AUGUSTA (AP) – After months of review and bargaining to produce a trimmed-down state budget, the House chairwoman of the Appropriations Committee says it’s time for lawmakers to focus on stimulating the state economy.

Dollars from the federal economic recovery act “have primarily been used as stabilization funds,” Democratic Rep. Emily Cain of Orono said late last week.

Now that the state’s $5.8 billion general fund spending blueprint has been signed into law, the Appropriations panel is turning its attention to bonds.

“This is one of the few opportunities that we have this session to truly invest in things,” Cain said.

Crucial decisions loom this week on new state borrowing and a renewed push to overhaul the state tax code as Maine lawmakers grind toward the end of their 2009 regular legislative session.

Also still under discussion is highway project financing. Possibilities range from sticking with the current system to developing a consensus alternative that could replace a controversial proposal to boost Maine’s fuel taxes by 11 cents over four years.

Suggestions for new bonding begin with Gov. John Baldacci, who three months ago put forth a $306 million state borrowing package that would be submitted to voters in two elections and spent over three years.

“The governor’s package will certainly be a starting point for me,” Cain said.

But to pass a new borrowing package, even if scaled back, the Democratic House and Senate majorities and Baldacci, a second-term Democrat, will need Republican support to obtain the required supermajorities of two-thirds or better in both chambers.

Leaders of the two parties and the governor’s office reached the budget deal, which demanded similar GOP support, after protracted negotiations behind closed doors. As bond bargaining gears up, legislative leaders are hoping rank-and-file lawmakers can wrap their chores and adjourn in two weeks.

Meanwhile, the Taxation Committee faces final voting as soon as Monday on a tax code overhaul package championed by Rep. John Piotti of Unity, the House Democratic floor leader.

Followed intently by a hearing room full of lobbyists in recent days, Piotti and the panel have been exploring ways to broaden the sales tax and reduce the income tax without reducing or expanding the state’s overall revenue take.

Last week, the Legislature’s Office of Fiscal and Program Review issued an updated look at the latest trends in tax collections and noted further evidence of economic weakening.

The monthly staff report said that through April, the tenth month of fiscal 2009, general fund revenue declined by 8.8 percent from the same period in fiscal 2008.

For some lawmakers, at least, a mid-June adjournment will bring only a brief respite.

As the fiscal staff report notes, Democratic Senate Chairman Bill Diamond of Windham brought down the gavel on the Appropriations Committee at about 1:30 a.m. on May 19, concluding the panel’s budget work “… until … this summer when they begin their work on finding $30 million in savings as called for in Part QQQ.”