This bill creates a dedicated School Construction Debt Service Fund to finance public school construction and consolidation projects approved by Maine's Department of Education and State Board. Starting in fiscal year 2026-27, the fund will receive annual allocations totaling $175 million in 2026-27 and $200 million annually thereafter from specific existing revenue streams, including $60 million from the General Fund surplus, $5 million from slot machine income, $40 million from cigarette taxes, $65 million from lottery revenue, and other tobacco/cannabis tax sources. The fund is designed to provide stable, dedicated funding for school infrastructure projects without requiring new taxes. It directly affects Maine public school districts eligible for state-approved construction or consolidation projects.
LD 1089 would impose a 4% tax on Maine taxable income exceeding $1,000,000 for tax years starting January 1, 2025. This tax applies only to high-income earners (those with Maine taxable income over $1 million) and would generate revenue exclusively for public prekindergarten through grade 12 education. The bill permanently establishes this tax as a dedicated funding source for K-12 education, replacing temporary funding mechanisms. All revenue collected must be used for K-12 education, with no other designated uses specified in the bill text.
LD 1948 provides a one-time $117,618,761 allocation from the General Fund to MaineCare (Maine's Medicaid program) for fiscal year 2024-25. It directly affects MaineCare recipients and healthcare providers who receive payments through the program. The bill's key mechanism is moving this funding from the General Fund for immediate use in the current fiscal year. Part B of the bill cancels a previously allocated amount from Public Law 2025, chapter 2, Part D, with that cancellation effective June 20, 2025. This is a procedural funding adjustment, not a new policy.
This bill allocates $225,000 annually from the General Fund to support the Maine Discovery Museum's STEM education programs statewide. It directly funds three specific initiatives: the Maine Science Festival, the Maine Invention Convention, and the Science Around ME program. The funding is intended to sustain these educational efforts for students across Maine, focusing on science, technology, engineering, and mathematics. The bill provides ongoing financial support without altering existing laws or creating new regulations.
LD 255 provides $3.5 million in one-time state funding to help mobile home residents purchase their mobile home parks. The bill creates a "manufactured and mobile home park preservation and assistance program" that directly supports residents seeking to buy their parks from owners. This funding, allocated from the General Fund for fiscal year 2025-26, aims to prevent displacement by enabling community ownership. The program is specifically designed to assist residents in low-income mobile home communities where park ownership changes could lead to higher rents or forced relocation. The funding is a one-time allocation with no ongoing annual budget.
This bill exempts certain over-the-counter (OTC) medicines from Maine's sales tax starting January 1, 2026. It applies to FDA-approved OTC medicines meeting specific labeling requirements, including antacids, contraceptive products, allergy medications, eye/ear/nose treatments, and opioid antagonists. The exemption covers medicines sold directly to consumers without a prescription, but excludes cannabis products. This change affects Maine residents purchasing these specific OTC health products, reducing their out-of-pocket costs for essential medications.
This bill removes a 12-month residency and ownership waiting period for Maine residents seeking the homestead property tax exemption. Currently, applicants must have lived in Maine and owned their primary home for 12 months to qualify. The bill amends Maine law to allow immediate eligibility for the exemption once a person becomes a permanent Maine resident and owns a homestead. This change directly affects Maine residents who own their primary homes but previously had to wait a year before receiving the tax break. The exemption amount remains $10,000 of a homestead’s value.
LD 1022 requires Maine to appropriate $9.5 million annually starting July 1, 2026, for civil legal aid services targeting low-income residents. It directly affects approximately 356,500 Mainers living below 200% of the federal poverty level who face civil legal issues like eviction, domestic violence, or benefits disputes without representation. Key provisions mandate quarterly fund distribution through the Civil Legal Services Fund Commission, annual reporting on unmet legal needs (including attorney-to-resident ratios), and biennial legislative hearings to assess funding adequacy. The bill aims to sustain and improve access to justice by ensuring consistent, increased funding for legal assistance in civil matters.
LD 696 provides a one-time $1,000,000 appropriation from the General Fund to support the Maine Teacher Residency Program at the University of Southern Maine. This funding directly supports the program's operations, which prepares new teachers through structured residency placements. The bill allocates the full amount for the 2025-26 fiscal year with no funding requested for 2026-27. It is a procedural funding measure with no new policy requirements or eligibility changes. The bill focuses solely on providing targeted financial support to expand teacher training capacity.
This bill creates Maine's Small Business Capital Savings Account Program, allowing eligible small businesses in farming, fishing, or forestry to earn tax deductions for contributions to special savings accounts. To qualify, businesses must be headquartered in Maine, have 99 or fewer employees, operate in one of the three specified industries, and meet federal tax classification rules. The program sets strict account rules: balances cannot exceed $250,000, funds can only cover business equipment or property purchases (capital expenditures), and all money must be withdrawn within a year if the business closes. Businesses must report withdrawals to the state for tax deduction verification, with the program capped at certifying up to 30 total businesses across the three industry categories.
