Now that the Legislature has completed its first regular and first special sessions, I would like to provide you with a brief review of what we, as public servants, have accomplished since we were sworn in last December.

Budgetary and tax issues have encompassed much of our time as have my goals of creating a more business-friendly climate in Maine, providing quality affordable healthcare and education and reining in government spending.

The FY ’06-’07 budget, L.D. 468, was passed during the First Regular Session of the 122nd Legislature on March 30 with a vote of 77-73. The budget increased the fines for not wearing a seat belt, expanded the service provider tax, extended the 7 percent sales tax on lodging to “casual” rentals and included a borrowing package that would have bonded $447 million without approval from Maine’s voters in order to fund prepayment to the Maine State Retirement System and to cover a gap of roughly $250 million dollars in the FY ’06-’07 budget.

The Part II Budget, L.D. 1677, was taken up by the Legislature in early June and was enacted in the House as an emergency measure 130-17. Included in the Part II was a payment to Maine’s hospitals of over $20 million owed to them in reimbursement for MaineCare services provided. More money was allocated to compensate for former students of the Baxter School for the Deaf who suffered abuse while attending the school. Also included in the Part II was the initial funding for a new radio system to be used by State Police and other law enforcement agencies to replace the older, outdated system currently in place. Under the plan, the fines for drug-related crimes will increase and the money will be used to fund drug court judges.

During the final days before adjournment the Legislature revisited the borrowing package in the Part I budget and debated two proposals to replace the $447 million in bonding. The majority report replaced the borrowing with a combination of reductions in state spending and tax increases. The tax increases, including a doubling of the cigarette tax and increased taxes on employers, amount to over $143 million. The minority report did not increase any taxes and instead decreased state spending to cover the roughly $250 million needed to close the gap in the FY ’06-’07 budget. The minority report was defeated 77-74 and the majority report was passed 74-72.

Rep. Gary Moore

Standish