Gov. Paul LePage has proposed a $6.3 billion biennial budget that includes several provisions that municipal officials say shift the tax burden from the state to municipalities.

LePage, in his weekly address, said he made difficult choices to balance this budget, and that the temporary elimination of revenue sharing with the municipalities is “a reflection of growth in welfare in Maine.”

“My budget proposal before lawmakers includes necessary reforms and achieves a budget that meets the needs of people while protecting our financial and economic security,” he said in his weekly address. “This budget minimizes impact to education. It is an opportunity to redesign programs and right-size government. It also allows us to gain control of how we spend money and make necessary systemic changes.”

Geoff Hermon, Maine Municipal Association’s director of state and federal relations, who prepared a preliminary analysis of the cuts in LePage’s budget proposal, said the estimated impact on Maine’s 492 towns and cities is $420 million over two years.

“The Governor’s proposal delivers a double whammy to all property taxpayers in this state by first jacking up the property tax rate in a variety of ways and then eviscerating the programs that are designed to help people who are having trouble paying their property taxes,” wrote Herman.

According to the MMA preliminary analysis, the provisions:

Ӣ Halt revenue sharing to municipalities. LePage has pledged that revenue sharing will be restored once the economy improves.

Ӣ Flat-funds education at $895 million, or 45 percent.

Ӣ Relies on local school districts to pay 50 percent of teacher retirement contributions.

Ӣ Permanently caps state reimbursements to municipalities for general assistance at a total of $10.2 million. Once the state runs out of reimbursement money, municipalities would be authorized to discontinue general assistance programs. The provision in the proposed budget denies general assistance eligibility to families where a member has reached the 60-month cap of Temporary Assistance for Needy Families or has been sanctioned for breaking the program rules.

Ӣ Restricts the homestead exemption to only those 65 years old and older.

Ӣ Restricts the circuit breaker program, which provides property tax and rent relief, to only those 65 years old and older.

Ӣ Turns over motor vehicle excise tax for tractor-trailers, collected by municipalities, to the state.

Ӣ Makes changes to the personal property tax laws.

 — Senior Staff Writer Tammy Wells can be contacted at 324-4444 (local call in Sanford) or 282-1535, Ext. 327 or twells@journaltribune.com.