1- How the Environmental Public Policymaking Process Works in Maine

There are many steps in the process to create or change environmental laws in Maine. The first step -- at the Maine State Legislature -- is the one with which most citizen activists are familiar. At the legislative stage ideas about increasing or reducing environmental protection are introduced as bills. If successful at the Legislature these bills become laws.

However, this is only half the story. While the Legislature sets broad policy and passes laws, state agencies and related regulatory boards draft and approve "rules," or implementing language, that spell out exactly how the new program or policy is meant to work and how it will be monitored and enforced. This arcane and lesser-known process of "rulemaking" is critical in determining a new law's final outcome.

Not only is public participation possible at the rulemaking stage; it is vital. It is also more challenging. In the Legislature, publicly elected officials expect and are open to citizen feedback throughout the process. By contrast, appointed commissioners, regulatory board members, and agency staff hired within the state bureaucratic system are less accountable to or influenced by the public. Nevertheless, their actions profoundly affect the process of making and enforcing laws.

In addition to understanding how a bill becomes a law at the legislative level, citizen activists must know how to access the system at the rulemaking level. Under the Maine Administrative Procedures Act (MAPA) these rulemaking entities must allow public participation in their processes. During public hearings and written comment periods, citizens can influence these less public processes, particularly if they appear in numbers and if they have unique, useful information to share with decision-makers.

This chapter describes the three major steps required in making environmental public policy: the Legislative Process; the Role of the Governor; and Rulemaking.

The Legislative Process

The Maine Legislature is divided into two "bodies" or chambers: a 35-member Senate and a 151-member House of Representatives. There is also one representative each from the Passamaquoddy Tribe and the Penobscot Nation in the House; they do not vote but do serve on legislative committees and sponsor some legislation. Each senator represents about 31,500 people and a representative represents about 7,300 people.

The Legislative Session

The term "Legislative Session" officially refers to a two-year term. Terms have been numbered chronologically since the opening of the very first Legislature. The first year, called "the long session," convenes on the first Wednesday of December following the General Election and commences its business on the first Wednesday of the following January. It is scheduled to adjourn on the third Wednesday in June. The second year, or "short session," convenes on the first Wednesday after the first Tuesday in January and adjourns on the third Wednesday in April in the even-numbered year following the General Election. Both sessions tend to run longer than the statutory adjournment date by as much as a month or more. The Governor occasionally calls for "Special Sessions" so that the Legislature can vote on budgetary matters, appointments, and other items.

Legislative Leadership

The House and the Senate each have leaders responsible for making the business of that chamber run smoothly and carrying out the duties of the respective bodies. In each body, members of the two major parties choose their respective leaders, the Majority Leader and Assistant Majority Leader and the Minority Leader and Assistant Minority Leader. The bodies are presided over by the Speaker of the House and the President of the Senate, elected by the respective bodies. In practice, these two leaders are drawn from the party with the most members. These ten leaders, known as the Legislative Council, comprise the overall governing body of the Legislature.

Legislative Committees

A typical "session" brings about 1500-2500 new bills to this body of 186 legislators. In order to efficiently analyze and make decisions about these new bills, the Legislature is divided up into 17 Joint Standing Committees, each focusing on a specific topic area. Most committees consist of three members of the Senate and ten House members; a Native American Representative may serve as a fourteenth member. The President of the Senate and Speaker of the House each appoint the committee chair and members from their respective chambers. Each committee has a Senate Chair, who presides, and a House Chair. Leaders of the minority parties suggest committee assignments for their members. The first-named minority party member is the lead minority member.

Each committee is assigned a legislative analyst from the Office of Policy and Legal Analysis or the Office of Fiscal and Program Review. The analyst provides nonpartisan legal and technical staff services to all committee members. Each committee also has a clerk who is responsible for maintaining official records of the committee and for providing general clerical and administrative support.

From Bill to Law

• Idea Developed

Ideas for bills come from many different sources: legislators, committees, study groups, lobbyists, public interest groups, municipal officials, the Governor, state agencies and individual citizens. However, only a legislator can introduce bills. Once a legislator decides to sponsor a bill, he becomes the caretaker of that bill through the rest of the process.

