Gov. John Baldacci has made a concerted effort not to raise broad-based taxes.

But in their efforts to balance the state budget, Baldacci and the Legislature have increased fees and cut millions in state education aid and revenue sharing for cities and towns.

The local response, in many cases, has been to raise property taxes, lay off employees and put off paving or repair projects on local roads.

So, when a gubernatorial candidate says they won’t, or don’t want to, raise taxes, the statement should probably come with a small-print disclaimer.

This year, six of the candidates have said they don’t want to raise taxes. Most said it was irresponsible to take a tax pledge.

When asked how they planned to keep state taxes low without pushing the burden to property taxes, many of the candidates talked about scrutinizing state government to find waste and inefficiencies. 

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Whether or not such a review will find enough savings to prevent tax increases is unknown.

However, this much is certain: Maine’s roads and bridges ranked 32nd in a recent national survey, its rural roads 47th.

And, according to Jan. 13 legislative testimony by an economist at the Maine Heritage Policy Center, a conservative think tank, about 12.5 percent of Mainers’ personal income is diverted to state and local taxes – the sixth highest percentage in the country. 

The next governor will be forced to reconcile those two problems.

Eliot Cutler, 64, independent

“I don’t take tax pledges,” Cutler said. “I don’t make promises I can’t keep.”

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Cutler said the state desperately needs to reform its tax structure. But before it does that, it has to get spending under control.

“We have to squeeze the living bejesus out of what we spend,” he said. “People are not going to pay attention to a discussion about tax reform until people have confidence in government’s ability to control spending.”

Cutler said he would explore raising the gas tax “by a few pennies” while simultaneously eliminating mandatory annual motor vehicle inspections. The latter, he said, would outweigh the slight increase in the gas tax. 

Maine has not raised its gas tax since 1999. Revenue from the tax, meanwhile, has dropped due to the recession and Mainers driving more fuel-efficient vehicles.

Cutler said he would consider slightly raising meals and lodging tax and dedicate the increased revenue to marketing the state’s tourism industry.

Voters in June repealed the state’s tax reform bill, which included upping the meals and lodging tax.

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John Jenkins, 58, independent

Jenkins said it was irresponsible to take a tax pledge.

“You can explain your intentions, and my intention is to keep taxes from going up,” he said.

Jenkins touted his record as the former mayor of Lewiston and Auburn, where, he said, he found government savings and didn’t raise taxes. He said his experience with municipal government made him acutely aware of how Augusta’s unwillingness to raise taxes affected local communities.

“The burden all fell on us,” he said.

Jenkins didn’t outline a specific plan that he would take with him to the Blaine House. However, he hoped to find efficiencies in state government and make sure decisions there didn’t hurt individual communities.

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Paul LePage, 61, Republican

LePage has vowed to lower the state’s “excessive tax burden,” first by conducting  a top-to-bottom review of state government to detect “waste, fraud and abuse.”

He said he will institute what he calls “zero-based” budgeting, essentially building the next biennial budget from scratch rather than tweaking the current spending plan. 

LePage has also proposed a 5 percent income tax rate for Maine families that take home at least $30,000 and a flat 5 percent corporate income tax rate for businesses earning between $30,000 and $500,000.

He has also proposed removing taxes on pension income, eliminating the estate tax and reducing taxes on tobacco and alcohol by 25 percent.

His opponents, however, claim LePage’s tax reduction plans are political pandering. Cutler, for example, recently attacked the Waterville mayor’s plan, saying it would nearly triple the size of the $800 million state budget shortfall already awaiting the next governor.

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LePage has said his tax-reduction proposals would actually generate more tax revenue for the state because they would signal to the rest of the country that Maine is business friendly, and attract companies and jobs.

Libby Mitchell, 70, Democrat

Mitchell has said she “has no plans to raise taxes” and to get the most out of every tax dollar collected.

She also believes the state must become more efficient. However, she expressed skepticism about consolidating state agencies, as Gov. John Baldacci has attempted to do on two occasions.

Mitchell has said that it’s important to lower the income tax, potentially by expanding the sales tax. The latter was the objective in the tax reform bill repealed by voters.

Mitchell said she doesn’t necessarily want to revisit that legislation, but to look for a compromise that would be agreeable to voters.

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Mitchell is also a proponent of some tax breaks to attract businesses, such as the state’s Pine Tree Zone program, which gives companies tax incentives while guaranteeing minimum income requirements.

Shawn Moody, 51, independent

“I wouldn’t say I’m not going to raise taxes to garner votes,” Moody said, explaining that he would not rule out raising state taxes in the face of a budget shortfall.

“I wouldn’t put the burden of a revenue shortfall on the backs of the local taxpayers,” he said. “It would be easy to say at the state level no new taxes, but we all know where that’s going to shift. It’s going to shift to the elderly and the people struggling to hold onto their homes.”

Moody said the key is growing the state’s tax base through jobs and economic development. He said he’d run state government like a business, and do it by showing the rest of the country that it’s open for business.

Kevin Scott, 42, independent

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Scott said he is ready to make the promise.

“I would take a tax pledge not to raise taxes, absolutely,” he said. “And you know what? If I wasn’t able to fulfill it, so be it. But it sets a clear tone for people: I don’t want to raise taxes.”

In a subsequent interview with the Maine Public Broadcasting Network, Scott was asked if he’d raise taxes or fees to balance the budget. 

“I don’t have the experience and knowledge base of what’s going on with that budget right now,” he said. “I don’t think I would do that. My priority would be efficiencies and reduction in some of the things that we’re doing in the state government, reduction in size.

Scott said one potential solution is the same one he has for a variety of issues: A voluntary 32-hour work week for state employees.


Tomorrow: How the candidates feel about a casino in Maine.


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