3 min read

 
 
As lawmakers, I believe our top priority should be growing our economy and making smart, strategic investments to ensure a brighter future for Maine.

To me, that means protecting Maine’s working families and doing all we can to create opportunities for Mainers to succeed.

The governor’s budget proposal ensured that the 127th Legislature began with an important conversation about tax reform, but many of the proposal’s key elements would take Maine in the wrong direction. I believe Mainers — all Mainers — deserve a better deal than they’ve been getting and a better deal than what the governor’s budget proposal offers.

That’s why my Democratic colleagues and I have introduced our own plan, “A Better Deal for Maine.” Our plan puts more money in the pockets of working families, lowers property taxes for all Maine homeowners and invests in the key elements of a vibrant future for our state. It’s good for everyone who cares about strengthening Maine communities. Better still, it’s paid for and balanced now and into the future.

While the governor’s tax plan would give 50 percent of proposed tax cuts to the top 10 percent of taxpayers, those with incomes over $125,000, our plan lowers income taxes for the vast majority of Mainers. Under the Better Deal, 98 percent of income tax relief will go to the bottom 95 percent of Maine taxpayers. We believe working families will use this money locally, supporting Maine businesses and strengthening our economy.

Advertisement

“A Better Deal for Maine” also recognizes the growing burden of property taxes on Mainers — especially those who can least afford them. For working families, older Mainers and others on fixed incomes, property tax relief can’t come soon enough. Our plan provides $ 120 million annually in direct property tax relief for Maine residents by doubling the Homestead Exemption for all homeowners and increases the Property Tax Fairness Credit, which provides property tax relief to lowand middle-income families, by more than $57 million.

We also prevent the inevitable property tax increases and cuts to vital local services that would follow the governor’s plan to flat-fund municipal revenue sharing at $62 million and then eliminate it going forward. Our plan actually increases revenue sharing, the portion of income tax revenues that help communities prevent property tax cuts and cuts to police and fire departments, to $ 80 million for both years of the budget while rejecting the governor’s plan to tax nonprofit organizations.

Unlike the governor’s proposal, our plan is paid for and won’t leave a $300 million hole in future budgets that forces future cuts to education funding. It would level the playing field for Maine’s small businesses by stopping large, out-of-state corporations using offshore tax havens to avoid paying Maine taxes.

On the other hand, we build on and include the governor’s best ideas. We believe we can find common ground around expanding the existing Property Tax Fairness Credit, broadening the sales tax base strategically to reflect our service- and tourism- based economy and creating a sales tax fairness credit to offset sales tax increases to lowand middle-income Mainers. We want to ensure good policy that works for the people of Maine rather than scoring political points and are committed to working together to achieve it.

Since we unveiled “A Better Deal for Maine” in April, we have received overwhelmingly positive feedback from people across the state. We have already held public forums in several communities and will continue to have conversations about the issues that matter to the people we serve. I hope you will feel welcome to weigh in.

In the coming weeks, my Democratic colleagues and I will do all we can to ensure Maine gets a better deal. We look forward to working with our Republican colleagues and the governor to do what is best for Maine families and our economy.

Advertisement

———

Rep. Sara Gideon, DFreeport, is the assistant majority leader in the Maine House. She is serving her second term representing Freeport and part of Pownal.


Comments are not available on this story. Read more about why we allow commenting on some stories and not on others.