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Misguided Priorities
The newspapers agree… the Governor’s proposed budget cuts to important services like MaineCare are a bad idea that will just hurt Maine more in the long run!
Here are some excepts from recent editorials:
“Maine is a state whose people are proud of their historic commitment to helping those in need. Have we become so obsessed with budget-cutting and limiting the scope of government that we’re willing to slash and burn our way through the social safety net that has long defined our generosity of spirit?” Click here to read the entire Maine Media Today editorial!
“Cutting MaineCare coverage for these folks could help solve the governor’s immediate problem, a budget shortfall. But it would only do so by shifting that expense to other levels of government, to hospitals and eventually to taxpayers and the state’s employers.” Click here to read the entire Lewiston Sun Journal editorial!
“On the other side of the coin, the governor has stuck to his commitment to include about $200 million in tax reductions in his budget. If the state can afford to lower tax rates and offer more tax breaks, which will mostly benefit the well-off, it is hard to justify simply cutting off the less fortunate.” Click here to read the entire Bangor Daily News editorial!
MECEP Urges Legislature to Expand and Simplify Maine’s Property Tax “Circuit Breaker”
Proposed bill will “provide meaningful property tax relief to more Mainers at a time when they most need it”
From our friends at the Maine Center for Economic Policy:
Augusta, Maine (Monday, April 11, 2011)— The Maine Center for Economic Policy (MECEP) today urged the members of the Legislature’s Joint Standing Committee on Taxation to support L.D. 474, “An Act to Reduce the Property Tax Burden and Improve the Circuit Breaker Program.” The Maine Residents Property Tax and Rent Refund Program, popularly known as the “Circuit Breaker,” provides eligible Maine residents with a partial refund of property taxes and/or rent paid on their primary residence
“By expanding the maximum benefit and simplifying the application process to increase program participation, this bill helps provide meaningful property tax relief to more Mainers at a time when they need it the most,” said MECEP Fiscal Policy Analyst Dan Coyne. “L.D. 474 would expand the Circuit Breaker credit by 20% with a $2,400 maximum benefit. Money that people otherwise paid in property taxes but is refunded will be spent in the local economy. This is good news for economic growth: the more money spent in the local economy means more sales for local businesses.”
The “Circuit Breaker” Program provides tax relief to roughly 88,500 Maine individuals and families. In Fiscal Year 2010, the program issued 75,544 general refunds and 12,993 senior refunds. The average general refund was $472 and the average senior refund was $364. Current law provides for a maximum $2,000 benefit; however, due to a 20% reduction in the program, the maximum benefit was $1,600 in the previous two years. Coyne also noted that simplifying the Circuit Breaker application process would encourage more participation from the estimated 200,000 Maine taxpayers eligible for a refund.
“Expanding the benefit could not come at a more critical time,” Coyne added. “With cost shifts imminent to municipalities as a result of proposed budget cuts at both the federal and state levels, local governments will likely have to raise property taxes to maintain services and employment levels. Indeed, it seems that newspaper headlines are detailing daily proposed increases in municipal property taxes and proposed layoffs.”
Coyne told the Committee that the burden of impending property tax increases will disproportionately affect low- and moderate-income working Mainers. According to the Institute on Taxation and Economic Policy, “low-income families (nationally) paid 3.7 percent of their income in property taxes in 2007, while middle-income families paid 2.9 percent of their income and the wealthiest taxpayers paid just 1.4 percent.” Coyne noted that the Circuit Breaker Program benefits taxpayers with fixed incomes residing in communities with rapidly increasing property values. He added that the Circuit Breaker provides relief to taxpayers who, through no fault of their own, have experienced a significant decrease in their income, including the more than 52,000 Mainers who remain unemployed, many due to the Great Recession.
General Circuit Breaker eligibility applies to individuals with an annual income of $64,950 or less and $86,600 for individuals living with a spouse and/or dependent(s) whose property tax was more than 4% of household income; or whose rent you paid was more than 20% of annual household income. Senior citizens who resided in Maine for the entire tax year are eligible at age 62 (55 if disabled) with total household income below $14,700 for a person who lived alone or $18,200 for a person who lived with a spouse or dependent.
