Approved: 03/26/25
LD 1208 LR 1616(01)
Fiscal Detail and Notes
132nd MAINE LEGISLATURE
This bill proposes to increase the cap on the amount of funds that FAME may have in its combined Loan Insurance
Reserve and Mortgage Insurance Fund from $50,000,000 to $65,000,000, thus continuing the $1,000,000 transfer to
the Loan Insurance Reserve until the new cap is reached. Extending the annual $1,000,000 transfer will reduce the
amount available for other statutory priorities of the cascade that fall after the Loan Insurance Reserve.
Current law provides that the State Controller transfer, at the close of each fiscal year, up to $1,000,000 from the
unappropriated surplus of the General Fund to the Loan Insurance Reserve within the Finance Authority of Maine
(FAME) until the combined balance of the Loan Insurance Reserve and the Mortgage Insurance Fund, also within
FAME, reaches $50,000,000. This transfer is the 2nd priority in the so-called "cascade" after transfers to replenish the
State Contingent Account pursuant to 5 MRSA ยง1507 are made.
Preliminary Fiscal Impact Statement
Increased funding - Loan Insurance Reserve
Fiscal Note Required: Yes
An Act to Amend the Statutory Balance Limit on the Finance Authority of Maine's Loan Insurance
Reserves for General Fund Transfers
Preliminary Fiscal Impact Statement for Original Bill
Sponsor: Sen. Curry of Waldo
Committee: Housing and Economic Development
LR1616(01) - Fiscal Note - Page 1 of 1