The legislator who originally sponsors a bill may ask other legislators in either chamber to join as co-sponsors. It is strategically helpful to have co-sponsors representing a diversity of political parties, interests, regions of the state or key committees. Each bill can have up to ten sponsors: one primary sponsor, one lead co-sponsor from the other chamber, and eight other co-sponsors from either of the two chambers. Legislators usually support bills they sponsor. However, they may introduce bills "by request" as a service to their constituents when they do not fully support the purpose of the measures.

Bill Drafted

A legislator may draft the bill, have it drafted by the group who requested the bill, or request assistance from several legislative offices (Revisor; Policy and Legal Analysis; Fiscal and Program Review.)

The Revisor's Office serves as the central registry for all bill requests and administers the bill filing deadlines. Before bills are in final form, staff at the Revisor's Office review all proposed bills and ensure that they conform to proper form, style and usage. Preliminary drafts of bills are assigned a Legislative Reference (LR) number used to track the request until it is printed as a Legislative Document (LD.) The document number (LD#) is the easiest one to use when checking the Legislature's website to track the status of a bill.

Cloture is the official deadline by which all bills must be filed with the Revisor's office. This date is set by the Legislature's Joint Rules: 4:00 P.M. on the third Friday in December for the first session, during which time there are no limitations on the number of bills that may be submitted. The second session of the legislature is limited by the Constitution to "emergency" bills, such as budgetary matters, the Governor's legislation, legislation of an emergency nature approved by the Legislative Council, legislation submitted pursuant to authorized studies, and legislation submitted by direct initiative petition of the electors. Legislative leaders set the deadline for introduction of emergency bills for the second session. The date is usually the second or third Friday in October.

Bill Introduced

After the bill is processed by the Revisor's Office, the sponsor reviews the draft, with the option of making changes within a short amount of time. If there are no changes to be made, he and all co-sponsors sign the bill. The final, signed draft is sent to the Secretary of the Senate and the Clerk of the House who recommend the Committee of Reference, assign the bill a Senate or House LD number, and place it on the calendar for consideration in that legislative body. Bills are usually identified and referred to throughout the rest of the session by their LD numbers. The bill is printed with all this information on it and distributed to all members of the Legislature, and all those who have signed up for bill distribution service. (See Example & Explanation of a LD/Bill.)

Committee Reference

A bill is referred to the committee deemed most appropriate based on the bill's subject matter. For example, the Agriculture, Conservation and Forestry Committee reviews most bills that deal with farming. However, a bill making tax changes for farmers would likely be referred to the Taxation Committee. The vote on reference is the first floor vote taken on a bill. In most cases, approval of the suggested committee reference is a matter of form. Occasionally, the reference is debated and the House and Senate may vote against the suggested reference and refer the bill to a different committee. If the House and Senate cannot agree on which committee will hear the bill, that piece of legislation can go no further in the process.

Committee Action

Bills are reviewed, analyzed and discussed by one or more legislative committees before they are considered by the full Legislature. Occasionally a bill is deemed by Legislative Council to be of such emergency nature that it is not referred to a committee but is considered, debated and voted on by the two chambers as a whole. Following referral, bills receive public hearings and are worked on in committee work sessions. The full committee then votes on the bill, and a "report" on the bill is sent to the originating chamber.

• Public Hearings

The public hearing, presided over by a committee chair, allows legislative sponsors to explain the purpose of the bill and citizens, state officials, and lobbyists to give their views and provide information on the topic. Customarily, the bill's sponsor testifies first, followed by any cosponsors and other proponents. Opponents testify next, and finally, those persons who would like to comment "neither for nor against." Some committees allow citizens volunteering their time to speak first as an expression of courtesy. At the conclusion of a person's testimony, committee members may ask questions. Usually there is no time limit, although all speakers are encouraged to be succinct and not repeat previous testimony.

Hearings are usually held at the committee's regular meeting room in the State House or in the Cross Building. Hearing dates are publicized in Maine's major newspapers and in the weekly Advanced Notice of Public Hearing schedule available at the State House and online at www.maine.gov/legis. (For in-depth information about the public hearing process, see A Guide to Participating in Public Hearings.)

• Work Sessions

Following the public hearing, committee members meet and discuss the bill in work sessions. The committee works with the legislative analyst to clarify details, draft amendments or review amendments proposed by others. Some bills require several work sessions. These sessions are open to the public and, at the invitation of the committee, state agency representatives, lobbyists and citizens may address the committee to suggest compromises or amendments and answer questions. At times, revisions are so extensive that the entire substance of the bill is changed. Occasionally, extensive revision of a bill may take the form of a new draft, rather than an amendment. A new draft is printed as a new bill with a new LD number. Authorization of the President and Speaker is required to prepare a new draft.

