Unlike its many other accomplishments this session, the Legislature’s compromise on the state bond package may not get much recognition. But, as is usually the case, these bond proposals are intended to pay for sound investments in Maine’s future.
The Legislature and governor confronted many highly charged issues this session ”“ including gay marriage and tax reform ”“ while also tackling some intractable state problems. Among its accomplishments were passage of an austere state budget and ”“ perhaps ”“ establishment of a secure funding system for Dirigo, the state’s health initiative.
The $150 million bond package passed last week was another difficult challenge, and voters will share the decision-making responsibility. Three specific questions will go before them, in this year’s November election, in June, 2010, and in November, 2010.
The first up ”“ a proposal this fall to borrow $71.25 million ”“ will be dedicated to transportation system projects. Democrats said that while federal stimulus funds are supporting much of this summer’s road construction, this bond will finance the projects of 2010, bringing in more than $133 million in matching federal funds and supporting construction jobs.
A year from now, voters will be asked to borrow $25 million for economic development, $18 million to promote energy efficiency and $10 million to continue initiatives for clean water, wastewater treatment and environmental cleanup. Next year’s November bond proposal will include $10 for Land for Maine’s Future acquisitions.
The package was eventually approved despite sharp disagreement over transportation spending, and statements by legislative leaders reflected their differing perspectives. In the end, it is worth noting, both sides endorsed the bond proposals.
Republicans took credit for whittling $125 million off the original Democratic bond proposal. “At a time when we are facing a historic downturn, it is unwise to be borrowing large sums of money on the taxpayers’ credit line,” said Sen. Jon Courtney, R-Sanford.
“These bonds will put thousands of people to work building and improving Maine’s infrastructure,” countered Senate President Elizabeth Mitchell, D-Vassalboro. “This package is a vital component of the long term strategy to grow Maine’s economy.”
We can’t quarrel with the inclination to be frugal, especially during hard times. But Maine is not heavily in debt, and investment in roads and bridges is sorely needed. By making a commitment now, the state could stimulate improvement and likely get good deals when it goes out to bid for projects.
The state must live within its means, in both budgets and borrowing. This is a year when the state could use its good credit to the advantage of Maine’s people.
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