District 8 Legislative Update - April 28th, 2009
April 28, 2009 -
The legislature is off to a fast start after a rejuvenating vacation. I'm sure you've probably heard, but LD 1020, the marriage equality bill, passed with a resounding majority in committee, with 10 out of 13 votes. I look forward to voting for the bill when it comes to the Senate floor.
Last Week's Top Issues
1) LD 1020 - Marriage Equality;
2) LD 1305 - Insurance Reform Bill;
3) Casco Bay Lines Rate Increases
Thank you for your interest, and keep it coming!
Community Update - LD 1195
A couple weeks ago, the Maine People's Alliance had their annual Lobby Day, and I had a great opportunity to meet with Portland residents about many issues, in particular LD 1195, a bill that would give municipalities the right to allow non-citizens to vote in local elections. I also had a great meeting Sunday night with leaders of different noncitizen communities and community activists regarding LD 1195. I heard many stories about how various people came to Maine, why they choose to stay here, and what voting in local elections would mean to them.
The Legal and Veterans Affairs Committee will hear the bill this Monday, May 4th.
The Budget Blues
On Tuesday, the Appropriations Committee received the actual revenue projections, and they are not good. The information gathered since April 15th indicates that sales and income taxes are down substantially. Revenues will be down approximately:
* $129 million fiscal year 2009
* $195.9 million for fiscal year 2010
* $247.7 million for 2011
This $573 million represents 10% of the of proposed biennial expenditures in the 2010-2011 budget. This was a budget that already contained deep cuts. To put our economy in perspective, the revenue projections have fallen $1 billion in the past six months.
This Friday, the Governor will present his recommendations on what he feels the Legislature should cut. This weekend, the Education Committee and I will be meeting with the Appropriations Committee to discuss the projected cuts affecting education.
Home Foreclosures
One of the biggest pieces of our current economic crisis was the housing bubble. Too many people took on loans that they couldn't afford, and when some people started defaulting on their homes, the banks owned homes that were worth less than what their purchase price, and the credit markets seized up. The last quarter of 2008 saw home foreclosures rise.
Fortunately, the rate of foreclosures is leveling off. And while belts are tightened across the state, it's important to note that during the first quarter of 2009, less than .003% of mortgages entered foreclosure. We heard seven bills in the Insurance and Financial Services Committee on Tuesday afternoon. The bill that received the most attention was LD 1418, which would reduce the number of foreclosures and ease the strain on the court system. This would be accomplished by requiring mandatory mediation between mortgage holders and the banks, and would ensure that all homeowners are aware of their rights.
Click here to read
more about LD 1418.
My Bills - Local Option Taxes
The Legislature has been talking about tax reform for a long time, and the Democratic Caucus seems poised to make it happen. I was very excited as a freshman legislator to introduce two bills aimed at tax reform. I quickly learned, however, that any revenue-generating bill must be introduced by a member of the House. So, I worked together with another freshman, Rep. Elsie Flemings (D-Bar Harbor) to introduce LD 1253 and LD 1381.
LD 1253 would allow municipalities to adopt a local option sales tax of up to 3%. The municipality would have to vote on the new tax and, if passed, the local governing body would set the percent increase and what items would be taxed. The revenue generated would be split amongst the municipality, county, and state General Fund.
LD 1381 would allow counties to adopt a local option meals and lodging tax of up to 2%. Like LD 1253, each county would vote on the new tax and, if passed, the county would set the percent increase. The revenue would be split between the county and the state's General Fund.
Despite our heavy reliance on tourism, we are below average when it comes to meals and lodging taxes across the country. Giving municipalities and counties greater autonomy over their own taxation rates would increase revenue and decrease dependence on the state for money for essential services.
Closing
As always, I look forward to hearing from you about upcoming bills. Over the next six weeks, there will be hundreds of bills heard, so please make your voice heard.
-Justin
