PORTLAND, Maine (AP) Maine’s Democratic governor has directed most state department heads to come up with 10% cost cuts to address revenue lost because of the coronavirus pandemic.
The departments have until Aug. 19 to submit their proposals to the administration of Gov. Janet Mills, the Bangor Daily News reported. Maine is facing a projected revenue shortfall of more than $1 billion over the next three years.
Kirsten Figueroa, the commissioner of the Maine Department of Administrative and Financial Services, wrote in a letter to the state department heads that the cuts are prompted by the pandemic.
“Due to the economic impacts of the COVID-19 pandemic, Maine state government will have to make significant fiscal changes for both the current year and the upcoming biennium,” the letter said.
Maine’s projected revenue is down more than $500 million of the 2021 fiscal year alone. Lack of sales and use taxes during the pandemic have contributed to the loss of money.