LD 1163 LR 145(02)
An Act To Authorize a General Fund Bond Issue To Provide Funding for a Program of Student Debt Cancellation and Refinancing
Fiscal Note for Bill as Amended by Committee Amendment " "
Committee: Appropriations and Financial Affairs
Fiscal Note Required: Yes
Fiscal Note
Current biennium cost increase - General Fund
Bond Issues Term (years) Principal Rate (%) Interest Total Cost
General Fund - Taxable 10 $40,000,000 4.75% $10,450,000 $50,450,000
Referendum Costs Month/Year Election Type Question Length
Jun-18 General Bond Issue Standard
The Secretary of State's budget does not include funding for the June 2018 election.  The department would require a General Fund appropriation of $155,000 to cover the costs of producing and delivering the ballots and the Citizen's Guide to the Referendum Election.
Fiscal Detail and Notes
The Finance Authority of Maine estimates its cost to establish and operate the Student Debt Cancellation and Refinance Program to be between $120,000 and $160,000 per year, or between 3% and 4%, assuming annual bond activity of $4,000,000 per year over the 10 year period.  Because this legislation provides that a portion of the bond monies may be used for administrative costs, no General Fund appropriations are required.