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Home Breaking News

Rather than simply cutting costs, Maine must look at raising revenue

by DigestWire member
January 22, 2025
in Breaking News, World
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Rather than simply cutting costs, Maine must look at raising revenue
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The BDN Opinion section operates independently and does not set news policies or contribute to reporting or editing articles elsewhere in the newspaper or on bangordailynews.com

Garrett Martin is the president and CEO of Maine Center for Economic Policy.

Republican lawmakers in Augusta love to compare the state budget to a family budget. In their telling, families under financial pressure make tough decisions about what to cut. It’s a tidy analogy, but it’s incomplete — and dangerously misleading.

Here’s the truth: You can’t cut your way to prosperity. Families know this. When rising costs outpace income, there’s only so much belt-tightening you can do before risking your health, stability, and future. That’s why families don’t just slash spending when money is tight; they find ways to increase their income. They work extra hours, pick up second jobs, or invest in education and training to secure better-paying opportunities. The state should be no different.

Unfortunately, Republican lawmakers’ refusal to consider raising revenue has real and harmful consequences for Maine families. Their insistence on cuts over investments jeopardizes essential services and undermines the very priorities Maine people hold dear.

Take child care, for example — a critical issue for working families. The governor’s budget proposal, which Republicans criticize for not cutting enough, already slashes funding for child care. This will mean lower wages for child care workers and fewer slots for families. Similarly, the proposal fails to ensure that wages for workers who care for aging loved ones and people with disabilities keep pace with inflation or remain competitive with other jobs. The result? A worsening shortage of direct care and health care workers, leaving families scrambling for help.

And if Republicans succeed in demanding deeper cuts, the consequences will ripple further. Funding for Maine’s popular free community college program, K-12 education, expanded health care access, and emergency assistance could be on the chopping block. Cuts to K-12 education would force schools to reduce staffing and programs or hike up property taxes. Eliminating free community college, which has spurred record enrollment and given thousands of students a shot at new opportunities, would slam the brakes on progress. And slashing emergency assistance would leave families vulnerable when they lose a job or get priced out of their housing.

Maine’s recent economic success didn’t happen by accident. While other states disinvested in their people and handed tax breaks to the wealthy and big corporations, Maine chose a different path: investing in its residents. These investments have created pathways to opportunity, strengthened economic security, and delivered results.

It’s time for Republican lawmakers to acknowledge what families already know: raising revenue is not only responsible — it’s essential. Fortunately, there are ways to do this that don’t burden working families. By asking the wealthy and large corporations to pay their fair share, Maine can secure sustainable funding to maintain progress, avoid harmful cuts, and create an economy that works for everyone.

Families don’t just survive by cutting back — they thrive by investing in their futures. Maine’s lawmakers should do the same.

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