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MaineLD 1747132nd Maine Legislature (2025-2026)HouseWALLET

An Act to Repeal and Replace the Charter of the Yarmouth Water District

Sponsored By: Arthur Bell (Democratic)

Signed by Governor

WATER DISTRICTSWATER DISTRICTS - CHARTER CHANGES

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 1 benefits, 1 costs, 5 mixed.

Uniform water rates and liens

Everyone who gets district water must pay uniform rates set under Maine law. The district can place a lien on real estate and foreclose to collect unpaid charges. Rates must cover costs and interest and add 1% to 4% of total debt to a sinking fund each year, or retire at least 1% of bond principal annually. Trustees can borrow and issue bonds and may pay up to a 5% call premium; the district’s notes and bonds are legal investments.

Professional manager and tighter budgets

The board appoints a general manager to run daily operations. The manager prepares the full annual budget, including pay, and gives it to the board before the public sees it. The full board must approve the budget by a majority vote.

How the water board runs

A five-member board represents both towns based on metered services; each town has at least one seat and shares adjust after each census. Trustees serve staggered three-year terms; elections use municipal secret ballots, and town officials fill vacancies with less than 15 months left. Trustees must live in the town they represent and may not hold other elected town office; former trustees must wait 18 months before taking a paid district job. Trustees choose a chair, treasurer, and clerk; the treasurer posts a bond paid by the district. The board can adopt bylaws, set meeting rules and quorums, set trustee pay only at a noticed meeting, and rent office space and pay needed expenses. Part-time trustees selected after January 1, 1987 cannot join the state retirement system because of their trustee role.

District property is tax-exempt

The district is a quasi-municipal corporation. District-owned water system property is exempt from local property tax once the charter is adopted by referendum. This can reduce the local tax base.

Eminent domain with owner protections

The district may take land or water rights needed for dams, pipes, and other works. It cannot take facilities of another public utility that are used or held for public service. If land is taken or excavated, the district must pay all damages. If the parties do not agree, damages are set using Maine’s highway-taking process.

New two-town water district

The law creates one water district for Yarmouth and North Yarmouth, subject to majority voter approval in each town within two years. The district takes over valid water contracts and confirms past transfers of water assets. It can sell water to other utilities, sign contracts, and accept state or federal grants. The district needs Public Utilities Commission consent before serving territory assigned to another water utility.

Water sources and building power

The district may draw water from the Royal River and local springs, ponds, brooks, and aquifers. Using a source in New Gloucester requires joint approval by the district and New Gloucester officials. The district can build and maintain wells, pipes, treatment plants, and other works, and must leave streets as safe as before. To cross another utility’s property, it must get consent or, after 30 days without agreement, ask the PUC to set the terms; work is supervised and done at the district’s expense.

Sponsors & Cosponsors

Sponsor

  • Arthur Bell

    Democratic • House

Cosponsors

  • Anne Graham

    Democratic • House

Roll Call Votes

No roll call votes available for this bill.

Actions Timeline

  1. Signed by Governor

    5/1/2026

  2. PASSED TO BE ENACTED, in concurrence.

    6/2/2025Senate

  3. PASSED TO BE ENACTED. Sent for concurrence. ORDERED SENT FORTHWITH.

    5/29/2025House

  4. Report READ and ACCEPTED, in concurrence.READ ONCE.Committee Amendment "A" (H-279) READ and ADOPTED, in concurrence.Under suspension of the Rules, READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED BY Committee Amendment "A" (H-279), in concurrence.Ordered sent down forthwith.

    5/28/2025Senate

  5. CONSENT CALENDAR - FIRST DAYUnder suspension of the rules CONSENT CALENDAR - SECOND DAY.The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment "A" (H-279).Sent for concurrence. ORDERED SENT FORTHWITH.

    5/27/2025House

  6. The Bill was REFERRED to the Committee on ENERGY, UTILITIES AND TECHNOLOGY in concurrence

    4/22/2025Senate

  7. Committee on Energy, Utilities and Technology suggested and ordered printed. The Bill was REFERRED to the Committee on ENERGY, UTILITIES AND TECHNOLOGY.Sent for concurrence. ORDERED SENT FORTHWITH.

    4/22/2025House

Bill Text

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