STATE OF THE STATE

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Those expecting an eloquent speech full of lofty goals and broad vision were no doubt disappointed by Gov. Baldacci’s State of the State address Wednesday. However, these speeches, meant to shore up support among the electorate and to build legislative support for the governor’s agenda and budget, are…
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Those expecting an eloquent speech full of lofty goals and broad vision were no doubt disappointed by Gov. Baldacci’s State of the State address Wednesday. However, these speeches, meant to shore up support among the electorate and to build legislative support for the governor’s agenda and budget, are by nature a laundry list of accomplishments and things yet to be done. By this measure, the governor’s speech succeeded.

If anyone is not aware, Gov. Baldacci reminded them he took over the Blaine House at a difficult time. There was a $1.2 billion shortfall and three paper mills were on the verge of closure. The governor kept the mills open and closed the budget gap without raising broad-based taxes. Three years into his tenure, the governor needs to focus on more recent successes.

There are many. Thousands of new jobs have been created. Growth in state government spending has slowed. State spending on K-12 education has increased. More than 200,000 Maine people are paying lower property taxes because they now qualify for rebates. More people have health insurance. Cellular phone coverage and broadband access is improving.

There, naturally, is a lot of work yet to be done. Maine still lags the region in college degrees and research and development funding. The governor’s signature healthcare reform, Dirigo Choice, remains a work in progress – one that needs thoughtful improvements, not dismantling.

The governor proposed steps to address these problem areas. His supplemental budget, unveiled yesterday, will include $1.5 million in scholarship funds for college students who enter childcare professions and a military retirement tax exemptions to encourage personnel from the soon-to-be-closed Brunswick Naval Air Station to stay in Maine. It calls for the elimination of the personal property tax on business equipment, full funding of a film tax incentive program and money to raise the state’s starting teacher salary from $27,000 to $30,000. There’s even a $50 college savings account for every baby born in Maine this year.

The most support – judging from the applause from Democratic lawmakers – was for pressing insurance companies to pass along to customers the $44 million in healthcare savings identified by the state’s superintendent of insurance due to DirigoChoice. Insurance companies have said they will raise rates to come up with the $44 million. The case for such a drastic step has yet to be made and the savings offset payment was set by the superintendent of insurance only after an extensive hearing.

Despite Republican charges to the contrary, the governor does have an energy policy, or at least the beginnings of one. Lawmakers from both parties recently supported spending $5 million to help low-income Mainers pay their heating bills this winter and the governor is working with philanthropic groups to raise more funds in the wake of Congress’ failure to do so.

The governor’s speech offered no major new initiatives or unifying vision other than the notion that Maine has a lot of hard-working people and must invest in them. But, doing many of the little things he outlined could help them, and improve the state’s economic outlook.


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