Coyne’s prepared testimony is available on MECEP’s website: click here
Maine Can Do Better and Moveon.org Launch New Webpage Highlighting Mainers Opposition to Governor LePage’s Budget
AUGUSTA (Maine) – The Maine Can Do Better Coalition and moveon.org are teaming up this week to launch a new webpage highlighting the names of thousands of Maine residents who have signed a petition, sponsored by Moveon.org, in opposition to Governor Paul Lepage’s budget.
The petition reads:
“Paul LePage’s budget would cut to the bone. But if corporations and the wealthy pay their fair share, Maine can have quality schools, health care, and other vital services.”
This webpage is a completely transparent platform that allows any and all to see the names of those who have signed the petition, and to read select individual messages to Governor LePage. Those who visit the webpage who did not get a chance to sign the MoveOn.org petition will be able to send Governor LePage and their local legislators a message of their own.
The webpage will be launched on Monday April 11th and will be live through Friday April 15th. More than 4200 people have signed MoveOn.org’s petition. Each day that the webpage is live, a different group of more than 840 signers’ names will be featured on the webpage, in order by state senate district. On Friday, Maine Can Do Better will email the full list to Governor LePage.
“As originally proposed, Governor LePage’s budget would harm Maine families and workers while giving generous tax cuts to the wealthy,” said Benjamin Dudley, speaking on behalf of Maine Can Do Better. “We hope this display of public concern about such upside down priorities will reinforce legislators from all sides who are seeking more forward-thinking solutions.”
Linkhttp://mainecandobetter.org/takeaction.html
Governor LePage: My way or the highway
“LePage: If they change my budget, they’ll get a veto” – that’s what the headline said in the Bangor Daily News on Monday, March 14th.
According to reporter Mal Leary of Capitol News Service:
“Gov. Paul LePage is threatening to veto the two-year state budget unless it stays very close to the measure he proposed, saying he will not budge from the amount of tax cuts or from his plan to reform pensions and welfare programs.
“‘If that budget is altered it is not my budget, it is the Legislature’s budget,’ he said in an interview. ‘If they alter the pension [reforms], if they alter the tax breaks, if they alter the welfare reforms, those are the show stoppers.’”
This isn’t Governor LePage’s budget. This isn’t the Legislature’s budget. This is Maine’s budget and its impact will be felt by every person, family, business, school, and community across this state. That’s why so many of you came to the State House to testify against all the harmful cuts LePage proposed – those that will eliminate health care and supports for families, and those that jeopardize retirement security.
For the next few weeks the Health and Human Service Committee will be drafting their own recommendations on changes to Maine’s safety net programs. Please email the Health and Human Service Committee and ask them to reconsider the cuts in the Governor’s budget proposal because they put Maine families, children, and elderly at risk.
The last thing we should do is give in to LePage’s veto threat. We need to make sure our legislators hear from us that state spending decisions that destabilize Maine families will create a host of deeper problems that will be more costly for all of us in the long run.
A Round-Up of Great Editorials/Columns/Opinion Pieces on the Maine Budget
Maine Voices: Cutting substance abuse prevention and treatment will only make things worse
By Steve Rowe, Published in the Portland Press Herald
“PORTLAND – The Fund for a Healthy Maine was established to ensure that annual receipts from the multistate tobacco settlement are used for health-related purposes.
The governor’s proposed budget contains some troubling cuts to the fund. One, in particular, is the curtailment of fund investments in substance abuse prevention and treatment.” Read more
Maine Voices: Governor’s budget too kind to rich, too harsh to middle class and poor
By Garrett Martin, Published in the Portland Press Herald
“AUGUSTA – As the Legislature began its hearings on Gov. Paul LePage‘s proposed budget for the coming biennium, Mainers heard a lot about the need for “shared sacrifice.”
“But upon close examination, the proposed budget demands much from working families, seniors, retired teachers and state employees while giving huge tax breaks to Maine’s wealthiest residents.” Read more.
A better state ‘jobs bill’ would target tax relief for average Mainers, not the wealthy few
By Garrett Martin, Published in the Bangor Daily News
“When he introduced his proposed budget for the coming biennium, Gov. Paul LePage called it a “jobs bill.” Rigorous scrutiny reveals that it requires huge sacrifices from working families, local governments, children and seniors, retired teachers and state employees, while the lion’s share of its benefits is in the form of massive tax breaks for Maine’s wealthy few.” Read more.
