“If you tax Peter and give the money to Paul, it is quite likely that Paul will vote for you.” -Mark Twain

One of the many ways in which our State has changed during these last few decades is that more and more people come to Maine in order to live off others.  It is hard to imagine how Maine’s eligibility and benefits rules could be much better for those who do not wish to work. There is no eligibility requirement, and there is no time limit for benefits.  Many on welfare live better than many who work, or many who have worked all their lives and now scrape along on Social Security and their savings. 

Welfare expenditures by our State government are consistently in the hundreds of millions of dollars during each fiscal year.  Welfare, along with education, eats up the largest part of the budget, and it continues to grow as people come from all over the country – and the world – to live off us.

Welfare reform is long overdue, but it may be here at last.

During the 2008 session of the Legislature, Representative Scott Lansley (R-Sabattus) introduced LD 957 to the Standing Committee on Health & Human Services, but that Committee, dominated by Democrats, voted it down, and it did not reach the floor of the House for debate.

This year, Scott Lansley is no longer in the House of Representatives, and so his bill is being resurrected by fellow Republican, Representative Rich Cebra of Naples.  LD 254 contains the same five salient points as its predecessor, LD 957. 

1. This bill, LD 254, would establish a residency requirement of 90 days for those who would apply for state welfare benefits. Currently, there is no residency requirement. With the 90-day requirement in place, those Maine citizens who have lived here for many years and who have lost their jobs  would be eligible for assistance since they have already established their residency.
   
   
2. LD 254 would also encourage employers to hire those who are on welfare by granting tax credits to the tune of 75% of the employee’s salary during the first year of employment, 50% of salary during the second year, and 25% for the third year.
   
   
3. Currently, welfare benefits are cut off for those who work more than 20 hours per week. This rule actually prevents those who want to work from doing so.   LD 254 would allow welfare recipients to work as many hours as they wish and still draw benefits up to their established level. Thus, nobody loses anything.
   
   
4. Finally, this new law would set a lifetime maximum of five years for drawing welfare benefits.  This would bring Maine into conformity with the federal law which was enacted in 1996.
   

Besides reducing our tax burden, which has been for many years now among the heaviest of all the states, this reform would provide those on welfare who would like to work with the means to leave dependency behind, and those who do not want to work a new experience - the satisfaction of earning a living.  

This reform is a winner for everybody . . . except those who would tax Peter to get a vote from Paul.

First, Kevin Crocker, former talk show host of Talkin' Maine, is returning to the air Saturday mornings from 6 - 9 AM on WLOB, 1310 AM. FM is not available. If you cannot get this station, try www.wlobradio.com online. You will be able to hear the program if you have DSL, Road Runner, or satellite. If not, you may not be able to hear the conversations because the phone connections are not fast enough. Call in numbers are: Local: 775-1310, Long distance: 877-393-8255. I will try to call in at 6:30 with an update. I hope you can make this connection.

Some more good news.

The new version of the Maine Taxpayers Bill of Rights (TABOR NOW) and the Auto Excise Tax (MORE GREEN NOW) Initiatives have been certified by the Secretary of State for inclusion on the ballot in November. Maine Taxpayers United is committed to supporting both initiatives, and for this purpose we are sponsoring meetings which are open to the public. I sent out the schedule for these meetings recently. Your support will be very important to the campaign. We can expect the special interest groups, which will be well-funded with cash that we have earned, to try to convince the public that these initiatives will wreck muni finances, schools, etc. You have heard it all before, and none of it is true. If you are inclined to believe the special interest groups, take a close look at your municipal budget. You will see all kinds of fluff there. The town/city councils cry poor-mouth because they do not want to do without the goodies to which they are accustomed.

Unfortunately, the Health Insurance Initiative was not certified by the SOS. They claim that there were something like 5,000 signatures that were invalid. I do not know why.

Finally, beware the property tax. Munis will increase this onerous tax unless they feel the heat from home owners. A whole lot of people raising hell will make a difference. The basic rule is that there is no municipal government, including the schools, that cannot get by (nicely even) on what they had last year, and that is because there was so much fluff in their budgets. Also, most muni budgets go to referendum after town meeting and can be stopped by the voters.

We welcome two new contacts to the MTU network: Traci Gauthier of Lincoln and Donna Bendiksen of Portland. Welcome Aboard, ladies! We have had many new contacts join up these last few weeks. My thanks to all for joining our army of tax fighters.

I hope each of you will continue to expand your own networks. This morning I talked to my brother, Dr. Wayne Wibby, DDS, who practices in Bangor. His network is now at 56 contacts and growing. Way to go, Doc!

All the best.

Jack Wibby,
Communications Director