Panelists near accord in budget negotiations School plan may still scuttle legislative approval

AUGUSTA – Legislative budget negotiators have been whittling away their differences in committee, but it remains unclear if their rank-and-file colleagues will let them close a deal or approve one if they do.

After negotiations within the Appropriations Committee derailed Wednesday night, Democratic and Republican leaders from the Senate and House of Representatives sought to regroup Thursday.

Committee bargainers appeared to be within reach of an accord – one that would include at least one still controversial and perhaps unfinished component: school system consolidation.

That issue, worth $36.5 million, continues to divide lawmakers of all stripes.

Other financial items – a $15 million disagreement over new cuts in Medicaid coverage for low-income single people, another $15 million argument over so-called government efficiencies and a push by Republicans for new curbs on state employee health insurance – remained on the table heading into another night of private talks.

“I think it’s going to happen, tonight or tomorrow night,” said Assistant House Majority leader Sean Faircloth, D-Bangor, laying out the early line.

“A lot of progress has been made, but we’re down to the major remaining issues,” said Assistant Senate Minority Leader Richard Rosen, R-Bucksport.

The prospective deal might be cobbled together without a key element in Democratic Gov. John Baldacci’s original $6.4 billion package – a $136 million hike in tobacco taxes to include an additional $1 levy on a pack of cigarettes.

Democrats this week variously described a substantial cigarette tax boost as “comatose” and “dead-ish.” Rosen said Thursday, “I have to say, they haven’t been pressing it hard.”

To show the depth of spending cutbacks already put forth, Baldacci administration officials, meanwhile, outlined $130 million to $140 million in savings that had been proposed within the state Department of Health and Human Services.

On school system consolidation, legislators are looking for a way to revise Baldacci’s original proposal to establish 26 regional units, a significant reduction from Maine’s current 152 school administrative systems.