Session is over for this year. We finished at 2:30 am on Saturday, June 13th. The last day was long and eventful. Early in the day, the transportation budget was debated in the House and then brought back to the negotiation table to rework it so both parties could agree on it. This was done without adding a gas tax. In the evening, after negotiations, we voted again on the transportation budget and received the 2/3rd vote we needed to pass the budget and keep 2,300 people in their jobs.

Bonds were also still being discussed on our last day. It was agreed on that the bond package to go to referendum would be $150 million. You can see an outline of the bonds and when they go to referendum here. Bond Package Outline.

Governor Baldacci at Sabattus Press Conference

Press Conference  In Sabattus

At 10:30 am on Wednesday June 24th, a press conference with the Governor was held at the Sabattus Town Office. The press conference was to announce Recovery Act Projects. Sabattus and Lisbon will be receiving funds for the reconstruction of Route 9. This is a much needed project. The reconstruction will start at Exit 86 and continue along Route 9 through Sabattus and Lisbon to Route 197. This project will bring good paying jobs and it will make the road much safer for local people who travel the Route on a regular basis.

At the press conference, Governor Baldacci also announced that Maine is the first state to get over 50% of the ARRA funds working within the alotted 120 days. Way to go Gov and DOT! This means that we are the first to get people out working and using the funds.

Rep. Stacy Dostie, Governor Baldacci, Senator Nutting

Me and my son Kyle

This week we will be voting on LD 1088 An Act To Modernize the Tax Laws and Provide over $50,000,000 to Residents of the State in Tax Relief. I will be voting for the measure. Though the plan is not perfect, it is a good middle of the road tax reform plan (and it is still a work in progress!). Like any plan, some people will agree and others will disagree. Here is an overview of the bill.

Circuit Breaker: The bill incorporates the Circuit Breaker (property tax relief program) into the income tax form. This will simplify the application process and increase participation in the program.
Lower Income Taxes: The bill will lower income tax rates from 8% to 6%. This reduction will take us from one of the highest rates in the nation to the middle of the pack. This is good for all Mainer’s.

Business-to-Business Changes: The business-to-business burdens from the original bill have been removed. (These include commercial vehicle repair and several items affecting manufacturing.)

New Rule-making Procedures: The bill will develop a new system the will ensure that Maine Revenue Services will not be able to reinterpret the tax laws in the future without Legislative approval.

This is just a brief overview of the bill. The bill will help to export our tax burden. The Androscoggin County Chamber, the Portland Regional Chamber and the Bangor Chamber support the bill. If you would like more information on the bill, please contact me.