• Committee Reports

The committee's decisions on bills and amendments are expressed by votes on motions made during a work session; the final action is called a "committee report." Committee reports greatly influence whether a given bill will succeed or fail; they can also vary widely.

A unanimous report means all committee members agree. Possible unanimous committee reports are:

If committee members disagree about a bill, they may issue a divided report, which usually includes majority and minority reports on the bill. Example: a majority `ought not to pass' report and a minority report of `ought to pass as amended.'

Prior to reporting out a bill, the committee must determine whether the bill will increase or decrease state revenues or expenditures as well as whether the bill constitutes a State Mandate under the Maine Constitution. The Office of Fiscal and Program Review determines whether the bill will have a fiscal impact. If it does, a "Fiscal Note," which describes the fiscal impact, must accompany the bill. If the bill constitutes a State Mandate, this fact is also noted in the Fiscal Note.

House and Senate Action

A reported bill is returned to the body in which the prime sponsor serves. The body then votes whether to accept or reject the report. Possible scenarios include the following:

• "Ought to Pass"

If an "ought to pass" report is accepted, the bill receives its first "reading" by the Clerk of the House or Secretary of the Senate. The bill is then assigned for a second reading, which is usually the next day.

• Consent Calendar

If the bill has received a unanimous "ought to pass" or "ought to pass as amended" report, the House lists the bill on the "Consent Calendar" for two legislative days. After two days, if no member of the chamber objects, it is engrossed for passage. Importantly, with the objection of any member, a bill can be removed from the Consent Calendar and debated. Bills that cause a gain or loss of revenues cannot be placed on the Consent Calendar. There is no Consent Calendar in the Senate.

• "Ought not to Pass"

Bills receiving a unanimous "ought not to pass" report are placed in the legislative file and considered defeated (or "dead.") No further action may be taken unless a Joint Order "recalling the bill from the file" is approved by two-thirds of the members of both houses.

Second Reading

• Floor Debate

After a bill has had its first and second reading it may be debated. Often the chair of the Committee to which the bill was referred speaks first in favor of the committee report, or to answer questions, followed by the sponsor and other committee members who support the bill. Senators indicate their wish to speak by pressing an electronic switch at their desk, while Representatives do so by rising in their place and calling "Mr. Speaker" or "Madam Speaker."

• Floor Amendments

House and Senate members may offer floor amendments to a bill during floor debate. Requests for floor amendments must be filed with the Revisor's Office, presented to the Clerk or Secretary, numbered, printed, and distributed to members before they may be offered on the floor. If an amendment affects an appropriation in any way, it must also include an amended appropriation or fiscal note.

Unless the committee report is a unanimous `ought not to pass,' a legislator may move, at the appropriate time during debate, to substitute the original bill for the committee report. A majority vote is required for such a motion to proceed.

A legislator who wishes to delay a bill at any step of the process to get more information, or for other reasons, may move to "table" the bill until the next day or some other time. Both the House and Senate calendars have sections marked "Tabled." These tabled items can sit in this section for many legislative days, or be quickly taken up, debated and voted, depending on the will of the leaders involved.

A legislator who strongly opposes a bill may move for "indefinite postponement," which, if approved, defeats the bill. These motions require approval by majority votes in both bodies to succeed.

• Voting

The presiding officer will call for a vote on the current motion on the bill. There are three types of votes:

• Passage to be Engrossed

After legislators complete the debating and amending processes, they vote on whether to pass the measure to be engrossed. For "engrossment," the Revisor's Office prints the bill and all adopted amendments together in an integrated document. After the bill has been "engrossed," it is sent to the other chamber for consideration.

Second Chamber

If the bill started in the House, it now goes to the Senate for a similar process, or the reverse. If the second chamber amends the bill, it is returned to the first for a vote on the changes. A bill receives final legislative approval when it passes both chambers in identical form.

