Lawmakers have cut spending where it hurts the least

When I entered the Maine Legislature last year representing Lewiston, I knew I would face important and difficult issues. But I am still amazed at the long-term impact our decisions will undoubtedly have throughout Maine for years to come. Some decisions are designed to put us on a more stable economic footing and put more money in the pockets of Mainers – school district consolidation, jail consolidation, and steps to finally reform our tax structure, to name the most frequently debated.

As a result of actions taken by the Bush Administration, balancing the state budget has become infinitely more complicated. We recently learned the administration will reduce federal funding for several Medicaid services, resulting in funding losses for Maine. Further, the total fiscal impact to our communities, including nonprofit providers and schools, will be over $140 million. In order to find funding to meet federal requirements, some vital programs will most likely need to be eliminated.

In addition to the loss of federal funds described above, we in the Legislature were facing at least a $95 million budget gap due to the national economic downturn, and now, due to the latest revisions in the state revenue forecast, we have the governor’s proposal for an additional budget cut of $95 million. Here’s the dilemma: how to fill the $190 million gap without cutting essential services to our most vulnerable citizens – the people a civilized nation puts atop the priority list.

The governor’s proposal to fill this gap include cuts to services that are drastic, and contains no money from the roughly $158 million in the rainy day funds or any tax or fee increases. Here are examples of cuts that are of great concern to me:

• Cuts to podiatry services for diabetics – because some of them may then lose their feet or legs.

Cuts to aid to foster parents – because they are already saving the state money and without the aid, these children could lose their homes.

• Cuts to home care services for the elderly and disabled – because the recipients may have to be institutionalized, which will be four to five times more expensive.

• Massive cuts in public education – because our educated youth are the foundation for economic revitalization in the state. Furthermore, cutting programs will mean job losses to small businesses in communities throughout Maine.

For example, most of the Department of Health and Human Services money that pays for these services is sent to service providers, who employ people who then support other local businesses with their income.

Four years ago, Mainers voted for a plan whereby the state would eventually pay 55 percent of K-12 education costs to local communities, a bill that has increased from $687 million in fiscal year 2003 to more than $1 billion in fiscal year 2009. This mandate makes the challenge of shifting funds even more daunting; nearly 50 percent of the state budget now comprises education spending for both K-12 and higher education. That has left few places to cut when money is needed.

To help fill the gap, it now appears our schools may be flat-funded in the next fiscal year – which will mean staff layoffs, a halting of some needed school construction, and more limitations placed on classroom activities and course offerings. This news comes on top of attempts to reduce the rate of funding to schools, such as ours, that have higher populations of children in low-income households. The Lewiston-Auburn delegation has worked hard with legislators from other communities in a largely successful effort to oppose this outcome.

Our state and country are facing challenging times – it would be foolish to think that we can solve our problems without harm to anyone. There is pain in this budget – unfortunately a great deal of it. The task before us in the Legislature has been to deal with these challenges in a way that not only causes the least amount of harm, but seeks a solution that does not cost our state and community even more in the future.

Despite these challenges, I am honored to be working with a group of legislators – especially those from Lewiston-Auburn – who take their responsibilities very seriously. And I am honored to be working for you.

We are doing the best we can to help weather the current crisis and leave the state stronger for the future.

Rep. Richard Wagner, D-Lewiston, is serving his first term in the Maine House of Representatives and is a member of the Natural Resources Committee. He and Rep. Margaret Craven, D-Lewiston, are hosts of “Answers from Augusta,” an interview program that appears Mondays on local access channel 11.