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HomeMy WebLinkAbout2002-10-15 02-384 RESOLVEItem Nc o Date: 10/15/2002 Item/Subject: RESOLVE, Supporting an Act Reduce Property Taxes Statewide Responsible Departrttent: Council/Executive As the Council is aware, the Issue of tax reform has been a major priority of Maine's towns and cores for many years. A variety of approaches to address this issue have been attempted with no meaningful outcome. As a result the Maine Municipal Association has taken the lead In a tax reform Initiative aimed at reducing loot property taxes statewide. In summary form, the Act would require greater financial support from the State for elementary and secondary public school costs and would establish a plan for state, regional and loot governments to reduce the overall tax burden within the State. Councilor Tremble served on the MMA Committee which drafted the Initiative and Councilor Rahman serves on the MMA Executive Committee. The attached Resolve indicates the Cry's support of this Important effort. Department Had Manager's Comments: This was reviewed and recommended for approval by the Strategic Issues Committee at Its meeting on October 7, 2002. / W" 40 ki City Manager sso Aciated Information: �w Resolve, Background Information Budget Approval: Roane Director Legal Approval: /dg5�' Qty Solicitor Introduced for x Passage _ First Reading Page _ of Referral 02-384 C A sided to Councilor T euble Oc m6er 15. 2002 ,M,. CITY OF BANGOR (TITLE) RESOLVE, Supporting an Act to Reduce Property Taxes Statewide ay the afranmlofmeCRrofearga: RESOLVED WHEREAS, Maine relles too heavily on the property tax to pay for Kindergarten through Grade 12 education; and WHEREAS, the StaWs tax structure la too "volatile", resulting in an unpredictability of state tax revenues that significantly disrupts both state and local efforts to budget governmental resources; and WHEREAS, the alignment of tax burden among the property tax, sales tax and income taxes is seriously out of balance; and WHEREAS, Maine's overall tax burden Is a matter of great concern to residents and businesses; and WHEREAS, Maine's tax structure should be changed to reduce the State's reliance on the local property tax to fund K-12 education and special education casts, reduce the volatility of Maine's tax code, more equitably realign the tax burden among the state's three major tax revenue sources, and allow the Legislature to develop a plan to reduce Maine's overall tax burden; and WHEREAS, municipalities have tried forr many years to get the legislature to engage in tax reform to address Maine's flawed tax code and the Legislature has rejected these efforts and failed to enact meaningful tax reform; and WHEREAS, we believe A Is time to directly provide the citizens of Maine the opportunity to vote on proposed changes to Maine's tax structure that will reduce property taxes statewide. NOW, THEREFORE, BE Ir RESOLVED THAT: THE CRY COONCR OF THE CrrY OF BANGOR hereby supports the proposed tax reform Initiative of the Maine Municipal Assoclabon entitled "An Act to Reduce Loral Property Taxes Statewide." Pr - IN CITY COUNCIL October 15. 2W2 Notion far Pusage Made 02-386 and Seconded g g 5 0 L Y g Passed le, cI Prop suprty Taxes as ntc to amaa Property Taxes Sta[evtde Assigned to I�(rlCj� bliCouncilor 02-386 / Question: Do you want to provide broad-based, statewide property tax relief by requiring greater financial support from the State for elementary and secondary public school costs and establish a plan for state, regional and local governments to reduce the overall tax burden in Maine? An Act to Reduce Local Property Taxes Statewide Sec 1.20-A MRSA, chap. 606-B, is started to read as hallows: chapter 606-B School Flnanee Act of 2003 Tfus chanter is (mown and may be citod as she "School Finance Act of200311, 415661 Ma Jet d leijsladive appropriationsfor K-12 education, Notwithstandineanvothersection oflaw tft L 1 tens shall ch 'd at least 55% oftise cog ofN tal allocation from GeteralF d For the puraose ofthi h t d until such' Use Leenfatax as implcmem an ade ussive school fondine system. thetotal allocation shall be defined the foundation ll for that year, the debt atiocamonfor thatear,do am 0f all adjusirmins for that and the tal offi additional lal myropfiationg for the prim pear In the event the beemature ImPlecoctasalternative school finuing model that altms the meaning of the lenus used