Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Maine: Panel OKs $1 tax hike on cigarettes
bangordailynews.com ^ | 6-15-05

Posted on 06/15/2005 6:39:14 AM PDT by SheLion

Dems propose $125M in cuts

AUGUSTA - Majority Democrats on the Legislature's Appropriations Committee repealed a $250 million, budget-balancing loan Tuesday, replacing it with $125 million in spending cuts and a $1 hike in the state cigarette tax.

At $2 per pack in taxes, Maine would have the third highest cigarette tax in the country, according to Dan Riley, an Augusta-based lobbyist for the tobacco industry. The increase would effectively drive up the over-the-counter price for a pack of premium cigarettes like Marlboro from $4.19 to $5.19.

"We have selected some new revenue to bring us to the $250 million target," said Sen. Peggy Rotundo, D-Lewiston and co-chairman of the Appropriations Committee. "We cut as far as we felt we could."

Gov. John E. Baldacci said Tuesday he will support the cigarette tax increase as the best available solution to eliminating the $250 million state revenue bond included in the two-year, $5.7 billion state budget to take effect July 1. Like the 8-5 vote on the budget panel Tuesday, the state budget was advanced in March by majority Democrats who believed the $250 million loan was an acceptable alternative to deep spending cuts in state programs.

The proposal now goes to the printer, where it will be assigned an LD number. Legislative leaders essentially abandoned a planned Wednesday adjournment and anticipated debate on the new tax-and-spending package would begin sometime Thursday in the House.

Republicans on the panel have prepared their own proposal to reach the $250 million target that relies on severe cuts to state health care services and defers salary increases to state employees. The package also restores numerous proposals that were rejected by Democrats on the Appropriations Committee.

"A lot of our initiatives are about the size of state government and the costs associated with state employees," said Sen. Richard Nass, R-Acton and the senior Republican on the budget panel.

Republicans were essentially bypassed by Democrats in March when the majority budget was passed. The GOP responded by launching a people's veto of the borrowing component with the hope of overturning the provision at the ballot box in November. About 40,000 of the required 51,000 signatures have been gathered, according to Sen. Peter Mills, R-Skowhegan. In response to Tuesday's vote by the Appropriations Committee, Mills indicated final approval by the Legislature of either proposal to eliminate the borrowing provision of the budget was all that was needed to terminate the people's veto effort.

"When it looks like this has passed in the House and Senate, we'll declare victory and the signature-gathering effort will stop," Mills said.

In a closely divided House and Senate, however, such conclusions cannot be presumed lightly. Republicans and some Democrats were not sure how the majority report from Appropriations would be received by rank-and-file Democrats in the House. The Democratic plan:

. Cuts $10.4 million from mental health programs by revamping the delivery of those services.

. Saves $5.9 million by delaying school construction projects by one year.

. Cuts $2.2 million from the DirgoHealth program.

. Cuts $5.5 million from the Veterans Tax Reimbursement program.

. Cuts about $7.2 million from the Business Equipment Tax Reimbursement program.

By contrast, the GOP plan:

. Delays $20 million in state employee salary increases until the next budget cycle.

. Cuts $20 million in health care services to poor working Mainers.

. Transfers $32 million from the DirigoHealth program to the General Fund, leaving DirigoHealth with a balance of about $6 million.

. Eliminates the governor's Office of Health Policy and Finance with a $2 million deappropriation.

. Eliminates the reduction to the BETR program proposed by Democrats.

Rotundo said Democrats could not support the level of cuts Republicans wanted to make to the state's social service programs.

"In order to cut more we were going to have to get into those programs that provide health insurance for some of the poorest people in the state - the working poor," she said. "We just didn't want to go there. We did not want to remove thousands of people from programs that were providing them with some kind of health care."


TOPICS: Culture/Society; Government; US: Maine
KEYWORDS: addiction; antismokers; augusta; baldacci; bans; butts; camel; caribou; cigar; cigarettes; cigarettetax; commerce; fda; forces; governor; individual; interstate; kool; lawmakers; lewiston; liberty; maine; mainesmokers; marlboro; msa; niconazis; pallmall; pipe; portland; prosmoker; quitsmoking; regulation; rico; rights; rinos; ryo; sales; senate; smokers; smoking; smokingbans; taxes; tobacco; winston
Navigation: use the links below to view more comments.
first previous 1-20 ... 81-100101-120121-140141-156 last
To: Hot Tabasco
Isn't your government a wonderful thing? Another legitimate, law abiding company now driven out of business!!!!!!

"The taxing power...must not be used to regulate the economy or bring about social change."
Ronald Reagan - 1981

141 posted on 06/17/2005 6:29:42 AM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 136 | View Replies]

To: ExpatGator
I went elsewhere. In fact, 1700 miles elsewhere! Maine will never see another penny of revenue from this household. Sorry about your misfortune in that communist country. Land is cheap out here in Missouri, we have 2 Pubbie senators and a Pubbie Governor, and our taxes/cost of living is mucho cheaper. There ain't a Somali in sight either. Come on down, Americans are welcome.

Sounds wonderful!  If I wasn't so dug in here, I would consider it.  My roots run deep now after living here for 20 years.

142 posted on 06/17/2005 6:31:25 AM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 139 | View Replies]

To: Just another Joe; Madame Dufarge; MeeknMing; steve50; Cantiloper; metesky; kattracks; ...
Well, it's a done deal for the cigarette tax increase again. Everyone but Maine smokers got off easy.

I heard from Rep Snowe-Mello. I was the only one in the whole state that she heard from. :( I couldn't do it by myself..... :(

Darlene,
You are the only person that I have heard from who do not want the
cigarette tax. The budget passed in the House by one vote.
Lois


143 posted on 06/17/2005 1:28:54 PM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 142 | View Replies]

To: SheLion

They all say that. Just like they all say things like, "Well, the majority view is---" or, "Studies have shown---" and, "I don't know anybody who voted for Nixon."


