine alternative means by which the maximum benefit under the program may be increased to $2,000 in time for the 2009 program year and to $3,000 in time for the 2011 program year. The State Tax Assessor shall also study the potential benefits of making the Maine Residents Property Tax Program a part of the Maine income tax program. The State Tax Assessor shall report to the joint standing committee of the Legislature having jurisdiction over taxation matters by January 2, 2006.

Sec. F-8. Maine State Housing Authority property tax deferral program. The Maine State Housing Authority, in consultation with Maine Revenue Services, shall develop a plan to issue bonds, the proceeds from which must be used to establish a property tax deferral program. The program will allow any Maine resident with a property tax bill on that resident's principal residence that exceeds 6% of that resident's income to elect to