PLEASE NOTE: Legislative Information cannot perform research, provide legal advice, or interpret Maine law. For legal assistance, please contact a qualified attorney.
An Act To Authorize Municipal Property Tax Deferral Programs
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 36 MRSA c. 907-B  is enacted to read:
CHAPTER 907-B
MUNICIPAL PROPERTY TAX DEFERRAL PROGRAM
§ 6241.  Definitions
For the purposes of this chapter, unless the context otherwise indicates, the terms used in this chapter have the same meaning as in chapter 907.
§ 6242.  Municipal authority
The legislative body of a municipality may by ordinance adopt a program to defer property tax payments of persons who own homesteads in the municipality. A municipality may choose to restrict the program to persons who are at least 62 years of age.
 
1.  Condition of program.     A program adopted under this section must:
 
A.  Require that the claimant owns a homestead in the municipality;
 
B.  Calculate benefits in a way that provides greater benefits proportionally to claimants with lower incomes in relation to their property taxes; and
 
C.  Specify events requiring payment of deferred property taxes and interest.
 
2.  Relationship to state Circuitbreaker Program and to municipal property tax assistance.     Benefits received under a program adopted by a municipality under this section are in addition to benefits provided under chapters 907 and 907-A. A municipality may, but is not required to, provide that:
 
A.  Benefits under the program are equal to a percentage of the benefits received by the claimant under chapters 907 and 907-A; or
 
B.  The amount of benefits received under the program are equal to the balance of property tax payments remaining after benefits are received by the claimant under chapters 907 and 907-A.
 
3.  Repeal of program.     A municipality that has adopted a program under this section may repeal it through the same procedure by which the program was adopted.
 
SUMMARY
This bill authorizes municipalities to establish property tax deferral programs.