in this TitleN makes obsolete the syltern ofall d local "tIestablished by this Tifle, the tern,,lood a Lm-afiod'mitappliwto6emmdatodoulbytirssectionxindibe the amount roassonably calculated as the 'vaI Us definition, 415662 Manda" legislative amprouchnionat for 'al education, N t—Mfledendinvm y other soctim,ofl the Legislature _i provide 100% of the state and local cost of uroviding s0 speciat ectuotom services mandmed under federal or state law or regulation For the f the andat ' tid by this ec6 th comanigioner shell'deobfv and rnowide in the recommendation t to section 15605 the total costs to the individual schood d with onevidmg ail special education serncosmand eclunderk deml91 afar I or gulatif th h I 1 di th I 30'T Aadditimy Ig aymyriationsroauinA by rectioa 15607 &a Le ' ]arum shall a oas000 f accurate distribution of the total Mount identified by the conuaimimar, adittsbed bv the Nal gate md federal b N for the sl f svocial ed=fim maoda[ed by state and fale law and mmlation and onwiously 'ded to the individual school administrative mots for that same school year &15663. Fund for the Efficient Delivery of Educational semcm 2% ofth fiords strutually aimpooprated Pursuant to this ba st be dedicated to the FtmdfrtheEfficient Delivery of Educational Services and dbtdbuta boon the fund) !bose school zabainistvative units and Afies that &anon siettificant and smt2inabfe savings in the cost of delivering educational throe h changes in governance, admwsbafive stru tore satoylsat oalicy tbat mmitthe creation of consolidated school administrative its bmad-baaedpurchaoing all' enhanced regionalized d G f cLucational llaubarative schooimunicipM - smioedeh=orse cc sn000R swtelns 515664. Entitlement The State's school administrative mots and municipalities sbaL! be entitled to the iracl by fltis chapter Ser. 2.30.A MRSA, §5681, sob -§3, as last amended by Pl. 1999, c. 731, is further amevdN to read: 3. Revmuesharing funds. To strengthen the state -municipal fiscal relationship pursumd to the findings and objectives of subsection 1, these is established fe Local Government Fund. To provide additional support for mwicipalifies experiencing a higher -fan -average property tax burden, there is established the Disproportionate Tax Burden Fwd. To assist those municioalties that collabo te with "all' counties costate amcies to Obtain the st ofdli local and nspioral govuamenW services there is established the Fwd for the Efficient Delivery of Local and Regional Services Sec. 3.30.A MRSA, §5681, sub -§S B, is enacted N read: 5-B. And for Me Efficient Oglinexw ofl I andR a1S i For the onths begumin a on or aftu July 1 2M andb f the ilistributions reauitailb subs fiqa 4A aad4-B 2% ofall madras transferred each motab mconling subwetiou 5 mostbd ited in the Ftatd for ne EfficietatDfi f i md RepionalS ddisbibutdw those atiti that can d=taysbmte sionificaot and sustainable savines in tbe cost of &fiveadng local and nal wyenunental thmugk Ilaborative atnaroschdamliverv.enhen M mpiondd li gist fe consohaatim of administrativem the atim ofb ad -b d umhas'n alliances or fc exemfion of interlocal ac cmta W-384 M Sec. 4. Intens legislative do tes. It is the intent of this Act to provide mbstential propertytmmhefstatewideinamaunerthmissustawedovertime. The Actcallsupon the Legislature to reduce unnecessary spmding to engage in much needed and long overdue on: reform and avoid adding to the overall tax burden ofMaine citizens. The Act calls upon local govmwmts and schools to redouble their efforts to keep mpmdltmes doom and not to add to the overs[] tax burden of Maine citizens. A. State tax revenue. As soon as Possible, but no later than March 1, 2004, the joint standing committee of the Legislature having jurisdiction over bratlw matters small report out revenue neutral legislation designed to accordance with the intentions of this Act to generate the additional revenue necessary to provide adequate funding for public education Amin kindergarten to grade 12 pursuant to the Maine Revised Statutes, Title 20-A, chapter 606-B. The legislation must not defeat the intent of Us Ad by reducing, freezing, eliminating, or otherwise restricting the state revenues, appropriations or reimbursemems that historically have bean provided to or shared with municipalities, including without [imitation: municipal revenue sharing established in Title 30-A, chapter 223, subchapter R; Property tax homestead exemption