February 4, 2025
State House News & Gov. Mill's Budget Address
STATE HOUSE ITEMS
Legislators File Bill Ideas – The 2025 session, which is slated to end by late June, will be busy. Over 2,050 ideas for new or amended laws and studies were submitted by the early January cloture deadline. State agencies are seeking 149 bills.
Several ideas concern changes or outright repeal of the Paid Family & Medical Leave law.
Another idea will seek raising the Maine salary threshold for overtime payment to match the Biden Administration regulation that NFIB successfully blocked last year in federal district court.
There also are ideas for the establishment of a local option sales tax generally or applied specifically to short-term lodging or recreational cannabis.
Legislators will renew efforts to increase income tax rates for individuals and corporations, and to lower the estate tax exemption threshold.
A wide range of ideas target energy matters, health insurance coverage, environmental regulation, and state rulemaking.
An effort to enact a comprehensive data privacy law will be renewed, after a similar effort fell short last year.
A full listing of bill ideas may be found at the links below.
List by sponsor: https://legislature.maine.gov/doc/11450
List by subject index: https://legislature.maine.gov/doc/11451
GOVERNOR’S BUDGET ADDRESS PROMPTS REACTIONS
Gov. Janet T. Mills gave her State of the State and Budget Address on January 28. Reactions ranged from strong opposition to tax increases, to lukewarm caution toward the proposed new budget, to support for higher taxes.
House Democratic Leaders – House Majority Leader Matt Moonen (D-Portland) released a statement that “House Democrats are looking forward to working collaboratively to craft a budget that maintains our core commitments and truly makes life better for Mainers.”
Legislative Republic Leaders – Senate Minority Leader Trey Stewart (R-Presque Isle) wrote in a newspaper op-ed (BDN, Jan. 28) that “Republicans have a simple message: No new taxes.” He went on to say that Maine does not have a revenue problem. Rather, he said, Maine has a spending problem that is caused by “shortsighted” budgeting decisions.
Progressive Advocates – A leading left-leaning progressive group said in an op-ed (BDN, Jan. 22) that “It’s time for Republican lawmakers to acknowledge what families already know: raising revenue is not only responsible – it’s essential.”
NFIB believes lawmakers should follow the budgeting approach used by many small businesses and families, an approach that prioritizes aligning spending with available revenues and income. Various studies, including reports from the respected Tax Foundation, indicate that Maine tax burdens already are above average compared to other states. Some Maine tax burdens rank among the highest. NFIB is also concerned about the impact of the Paid Family & Medical Leave tax that began in January and the effect of other cost challenges facing small businesses and their customers. There has been no economic downturn or recession for which Maine’s Rainy Day Fund meant to buffer.
Hearings on the proposed budget began this week.
NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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