• Enactment

After engrossment all bills must be considered for final passage, first in the House and then in the Senate. The necessary vote for enactment is usually a simple majority; however, there are important exceptions. Emergency bills and bills that constitute a State Mandate (as well as bills that change the use of state park land or affect the mining excise tax trust fund) require a two-thirds vote of the elected members of the legislature. Bills to issue bonds or reapportion legislative districts require a two-thirds vote of those members present and voting. If a bill fails enactment in both houses, it goes no further in the process. If the House and Senate disagree on enactment, additional votes may be taken. These give each body the opportunity to "recede and concur" (back up and agree) with the other body or to "insist" or "adhere" to its original vote. If the disagreement cannot be resolved, the bill is said to have failed enactment and "died between the bodies." Occasionally, a special "Conference Committee" may be named by the President and Speaker to seek a compromise when the two chambers disagree on the form of the bill.

Appropriations Table

Once bills that affect the General Fund or Highway Fund have been passed to be engrossed in the Senate, and enacted in the House, they are assigned in the Senate to the Special Appropriations Table (if they involve the General Fund) or to the Special Highway Table (if they involve the Highway Fund.) At the very end of the session, once the budgets are enacted, the Legislature's Appropriations Committee and Transportation Committee each meet to consider each item on the Table and decide what programs or bills will be funded and at what level. Since spending requests almost always exceed available funds, many bills die or are scaled back at this stage. The Legislative Council may review and alter decisions made by the committee.

Next, the Senate chairs of the Appropriations and Transportation Committees make motions to remove the bills from these special tables and to enact, amend or indefinitely postpone them, reflecting the decisions made. (See State Government Budget Process and Budget Basics.)

The Governor's Desk

The Governor's desk is the last stop in the legislative process, and he has the power to sign or veto all legislative bills. When a bill finally reaches the Governor, he has several options.

• The Governor signs the bill.

If signed, the bill ordinarily becomes law 90 days after the adjournment of that legislative session _ unless it is an emergency measure, in which case it takes effect upon the Governor's signing or on a date specified in the bill.

• The Governor vetoes the bill.

If vetoed, the bill returns to the house of origin, where a two-thirds vote of those present is required to override. Both bodies must vote to override in order to overturn a veto. If the Legislature overrides, the bill becomes law without gubernatorial approval.

• The Governor does nothing.

If the Governor allows a bill to remain on his desk for 10 days without signature, it automatically becomes law. The Governor may decide to do this if he does not support a bill but does not wish to veto it.

• The Governor may "pocket veto."

When the Legislature adjourns before the 10-day time limit has expired, a bill on which the Governor has not acted prior to the adjournment of the session becomes law unless the Governor vetoes it within three days after the reconvening of that Legislature. If there is not another meeting of that particular Legislature lasting more than three days, the bill does not become law. This action is known as a "pocket veto."

Law

A bill becomes law 90 days after it is signed. A bill can become law immediately if the Legislature, by a two-thirds vote of each chamber, declares that an emergency exists. An emergency law takes effect on the date the Governor signs it unless otherwise specified in its text. If a bill is vetoed, it will become law if the Legislature overrides the veto by a two-thirds vote of those members present and voting in both chambers.

The Referendum Process

Maine's constitution grants citizens the ultimate power over legislation. Using the petition process, voters may overturn legislation with a "people's veto." Voters may also propose legislation using the petition process. Both the citizen initiative and the people's veto process are difficult, because they were designed as a last resort.

Each process requires collecting a significant number of valid signatures of registered Maine voters. The number required is the equivalent of 10 percent of the total votes for Governor cast in the most recent gubernatorial election (in 2004, the threshold stands at 50,519.) Any registered Maine voter may circulate a citizen initiative or veto petition.

A people's veto petition must be submitted to the Secretary of State 90 days after the recess of the Legislature. The law it is intended to overturn is suspended until the question is put to the voters. The Governor schedules the question to be voted on at a general election at least two months in the future. If no general election is scheduled in the next six months, he sets a special election.

A group attempting to initiate legislation submits a written application with the full text of the proposed law to the Secretary of State, who has ten days to review the application and accept, reject or revise it. Once approved, the petition may be circulated for one year from the date the approved petition is provided to the applicant (date of issuance). The petition must be submitted by the 50th day after the Legislature convenes its first regular session (odd numbered years) or by the 25th day after it convenes its second regular session (even numbered years).

Once a petition has been submitted to the Legislature, lawmakers can do only the following: enact the law as submitted; refer it to the people for a referendum vote; or pass a competing measure, in which case both the original question and the competing measure are voted on by the people.