Bill Nemitz: A pointed budget message hits the mark
By Bill Nemitz, Published in the Portland Press Herald
“Some might have looked at the long lines of people waiting to testify on Gov. Paul LePage‘s proposed budget and decided it wasn’t worth it.
After all, you can wait hours for your turn to speak.
And when they finally do invite you up to the microphone, you get only three minutes.
And while there may be strength in numbers, it’s easy to wonder after a while whether those weary legislators on the Appropriations Committee — or any of us, for that matter — are truly capable of absorbing all that testimony over one full day, then another, then another …” Read more.
By the Time Record Editorial Board
“The Maine Center for Economic Policy’s two-page analysis of Gov. LePage’s proposed $6.1 billion biennium budget is topped by a provocative headline: ‘Tax plan: Winners & Losers.’
Its subhead takes that thought a step farther: ‘Governor’s tax proposals put Maine’s wealthiest taxpayers ahead of working families and compromise future prosperity.’” Read more.
We must keep Healthy Maine Fund intact
By the Sun Journal Editorial Board
“The teen smoking rate in Maine, long on the decline, is now on the increase. So, cheers to Sen. Thomas Saviello, R-Wilton, for reversing himself last week on his proposal to prevent smokers from receiving MaineCare benefits.
Saviello dropped support for his bill after learning it was unconstitutional to dictate behavior of public health clients, despite our keen desire to do so. An equally compelling reason to oppose any such move is that dropping smoking cessation awareness and basic medical care is inhumane.” Read more.
Hundreds from the Maine Can Do Better Coalition Rally in the State House Hall of Flags
Click here to view more photos of the rally!
AUGUSTA, ME – Members of the Maine Can Do Better Coalition gathered with hundreds of concerned citizens in the State House Hall of Flags on Monday, urging the legislature to adopt a state budget that puts the interests of Maine families and communities first.
“Maine families are the heart of our communities and the true engine of our economy. Unfortunately, Governor LePage’s proposed state budget destabilizes Maine families: from those with kids to those in retirement. By eliminating health care and supports for families the Governor creates a host of deeper problems that will be more costly for all of us in the long run. Protecting families during these difficult times is the best step to prevent unnecessary future costs,” said Ben Dudley, Executive Director of Engage Maine.
Among the impacts of the Governor’s proposals are the following:
· Families with a member with a disability and families with kids will find it more difficult to keep a roof over their heads and enough food on the table.
· Families that fall on hard times will find it more difficult to receive local assistance with things like heat or rent payments.
· Legal immigrants will lose assistance that provides for basic needs like food, health care and housing as they get their feet on the ground in a new country.
· Thousands of low wage working families will be denied access to the basic health care they need to stay healthy, care for their children and stay employed.
· Seniors and people with disabilities on limited fixed incomes will see their costs for health care, including prescription drugs, increase by hundreds of dollars.
Much of the funding cut from important family and prevention programs is used to give tax breaks to Maine’s most wealthy. Governor Lepage’s tax break proposals are extreme; they serve the needs of the few at the expense of Maine’s working and retired families, and at the expense Maine’s economic future.
“The proposed cuts in the budget will have extreme consequences for the lives of thousands of children in Maine. Research clearly shows that the effects of deep poverty and homelessness on children are profound. They affect every aspect of their lives. Children who live in poverty are at increased risk of poor health and poor educational outcomes. They are more likely to have behavioral and emotional problems. They have more difficulty in school and will earn less than their peers as adults,” said Ellie Goldberg, Executive Vice President of the Maine Children’s Alliance.
“Governor Lepage proposes restriction and cuts to General Assistance and other critical programs that will weaken their ability to meet the needs of Maine residents who have fallen on hard economic times. Over time we’ll see more families losing their homes, more children going hungry, and more Mainers in shelters – like I was. We can’t let this happen,” said Marcia Frank, an advocate for Homeless Voices for Justice and Navy veteran who found herself homeless after losing her job and falling on tough economic times.