reimbursement established in Title 36, section 685; County ]ail Prisoners Support and the Commwity, Corrections Fund established in True 34-A, section 1210-A; the Tree Growth reimbursement program established m Title 36, section 578; the Geomel Assistance Varebursenrent program established in Tide 22, section 4311; and the Rural Road Initiative and Urban Compact Initiative established in Title 23, section 1803-B. B. Fund for the Efficient Delivery of Educational Services. As soon ss possible, but no later flan March 1, 2004, the joint standing commince of the Legislature having jurisdiction over education shall report out legislation designed in accordance with the intention of din, Act to govern the design, nnPlemmmtion, management and oversight of the Food for the Efficient Delivery of Educational Services. C. Fund for the Effielent DeBvery of Local and Begioual Services. As soon as Possible, but no [ata Nan Match 1, 2004, the joint standing committee of the Legislature having jurisdiction over state Out local government shall hereon out legislation designed in accordance with the intentions of this Act to govern the design, implementation, Management and oversight of the Fwd for the Efficient Delivery of Local and Regional Services. D. Tax burden management. As soon w possble, but no lata than March 1, 2004, thejoint standing committee of the Legislature having jurisdiction over taxation end appropriations end financial affirm shall a2 -3e4 20 jointly develop and report out legislation that consists of comprehensive Plan that integrates the efforts of state, county, local gover®ems and schools to reduce a®ecessary spending, identifies cost savings in the delivery ofgovernmmtal services and otherwise addresses the issue of Maine's overall ter burden. Summary: In order N reduce property taxes statewide, this legislation requires the State to provide at least 55%of the total state and local cost of Kindergarten, through Grade 12 public education, including 100%State support for special education services nmodated by state or federal law. 2% of the annual state appropriation fm education required by this legislation would be dedicated to the Fund for the Efficient Delivery of Educational Services, which is dedicated to providing incentive -based resources to those school a hosts trative unit or municipalities that would effx[ certain system changes that provide significant and suslaftt bk cost savings in the delivery of educational services. A parallel Fund for the Efficient Delivery of I.ocal and Regional Services is established by this legislation within the Local Government Fund, which is the fund hour which municipal revenue sharing is distributed. This fond would be capitalized by setting aside 2% of the sales and income tax revewe that would otherwise be distributed according to the revenue sharing formula. That revenue would be distributed to those umcipalities that can demonstrate tort savings is the delivery of local and regional governmental services through collaboration with other local and regional governments and participating state agencies. This radiative direct the Legislature to develop the necessary implementing legislation to fully, design both the educational and local services efficiemdeliveryfands. This inidative she directs the Legislature to develop the necessary impl®rating legislation to provide fm the necessary stale revenue m meet the State's obligation to support public education without undermining cresting municipal support systems such as uarmlod revenue slaving the property tarz homestead exemption, local road assistance, etc. Finally, this initiative directs the Legislature to develop a comprehensive spending and tae plan as soon as possible but an later than March 1, 2004 that will integrate the efforts of slate, county, local govemmcot and schools to reduce unnecessary speodin& identify con savings in the delivery of goverrmmW services and otherwise address the issue of Maine's overall tax burden. 