SENATOR COLLINS’ STATEMENT ON THE FINAL PASSAGE OF ECONOMIC STIMULUS BILL
"Job losses in Maine and throughout our nation are mounting, and the pace is accelerating. Our state lost nearly 12,000 jobs in 2008, with roughly a quarter of those losses coming just in December. Maine's unemployment rate hit a 16-year high of seven percent at year's end. The statistics are truly alarming.
"Our bipartisan compromise is targeted and effective and will help turn our economy around, create jobs, and provide tax relief to struggling families.
"This bill contains robust infrastructure spending, significant funding for state aid, and tax relief for low and middle-income families and for small businesses. It is estimated to save or create more than three million jobs.
"The hard-working people of Maine and America did not cause this economic crisis, nor did their families or their communities. Congress had a responsibility to work together to achieve the right balance, the right size, and the right mix of tax relief and spending programs. Although far from perfect, this bill will provide tax relief, help to create jobs, and address the dire economic crisis our nation faces."
Highlights of the bill and examples of what the economic stimulus bill means for Maine are as follows:
• In total, the bill provides $ 787.2 billion in economic stimulus to create and save 3.5 million jobs nationwide and in Maine over the next two years.
• $787.2 billion represents a significant, fiscally-responsible decrease in spending from earlier versions of the bill.
• Under the bill, Maine will see an increase of $470 million in federal Medicaid dollars (FMAP) over the next 27 months.
• Maine's share of the "State Stabilization Fund" will be more than $196 million. These dollars will provide much-needed budgetary support for elementary, secondary, and postsecondary education and for other high priority needs such as public safety, and the modernization, renovation, and repair of K-12 and postsecondary schools.
• Maine will receive $42.8 million for the Weatherization Assistance Program and $27.5 for the State Energy Efficiency Program , administered through Efficiency Maine
• Maine will receive an additional $116,295,000 in food stamp benefits (The Supplemental Nutrition Assistance Program [SNAP]). Those receiving food stamps will see an increase of 13.6 percent in their benefit. The bill also includes a provision to enable families in need to receive food stamps for a longer period of time.
• Maine School districts will receive $37.5 million in Title I-A Grants
• The State of Maine will receive $11 million in Title I School improvement grants
• In total, the bill includes more than $53 million for special education funding in Maine through the Individuals with Disabilities Education Act (IDEA). This will benefit school districts throughout the state.
• Provides a total of $15.64 billion for Pell Grants. These dollars will increase the maximum Pell Grant by $500, for a maximum award of $5,300 in 2009 and then increase to $5,550 in 2010.
• Much of the bill will fund transportation, energy, and other infrastructure projects that will create jobs. An example of how Maine will benefit includes:
• $133 million for highway investments in Maine.
• $50 million for water and sewer infrastructure in Maine
• A new "Making Work Pay" tax credit that will provide $400 per worker and $800 per couple in a refundable tax credit to offset the 6.2 percent payroll tax on the first $6,450 of earned income.
• A total of $16.7 billion for retirees, disabled veterans and SSI Recipients. Mainers who do not qualify for the "Making Work Pay" tax credit will receive $250 cash payments.
• The bill restores cuts of Medicare payments to hospice, resulting in $400,000 for Maine's hospices.
• 17,000 families in Maine will be eligible for a new tax credit to make college affordable.
• Provides crucial relief to Maine's softwood lumber industry by waiving the requirement that they return funds paid to them after Canada violated U.S. trade law.
• Temporary suspension of taxes on Unemployment Insurance Benefits. This will benefit more than 33,000 Mainers. And the bill includes a $100 a month unemployment benefit increase.
