Lawmakers start to deal with budget
State House

Lawmakers start to deal with budget


By Kevin Miller
BDN Staff
BANGOR DAILY NEWS PHOTO BY JOHN CLARKE RUSS
Rep. Emily Cain, D-Orono, is house chair of the state legislature's Appropriations and Financial Affairs Committee. Photographed at the State Capitol in Augusta Feb. 3, 2009. Buy Photo

AUGUSTA, Maine — Lawmakers on Monday will begin the sobering business of deciding how to spread the economic pain around state government as they delve into a proposed budget that cuts funding to most agencies and eliminates hundreds of jobs.

Lawmakers have scheduled four weeks of public hearings on the Baldacci administration’s proposal for dealing with an estimated $838 million hole in the 2-year budget that begins this July.

Click to see a .pdf document of the public hearing schedule.

Those hearings, which are before the Appropriations and Financial Affairs Committee, begin Monday in the State House and are expected to run through at least March 6. Hearings are organized by department or program.

In addition to soliciting feedback from Mainers, the Legislature’s budget wranglers will be keeping a close eye on developments in Washington, D.C., as congressional leaders hash out an economic stimulus package expected to funnel hundreds of billions of dollars to states.

“There are so many moving parts with this budget … so it is important for us to take a more thoughtful and more deliberative approach,” said Rep. Emily Cain, an Orono Democrat who co-chairs the appropriations committee.

Gov. John Baldacci has said that his $6.1 billion biennial budget was crafted with the goal of protecting “core government functions,” such as emergency responders and services to the young, elderly or disabled.

But cutting $800 million will reverberate throughout state and, by extension, local government.

The University of Maine System faces a 2.4 percent funding reduction, which comes on the heels of $8.3 million cut from the current year’s budget imposed last fall.

Baldacci flat-funded state aid to Maine’s K-12 schools for 2010-11 after cutting $27 million during a budget curtailment in the current fiscal year. That will further erode progress toward meeting the voter-approved mandate that the state pay 55 percent of all K-12 education costs.

The closest Maine ever came was in the 2007-08 budget, when the state paid just over 54 percent of education costs. The state’s contribution will fall to 52.5 percent and 51 percent in the next two fiscal years under the current proposal, according to Maine Education Association figures.

The MEA’s Steve Crouse said the flat-funding recommendation, combined with the $27 million hit in the supplemental budget, increases the possibility that schools will be forced to freeze salaries, cut programs and furlough or even lay off staff.

“It does cause us a great deal of concern,” said Crouse, the MEA’s lobbyist.

Public hearings on the higher education and K-12 budget proposals are scheduled for Feb. 24 and 25, respectively.

A crowd is also expected this Wednesday when the committee takes up proposals to slash funding — and dozens of positions — in Maine’s correctional facilities.

The governor’s budget contains plans to close housing units within several correctional facilities — including at Charleston and Machiasport — and to move more than 100 prisoners to out-of-state facilities.

Nearly 40 corrections positions would be eliminated under the plan. The Maine Department of Transportation, meanwhile, would lose 137 positions, only 52 of which are now filled. Most of those are Augusta-based, management positions.

Across state government, 219 positions would be eliminated under the Baldacci administration’s budget proposal. More than 130 of those would be layoffs, bringing the total number of state employees to its lowest level in more than 25 years.

“We don’t think with the economy in as bad a shape as it is right now that putting more Mainers out of work is a good idea,” said Tim Belcher, executive director of the Maine State Employees Association, a union. “But we understand the political reality that there are calls to cut jobs.”

Belcher credited the Baldacci administration with working with the union in the past to reduce the size of the state payroll through attrition, whenever possible. He said his organization hopes lawmakers will look at individual positions recommended for elimination to ensure those cuts make sense.

The union is also urging its members to fight a proposal to require all state employees earning more than $50,000 to pay 5 percent of their health insurance premiums.