The Role of the Governor

The Governor sets the tone and overall personality of state government throughout his tenure in office. The policies he proposes and the individuals he appoints influence the decisions made by state government not only during his term of office but often for many years beyond.

In addition to signing or vetoing all legislative bills, the Governor influences the public policy arena in a multitude of other ways: by generating the annual state budget; introducing his own as well as agency bills; and working through his staff to pass or defeat certain legislation.

The Governor nominates and, after the Legislature confirms their appointment, supervises the commissioners who head the state agencies. Those concerned with natural resources in Maine include the Departments of Environmental Protection, Conservation, Marine Resources, Transportation and Inland Fisheries and Wildlife. The Governor also appoints individuals to the boards and commissions that make environmental decisions, such as the Board of Environmental Protection, the Land for Maine's Future Board and the Public Utilities Commission.

The process of choosing appointees for agencies and boards is discreet and private. However, many groups, especially those active in the Governor's election, make their preferences known. Usually a small group of people very close to the Governor has the most influence over these decisions.

The Nominating Process

The Governor's Director of Boards and Commissions keeps track of term expirations and information on those who are interested in joining a board or commission. The Governor and his staff review all the candidates for each post; information comes from formal and informal channels. Most boards and commissions have few if any requirements in statute regarding the experience or skills needed to be member. So, on the face of it, any public citizen can serve. When the Governor's choice is made, it is listed on the "Nominations" clipboard outside the Governor's office, and publicly announced. (More about the process can be found on page 2-9.)

The Confirmation Process

Once the Governor nominates an individual to a state agency, board or commission post, the nomination is sent to the President of the Senate and the Speaker of the House. That information and any accompanying materials are forwarded to the chairs of the Joint Standing Committee charged with reviewing nominations for that office. For example, the Joint Standing Committee on Natural Resources would review a nominee for the Commissioner of the Department of Environmental Protection, or a new member of the Board of Environmental Protection.

• Committee hearing

Within 30 days from the date of the Governor's notice of the nomination, the relevant committee reviews the appointment and holds a public hearing at which it takes public comment, both written and oral, on the nominee. All testimony is recorded and other materials received by the Committee are recorded, transcribed and stored at the State Law Library.

• Committee vote

After the public hearing, the Committee recommends confirmation or denial by majority vote of committee members present. This must be taken as a recorded, roll-call vote. A vote may not be taken sooner than 15 minutes after the close of the public hearing unless by agreement of all committee members present. Committee chairs send written notices of the vote result to the President of the Senate.

• Senate review and vote

After reviewing the committee's recommendation, the Senate votes on the nomination. This recorded, roll-call vote is the final action of confirmation or denial. A vote of two-thirds of those Senators present and voting is necessary to override the Committee recommendation.

• Nomination withdrawal

The Governor may withdraw a nomination at any time prior to the Senate vote. In that event, the Legislature may not take any further action on the nomination.

Rulemaking: The Implementation of a Law

Rulemaking is the process through which state agencies design the implementation and enforcement of laws. Rulemaking is guided by the Maine Administrative Procedure Act (MAPA), which applies uniform requirements to agencies with rulemaking power. MAPA sets minimum standards for agencies to follow not only in rulemaking but also in other administrative actions such as advisory ruling, adjudicatory proceedings, and licensing. Much policy in general -- and environmental policy in specific -- is written and carried out in these administrative proceedings.

Rule drafting

A "rule," or "regulation" implements or interprets law, and describes the procedures or practices of a given agency in carrying it out. Various sources may initiate rulemaking: a request from the Governor, direction from the Legislature in order to implement new policies, or a decision by agency staff that a new policy or a change to an existing law requires rulemaking. Citizens can also petition for rulemaking. Agency staff draft a proposed rule using their technical, substantive expertise on the issue and fit the new rule logically within the body of existing rules. They use the format established by the Secretary of State and consult with Attorney General staff. The drafting process varies, but some departments maintain lists of "interested parties" and contact them whenever rulemaking or rule changes are contemplated on certain issues. Some departments form stakeholder groups to allow initial review and comment on a proposed rule before the public comment requirements of MAPA begin.