02_386 G1 Maine Municipal Association Tax Reform Proposal "Summary Sheer" On Tuesday, August 13i°, MMA's Tax Reform Steering Committee finalized a recommendation for a cit¢® initiated tax reform proposal. On August 22ns, the Association's Legislative Policy Committee me to review the Steering Committee recommendation. The LPC supported the recommendation unanimously and the initiative was referred to MMA's governing body, the Executive Committee, for further advancement. The proposal is scheduled to be the subject of full membership review and endorsement at the October MMA Convention. In a nutshell, this initiative would compel tax reform, create investments in structural changes m achieve efficiencies in the delivery of governmental services, and accomplish the development of a comprehensive plan to address Maine's overall tax burden. This plan would: Require the state to provide $290 million more per year in Financial support for public education, thus compelling a restructuring of the state tax code. The specific details of tax reform would be left to the Legislature, although the munieipalilies have submitted many proposals to the Legislature in the past regarding comprehensive tax reform and will continue to offer their ideas about accomplishing quality tax reform. Create two parallel funds designed to obtain long-term efficiencies in the delivery of educational, local and regional services. Direct the Legislature to develop a comprehensive plan that integrates the efforts of state, county, local governments and schools to reduce unnecessary spending, identifies cost savings in the delivery of govennemtal services and otherwise addresses the issue of Maine's overall tax burden. Elements of the recommended initiative: • Require the smteto increase its financial support for elementary and secondary public school education. Specifically, require the state to fulfill the long -neglected legislative "immtion" to pay 55% of the can of K-12 education. o Currently (m PY 02) the state paid $702 million in General Purpose Aid to Education (OPAL or 416% of the total. The property tax contribution was 3909 million, or 56.4% of the total. 02-384 L c To bring the state from the 43% to 55% level represents a shift of approximately $200 million off Me property tax. o In 2002, the property tax generated$ 1 A billion of revenue. $200 million in reduced property taxes represents statewide property tax relief of nearly 15%. ■ As part of the state obligation to provide 55% of the cost of K-12 education, the state would also be obligated to pay 100% Of the costs ofspecial education services mandated by state or federal law. o Special education services are extremely expensive, unevenly provided access the state, and seriously underfunded, especially by the federal government that initiated the mandates. o In FY 01, approximately $95 million worth ofurpeimbursed, mandated special education services were provided with property tax dollars. o Requiring 100% reimbursement for special education mandates serves to provide property tax relief even in Race "low receiver' municipalities that do not get much financial support for education through the GPA formula. • Food for Me Efficient Delivery of Educational Services. 2% of the total =net appropriation for K-12 education required by this initiative (approximately $18 million) would be dedicated to a fund that would provide entive-based support m school adminishative units that make changes in structure or policy that deliver significant and sustained cost savings in the delivery of educational services. • Fond for Me Efficient Delivery of Local and Regional Services. A parallel fund would be established in the municipal revenue sharing system whereby 2% of that existing funding would be dedicated to an incentive-bosed fund to stimulate intermunicipal, and municipal -county collaborations. IS Comprehensive tax burden management plan. The Legislature would be directed to develop a comprehensive tax burden management plan that would integrate the efforts at tax burden reduction across all lines of state, regional and local government. Plene feel free to refer questions or seek further information by contacting the Tax Reform Steering Committee Chair Dana Lee at 20-345-2871 or MMA staff Cbris Lockwood, Ie9Nevins, Geoff Herman or Mike Stam at t-800-452-8786. for Tax Reform Intense concerns about rising pmpeny taxes. wide and Input. dicuble swings in short-term state ingtie Pr jections, and an impend- long term `stmcmral state deb " that will stall the $1 billion short fall of 1991 are getting a lot of folks 'talkingabetalk' these days on earn - protractive tan reform. The Maine Municipal Astoria. on has been pushing the Legisla- te for comprehensive to, reform most of the part decade, since the Illeasnon of 1991 gave A harsh dem- tof the inadequacies of Maine'eax Ode and