“Like many other immigrants, I have worked at jobs and paid taxes while working. I worked very hard as do many other immigrant people, taking all the overtime work available to me and working on my school vacations to support myself and my family. Like all immigrants, however, I get laid off from my job from time to time. Especially during periods of unemployment, my fellow immigrants and me need help to keep healthy and food on the table through the rough times. Governor LePage’s proposed budget would eliminate many of these benefits which are available to all legal immigrants,” said El-Fadel Arbab, a naturalized U.S. citizen from Darfur who relied on important safety net programs while working towards his U.S. citizenship. These programs, like Temporary Assistance to Needy Families, MaineCare, and Food Supplement, would not be available to legal immigrants under the Governor’s state budget proposal.
“Many of the initiatives in the Governor’s proposed budget will adversely affect seniors and adults with disabilities and represent irresponsible fiscal policy. While the proposals may yield short term savings there is no doubt that the impact in the long term will be devastating and will ultimately cost the state more,” said Carol Kontos, AARP Maine State President.
“To our Governor and our legislators, we say, ‘don’t drop the baton. Don’t let Maine drop out of the generations-long advance toward a more just and compassionate way of living together in community. Don’t drop the baton, because people before us worked too hard to carry it along and hand it to us,” said Jill Saxby, Executive Director of the Maine Council of Churches.
The Maine Can Do Better Coalition asks Maine’s leaders to confront state spending and revenue decisions, by keeping these priorities foremost in their minds: prevention of future fiscal problems, ensuring opportunity for all Maine families, and preserving retirement security.
Upcoming Budget Events!
Next week the Maine legislature begins hearing testimony regarding the Governor’s extreme budget proposal that puts working Maine families at risk.
The upcoming budget hearings are OUR opportunity to let our elected leaders know that Maine people are not in favor of the Governor’s state budget proposal!
Please join us at these upcoming press events and rallies at the State House!
Monday, Feb. 28:
WHAT: Maine Center for Economic Policy’s “Budget Plan: Winners & Losers” Press Conference
WHEN: 9:30 a.m.
WHERE: State House Welcome Center
Thursday, March 3:
WHAT: Workers Rally
WHEN: 12:00 p.m.
WHERE: Outside the State House between the State House and State Office Builder, followed by day-long public testimony before the Appropriations Committee
Monday, March 7:
WHAT: Maine Can Do Better Budget Rally
WHEN: 9:00 a.m.
WHERE: State House Hall of Flags, followed by day-long public testimony before the Appropriations Committee
Gov. LePage’s Budget Proposal is Bad for Maine Families and Workers
Earlier this month Governor LePage unveiled a devastating 2 year state budget proposal that puts thousands of Maine families, workers, elderly and disabled residents at risk. Destabilizing families and communities in the midst of an economic crisis is bad for all Mainers, and works counter to broad economic recovery in Maine.
As we learned today from Maine Equal Justice Partners, here are just a few examples of harmful aspects of the Governor’s budget proposal:
- Imposes strict lifetime 5-year time limits on Temporary Assistance for Needy Families (TANF). Only a small percentage of families receive TANF for 5 or more years: those who face serious barriers to work. In fact, recent research has found that nearly 90% of families that receive TANF for more than five years include a family member with a disability.
- Punishes children if a parent does not fully comply with TANF program rules. Currently only the parent is sanctioned, resulting in a reduction of the benefits to the household. This proposal terminates assistance for the whole family, placing very poor families with children at greater risk of homelessness and hunger.
- Limits access to General Assistance (GA) to once in a calendar year. General Assistance is based on need, and benefits must be provided as long as the applicant is without sufficient income to meet basic needs. Families and individuals often apply for GA when they are in crises like the loss of a job, something that would cause them to fall behind in paying their rent or paying for heat. These crises often last for more than one month. This proposal will increase homelessness for many Maine families and individuals.
- Reduces the reimbursement level to municipalities providing the most General Assistance. This proposal will just shift costs to local property tax payers, placing greater stress on already financially strapped municipalities.
- Eliminates eligibility for MaineCare for 14,000 parents with incomes between 133% and 200% of the federal poverty level. For parents at these income levels who are currently receiving MaineCare the program is frozen, meaning that if they experience a temporary increase in hours and lose benefits they cannot come back on the program. In addition, this will punish parents for trying to move their way up the income ladder as the economy improves.
