March 29, 2024
Letter

New taxes a big mistake

As a Bangor business owner, I’m concerned about proposals for new taxes on labor and services, increased taxes on meals and lodging, and the resurrection of the snack tax. At best these proposals are nothing more than a tax shift; at worst they are another new revenue stream that will result in even greater spending.

It seems to me there are plenty of areas where spending could be reduced. To help identify these areas, we need an independent audit of the state’s finances. Unfortunately, a bill to require an independent audit was recently defeated in the House of Representatives on a party-line vote. That outcome suggests to me that the majority party in Augusta isn’t interested in reducing taxes or spending.

A recent report by the Maine Heritage Policy Center (www.mainepolicy.org) outlined strategies for shaving $1 billion off the annual budget for Maine’s Medicaid program without changing eligibility guidelines or cutting benefits. Even if legislators don’t agree with all of the report’s recommendations, even half a billion dollars in savings would be substantial, wouldn’t it?

We have the highest percentage of our population on Medicaid of any state (21 percent, or 260,000 people) and we are paying 90 percent more than the national average per enrollee. When are our legislators going to reign in this out-of-control program?

Another report from Maine Heritage documents the disparity in compensation between government employees and private-sector employees in Maine.

According to the study, public-sector employees in Maine are paid 22 percent more than the national average and almost 33 percent more than New Hampshire’s public-sector employees.

How about asking state employees to kick in a little more for their health-insurance coverage? Hardly anyone in Maine’s private sector pays so little for such comprehensive coverage.

Our legislators need to focus on reducing spending rather than dreaming up new taxes.

Mike Cormier

Bangor


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