JOBS BOND WINS STRONG ENDORSEMENT FROM STATE BUDGET PANEL

Appropriations committee approves 149.5 million jobs bond for roads and bridges, higher-ed, armories

AUGUSTA — The Legislature’s Appropriations and Financial Affairs Committee on Thursday unanimously endorsed a $149.5 million jobs bond agreed to by legislative leaders and the Governor.

“We are pleased to reach a broad bipartisan agreement on this critical jobs bond,” said Rep. Peggy Rotundo, D-Lewiston. ”Maine has an enormous and immediate need for these kinds of investments. They will help put more people back to work, make our roads and bridges safer, and ensure that our higher education institutions can train workers in high-demand fields, from nursing to science and engineering.”

As part of the package, the committee approved five bond proposals to send to voters for approval on the November ballot. The proposal includes $100 million for investment in roads, bridges, ports and working waterfronts; $35.5 million for upgrades to higher education facilities, including science, nursing, and GIS (geographic information system) lab improvements; and $14 million for armory maintenance and renovations.

“This is a strong, robust bond package that will create much needed jobs and strengthen our state’s economy,” said Senator Dawn Hill, D-York, the Senate Chair of the committee. “Making critical investments to improve our infrastructure, support higher education, and maintain our armories sooner rather than later is a win for Maine people, our state, and our economy.”

The Appropriations Committee heard strong testimony last Tuesday from economists and industry leaders urging a strong and immediate investment package.

University of Southern Maine economist Charles Colgan told the Appropriations Committee that now is the time to borrow and invest in the future given the low interest rates and enormous need to upgrade roads and bridges and infrastructure at the University, community colleges, and at the armories across Maine.

Commenting on the timing and amount of bonding that should be done, Colgan told lawmakers they should do “sooner and more.”

During bond negotiations last week, Democratic leadership urged additional investment in research and development (R&D), land conservation, and water projects but Republican leaders and the Governor rejected inclusion of these investments in the current bond proposal. However, Democrats did secure a commitment from the Governor and Republicans to take up an R&D bond in January.

“Democrats will continue to push for additional investment, especially for critical research and development bonding that will help bridge the gap between the laboratory and the marketplace,” added Rep. Rotundo.

Maine continues to lag behind much of the nation in its investment in R&D. Research shows that for every $1 invested by the state in R&D, there’s a $10 return to the state’s economy.

“While we do not have any investments in research and development in this bond package, we are committed to working on an R&D bond in January 2014,” added Senator Hill.

The Legislature will reconvene on Aug. 29 for a special session to vote on the bonds, which require two-thirds support for passage.

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