Bill
Bill > LD1560
summary
Introduced
04/10/2025
04/10/2025
In Committee
04/10/2025
04/10/2025
Crossed Over
Passed
Dead
05/21/2025
05/21/2025
Introduced Session
132nd Legislature
Bill Summary
This bill amends the law governing conflicts of interest by municipal officers in the awarding of municipal contracts by making voidable a contract made by a municipality during the term of an official of the municipality involved in the negotiation or award of the contract who has a direct or an indirect pecuniary interest in the contract even if the contract was obtained through properly advertised bid procedures. The bill also creates a new exception to the voidability of municipal contracts if the municipality determines that no other option is feasible but to award a municipal contract to an official who is an officer, director, partner, associate, employee or stockholder of a private corporation, business or other economic entity to which the question relates or with which the unit of a municipality contracts. In this case, the municipality must appoint an independent board of 3 residents to address grievances against the business practices of the officer, director, partner, associate, employee or stockholder of a private corporation, business or other economic entity for the life of the contract.
AI Summary
This bill amends Maine state law regarding conflicts of interest in municipal contracts by expanding the circumstances under which a contract can be deemed voidable. Currently, contracts made by municipalities where an official has a direct or indirect financial interest are voidable, but the bill now extends this provision to include contracts obtained through properly advertised bid procedures. The bill introduces a new exception that allows a municipality to award a contract to an official who has a financial stake in a business, but only if no other feasible options exist. In such cases, the municipality must establish an independent three-resident board to oversee and address any potential grievances related to the business practices of the official or their associated business entity for the duration of the contract. This measure aims to provide greater transparency and accountability in municipal contract awards while recognizing that in some small or specialized communities, finding completely independent contractors might be challenging.
Committee Categories
Government Affairs
Sponsors (1)
Last Action
Pursuant to Joint Rule 310.3 Placed in Legislative Files (DEAD) (on 05/21/2025)
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://legislature.maine.gov/legis/bills/display_ps.asp?LD=1560&snum=132 |
| BillText | https://legislature.maine.gov/legis/bills/getPDF.asp?paper=HP1018&item=1&snum=132 |
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