The state budget

The legislature was again forced to make many difficult decisions to bring the general fund budget into balance. While many states faced partisan gridlock, in Maine Democrats and Republicans came together in both 2009 and 2010 to pass bi-partisan budgets. Maine’s General Fund Budget has shrunk by $844.8 million since the 124th Legislature took office in December 2008. The legislature cut nearly $310 million from the biennial budget without increasing taxes. The new budget made use of federal recovery funds to reduce proposed cuts to local education and to critical health care services while further streamlining government functions to save money. The budget also preserved funding proposed to be cut from the property tax relief program.