how the prop - evil is osed as a backap make up for mm those l Ad,gvacles. It now appears that MMA is going to be taking the next step and "walk- in, the-walk"by advancing a tax re- form proposal a citizen Incurred. Developed As A unanimous mc- mdation of an 18 -member Tax Reform Steering Committee spe- cially appointed by MMA's President Gary lvo m, the three-page sex re- form nfarm initiative has now been ap - proved,also with unanimous rap- port, by both MMA', ]Amemher Leg- islative Policy Committee anti the Associations Executive Committee. Going the Onto of citizen-inki- ted me reform is certainly new ground for the Association, and Ibe leaden in Maines towns and cities weighed their options very carefully before making the decision. Even there is one more decision- making hurdle that needs to jumped before the final green light is given to this effort, and that wfl be the yore Of fall membership at MnIA's arcual convention m October. The steps that were taken that led to the devel- opment of the in, reform initiative are encapsulated az a side bar As Ebb article. THE MMA PROPOSAL Relief, Reform, Restructuring, and Reduction are the key elements of the initiative developed by MMA'a Tax Reform Steering Committee. The proposal will provide aubatan- tid property tax relief ,compel com- Richensivetax reform.createinvest - ral changes to achieve efficiencies in the delivery of governmental services, and ccons. plish the development of an anion plan to address Maine'a overall tax burden. If adopted by the wore(, the MMA proposal would: • Require the state to provide $200 million more per year in finan- cial support for public education. This requirement will relieve the overburdened pmpeny sex, Fulfill longstanding promise of state gov- t apportion the appropriate financial <l responsibilities m light of the relentless unfunded educa- nalmandates that come out ofAu- gusto and Washington, and force a restructuring of Maine's tax code. • Create two parallel funds de- signed esigned to obtain long-term of icim, gionan the delivery of local and re- l educational and governmen- in[ services. • Direct the Legislature t adopt A comprehensive tax burden management plan Mat will integrate the schools of sun, county. local gov- ammonia and schools En r,once un- necessary spending, identify civil sav- ings in the delivery of governmental G5 By Geoff Herman, MMA Director of Slate & Federal Relations services and otherwise address the Issue of Maine's overall tax burden, Specifically, the three-pageini a - t would provide: u Relief anti Reform, The iniim live would require the state to in. crease is financial support for ementary and secondary public school education by obligating the Legislature to fulfill the long-ne. glened legislative 'imentioti to pay 55% of the coat Of K-12 education. • The 55% state cost -share for public education is not new public policy. For over 30 years the State has promised to pay At least a majority share of R -I2 education, but that promise has never been honored. Since 1985. the legislative -mten- ared in Maine Law has ben Is pay 55% of the total educational alb Carron. The MMA initiative would rely make the state longstanding obligation legally em forceable. • In PYO2, the nate paid $702 million in General Purpose Aid to Education (GPA), or 43.6% of the oral. The property D, contribution az $909 million, or 58.4% of the ar, lal. • To lift the states contribution from 43% m 55% of the total would provide $200 million of peoperry ux relief every year. • m 2002, me property sex gen- aad $1.4 billion of revenue. $200 million in reduced property taxes represents statewide property wt re- hey telief of nearly 15%. Special Education. Aa part of the metobligation provide 55% of cO cost of R-12 education, the state would also be obligated under this ALVN£TOWMdLIN AugusddywwAvkx 2002 5 teinpay 100% of the of... special dtion, wnies mandated by orate on federal law. • Special education aerAces are extremely expensive, unevenly pro. Aided across the state, and seriously underfunded, especially by the fed- eral governmect which enacted the mandates and then passed the tests along to the property tax. • In FYOI, approximately 195 mil. lion worth of ",reimbursed, man- dated special education send... were provided wash pmpeny tax doUrns. • Requiring 100% reimburse. N for special education mandates to provide property tax relief even n those 'lou receiver palii