Public Notice of Proposed Rule

Once a rule has been drafted, it is advertised. The Secretary of State's office publishes a Notice of State Rulemaking on Wednesdays in the classified section of five daily newspapers: the Bangor Daily News, Morning Sentinel (Waterville), Kennebec Journal, Lewiston Sun-Journal and the Portland Press Herald. Notice is also given to any person specified in the statute authorizing the rulemaking; any trade, industry, professional interest group, or regional publication that the agency deems effective in reaching affected persons; any person who has filed within the past year a written request for notice of rulemaking.

An agency may or may not schedule a public hearing on the rule. If no hearing is scheduled, citizens may submit written comments within a comment deadline set by the agency, at a minimum within 30 days of publication of the Notice. If a hearing is scheduled, the Notice must appear 17-24 days prior to the hearing date with a comment deadline at least 10 days after the hearing.

Hearing

When required by statutes, or when requested by five persons, or simply by choice of an agency, a public hearing may follow the Notice of Proposed Rulemaking. MAPA requires that agencies accept comments for at least ten days after the hearing, and consider all available relevant information, including public comments, before adoption of the proposed rule.

Notice of Revised Rule

If, after comments have been received from the public on a given rule, the rule the agency intends to adopt is substantially different from that which was originally proposed, Legislative Council must be notified. Notice of the revised rule must be sent out to the public. The agency solicits comments again from the public on the proposed changes by publishing a notice in the Secretary of State's Rulemaking ad and allowing another thirty-day comment period. This new comment deadline also triggers a new adoption (120 day) deadline and a new Attorney General review (150 day) deadline.

Rule Adoption

After complying with all hearing requirements and considering the information available, the agency makes a formal decision on the proposed rule. Adoption must be by official action of the agency and must take place within 120 days from the comment deadline. The physical definition of adoption is the dated signature of the agency representative on the certification statement.

At the time of adoption, the agency must file with the Secretary of State a written statement explaining the factual and policy basis for the rule. The agency must also address all comments received and state its rationale for adoption or failing to adopt suggested changes. The agency may consolidate similar comments instead of addressing each one individually. The law also requires that agencies maintain and make available the names of persons whose comments were received and the organizations they represent, summaries of their comments, and a record of how agency members voted in rulemaking decisions.

Filing and Publicizing the Final Rule

Once adopted, rules are submitted to the Attorney General and the Secretary of State, who publishes a Notice of Rule Adoption in the weekly consolidated newspaper ad in major statewide papers. Agencies must supply free, or at cost, a copy of each rule adopted to anyone who has filed within the past year a written request for the agency's rules.

Final Adoption

The rule becomes effective no sooner than five days after it is "Accepted for Filing" by the APA Office at the Secretary of State.

Emergency Rule

In emergencies, certain provisions of MAPA allow an agency to modify the requirements for notice and hearings in order to avoid an immediate threat to public health, safety and welfare. Emergency rules are subject to the standard filing requirements. They may be effective for 90 days or less and must include an explanation of the emergency by the adopting agency. These findings are subject to judicial review to ensure that this exception to MAPA is used only for actual emergencies. Within 10 days from the adoption of the emergency rule, Legislative Council must be notified.

Provisional Adoption

Since the MAPA was originally enacted in 1978, the Legislature has made several changes in order to increase its oversight of the rulemaking process. One such change is the requirement of legislative review of "major substantive" rules before they may be finally adopted and implemented by that agency. As a result the Legislature, when assigning rulemaking authority to state agencies, can differentiate between "minor technical" rules and "major substantive" rules. Minor technical chapters proceed through the rulemaking process described earlier and can be fully adopted by the agency with no further review. "Major substantive" rules, when they reach the adoption stage as described above, are labeled as "Provisionally Adopted" and sent back to the legislative committee in bill form and go through the standard legislative process. If both the House and the Senate approve the bill, these rules are finally deemed "adopted."

Joint Standing Committees of the Maine Legislature

• Agriculture, Conservation and Forestry

Department of Agriculture, Food and Rural Resources; agricultural fairs, products and marketing; animal welfare; food safety, inspection and labeling; dairy industry; pesticides regulation; nutrient management; farmland preservation; Department of Conservation; state parks, historic sites, public lands, and coastal islands registry; Maine Land Use Regulation Commission (LURC); geological surveying and mapping; forest management, marketing, use, health and fire control; land for Maine's Future Program; Baxter State Park.

