This week, I delivered my 2023 State of the Budget Address to the Joint Convention of the Maine Legislature.
I was pleased to report, to them and to you, that our state stands on a strong fiscal footing, that we are prepared to weather whatever economic challenges may come, and that the state of our budget is strong.
Hello, this is Governor Janet Mills, and thank you for listening.
According to the independent, nonpartisan Revenue Forecasting Committee, the State of Maine anticipates a total of $10.5 billion in revenue over the next two years, and $11.6 billion in 2026 and ‘27.
These strong revenue projections are the result of economic growth created by Federal support, and deliberate policy and financial choices we made in State government to fuel our recovery from the pandemic and to create the conditions necessary for sustained economic growth.
Over the last four years, our Gross Domestic Product—which is an important measure of economic growth—has increased at the 9th best rate in the country. Even when adjusted for inflation, Maine people are earning more than they were a few years ago – and wages are up about 8 percent. Our unemployment rate has dropped to 3.8 percent, and thousands of new businesses are being created across the state of Maine.
Despite this good news, we know we face real challenges. Even with a strong influx of new residents, we face an alarming shortage of workers.
Well, my guiding belief as Governor is that the foundation of Maine’s economy is our people.
That’s why my biennial budget proposal invests directly in Maine people and in the most important things they need to live and work in Maine.
The budget proposes continuing my free community college initiative for another two years, building more housing and strengthening Maine’s health care system, investing in behavioral health and in services for older Mainers, and in an improved child welfare system. And the budget makes an historic investment in infrastructure to unlock new sources of Federal funding to fix our roads and bridges.
My proposal is balanced. It lives within our means. It does not raise taxes, and it maintains our record-high Rainy Day Fund to protect us against an economic downturn.
In addition to discussing my biennial budget, I also announced a series of actions focused on tackling some of our biggest challenges.
First, I announced that I’ve directed my Energy Office to develop legislation requiring that 100 percent of our electricity come from clean energy sources by 2040 – reducing energy costs for Maine people and creating new jobs and career opportunities.
I called upon the Legislature to pass – and I pledged to sign – a bill that would end chronic homelessness in Maine by expanding the so-called “Housing First” model statewide.
And I announced that in addition to historic resources in my budget for prevention, treatment, and recovery for substance use disorder, we will work to address the opioid crisis and the closely linked scourge of child abuse and neglect, by:
- Increasing Maine’s purchase and distribution of naloxone by 25 percent.
- Doubling the number of OPTIONS Liaisons – those folks who join law enforcement on calls related to substance abuse and connect people to treatment and recovery services.
- Working with the Maine Child Welfare Action Network to develop a new comprehensive plan to keep children safe by keeping families strong.
- Expanding the number of family recovery courts that work with parents struggling with substance use disorder across our state, and
- Creating new district court judgeships—four of them—to work through the backlog in the Courts caused by the pandemic.
Maine has real challenges, but we also have a plan in the form of my budget proposal and the actions that I have proposed to address these challenges.
I look forward to working with lawmakers of both parties to enact a strong, bipartisan budget worthy of the people we serve, and one that addresses our most pressing needs.
This is Governor Janet Mills, and I thank you for listening.