AUGUSTA, Maine — It may be one of the longest running debates in Augusta, and it is heating up again.
Lawmakers are being asked once more to require the state to pay 55 percent of the cost of local K-12 schools. Voters passed a referendum more than 14 years ago to have the state pay that amount, but it has never happened.
Towns and schools complain that the state’s failure to do what voters asked has put increasing pressure on local property taxes. The problem led to another referendum vote in 2016 to impose an additional tax on incomes over $200,000, with the money targeted to schools.
The referendum passed, but Legislators repealed it out of concern over the impact of the tax in businesses and the economy. Instead, they passed a $160 million increase in school funding, but that wasn’t enough to reach the 55 percent level.
As a result, Sen. David Miramant (D-Rockland) is asking lawmakers to require the new budget to finally pay 55 percent. Miramant‘s bill was heard Monday in the Education Committee. He says it would require significantly more state funding than what Gov. Janet Mills has proposed in her new budget, but says it is time for the state to follow the wishes of voters.
“But it's just too important,” Miramant said. “I heard it everywhere, every door I went to I heard it. Property taxes are too high. What else do we have to do except at least meet our agreement from the state to fund things?”
Meanwhile, Republican Rep. Dennis Keschl (R-Belgrade) says the state needs to adjust the school funding formula instead, to provide more funding to towns with lower incomes but high property values. Those so-called low receiver towns, like his, receive little or nothing from the state and, therefore, have to raise nearly all their school costs locally.
Keschl says that puts a heavy burden on property owners who may not have much money. His bill would raise the "floor" of state school funding to a minimum of 15 percent. He says he has a lot of sympathy with those calling for Maine to meet the 55 percent mandate but believes the money isn’t there.
"There are wants in a budget. There are needs in a budget, and then there is fiscal reality that you only have so much money to work with," Keschl said.
Gov. Janet Mills has proposed a $126 million increase in school funding for the next two years, but Democrats say an advocacy group has estimated it would cost $178 million more than that to finally reach the 55 percent level.
There was no word from the Governor’s office Monday if it will support either bill. Rep. Heidi Sampson, the top Republican in the Education Committee, says the Governor’s budget does restore some state funding for teacher retirement, which she said the House GOP supports.