STATE OF MAINE

OFFICE OF THE STATE TREASURER

39 State House Station, Augusta, ME 04333-0039 www.maine.gov/treasurer

NERIA R. DOUGLASS Treasurer of State

KRISTI L. CARLOW Deputy State Treasurer

MEMORANDUM
T O: FROM: DATE: Appropriations and Financial Affairs Committee Neria R. Douglass, State Treasurer August 13, 2013

Chairwoman Hill, Chairwoman Rotundo, and distinguished members of the Appropriations and Financial Affairs Committee: I am unable to attend todays meeting of the Appropriations and Financial Affairs Committee due to a prior engagement. I am writing to update you on our progress in funding bond projects that were approved by voters in June 2010 and November 2012. As of today, we have provided cash in accounts for those requests we received for the first quarter of FY2014. The financial order for bond project requests totaling $69.7 million for FY2014 has been issued. Commissioners have signed certificates for those requests made by project managers. We plan to fund projects through internal cash pool borrowing until the proper time for selling these GO (general obligation) bonds, considering project needs, market conditions, and other factors. Our independent debt advisors expect our blended borrowing rate will be 2.65%, while our investment earnings rate is 0.20%. Thus, waiting to sell bonds saves us 2.45% annually. Of the $104.5 million in authorized but unissued bond projects, $35 million has not yet been requested. I am attaching a table to give you specific project funding requests that were made, which we have funded. From this table, the following conclusions can be drawn: $104,577,809 Authorized but Unissued Bonds at start of FY2014 $69,726,534 in funding requests ($21.5M for Q1, $48.2 Q2-4) for FY2014 $34,851,275 in funds for approved bond projects yet to be requested I also attach a table to give you the list of projects for which funding requests have not yet been made. My staff and I are prepared to fund these projects, if they get started, following receipt of the financial order from the Governor, Commissioners certificate, and documents required. These projects are important: I want to fund them to get Maine back to work. The Office of the State Treasurer stands ready to fund the General Obligation bonds as requested by the Governor, his administration, and the voters of Maine. Thank you.

Cash Management (207)624-7477 state.treasurer@maine.gov

Fax (207)287-2367 TTY (888)577-6690 unclaimed.property@maine.gov

Unclaimed Property (207)624-7470 Toll Free in Maine (888)283-2808

OFFICE OF THE STATE TREASURER Neria Douglass, State Treasurer

FY 14 Remaining Bonding Authority
Total Auth & Uniss 41,000,000 5,000,000 7,350,000 Total ^ Remain. Request FY14 Auth/Uniss. 26,000,000 3,750,000 15,000,000 5,000,000 3,600,000

Agency DOT DOC UMS

Law 2011, PL c. 697 2012 PL, c. 696 2009 PL, c.414, amd PL 2009, c.645 2009 PL, c.414, amd PL 2009, c.645

Description Highway and bridge construction Land for Maine's Future Board Maine Marine Wind Energy Fund Land acquisition for conservation, water access, outdoor rec, wildlife, etc. Port investment/development at Searsport, Mack Point, and Sears Island Equipment for Mack Point port Aviation facilities Downtown Revitalization Lifeflight Working waterfront preservation Agricultural water source development grant program TOTAL:

DOC

6,500,000

3,050,000

3,450,000

DOT DOT DOT

2011, PL c. 697 2011, PL c. 697 2011, PL c. 697

3,000,000 2,000,000 1,200,000 1,200,000 300,000 425,000 295,000 68,270,000

300,000 150,000 168,725 33,418,725

3,000,000 2,000,000 1,200,000 900,000 300,000 275,000 126,275 34,851,275

2009 PL, c.414, amd ME Hist P PL 2009, c.645 2011, PL c. 697 DOT 2009 PL, c.414, amd PL 2009, c.645 DOC DAG 2009 PL Ch. 414

Prepared by the Office of the State Treasurer

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OFFICE OF THE STATE TREASURER Neria Douglass, State Treasurer

FY 14 Bond Fund Requests
^ Total Auth & Uniss 41,000,000 Q2-4 Prelim Requests 26,000,000 Total Requested 26,000,000 Remain. Auth/Uniss. 15,000,000

Agcy DOT

Description 2011, PL c. Highway and bridge 697 construction

2009 PL, c.414, amd PL 2009, c.645 2009 PL, c.414, amd PL 2009, c.645

Law

Q1 Request -

UMS

Maine Marine Wind Energy Fund

7,350,000

325,000

3,425,000

3,750,000

3,600,000

DOC DOC DEP

Land acquisition for conservation, water access, outdoor rec, wildlife, etc. 2012 PL, c. Land for Maine's Future 696 Board 2011 PL, c. Wastewater treatment 695 facilities loan Energy and infrastructure upgrades at all campuses of UMS Drinking ater systems Investments under the Communities for Maine's Future program

