MaineLD 274132nd Maine Legislature (2025-2026)HouseWALLET

An Act Making Unified Allocations from the Highway Fund and Other Funds for the Expenditures of State Government and Changing Certain Provisions of the Law Necessary to the Proper Operations of State Government for the Fiscal Years Ending June 30, 2025, June 30, 2026 and June 30, 2027

Sponsored By: Lydia Crafts (Democratic)

Signed by Governor

GENERAL HIGHWAY FUNDGENERAL HIGHWAY FUND - PART I

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Bill Overview

Analyzed Economic Effects

12 provisions identified: 8 benefits, 1 costs, 3 mixed.

TransCap can issue $250M bonds

The law lets the Maine Municipal Bond Bank issue up to $250 million in TransCap revenue bonds through fiscal year 2026-27 at DOT’s request. The money finances transportation capital projects statewide.

Record funding for roads and bridges

The law directs $500 million in federal funds each year (2025-26 and 2026-27) to highway and bridge work. It also adds $153 million in 2025-26 and $175 million in 2026-27 from special state funds. A later offset cuts $2 million from 2026-27 capital lines in both the Highway Fund and special funds. Overall, Maine increases road and bridge investment across the biennium.

More staff and gear for State Police

The law expands State Police capacity tied to highway work. It adds new positions, including a Behavioral Health Coordinator, a Lieutenant, three Specialists, and two Detective Corporals. It funds one-time gear and facility needs, and buys hybrid vehicles on the normal replacement schedule. It also adds $462,224 in 2025-26 and $607,286 in 2026-27 to pay vehicle debt service.

Faster delivery of DOT projects

The law gives DOT extra money to speed up projects. It adds one-time Highway Fund money of $8 million in 2025-26 and $8 million in 2026-27 to prebuy materials, rent gear, and use consultants. It also adds $5 million each year in ongoing operating funds for the same delivery needs. This supports faster, more reliable construction schedules.

More money for transit and rail

The law moves $5 million each year in 2025-26 and 2026-27 into the transit program. It also provides $10 million in federal capital funds in each year for freight rail projects. This boosts transit and rail service and infrastructure.

Stable aid for local roads

The law sets Local Road Assistance at 9% of DOT’s Highway Fund for highway and bridge work each year. By July 1, the Commissioner adjusts the base and the per-lane-mile rates to match revenue. The program receives $30,777,458 in 2025-26 and $30,421,177 in 2026-27 to help towns maintain local roads.

DOT job cuts and higher attrition

The law reduces DOT staffing and payroll. It eliminates 60 DOT crew jobs and cuts Maintenance and Operations personal services by about $11 million each year. Highway Fund personal services are reduced by $6,063,213 in 2025-26 and $6,269,757 in 2026-27 due to higher attrition. The budgeted attrition rate for executive branch agencies rises to 5% for the 2026-27 biennium, then returns to 1.6%.

Highway Fund carryovers and transfers

The law keeps more Highway Fund money working on projects. At each fiscal year end, any unallocated balance over $100,000 moves to DOT highway, bridge, maintenance, light-capital, or multimodal accounts. Money set aside for construction, maintenance, and multimodal assets now carries forward and does not lapse. The DOT Commissioner may shift verified payroll savings to capital and multimodal work, with Budget Officer and Governor approval and reports due Sept. 15, 2026 and Sept. 15, 2027. The Budget Officer also totals attrition savings and, with the Governor’s approval, transfers them and reports by Oct. 1, 2025.

More support for Maine ferries

The law strengthens Maine State Ferry Service. The state now covers 50% of ferry operating costs, with $496,352 in 2025-26 and $591,837 in 2026-27 from the Highway Fund. Four ferry crew jobs become permanent. It also funds temporary contract services with $250,000 a year from the Highway Fund and $500,000 a year from the Island Ferry Services Fund to keep service running.

Upgrades to DOT gear and garages

The law upgrades DOT maintenance capacity. It provides $600,000 in 2025-26 and $600,000 in 2026-27 to buy maintenance equipment. It also adds $2,405,096 in 2025-26 and $2,486,615 in 2026-27 to rehabilitate DOT crew facilities.

Two DOT jobs shift funding

The law changes how two DOT jobs are paid. The Contract Grant Manager and the Director of the Bureau of Highway Safety now split funding 50% federal and 50% Highway Fund. The jobs and duties do not change.

Vanity plate fee stays $25

The $25 annual vanity plate fee stays the same. The full fee now goes to the General Highway Fund. The prior rule that sent $10 to the TransCap Trust Fund is removed. The Highway Fund must set aside enough each year to run the program.

Sponsors & Cosponsors

Sponsor

  • Lydia Crafts

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 143 • No: 0

House vote • 3/20/2025

PASSAGE TO BE ENGROSSED

Yes: 143 • No: 0

Actions Timeline

  1. Signed by Governor, ACTPUB Chapter 9

    3/21/2025
  2. PASSED TO BE ENACTED - Emergency - 2/3 Elected Required, in concurrence.

    3/20/2025Senate
  3. This being an emergency measure, a two-thirds vote of all the members elected to the House was necessary.PASSED TO BE ENACTED.Sent for concurrence. ORDERED SENT FORTHWITH.

    3/20/2025House
  4. Reports READ and ACCEPTED in concurrence READ ONCE Committee Amendment "A" (H-14) READ House Amendment "A" (H-22) to Committee Amendment "A" (H-14) READ and ADOPTED Committee Amendment "A" (H-14) as Amended by House Amendment "A" (H-22) thereto ADOPTED Under suspension of the Rules, READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED by Committee Amendment "A" (H-14) as Amended by House Amendment "A" (H-22) thereto in concurrence

    3/20/2025Senate
  5. Report READ and ACCEPTED, in concurrence.READ ONCE.Committee Amendment "A" (H-14) 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-14), in concurrence.Ordered sent down forthwith.

    3/20/2025Senate
  6. CONSENT CALENDAR - FIRST DAYOn OBJECTION of Representative MOONEN of Portland REMOVED.The Committee Report was READ and ACCEPTED.The Bill was READ ONCE.Committee Amendment "A" (H-14) was READ.On motion of Representative CRAFTS of Newcastle, House Amendment "A" (H-22) to Committee Amendment "A" (H-14) was READ and ADOPTED.Committee Amendment "A" (H-14) as Amended by House Amendment "A" (H-22) thereto was ADOPTED. The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment "A" (H-14) as Amended by House Amendment "A" (H-22) thereto.ROLL CALL NO. 21(Yeas 143 - Nays 0 - Absent 7 - Excused 0 - Restricted - 1)Sent for concurrence. ORDERED SENT FORTHWITH.

    3/20/2025House
  7. The Bill was REFERRED to the Committee on TRANSPORTATION in concurrence

    1/28/2025Senate
  8. Committee on Transportation suggested and ordered printed. The Bill was REFERRED to the Committee on TRANSPORTATION.Sent for concurrence. ORDERED SENT FORTHWITH.

    1/28/2025House

Bill Text

  • Amendment C-A (H-14), adopted by House & Senate

  • Amendment H-A to C-A (H-22), adopted by House & Senate

  • Enacted

  • Introduced

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