es that do notget much crucial support for education through the GPA form,],. Requiring the Legislature t fully fund its obligation to K-12 Adu- capon ould compel a Irng.overdo, unag of Maine'a taxcode. Over the past 20 years, there have been numerom studies and reports issued by tax experts, special com missions and blue ribbon pane6 that outline the steps that should be made to improve Maine's tax code to achieve grant, fairness, balance, and predictability of state revenues. NIMA has adA..red or supported use, Na[ comprehensive to, reform pro- posals that have been rejected by the Legislature. The essential compo- s of comprehensive tax reform us wen known. This initiative would compel their implementation. Restructuring. Funds will be sal aside for the efficient delivery of lo- cal and regional rascal ... I and governmental services, 2% of the to tal annual appropriation for K-12 education required by this initiative, about $18 million annually, would be dedicated to a fund that would pro- vide i e ve-based support t school administrative units that make changes in structure or policy mat deliver significant and sus- ed'ned cost avings in me delivery Of ucational services. A parallel fund Would be established in the munici. pal revenue sharing system whereby 2% of that existing funding would be dedicated to a, incentive -based fund to stimulate intermunicipal, and municipal regional collat,ci lion, Reduction. onReduction. The third major ele- ment of this initiative a a Compre- hengi.e Tax Burden Management Plan that world dutcL the Legisla- sure to develop and adopt a compre- hensive tax burden management plan thatwould integrate the efforts regiovings act=all lines of state. nal and local government and implement other strategies to guide the citizens of Maine and their star, and local legislatures toward a lower overall tax burden. NEXT STEPS On Thursday, Aµgus. 22, MMA's 70memberLsgislam, P,I... Com- mitme z,pp...ed the continued as anslyncemcnt of this to reforme As mentioned above, final step in the approve] process I, scheduled to occur at MMA's annual mm'ention on Octo- ber 1T" in Bangor ashen delegates from All 492 rl the Association', ember municipal hies will have an opportune so vote on moving for- ward with the signamtegathenng eL fort that will be necessary to bring this initiative before the Legislature and, ultimately, the voters of>laine. Much work must be done be Convention. MMA will be seeking collaborations with other groups who are egnalle cam a - ¢ed to comprehensive tax reform. A political action committee (PAC) will be formed to oeompass the wider group of supporters and fully account for the financial effort to ad cause this proposal to the eaters) Aryouc-Seneether 2Wd MAI TOWNSMAN :I. public. The mecbaaica of gatherir. 50,000 -plus signatures on a citize petition will be organized. ready be implemented in mid-October. But most importantly. MMA tri be making sure municipal of icia across the State are fully informe about the derail, of this proposal an aware of the effort that will be nece sary to more this tax reform plan int the public areas. For that purpoe. MMA has run AcUtEed to at least 17 regional met m g, to be Feld throughout main, I September and early October so the icipal and other local official an become completely familiar wit this tax reform proposal and leer more about hose they can help in it promotion. A schedule of thos meetings is provided in a aideba, b i th title. All municipal officials strongly encouraged to mark then calendars and plan to attend the re gional meeting in their area. Prop Wit tax relief, state revenue stabilit and prednobllity, marprehensto reform, burns cost savings , the delivery of governmental se and developing is plan to ad d ass Maine's overall tax burden ars all issues of primary concern to mo icipal government and we need III full involvement Of town and ct leaders from all Elie communitiesi, order to bring about the changes thz om ted be made in the best interest ofthe seta. IM BUSINESS FORMS B COMPUTER SUPPLIES A� WGRAGEBUSINESS GROUP beat castw.sam.,raiders ASSESSING .LmuTYOUTFICTS • ACCOUNTING . ENVELOPES • OUTSOURCING MTA%JvI BILLING wavoI At"EMILA. WOR ANN, Gas m� e Wife towtvabosme. s.rw.v.0 q.vti.. nurv.ssre rte Zs 02-386 Developing the Tax Reform Proposal 1980-2002. Year of erwear, Madame leaders and appointed municipal Officials idmnfy the Sute•s ower-rcliance on due properry tax