PART X

Sec. X-1. 5 MRSA §1511, as amended by PL 2001, c. 559, Pt. V, §1, is further amended to read:

§1511. Reserve for General Fund operating capital

The State Controller may shall, at the close of each fiscal year, transfer from the 16% of the Unappropriated Surplus of the General Fund to the Reserve for General Fund Operating Capital such amounts as may be available from time to time up to an amount of $1,000,000 a year until a maximum of $50,000,000 is achieved. The State Controller is further authorized, at the close of each fiscal year, to transfer from the Unappropriated Surplus of the General Fund to the Loan Insurance Reserve amounts as may be available from time to time, up to an amount of $1,000,000 per year after the transfers have been made pursuant to section 1507. The balance of this reserve must be paid to the Finance Authority of Maine if such payment does not cause the balance in the reserve fund maintained by the authority, when added to amounts held in the Finance Authority of Maine Mortgage Insurance Fund that are not committed or encumbered for another purpose, to exceed $35,000,000. Any balance in the Loan Insurance Reserve is appropriated for this purpose.

Sec. X-2. 5 MRSA §1513, sub-§1, as corrected by RR 1999, c. 2, §1, is amended to read:

1. Maine Budget Stabilization Fund. As the first priority before any other transfer, the State Controller shall at the close of each fiscal year reserve from transfer 32% of the unappropriated surplus of the General Fund an amount equal to 1/2 the excess of total General Fund revenues received over accepted estimates in that fiscal year and transfer that amount to the Maine Rainy Day Budget Stabilization Fund at the beginning of the next fiscal year. Accepted revenue estimates may not be increased after adjournment of each First Regular Session of the Legislature except as provided. For the first year of the biennium, revenue estimates for the 2nd year of the biennium may be adjusted once during the Second Regular Session of the Legislature. Accepted revenue estimates may be increased for other fiscal periods only if an amount not to exceed 1/2 of the increase is transferred by the State Controller to the Rainy Day Fund at the same time from the unappropriated surplus of the General Fund. The fund may not exceed 6% 10% of the total