Baldacci administration officials are banking on receiving at least $98 million in additional federal support for MaineCare, the state’s Medicaid program, from President Obama’s economic stimulus plan. Failure to receive at least that much money would necessitate additional budget cuts.

Baldacci’s budget seeks temporary reductions in several tax rebate programs, including the Business Equipment Tax Reimbursement Program and the Tree Growth Program. It also calls for fee hikes on fishermen, hunters and users of state parks.

But the governor’s budget avoids position cuts among state troopers, game wardens and marine patrol officers and maintains funding for a red tide monitoring program that is critical to Maine’s shellfish industry.

Also missing from the governor’s proposal are any broad-based tax increases. And legislative leaders say they have no intention of introducing any.

“While legislators will certainly make changes to the governor’s budget, I don’t see us considering new tax proposals to balance the budget,” said House Speaker Hannah Pingree, D-North Haven. She called the Baldacci proposal a “solid framework” for lawmakers.

Pingree said passage of the supplemental budget earlier this year set a good tone for the upcoming budget battle. She said she hopes to win two-thirds approval of upcoming budget sometime in April.

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Comments
21 comments on this item

No worries--

Comrad Collins voted for Fearless Leader's right to print money--

Be assured $ is on its way.

But then -- what did we expect.

130-layoffs. No where near enough. Haven't even scratched the surface of what is needed.

Emiy Cain - a woman who has never held a REAL job in her life - managing a $6-billion budget.

When is Baldacci going to announce that all of his overpaid political appointments, some of which are called the "Governor's Special Assistants", have been cut from our state payroll? We need major cuts in both the number of state positions and so-called services done by the Baldacci administration. The waste must-be-stopped, otherwise taxes and fees will keep going up.

Subsidizing 400+ out-of-state students which make up 1/2 of the student body at the Maine Maritime Academy to the tune of $10,000/year who leave immediately after graduation is a BAD idea when Maine students are struggling with huge loans, vocational students are denied opportunities with diminished resources, and high-schools are straining with forced consolidations. The coach made president of the Maine Maritime does not need a recently purchased $1,600,000 six acre estate to call home, nor does a school with a 200 graduating class need a $1,000,000+ alumni center. Maine already has a quality marine law school, numerous business school programs, and marine ecology studies in their existing structure, why are they duplicating these programs with redundant small-scale operations at the MMA? This is pure elitism for the connected in Augusta otherwise this insanity would be stopped long ago.

Maine is poised with the best leadership on appropriations with Caine and Diamond and with Speaker Pingree and President Mitchell holding the gavels we will prevail, you watch and see.

On 2/7/09 at 08:11 AM, Bluejay wrote:

Maine is poised with the best leadership on appropriations with Caine and Diamond and with Speaker Pingree and President Mitchell holding the gavels we will prevail, you watch and see.

8:11 AM is wayyyy too early to start drinkin'...even in Maine.

We need more good employers in Maine. LLBean is a great example. What happened to honest hard work? Why not have State employees pay insurance costs like the rest of us?Socializes medicine is not an answer....look at Canada...they come to Maqine and Florida for care. Even MAMMOGRAMS!!!!!!!!!!!!!!!!!!!!!!

For all you baby bottle, milk sucking McCain loving, and don't his boyfriend Lindsay Graham, Republicans, I say WAAAAAAAAAAAAAAAAAAH! You lost, so watch and learn something besides talking the same doesn't work horse poop!!

CeeBlue -

Clearly you are a Sick Twisted Freak - not to mention a Great American, for those of you who have no idea what the reference is to - well that's your loss- remember the messiah is banking on the fact he's got a 70% chance of getting it right - I feel warm and fuzzy knowing that.

It will be intersting to see what the economic climate will be this time next year. I do not think it will be better. We have to weather out this cycle and standby those who own and run a business. Government does not have the ability to fix this.

This state will NEVER attract large scale business ventures because of the high tax rate. Bottom line is this state needs to eliminate all the ridiculous and useless posititions and programs not just from State Government but also from the UM System to DHS. Too many handouts, too many people on welfare, too many people collecting paychecks in Augusta and Orono who have no real function.