144 posted on 06/17/2005 1:32:59 PM PDT by RandallFlagg (Roll your own cigarettes! You'll save $$$ and smoke less!(Magnetic bumper stickers-click my name)
[ Post Reply | Private Reply | To 143 | View Replies]

To: RandallFlagg
They all say that. Just like they all say things like, "Well, the majority view is---" or, "Studies have shown---" and, "I don't know anybody who voted for Nixon."

You mean....it might not be true that I was the only one she heard from???

145 posted on 06/17/2005 1:35:23 PM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 144 | View Replies]

To: SheLion

Pretty much.

If it were me, I'd counter that line with, "Well what'd you expect? The anti-smoker legislations in this state have driven most smokers away and out into more friendly areas; which brings into question as to how much revenue you politicians think will be generated if there's mo smokers left to pay the bill... HMMMMM?"


146 posted on 06/17/2005 1:39:58 PM PDT by RandallFlagg (Roll your own cigarettes! You'll save $$$ and smoke less!(Magnetic bumper stickers-click my name)
[ Post Reply | Private Reply | To 145 | View Replies]

To: RandallFlagg
If it were me, I'd counter that line with, "Well what'd you expect? The anti-smoker legislations in this state have driven most smokers away and out into more friendly areas; which brings into question as to how much revenue you politicians think will be generated if there's mo smokers left to pay the bill... HMMMMM?"

Well, I'm just sick Randall.  :(

Plus, she is a good friend, so I couldn't say something like that to her.  But I am just sick.  I can't believe that I am the only smoker in this whole state that gives a damn.

147 posted on 06/17/2005 1:51:05 PM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 146 | View Replies]

To: SheLion
I didn't know you knew her. But the question's still valid: How are they going to make all this income if there's no smokers left to steal get it from?
148 posted on 06/17/2005 2:15:52 PM PDT by RandallFlagg (Roll your own cigarettes! You'll save $$$ and smoke less!(Magnetic bumper stickers-click my name)
[ Post Reply | Private Reply | To 147 | View Replies]

To: RandallFlagg
I didn't know you knew her. But the question's still valid: How are they going to make all this income if there's no smokers left to steal get it from?

I've corresponded with her for several years now.

But take me: you know I have been rolling my own for over 4 years now and am no longer feeding taxes into the state coffers. But I still believe in helping my fellow Mainers the best I can by fighting for them.

I wonder if anyone really cared. I wonder if anyone really listened.

149 posted on 06/17/2005 2:20:32 PM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 148 | View Replies]

To: SheLion
Well, your FRiends here appreciate your hard work. As do I.
150 posted on 06/17/2005 2:30:01 PM PDT by RandallFlagg (Roll your own cigarettes! You'll save $$$ and smoke less!(Magnetic bumper stickers-click my name)
[ Post Reply | Private Reply | To 149 | View Replies]

To: RandallFlagg
Well, your FRiends here appreciate your hard work. As do I.

Well, sometimes I throw my hands in the air and say to hell with it. This is my last fight.

Take a few days off and here I am again. heh!

I guess I am like the bad penny.....keeps coming back. :)

151 posted on 06/17/2005 2:42:50 PM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 150 | View Replies]

To: SheLion
Well, it's a done deal for the cigarette tax increase again.

So sad, for once the ball gets rolling it takes a lot of work to stop it's motion.

I suppose a portion of that generated revenue will help support the children's Ritalin habit in public schools who might be normal children and stare out the window too much?

152 posted on 06/17/2005 10:42:50 PM PDT by EGPWS
[ Post Reply | Private Reply | To 143 | View Replies]

To: SheLion
I guess I am like the bad penny.....keeps coming back. :)

IMO, that should be "a flower that blossoms again in the spring".

Yep, that is a MUCH better comparison! : )

153 posted on 06/17/2005 10:46:38 PM PDT by EGPWS
[ Post Reply | Private Reply | To 151 | View Replies]

To: EGPWS
IMO, that should be "a flower that blossoms again in the spring".

Ah that's sweet. Thank you!


154 posted on 06/18/2005 5:37:52 AM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 153 | View Replies]

To: SheLion; Gabz; Condor51; 2banana; All

I'm so sorry!

I thought the states were turning away from these tobacco "user" taxes this year. Great posts all. I hope Sen. Peggy Rotundo, and all the other who passed the bill, have just issued the "kiss of death" to the Maine state budget and you can reduce their anticipated revenue to zero!

I also hope you get out your check books and order from Sovereign Indian retailers or roll your own the way SheLion suggested. There are a lot of smokers who will be happy to supply you with "safe" retailers, who will continue to keep your ordering records private.

I wonder who the new Al Capone of tobacco distribution in Main will be?


155 posted on 06/22/2005 9:59:26 AM PDT by Garnet Dawn (""A society of sheep must in time beget a government of wolves." --Bertrand de Jouvenel)
[ Post Reply | Private Reply | To 7 | View Replies]

To: Garnet Dawn
I wonder who the new Al Capone of tobacco distribution in Maine will be?

I'd love to find out!

Maine lawmakers are so stupid!  If they would have left the cigarette tax alone, their revenue would have run along smoothly.  But now with this newest tax increase, more Maine smokers are throwing their hands in the air and finding cheaper smokes elsewhere.  Leaving Maine Budget Revenue running shorter then it is already.

Got to keep those pet programs alive you know. heh!

156 posted on 06/22/2005 10:03:04 AM PDT by SheLion (Trying to make a life in the BLUE state of Maine!)
[ Post Reply | Private Reply | To 155 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-20 ... 81-100101-120121-140141-156 last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson