Governor Janet Mills announces she will “Give Back†half of the budget surplus to Maine people; pursue two years of free community college for Maine students hard-hit by the pandemic; and overhaul Maine’s student debt relief program to transform it into a nation-leading tool.
“Maine people deserve every ounce of hard-won progress that we have achieved despite the pandemic. More than this, Maine people have earned the progress that is yet to come,†Governor Mills said. “Our state is beautiful. Our state is strong, and it is growing stronger every day…Tonight, we recommit to progress, to recovery, to moving forward towards normalcy… That is my mission, and I ask you all to join me. Because progress is why Maine people sent us here, and after these past twenty-three months, I have never believed more in the people of our great state.â€
Maine has the third highest vaccination rate in the nation and the fourth lowest death rate in the nation, despite having one of the oldest populations in the nation. Despite that success, Governor Mills recognized the continued impact of the pandemic and pledged that her Administration would continue to support the people of Maine.
The Governor also noted that Maine’s Gross Domestic Product, a key measure of economic growth, grew at the second fastest rate in New England and the 14th fastest rate in the nation through the third quarter of last year; that Maine’s population grew at the second highest rate in New England and 7th highest rate in the nation; that Maine has a budget surplus of $822 million and that Maine’s Rainy Day Fund has more than doubled under her tenure to a record high of nearly $500 million.
However, the Governor also acknowledged the challenges remaining on Maine’s road to recovery, identifying the longstanding workforce shortage as the biggest problem facing Maine after the pandemic and the toll inflation is taking on the pockets of Maine people.
To help Maine people grapple with the increased costs of everyday goods, Governor Mills announced she will return half the surplus – $411 million – to the people of Maine, consistent with the calls of Senate and House Republican lawmakers.
“I cannot control the impact of COVID-19 on global markets, but I can make sure that we deliver to Maine people the resources they need to grapple with these rising costs as we rebuild a stronger sustainable economy that is more resilient to the whims of the rest of the world,†said Governor Mills. “I propose that we send half of this projected surplus – $411 million – back to the people of Maine with a direct check. These givebacks will amount to about $500 per person and will be distributed to an estimated 800,000 taxpayers in Maine to help them offset added costs.â€
To support students who were most impacted by the pandemic and to make sure they can enter the workforce with a good-paying job, Governor Mills announced that she will make two years of community college free for Maine students.
“For the young people of Maine whose aspirations were most impacted by the pandemic, I propose making two years of community college free. To the high school classes of 2020 through 2023 – if you enroll full-time in a Maine community college this fall or next, the State of Maine will cover every last dollar of your tuition for you to obtain a one-year certificate or two-year associates degree, so that you will graduate unburdened by debt and ready to enter the workforce. And if you are someone who’s already started a two-year program, we’ve got your back too,†said Governor Mills.
“We’ll cover the last dollar of your second year. There are so many good-paying jobs in health care, engineering, the trades, construction, in clean technology, and many other industries that are just waiting for you. As your Governor, I want you to know that the future is yours, and that we will help you embrace it.â€
Governor Mills also proposed funding to transform the Opportunity Maine Tax Credit into a nation-leading debt relief tool to attract college graduates to live in Maine, consistent with the goals of legislation sponsored by Senator Matt Pouliot (R-Kennebec).
“School debt is a heavy burden that prevents young people from starting a business, affording a mortgage or paying their bills and achieving their full potential. It is simply unacceptable,†said Governor Mills.
“We will broaden and simplify the [Maine Opportunity Tax Credit’s] eligibility criteria so that those who graduated with student debt – regardless of what type of degree they have or where they graduated or what type of work they do now – they will be eligible for up to $25,000 of debt relief over the course of their lifetime, so long as they have a job and they make Maine their home.
"With these changes, the Opportunity Maine Tax Credit will be the leading student loan debt relief program in the nation and a powerful tool for employers to draw people from all walks of life to work and live in the State of Maine.â€
Governor Mills also announced several initiatives to support children’s growth and path into the workforce and to strengthen Maine’s economy, including:
• Increasing Pay for Child Care Workers and Early Childhood Educators
• Investing in K-12 Education
• Fully Funding Free Meals
• Experiential Learning
• Achieving Internet Connection for All Who Want It By 2024
• Supporting Maine Hospitals and Nursing Homes
• Convening a Silver Cabinet ■