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Summer 2008

Dancing for Dollars Tasty Texts Laps for Life History Driven Childhood, lighter Innkeepers' Refuge Riding the Lobster Wave Garden Party Moving from Mattagash Ramey's Sweet Tooth Earl Hornswaggle: What the Elite Eat Perspectives: Bridget Besaw Soapbox Derby: Money Matters Wildlife Quiz Kids Working with Dumbbells

Soapbox Derby: Money Matters

Opinion: Soapbox Derby


Money—money changes everything. Between gas prices and dwindling home equity, some citizens are getting a little freaked. Bottom line: What Maine party should we vote for in November in order to keep more of our moolah?
Q: Which major party is more fiscally conservative: Dems or GOP?


Sean Faircloth

Since John Baldacci became governor, Maine cut 637 actual employees from state government. Good or bad, it’s a fact.
Under Governor King the average government growth rate was 5.55%. King restrained growth more than Republican Governor McKernan. Under Republican McKernan? 5.92%. King? 5.55%. Under Baldacci? 3.7%.

True fiscal conservatism is investment in early childhood, and investment in higher education. That’s the opinion of billionaire businessmen like Bill Gates—and Oklahoma’s George Kaiser. Kaiser says we must invest in early childhood if we want to hold down government costs: Money for early childhood means less need for welfare, courts, social services, etc. Short-term thinkers believe simplistic job totals are a measure. So consider: The 637 jobs cut are actual state government—not empty positions, but 637 fewer actual employees than in January 2003.


A 3.7% government growth rate means decreased service for all aspects of government but one: K–12 education. Mainers voted for spending more state money on education, leading to $1 billion new dollars from state government to K–12. Good for K–12. You judge the results with other services.

Fewer state jobs are just the beginning. Many social services are now contracted to private agencies using government funds. I’ve heard regularly from citizens upset about state cuts to nonprofits (e.g., domestic violence, sexual assault programs) which lead to layoffs. Those layoffs are greater than the 637 state jobs.

It’s not me who says Democrats are more fiscally conservative than Republicans. The numbers prove it—if state job cuts are your yardstick.

This is consistent with Washington. Bill Clinton left a surplus; he restrained government growth.

Bush created massive deficits through: 1) Sending troops to fight (and often be maimed or killed) in the worst foreign policy blunder in American history; and 2) Providing massive tax cuts, not for working people, but for extremely wealthy people, many of whom, like Bush, were born with so much parental welfare that they need never work. Working people do the bulk of fighting and dying. Workers also pay for Bush’s tax loopholes for companies sending jobs overseas and for handouts to nonworking trust fund babies.

Maine, we hope, can be more responsible than the reckless Bush budgets. Maine is. Baldacci held down spending more than King and McKernan, so much so I often get Republicans urging me to protect social programs that Baldacci proposed cutting. Many Bangor metro area families (including many Republicans) have written me: Please don’t cut programs for the mentally ill, please don’t cut programs helping children with disabilities transition to adulthood, please don’t cut programs for the mentally retarded.

I listen carefully to these constituents and advocate when convinced. The legislature softened many cuts proposed, but cuts occurred. One thing is certain based on overwhelming evidence: Republican elected officials (unlike many responsible Republican voters) have not been as fiscally conservative as Democrats.

Someday we’ll listen to billionaires like Gates and Kaiser and work toward real fiscal conservatism—by investing early in children and education.

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Scott K Fish

“A whirling dervish couldn’t spin the Maine Democratic Party into a fiscally conservative party.” That was my first reply to Representative Faircloth when he suggested the idea for this month’s column. I was trying, I said in an email, to save Sean from himself. But he, in turn, took my helping hand as “throwing down the gauntlet.” So here we are.

I define “fiscally conservative” as a government taxing citizens as a last resort, at an absolute minimum rate, spending those taxes on essentials only, using a maximum of wisdom and oversight in so doing.

The truth is we’ve not had much of a chance since about 1975 to see how fiscally conservative the Maine Republican Party would be. That’s because since 1975, with one brief exception (1995–96), the Maine Democratic Party has been the Maine Legislature’s majority party. Maine government spending, tax policy, energy policy, transportation policy, environmental policy, and all the government regulations are Democrat driven.

I’m not saying Republicans have altogether avoided laws and regulations making ill use of tax dollars. Still, it is the majority party that decides what becomes law and what doesn’t. Since 1975 that’s been the Maine Democratic Party.
The 1995–96 exception? Maine Republicans held a slim majority in the Maine Senate during the 117th Legislative Session: 18 Republicans, 16 Democrats, one Independent. The Maine House of Representatives started with near even party split: 77 Democrats, 74 Republicans. Independent Gov. Angus S. King Jr. was serving the first of his two terms as Maine’s governor.

The high water mark of that session was a Republican-initiated state income tax revenue cap. The tax cap worked this way: From one state budget to another, state government was allowed to spend $676 million. Income tax revenue above that amount would lower tax rates/increase tax refunds for middle/lower Mainers. When taxes had been lowered by 20% the income tax revenue cap would be lifted.

The income tax cap was hated by Democrats and also by Governor King, but it was approved by the Maine Legislature and signed into law by King. Alas, the income tax cap never came to pass. The political tide shifted in the 118th Legislature. Democrats regained the Senate majority and strengthened their House majority. With King’s blessing, Democrats aborted the income tax cap law before it had a chance to breathe life into Maine’s economy.

King and the Democrats did something else anathema to fiscal conservatism. They did away with Maine’s long-standing tradition of requiring two-thirds of the Senate and House members to pass state budgets. For the last 10 years Maine budgets were Democrats flying solo. One-party government. Maine Republicans could’ve stayed home. It would not have made a difference.

The Democrat state budget 1998 was $3.5 billion. The current Democrat state budget is $6.3 billion. What does Maine have to show for that increased spending? A better tax system? Better roads? Improved K–12 testing scores? More jobs?

You call that fiscal conservatism?