Budget & Taxes

LD 1553 proposes amending Maine's Constitution to require a two-thirds vote in both legislative chambers to raise existing tax rates or impose new taxes. Currently, legislative consent is required for taxes, but this bill would strengthen that requirement by mandating a supermajority vote instead of a simple majority. The amendment would also allow tax changes to be approved through direct citizen initiative (a public vote) as an alternative to the legislative supermajority. This resolution must be approved by the legislature and then ratified by Maine voters in a statewide election to become part of the state constitution. If adopted, it would directly affect how the legislature passes tax-related legislation.

This bill imposes an impact fee on megayachts - privately owned pleasure vessels 150 feet or longer (excluding commercial, military, or academic vessels) - in Maine municipalities that charge slip fees for docking. The fee is $10 per foot over 150 feet per day, up to 30 consecutive days, with municipalities keeping 10% and sending the rest to the Megayacht Fund. The fund must distribute 50% of its revenue to municipalities for harbor and sea level rise mitigation infrastructure, and 50% to public transit infrastructure like ferries and land-based transit. The policy directly affects megayacht owners in participating municipalities and aims to fund infrastructure improvements.

LD 1292 codifies a requirement for the Maine Turnpike Authority to transfer excess funds to the Highway Fund on a quarterly basis. It specifies that any revenues or reserves held by the Authority exceeding its approved operating budget, maintenance reserves, debt service obligations, and legislatively approved capital projects must be sent to the Highway Fund. This directly affects the Authority’s financial management and the Highway Fund, which funds state transportation projects. The bill aligns with the Sensible Transportation Policy Act by directing excess turnpike revenues toward broader highway needs rather than remaining within the Authority’s reserves.