This state needs to get with the program or we are going to end up bankrupt.

jwbooth I tried to find something E cain has done and your right.She is not even a little close to being qualified for this job.How the hell did she get it?Must be a pal of the bald guy.beelzebubba I almost fell out of my chair I laughed so hard!Good one thanks.

A $6.1 BILLION dollar, 2 year budget. That's $3 BILLION a year folks, In Maine, something went real wrong. Who has been in control of this State the past 8 years???????????

Herbert Hoover, anyone? This economic situation is the result of brain-dead neo-conservative fiscal, monetary, and regulatory policy. Deficit spending as a contractionary policy has kept us out of the depression phase of the business cycle since the Great Depression. This recession, however, is protracted by the fact that regulatory policy and ridiculous super-capitalism from Reagan to Bush 2 (including Clinton) allowed many years of growth that were essentially only on paper. The strict capitalist mantra is deader than dead, but the thing that gets me is that the far-right conservatives in Maine (most of whom are either uneducated backwoods yokels, religious freaks, or just plain idiots) still have Reagan' s manhood lodged so far into their mouths that they can't see it. this has nothing to do with the states, it is the product of economic policy that fell way to far off of center, and the Republicans (especially Reagan) are the ones who shoulder the most blame for this situation. What we need to do here is lift the shortsighted "balanced-budget" rule so that we can allow the state to engage in the kind of Keynsian policy that we need to help turn the economy around.

Hey Bluejay, if we have the best leadership, why do they allow some of our more wasteful legislators to waste taxpayer dollars so they can party up at Quebec's annual drunk fest called Winter Carnival? Why did they choose to spend more than $2 million taxpayer dollars on that stupid water fountain and fancy sidewalks/landscape project at the Dome? Are you part of the problem or would you like to help solve it? IMO, the waste must stop!

So just exactly how did Rep. Emily Cain become in charge of the State Budget? What are her qualifications? Real-world Business experience?

No wonder we're in trouble. Between her and fellow idiot Joe Perry, led by our inept Gov, we'll never get out of this mess.

When will the voters keep sending the same fools back to Augusta??

" passage of the supplemental budget earlier this year set a good tone for the upcoming budget battle" This budget was passed with only three days of public input. ... Emily Cain... Once said in a Public forum that she wished all controversial budget issues could be "negotiated in private" so that the public wouldnt be involved.

ANYBODY WANNA HELP CHARTER A BUS OUT OF MAINE?

maine.craigslist.org/rnr

Sign up today!

Can we afford the gas?

The MEA has been in bed with the Baldacci administration on most issues and backed his ill fated attempt at funding Derigo Health. The MEA leadership has little concern for anything other then it's most senior members and cares little about those forced to pay union dues with out a vote on collective bargaining issues.

I have a question - if a governor fails to uphold the law as voted in by the people (55% mandate for schools), does that mean we could technically impeach him? The law is simple and clear yet Baldacci fails to understand the idea that the law doesn't care where that 55% comes from, just fund it! Cut the special aides, cut back on money to the maine turnpike authority, cut out money given to General Dynamics in Bath for a tax break (because they don't friggin need it, they get a handout from Collins and Snowe every time we "need" a new destroyer).

I strongly agree with what Joshua said - the only way to get out of a recession is to spend more on infrastructure, technology (green jobs), education, healthcare, etc. Jobs will come out of the spending and people will earn more. Eight years of Reaganomics (trickle-down) hasn't worked! Outsourcing keeps us from having good paying jobs while CEO's and shareholders benefit from the extra profits. Unfortunately for Roosevelt, the New Deal wasn't the major player in getting the US out of the depression (although it helped), the War was. Not nearly enough money went to the New Deal for everything that Roosevelt wanted to do with it. But for once I am excited that we have a President that is actually spending money on the U.S infrastructure for a change.

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