• Appropriations and Financial Affairs

General Fund appropriations and general fiscal policy; federal funds and allocations; special revenue and block grant allocations; Budget Stabilization Fund; unappropriated surplus; bond issues; collective bargaining funding; review of revenue estimates; budgeting methodologies, general fiscal policy; and financial evaluation of agencies of state government.

• Business, Research and Economic Development

Business regulation, including automobile and fuel sales; professional and occupational licensing; retail pricing; franchising; advertising; returnable containers; real estate practices; insulation; credit law (business related); consumer protection; Maine State Housing Authority; affordable housing; homelessness; Finance Authority of Maine; economic planning and development agencies; venture capital and trade programs; opportunity zones; import competition; product marketing; public services; research and development; technology commercialization; technology transfers (Maine Science and Technology Foundation); tourism; and defense facility conversion.

• Criminal Justice and Public Safety

Maine Criminal Code; Maine Juvenile Code; Maine Bail Code; criminal law and criminal procedure; sentencing; Department of Public Safety; law enforcement; Criminal Justice Academy; victims' rights; Department of Corrections; adult and juvenile corrections; intensive supervision; probation and parole; county jails; community corrections; Criminal Justice Commission; operating under the influence; operating after suspension; habitual offenders; fire safety and arson; firearms; private investigators; security guards; and Maine Emergency Management Agency.

• Education and Cultural Affairs

Department of Education; State Board of Education; school finance, governance and administration; school budgets; school facilities; curriculum, instruction and assessment; teachers and administrators; special education and child development services; Governor Baxter School for the Deaf; career and technical education; alternative education, school choice and home schooling; truancy and dropouts; educational services at juvenile correctional facilities; adult education; Maine Education Policy Research Institute; University of Maine System; Maine Community College System; Maine Maritime Academy; post-secondary education finance and governance; student assistance programs at Finance Authority of Maine; and cultural affairs, including Maine Arts Commission, Maine State Library, Maine State Museum, and Maine public Broadcasting corporation.

• Health and Human Services

Department of Health and Human Services; Dirigo Health; Maine Health Data Organization; health and medical data; MaineCare, Medicaid, and Medicare Part D; children's services; public health and disease control; tobacco addition prevention and control; prescription drugs; health care facilities and health care workforce; social and rehabilitation services; state health planning; substance abuse; mental health; developmental disabilities; public assistance; nursing facilities and residential care; and elderly aging and long-term care.

• Inland Fisheries and Wildlife

Department of Inland Fisheries and Wildlife; hunting; fishing; trapping; recreational and hunter safety; fisheries and wildlife research; fish hatcheries; wardens; licensing; ATVs; snowmobiles; boat safety registration; personal water craft; and whitewater rafting.

• Insurance and Financial Services

Banking, financial institutions; credit unions; consumer credit; Uniform Consumer Credit Code; Bureau of Financial Institutions; Office of Consumer Credit Regulation; Office of Securities; stocks, mutual funds, bonds and other securities; financial services; Bureau of Insurance; credit, automobile, life, property and casualty insurance; health insurance; health maintenance organizations; mandated health benefits; health care reform; Dirigo Health Agency; State Employee Health Commission and state employees' group health plan; insurance rating, regulation and practices; insurance producers; licensing; Maine Employers Mutual Insurance Company; workers' compensation insurance; self-insurance; and viatical and life settlement contracts.

• Judiciary

Judicial system organization and budget; criminal procedure; civil procedure; civil actions, including torts and medical malpractice; Maine Tort Claims Act; liability; immunity; child protection; family law; domestic relations; child support; adoption; legal services; attorneys; Attorney General; abortion and reproductive rights; civil rights; human rights; Maine Human Rights commission; protection from harassment; protection from abuse; guardianship and conservatorship; probate law; property law; property rights; unclaimed property; business and nonprofit organizations; Uniform commercial Code; Maine Indian Claims Settlement Implementing Act; Maine Indian Tribal-State Commission; Freedom of Access, confidentiality and privacy laws; and errors and inconsistencies.

• Labor

Department of labor; wage and hour laws; working conditions, including health and safety; workforce development; unemployment compensation; workers' compensation; labor relations; collective bargaining; retirement eligibility and benefits for state and municipal employees, including teachers; judicial and legislative retirement systems; Workers' Compensation Board; and Maine State Retirement System.