- Doubles the time people with disabilities need to wait to be determined eligible for benefits they are entitled to. Individuals applying for MaineCare based on disability have serious medical conditions and live below the federal poverty level. Under this proposed change, this already vulnerable population would have to go without critical medically necessary care, such as prescription drugs, for up to 3 months while they wait to either be determined eligible or receive a temporary MaineCare card. One of the results of this proposal would be to place even greater pressure on municipal General Assistance programs.
- Eliminates premium and cost sharing assistance with Medicare Parts B & D for certain seniors and people with disabilities. Under this proposal approximately 25,000 seniors and people with disabilities will lose all or some of the help they currently get with the costs of Medicare premiums, co-payments and deductibles, including help with paying for prescription drugs.
- Eliminates eligibility for MaineCare, TANF, Food Supplement and Supplemental Security Income benefits for legal immigrants during their first five years of residency in Maine. Under this proposal, approximately 2,500 legal immigrants who live in Maine, qualify for and receive assistance through one of these programs will abruptly lose their assistance. Their children, their housing, their ability to work, and the communities where they live will all pay the price.
- Reduces funding for the Dirigo Health Program leaving insufficient funds to cover subsidies which help people with low to moderate income purchase critical health coverage through DirigoChoice. The budget eliminates all of the funds provided to Dirigo Health through the Fund for Healthy Maine. In addition, the budget proposes to cut the program’s access payment (an assessment on insurance companies and others used to fund the Dirigo Program) which will lead to less funding for DirigoChoice subsidies, MaineCare parents covered through Dirigo and the Maine Quality Forum.
To read more about the changes to Maine’s safety net programs the Governor is proposing, click here!
In the coming weeks the Legislature will begin hearing public testimony on the Governor’s proposed changes. It’s important that the Governor and Legislature hear from people like you, who care about protecting services for Maine families and workers. We’ll keep you posted on important dates and different opportunities to get involved and ensure your voice is heard!
The budget cuts above tell only part of the story. Maine Can Do Better will be sharing more details with you as we and our partners sift through the details.
Budget Proposal Will Hurt Some of Maine’s Most Vulnerable
Press Release from Maine Equal Justice Partners:
AUGUSTA – As more details of Governor Paul LePage’s proposed two-year budget were presented today, it is clear that his plans would put thousands of Maine families at risk.
Governor LePage has proposed changes in the Temporary Assistance for Needy Families program and for MaineCare that would jeopardize health care insurance to thousands of Mainers who have it today while also threatening the well-being of thousands of children.
“It appears that stereotypes and anecdotes have driven many of the governor’s proposals,” said Sara Gagne-Holmes, the executive director of Maine Equal Justice Partners. “More than anything else, Temporary Assistance for Needy Families is about helping children. More than 25,000 children are served by the program, which helps to provide them a safe place to live and other basic necessities of life.”
According to a year-long research project conducted by Maine Equal Justice Partners and the Maine Women’s Lobby in cooperation with the University of Maine and the University of New England, the typical TANF family is headed by a single mom, with two young children. The median time families spend on TANF is 18 months. Of those who receive assistance for five years or more, 90 percent include a disabled family member.
“In his budget address on Thursday, Governor LePage said he would defend older Mainers, those suffering with disability and those fighting mental illness with every ounce of his being,” Gagne-Holmes said. “Our research shows that, along with children, those are the people who are protected by assistance programs such as TANF, MaineCare and Drugs for the Elderly.”
In addition to changes in the TANF program, Governor LePage has also proposed jeopardizing coverage for nearly 14,000 working parents who currently receive health insurance through MaineCare, the state’s Medicaid program. The proposed budget also makes dramatic cuts to the Drugs for the Elderly program, which will significantly increase costs of health care and medicines for thousands of low-income seniors.
“The impact of Governor LePage’s proposals will hurt some of the most vulnerable people in Maine, and especially poor children, and the elderly.”
Rally to Save Health Care
News links to articles about the rally:
Kennebec Journal: Rally decries attacks on new health care law
MPBN: Mainers Rally in Support Affordable Care Act
WABI-TV: Health Care Debate Rages in Augusta