AUGUSTA - A measure from Rep. Thom Harnett, D-Gardiner, to restore revenue sharing to 5 percent retroactive to January 1, 2021 advanced with bipartisan support in the Maine Legislature on Wednesday. The vote was 144-1 in the House and 33-1 in the Senate.
"At a time when many people describe the political world as intractably divided, yesterday the Maine Legislature spoke with a clear, bipartisan voice that it is beyond time for our State to live up to its statutory promise to fully fund revenue sharing at 5 percent," said Harnett. "Maine's communities are hurting. Maine's property tax payers are hurting. By restoring revenue sharing, we can lessen that pain."
Maine's municipal revenue sharing program was created in 1971. In 1973, revenue sharing was set at 4 percent, and it increased over the next several decades until 2009, when the Legislature set the rate at 5 percent. However, state budgets for fiscal years 2016 to 2019 reduced revenue sharing to 2 percent despite a statutory requirement to be funded at 5 percent. Recent state budgets have made progress, and the Legislature increased revenue sharing to 3 percent in 2020 and to 3.75 percent in 2021.
"Maine towns and cities have lost more than $694 million in revenue sharing since 2009, which Maine's property tax payers have had to shoulder," said Harnett. "In light of the COVID-19 pandemic, this bill is an opportunity to make a real difference for municipalities across the state and reduce the amount of property taxes paid by our friends and neighbors."
LD 328 faces further votes in the House and Senate.
Harnett is serving his second term in the Maine House and is the House chair of the Judiciary Committee. He represents the town of Farmingdale and city of Gardiner.
Contact:
Jackie Merrill [Harnett], c. 812-1111