• Legal and Veterans Affairs

Claims against the State; liquor laws; lottery; gambling; games of chance (beano, fairs, raffles, machines); harness racing; off-track betting; election laws; campaign financing; voter registration; initiatives and referenda; governmental ethics; lobbyist registration; landlord-tenant laws; veterans' programs; Department of Defense, Veterans and Emergency Management Services (except the Maine Emergency Management Agency); Bureau of Alcoholic Beverages and Lottery Operations; and Maine National Guard.

• Marine Resources

Department of Marine Resources; commercial marine fisheries management, licensing and enforcement; processing and sale of marine fish and shellfish; aquaculture; and anadromous fish.

• Natural Resources

Air and water quality; natural resource protection; site location and development laws, shore-land zoning and growth management; subdivisions; management and disposal of solid, hazardous, biomedical and special wastes; hydropower and dams; energy facility siting; waste-to-energy facilities; mining; and general environmental policy, including oversight of the Department of Environmental Protection.

• State and Local Government

State contracts and fiscal procedures; state government organization; oversight of state officials, personnel and property; administrative procedures, boards and commissions; capitol area planning; county and regional government; Legislature; and municipal and local government; county budget process; notaries public.

• Taxation

Bureau of Revenue Services; taxes; tax exemptions and credits; Maine Residents Property Tax Program; property valuation and assessment; tax increment financing; municipal revenue sharing; unorganized territories and tree growth tax issues.

• Transportation

Department of Transportation; Maine Turnpike Authority; Highway Fund; transportation policy; aeronautics; highway and bridge construction and maintenance; highway safety; waterways; railroads; and motor vehicles.

• Utilities and Energy

Energy policy,. Including energy resources and efficiency; electric industry, including supply, transportation and distribution; natural gas industry; telecommunications industry, including mobile, telephone, Internet and cable television services; E-9-1-1; water and sewer utilities, including district charters; Public Utilities Commission; Office of the Public Advocate; and Energy Resources Council.

Budget Basics: An Introduction to the State Budget

The State of Maine operates on a biennial budget, meaning it develops a budget for two years at a time. Unlike the federal government, Maine cannot operate at a deficit; the state Constitution requires that the budget must balance.

Maine has two distinct budgets. The Highway Fund budget derives revenues from the gasoline tax and a variety of fees and fines and is used for transportation purposes such as highway maintenance and funding the State Police. The Legislature's Joint Standing Committee on Transportation reviews and approves this budget, which was constitutionally separated from the General Fund in the 1950's. The Highway Fund is dedicated to highways and bridges, and does not pay for alternative forms of transportation such as bus and ferry services.

General Fund budget revenues come primarily from the income and sales tax (individual and corporate,) lottery ticket sales, and a variety of fees and fines. The budget also allocates funds from several other sources: federal funds, federal block grants, and dedicated revenues. It is reviewed by the Legislature's Joint Standing Committee on Appropriations and Financial Affairs.

Each budget is broken into two basic parts: Part I and Part II. Part I funds current services, with a built-in inflation factor. The Part I budget is the cost to continue all obligations including those that are constitutional (e.g., debt service on general fund bonds); statutory (e.g., K-12 education per-pupil guarantees set in law, revenue sharing); and legal (e.g., the Augusta Mental Health Institute consent decree.) Part II consists of new and expanded programs, usually those initiatives that form the cornerstones of the Governor's agenda, and the reorganizations of state agencies. In times of budget shortfalls, Part II is a reduction budget.

Many legislative sessions begin with a smaller supplemental budget needed to adjust spending levels in a limited number of programs i.e., cover shortfalls or appropriate a revenue surplus in the current fiscal year.

The Governor presents his proposed budget to the Legislature early in the beginning of the First Regular Session of the Legislature for its review. Maine's fiscal year runs from July 1 to June 30 (in contrast to the federal government and many municipalities) and the fiscal year is referred to by the year in which it ends, i.e. FY08.

The timing of the fiscal years and the Legislature's passage of the budget are critical because unless a budget is in place by midnight on June 30 in the second year of the biennium, no government functions can continue. In 1991, the Governor and lawmakers failed to reach agreement on a budget before July 1, triggering a shutdown of state government.

Although the budget process is somewhat arcane, it has been opened in recent years to encourage the participation of the public and of the Legislature's policy committees.

This illustration (PDF format) is an introductory explanation of the process.