Maine authority could issue bonds for county jail upgrades

The Finance Authority of Maine could issue up to $87 million in revenue bonds for jail improvements. The bonds would fund county jails and facilities holding adults awaiting court proceedings or serving sentences of up to 72 hours, not counting weekends, legal holidays, or days spent at court. Issuing the bonds is optional; the bill does not require the Finance Authority to issue them. Repayment would start by July 1, 2026, and be completed no later than June 30, 2036.

The Finance Authority would distribute bond money among covered facilities based on population, after consulting the corrections commissioner. The covered facilities are county jails and adult holding facilities described in the bill. The money would improve facilities so they can accommodate people with substance use disorders and help them obtain treatment and recovery services. It could also address potential funding shortfalls.

The bonds would be repaid in equal shares from wholesale spirits contract revenue and opioid settlement funds. These repayment rules would apply to bonds issued under the proposal. Half of the repayment money would come from revenue under the state's wholesale spirits operations contract, and half from opioid settlement funds deposited in the Maine Recovery Fund. If either source is set to expire before the bonds are fully repaid, an appropriate amount must be set aside to ensure repayment. The bonds would not be state debt, and the state would not pledge its full faith and credit to pay them. Repayment would start by July 1, 2026, and be completed no later than June 30, 2036.