Enacted Supplemental Budget – Fiscal Years 2022-2023
Maine Governor Janet Mills signed the state’s fiscal 2022-2023 supplemental budget on April 20. The supplemental budget totals $8.67 billion in general fund spending, an increase of $175 million or 2 percent above the originally enacted 2022-2023 biennial budget. It uses $729 million of a projected biennial surplus to provide a one-time $850 direct relief payment to approximately 858,000 Maine residents to manage the effects of inflation and other rising costs. Other tax relief measures include a tax break for Maine retirees, additional property tax relief, and increased tax relief for working families. Highlights of the budget include establishing a new education stabilization fund; two years of free community college; overhauling the student loan debt repayment program; increased pay for childcare workers and early childhood educators; fully funding free school meals; expanded children’s health insurance; increased MaineCare rates; support for hospitals and nursing homes; additional investments in behavioral health; and addressing PFAS contamination. Additionally, the supplemental budget includes a one-time $100 million transfer to the Maine Department of Transportation to repair roads and bridges, preventing the need to bond for transportation money. The budget maintains the budget stabilization fund balance at $493 million, or approximately 12.5 percent of fiscal 2023 general fund expenditures. The supplemental budget dedicates approximately 75 percent of the projected surplus to one-time initiatives.