AUGUSTA - The Maine House of Representatives voted to approve the supplemental budget after reaching a compromise early in the morning on Friday. The motion exceeded the required 101 votes to reach a two-thirds majority, receiving 139 votes. Following the vote in the House, the measure was finally enacted by the Senate.
To reach a compromise with House Republicans, House Democrats agreed to add $8 million to the Budget Stabilization Fund, also known as the "Rainy Day Fund," and create a study on foreign-derived intangible income (FDII) deductions. FDII deductions had been a critical part of the House Republicans' former proposal to include $32 million in the supplemental budget for additional tax cuts for multinational corporations. Throughout negotiations, House Democrats remained firmly against this proposal.
The final compromise on the supplemental budget includes $100 million in tax relief for more than 28,000 Maine businesses that received funds through the Paycheck Protection Program, $47 million in critical tax relief for 160,000 Mainers who lost their jobs and received unemployment benefits and $30 million in targeted relief to direct care service providers and nonprofit providers who did not get PPP funds, state grants or any other targeted relief. The supplemental budget also includes measures to honor our servicemen and women by providing more than $100,000 in support for Maine veterans.
"After the year we have had, Mainers need relief. I am so grateful to my colleagues, Democrats, Republicans and Independents, for all their hard work coming to this compromise," said House Majority Leader Michelle Dunphy, D-Old Town. "We have given businesses the certainty they need to file their taxes, provided support for Mainers who lost their livelihoods due to the pandemic and allocated long-overdue funds for direct care service providers. This is a big win for Mainers and a big win for bipartisanship."
The supplemental budget also supports the Early College Aspiration program for working-class Mainers, invests in a new Comprehensive Child Welfare Information System, takes steps to address contamination from PFAS chemicals and promotes the construction of affordable housing in Maine.
"This budget centers Maine families. After an incredibly difficult year, especially for marginalized communities, Mainers can feel secure knowing that their lawmakers in Augusta were able to put politics aside to bring them the relief they need," said Assistant House Majority Leader Rachel Talbot Ross, D-Portland. "With the supplemental budget behind us, we can now turn our attention to the critical work that we were sent here to do."
The supplemental budget will now go to the Governors desk to be signed into law.
Contact:
Jackie Merrill [Dunphy, Talbot Ross], c. 812-1111