Governor Janet Mills has unveiled her Administration’s supplemental budget proposal for the Fiscal Year 2026-2027 biennium.
The proposal includes Governor Mills’ three-part Affordability Agenda, announced during her State of the State Address on Jan. 27, to deliver near-term financial relief for Maine people, increase new housing construction to reduce costs, and create new career opportunities for Maine students by making community college free permanently.
Through this proposal, we are delivering financial relief to Maine people, addressing high housing costs, and making free community college – a highly successful program for Maine students – permanent. At the same time, we are maintaining core commitments, like funding for education and for health care, that help lower costs for folks across our state. My guiding belief as Governor has always been that our strongest asset is the people of Maine – and that’s why this budget, like those in the past, seeks to invest in and support them. I look forward to working with the Legislature in the coming weeks to enact a balanced budget that supports Maine people and protects the fiscal health of our state.
The proposal also maintains the Governor’s core commitments to Maine people, such as funding the State’s 55 percent share of education costs and maintaining access to health care. It also further conforms with new Federal tax laws, and makes important investments in education, public safety, and economic development.
These initiatives build on nearly $1.1 billion in direct tax relief for Maine people and businesses that are included in the 2026-2027 State budget, such as the Earned Income Tax Credit, the Dependent Exemption Tax Credit, the Student Loan Tax Credit, and the Property Tax Fairness Credit. A full list of tax relief programs is available here.