A Republican lawmaker has submitted a bill to block a new payroll tax set to take effect next month to pay for Maine’s mandatory paid family and medical leave program, approved by the Democratic-controlled Legislature with much fanfare last session.

Workers and businesses with 15 or more employees will begin splitting the cost of a new 1% payroll tax starting Jan. 1. Paid leave benefits will not become available until May 1, 2026, to allow time for the state to build up a fund to cover workers’ claims. Businesses with fewer than 15 workers will not have to pay into the system, but their employees will.

Rep. Joshua Morris, R-Turner, said in a news release Monday that Maine families and employers cannot afford any new taxes. Instead, lawmakers should lower the cost of living “as quickly as possible” by defunding the program, he said. He is introducing the measure as an emergency bill so it could take effect immediately upon passage – before the tax takes effect.

“Mainers are still dealing with the effects of high inflation, high gas, grocery, healthcare, and energy costs caused by Democrats’ out of touch big government policies,” Morris said in the release. “Republicans must fight harder than we ever have against these costly bad ideas and on behalf of Maine’s workforce.”

Morris’ bid to defund Democrats’ signature policy achievement last session faces a tough uphill climb, however.

Democrats maintain control over both chambers following the November election, although Republicans picked up seats. And Gov. Janet Mills, who vowed not to raise taxes but supported the new program, remains in the Blaine House.

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Passing a bill as an emergency measure and overriding a veto by the governor would both require the support of two-thirds of all lawmakers.

Morris did not respond to follow-up questions about whether any Democrats are co-sponsoring the bill, or explain how he planned to pass the bill as an emergency measure.

But the bill shows that Republicans will continue to hammer Democrats and blame them for inflation. Polls showed inflation and cost of living are the top issues for voters, and Republicans across Maine and the nation made them a central theme of their campaigns this fall.

“The Dems all seem to be fine with this new tax, even as the problems are rampant with the program,” Senate Minority Leader Trey Stewart, R-Presque Isle, said in a text message. “The Republicans still oppose it as a new tax on Maine people that’s not necessary.”

Senate President Mattie Daughtry, D-Brunswick, who spearheaded the paid leave law, said in a written statement that she is proud of the bill and downplayed the costs to workers and businesses.

“Part of the law outlines stringent fiduciary guardrails so this benefit will cost Mainers the least amount while affordably delivering a benefit that recruits and retains our workforce and improves lives,” Daughtry said. “Work to claw back this benefit before it goes live would be a disservice to Maine people.”

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Spokespeople for House Speaker Ryan Fecteau and Gov. Mills did not respond to questions about the bill.

Both Fecteau and Mills have talked about the need to focus on pocketbook issues during this legislative session.

The new tax would create a fund to provide workers with paid family and medical leave, so they don’t have to decide between earning a paycheck and taking care of themselves or a loved one struggling with an illness or welcoming a new child to their family.

The fund would ensure that qualified workers receive up to 90% of their wages for up to 12 weeks. Workers would be required to provide their employers with 30 days notice, unless it is an emergency.

The state released final rules for the program earlier this month, prompting concerns from the Maine State Chamber of Commerce, which was unhappy that businesses with their own leave programs will have to pay into the state program through the first quarter of 2025.

The final rules allow businesses to claim an “undue hardship” to deny claims or require advanced notice or greater than 30 days. That provision drew criticism from supporters of the program.

Maine is the 13th state, in addition to the District of Columbia, to adopt a mandatory paid family and medical leave program.

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