1.__Collection of the tax.__The tax imposed in section 4882 must be collected by the plumbing inspector before issuing a permit under Title 30-A, section 4215 and turned over to the municipal tax collector.__The municipality collecting the tax may retain 10% of the revenue collected as reimbursement for the cost of collection.__On or before the 10th day of each month, the municipal tax collector shall pay over to the State Tax Assessor 90% of the tax collected during the previous month.__If the tax is not paid over by the 10th day of the month, the State Tax Assessor may impose interest pursuant to section 186.

2.__Distribution of revenues.__The State Tax Assessor shall pay all net receipts to the Treasurer of State, who shall credit 1/2 of the revenue to the Municipal Investment Trust Fund established in Title 30-A, section 6006-D and 1/2 to the Housing Opportunities for Maine Fund created in Title 30-A, section 4853 to be used for increasing the availability of affordable housing.

SUMMARY

This bill establishes a new tax to counter the effects of development sprawl. The bill creates a tax on the installation of new subsurface wastewater disposal systems in locations that are not included within a growth area designated by a municipality as part of a comprehensive planning process. The tax is equal to $750 per toilet installed in residential facilities and $1,000 per toilet installed in other facilities. The tax must be paid to the municipal plumbing inspector before a permit may be issued. The municipality retains 10% of the revenue to cover its collection costs. The remaining 90% of revenue is sent to the State and the net amount deposited 1/2 in the Municipal Investment Trust Fund to assist municipalities with public infrastructure improvements and downtown development and 1/2 in the Housing Opportunities for Maine Fund to support affordable housing.