PORTLAND, Maine - Gov. Paul LePage says it's up to the Maine people to decide whether they want the state to have an income tax. In the first of a series of public meetings, LePage took his plan directly to taxpayers in Westbrook last night, and told them they must be willing to accept expanded sales taxes and say good bye to municipal revenue sharing if they want to be free of the annual tax on earnings.
LePage made his case to the crowd of about 300 people: sign on to a 1 percent increase in the sales tax, and apply it to dozens of currently exempt goods and services. State revenue sharing would go away, but cities and towns would be allowed to impose property taxes on non-profits that hold more than $500,000 in assessed value.
It's a bit complex, he acknowledged. But the, he posed a simple question: "So how many would rather keep the income tax?" LePage asked. Some people applauded. "How many would rather get rid of the income tax?" More people applauded. "You have spoken."
Supporters of LePage's plan are aware that, if special interest groups can derail any of the major provisions, the entire package could fall apart.
Among those who came to Westbrook to speak out against the tax plan was David Levesque, an attorney and president of the Maine State Bar Association. He told LePage that expanding the sales tax so that it applies to legal services would hurt those who are already struggling to pay for their court proceedings. He takes issue with LePage's response to the crowd in which he offered a choice: Do away with the exemption on legal services, or keep the state income tax.
"Actually it was very disappointing, and he made it a false choice for the audience here," Levesque says. "And, of course, that type of diversion from the real issues is going to get support on his side. But one of the reasons I'm here tonight is to, hopefully, help the public understand that this will have a real bearing on their lives."
Buxton resident Ron Usher says he was interested to hear what LePage had to say on the tax front, and to learn more about the projections detailed in an online booklet featured on the governor's website. The booklet - handed out to members of the audience in Westbrook - profiles Mainers of varying socio-economic backgrounds, and indicates how much lower their tax burdens would be under the LePage plan.
But Usher said he didn't hear much about that at the Westbrook session. "Actually I don't think they addressed all of the concerns that are going to be cut," Usher said. "It was only a couple of issues, and there are a lot of other things, according to this booklet that we received, that's going to take place."
At the close of the public meeting, members of the Portland Racial Justice Congress started chanting in protest of LePage's proposed reductions in state General Assistance for the poor. LePage ignored the demonstration and left the Westbrook Performing Arts Center.
A second session is being considered for the Bangor area in the weeks ahead.