6,500,000 5,000,000 4,335,000

4,335,000

3,050,000 -

3,050,000 4,335,000

3,450,000 5,000,000 -

UMS

2009 PL, Ch. 414 2012 PL, c.

3,677,000 3,590,000

3,677,000 3,590,000

3,677,000 3,590,000

DHHS 695

2009 PL,

DECD Ch. 414

3,051,711

3,051,711

3,051,711

R&D per Office of Innovation's current 2009 PL, Science and Technology Ch. 414 Action Plan for Maine. MTI Port investment/development 2011, PL c. at Searsport, Mack Point, and Sears Island DOT 697 2009 PL, Brunswick Naval Air Station redevelopment DECD Ch. 414
2009 PL, c.414, amd PL 2009, c.645

3,000,000

3,000,000

3,000,000

3,000,000 2,944,098

944,098

2,000,000

2,944,098

3,000,000 -

DHHS

Community-based teaching clinic

2,400,000

2,400,000

2,400,000

Prepared by the Office of the State Treasurer

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Agcy DOT DOT

Law
2009 PL, Chapter 645, A

Description

^ Total Auth & Uniss 2,000,000 2,000,000

Q1 Request -

Q2-4 Prelim Requests 2,000,000 -

Total Requested 2,000,000 -

Remain. Auth/Uniss. 2,000,000

Railroad 2011, PL c. Equipment for Mack 697 Point port

2009 PL, Chapter 414, Part A 2009 PL, c.414, amd PL 2009, c.645

DOT

Aviation-FAA

1,700,000

1,700,000

1,700,000

DHHS DOT DOT

Health and dental clinic upgrades 2011, PL c. Industrial Rail Access 697 Program 2011, PL c. Eastport warehousing 697 facilities at port

1,500,000 1,500,000 1,500,000

1,500,000 1,500,000 -

1,500,000

1,500,000 1,500,000 1,500,000

2009 PL, c.414, amd PL 2009, ME Hist c.645 2011, PL c. DOT 697 2009 PL, c 414 2011, PL c. 697

Downtown Revitalization Aviation facilities Energy and infrastructure upgrades at MCCS Transit buses Ports (includes funds for port improvements in Eastport & Searsport)

1,200,000 1,200,000

300,000 -

300,000 -

900,000 1,200,000

MCCS DOT

1,050,000 1,000,000

100,000 -

950,000 1,000,000

1,050,000 1,000,000

DOT

2009 PL, Chapter 414, Part A 2009 PL, Chapter 414, Part A 2009 PL, c.414, amd PL 2009, c.645 2009 PL, c.414, amd PL 2009, c.645 2011, PL c. 697

900,000

900,000

900,000

DOT

Ferry

650,000

650,000

650,000

DOC

Working farmland preservation

500,000

500,000

500,000

DOC DOT

Working waterfront preservation Lifeflight

425,000 300,000

150,000 -

150,000 -

275,000 300,000

Prepared by the Office of the State Treasurer

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Agcy

Law
2009 PL Ch. 414 2009 PL, Ch. 414, C 2009 PL, Ch. 414, C

DAG

Description Agricultural water source development grant program Small Community Grant Program Wastewater treatment facility grants

^ Total Auth & Uniss

Q1 Request

Q2-4 Prelim Requests

Total Requested

Remain. Auth/Uniss.

295,000

45,000

123,725

168,725

126,275

DEP DEP

200,000 200,000

50,000

200,000 150,000

200,000 200,000

DEP

Uncontrolled hazardous 2009 PL, substance investigation Ch. 414, C and clean up
2009 PL, c.414, amd PL 2009, c.645 2009 PL, Chapter 414, Part A 2009 PL, Chapter 645, A 2009 PL, Ch. 414, C 2009 PL, Chapter 414, Part A

150,000

150,000

150,000

DOC

State parks and land management

110,000

110,000

110,000

DOT DOT DEP

Island Airport Program Marine/SHIP Overboard discharge

100,000 100,000 100,000

100,000 100,000 100,000

100,000 100,000 100,000

DOT

Augusta Airport upgrade TOTAL:

50,000 104,577,809

21,517,809

50,000 48,208,725

50,000 69,726,534

34,851,275

Prepared by the Office of the State Treasurer

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