as Ne issue of highest prioriryand maximum concert, with no close second. chatty Of the auacmble problems municipal officials grapple with find their mol origin in the property tax burden — problems like residential and commcaial dislocation, development pressure on open land, highly disparate property tax mill rates among municipalm,, and the immili ry to put she i em osuuc rare in place W suppose growth andeconomkdeuxlopmenr Taxrefosm M1azbeen she cmmopiece plank in MMA'slegislatim agendad mughtem the 1990 sand into the4P'Cenwry. SurrryaRer,m miolatmey places the issues of execution as the urgent top pr 1980-2002. The deep history of MMA's imnlvement with comprehensive tax reform also includes the am mutant legislative studies, commissions, bluoribbon panels and wk forces the Association has oburn{ ca r- Iosced, padmirttM in, advanced or supported overthe len 20, ems, All of those studies and reposes define the hinderemat problems with Maine's ox code similarly, mxr-reliance on the foundry tax, highly unpredictable narrow sales six base and a steep income tax ram sum; We: that contributes mwlauliry. The net effect of these studies, commissions, task forces and refund, hoxmeq has been neglible. 1996-2002. Public opinion polis commiaioned by NINIA in 1996 and earlier this yearpreide overwM1elming onfim nation that the general public is also mry, concerned about he preume on theproperrytaxantlunabazh- Codysupportiveofcomprehensivetaxreform. 1997. NINA advanced LD IM, An Ad to Comiusem iue(y Ramign Ne TaxgWnurc afWSare which was rejected by the Legislature. 1998. The 57,000 homes ¢ad propefry not axe caption, strongly supported by M>IA, was enac ted by the Ughe lamre. The homestead exemption provides W million of property w re0ish representing nightly less Nan a 3% reduction in property six burden for Maine residents. During Ne fouryeare since the creation of the homestead exemption, some legialamrs and some members of Governor King's administadon have leveled criticism at municipal officials par'gobbiingup" the benefits of the homestead exemption through increased (and, br drpli- aur scary) local spending. 1999. MYW advanced M 1940, An Ad to OraeScrdmdsg(Vig dmufter Crain TaxEttmfr gpmeraraay which T az rejected it the Legidamre. 2000-2002, AlongwiN the prime sponsor, lisp. Barney MCGaxan(Passfield),YINIAstmnglysupponedW 2086, An Ad Idwil mm[WPscontmmdasiou afffeEducatiaTFmidiagRgOw, Cummins. This legislation would have sent to the voters a comprther am rex a reform package Nhave az would haestablished a limit on property tares for K- 12 education and dimmed the Legislature to expand the bare of Ne sales tax and address ammIrs sup income we users tie, The Legislature jetted this mx"form proposal, refining or send it w the voters az a referendum. \Toch of the debate on this legislation focused on the nobility of the Legislnwre to enact comprehensive bar re - formoninteaminitu've(see April 2002 Maine Tatuvmun). May 2002 Mer the Legislature adjourned in late April, MDhA's ]Omember Lcguladve Policy Committee (111C) regrouped for its Wt meeting before Ne NO2 LPC elections. At that meeting, the LPC ururmnoudy adapted and unummi rad a recommendation to the Association's Executive Committee that due governing board she Ne sake necossetuyu, develops tax reform proposal to be advanced as a dozen rmtiative, July 2002, NLWA's 2004-2004 Legislative Policy Committee is elected, Jose -August 2002. An 18 -member Tax Rekrm Starting Wmmince, speriallyappointed by MMA's president Gary Bram, convened four times during this two mon th pe diad. Using sm'eml proposals az working models, the Steering Cornu cast handcrafted id recommended six reform in a.OnAugust15,2002,sheSaetingCm- o miaeerated its cumbrous support for the firW prepare] and abort ed it to the Assocvuon anewtyelectedLeg- isUdve Policy Committee. August 7, 2002, MNW's l2 -member Executive Committee wanimomly endoras the work of the Text Reform Steering Comm, nee and amhoores MMA's Preside m, the Chaitpenon of the Tax Reform Steering Cgmminee and NOIR s Executive Director to rake whatever action necessary to advance the final recommendations of tho- Steering Committee and the Legislative Pohry Commhme August 42, 2002. MNA's 7Omember LPC re ieeed she initiative developed by Ne Steering Committee and by unanimous role recommend that the Aawciadon'sExecmhe Committee proceedxith the adommememodre "NE TOWNSILN Auguste Nprwarge 2" 7