By Associated Press - Wednesday, April 18, 2018

AUGUSTA, Maine (AP) - Maine lawmakers on Wednesday worked into the night on their last official day of session debating unresolved issues, including tax reform and Medicaid expansion.

An effort to extend the session passed in the Senate but failed in the House on initial votes due to opposition from House Republicans. Several leading House Republicans chastised lawmakers for tabling a number of bills on Wednesday and for working on a spending deal that includes Medicaid expansion funding.

“If you keep backing a caged animal into a corner, it’ll fight,” said Republican Rep. Jeffrey Timberlake.



A possible extension faced additional votes.

Some legislators met behind closed doors to hash out compromises on how best to use roughly $140 million in projected budgetary surplus through June 2019. Lawmakers must return at some point in the coming weeks to deal with Republican Gov. Paul LePage’s vetoes.

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TAX CONFORMITY

Lawmakers could update Maine’s tax code in light of a recent federal tax overhaul.

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LePage and Democrats have offered proposals to update Maine’s tax code on top of multimillion-dollar tax breaks. A group of lawmakers spent Wednesday working on a compromise.

Some supporters, including Republican Senate President Mike Thibodeau, say pushing back tax code changes to next year would cause uncertainty and a big headache for businesses.

“Our legislature will really be leaving the people of the state hanging in the wind if they decide to wait,” said accountant Dewey Martin, a faculty member at Husson University.

But PretiFlaherty tax attorney Michael Sheehan said lawmakers still could make needed tax changes next year, with more time to study Trump’s reform.

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MEDICAID EXPANSION

Voters demanded Medicaid expansion in November, and it’s set to start this summer. But funding for 70,000 low-income Mainers who could gain health care coverage is in limbo.

LePage has demanded lawmakers provide money for administrative costs associated with the expansion and put in writing plans to fund expansion down the road without raising taxes or using one-time revenue. He’s lambasted estimates that expanding Medicaid will save Maine money and has refused to ask for roughly $500 million in annual federal funding until lawmakers follow his direction.

Democrats and several Senate Republicans said Wednesday they support funding about 100 new state staffers to handle voter-approved Medicaid expansion.

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But Republican House Leader and gubernatorial candidate Ken Fredette said he opposes the idea unless lawmakers also lay out a plan for three years of funding for Medicaid expansion. Democratic House Speaker Sara Gideon said no plan is needed because lawmakers can use surplus money.

Gideon said Maine technically has enough Medicaid money to cover Maine’s share of expansion costs through May 2019. The governor and Fredette called running down Medicaid funds irresponsible.

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UNFUNDED BILLS, BONDS

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More than 100 bills and bonds for high-speed internet access and infrastructure projects received legislative support but need funding and legislative action to survive.

Lawmakers largely agree on money for county jails, nursing homes and personal care aides. Advocacy groups want increased substance abuse treatment funding following 418 drug overdose deaths in 2017.

Fredette said pay for personal care workers is important, but said lawmakers also should roll back Maine’s minimum wage law. He suggested lawmakers go through the bills one-by-one, rather than consider a spending package that includes Medicaid expansion.

Democratic Rep. John Martin cautioned against such efforts.

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“There’s too many personalities with too many egos in the Maine legislature to get a solution collectively bill by bill,” he said.

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