An Act To Respect the Will of Maine Voters by Implementing a 3 Percent Income Tax Surcharge To Fund Education
Sec. 1. 20-A MRSA §15698 is enacted to read:
§ 15698. Fund to Advance Public Kindergarten to Grade 12 Education
Sec. 2. 36 MRSA §5111, sub-§7 is enacted to read:
(1) Prior to January 1st of each year, the bureau shall estimate the annual revenue to be collected from the surcharge for the immediately following calendar year.
(2) On the first of each month, beginning on January 1, 2021, the Treasurer of State shall deposit 8.333% of the estimated annual total revenue from the surcharge into the Fund to Advance Public Kindergarten to Grade 12 Education.
(3) The bureau may adjust the monthly transfer amount once annually to account for any difference between the estimated collection and actual collection.
This bill restores provisions of Initiated Bill 2015, chapter 4. It establishes the Fund to Advance Public Kindergarten to Grade 12 Education for the purpose of improving the ability of the State to reach the annual target of 55%, as specified in statute, for the state share of the total cost of funding public education from kindergarten to grade 12 and for increasing direct support for student learning, but not for administrative costs. Revenue for the fund is generated by a 3% surcharge on Maine income tax over $200,000, beginning with tax years beginning on or after January 1, 2020.