Portland Press Herald / Maine Sunday Telegram
Tax law repeal divides GOP
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Critics call the veto effort a waste of resources, but backers say it's drawing a lot of public support.
By MATT WICKENHEISER, Staff Writer July 27, 2009

Republican leadership in Maine is firmly behind a people's veto campaign that seeks to repeal a Democratic-backed tax restructuring package passed into law this spring.

State GOP Chairman Charles Webster has been outspoken on the issue and was one of the petitioners for the veto. House Republican Leader Joshua Tardy of Newport and Senate Republican Leader Kevin Raye of Perry have both come out against the package and for the veto effort.

But not every member of the Grand Old Party thinks a people's veto is a great idea. Some party stalwarts think the effort is a waste of energy and suggest more time should be spent on winning a majority of seats in the House or Senate.

"When you embark on a public campaign, you really ought to know that you're going to be able to be successful," said Sen. Carol Weston, R-Montville.

The Democratic-sponsored tax package lowered the state income tax from 8.5 percent to 6.5 percent, raised the meals and lodging tax from 7 percent to 8.5 percent, and broadened the goods and services subject to Maine's sales tax.

Republicans are by and large happy with the first part: the reduction in the income tax. It's the increased meals and lodging tax and the expanded sales-tax base that they're not pleased with.

But it's hard to run a campaign against a package that most Republicans see as a mixed bag, Weston said. There's not a clear, simple message, she suggested, and repealing the legislation means getting rid of the income tax reduction – a hard sell.

"I would prefer to find a way to go back and fix those objectionable things," Weston said. "I think it would be accomplishing our goals."

The people's veto campaign will need to collect 55,087 signatures before Sept. 11 to get the question before voters next June.

"The chances are likely they're not going to be successful. What will happen then?" Weston asked. "It will reinforce the fact that this tax reform plan is accepted by the people, and it will be more difficult to go back and fix the things that need to be fixed."

Roy Lenardson, executive director of the Maine Leads citizens group and a longtime Republican strategist, questioned the wisdom of the repeal effort.

"My impression is if you have scarce resources and you want to make changes, probably the best way to do that is to invest in a rigorous campaign-recruiting plan – recruit the best candidates," said Lenardson. "They may be doing that as well, it may be additive. I'm not in the inner circle."

Sen. Richard Rosen, R-Bucksport, agreed.

"To try to mount a citizen repeal really requires a tremendous amount of energy and resources. I don't think we have those kinds of resources to spare," Rosen said.

The bill passed, Rosen said, and he isn't sure it's an appropriate role for Republican leadership to launch a veto effort.

"Now I think the appropriate role for us is to really fight for changes that remove those most harmful components," he said.

There is a concern in some circles that Republican politics are becoming "politics by referendum," said former Republican congressional candidate Dean Scontras. He has joined other party activists to form the Republican Project political action committee, to re-emphasize traditional GOP principles.

Changing policy through referendum is expensive and takes a lot of effort, Scontras said. He said he would support the party in trying to get a veto vote, but "I don't think this is the way we can run the party – by referendum."

Sen. Peter Mills, R-Cornville, voted for the bill and has penned a guest column that has run in a number of daily newspapers, criticizing the veto effort. The bill is a mixed bag, he said, but it does lower the capital gains tax, and that should encourage business investment in the state.

Republican leaders, however, say running a people's veto campaign and winning more seats aren't mutually...


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