Dear VRPOME Members,
We need your voices! Tomorrow, the Joint Standing Committee on Taxation will hear testimony on LD 283 and LD 414, two bills that could have a significant impact on Maine’s hospitality and tourism industries. We encourage you to submit written testimony to ensure our concerns are heard.
Why This Matters
These bills pose challenges to our industry, affecting businesses, property owners, and the broader tourism sector. We must make it clear how these changes could impact our livelihoods and communities.
LD 283 – Threat to Maine’s Tourism Marketing Funds
What it does: Redirects 1% of meals and lodging sales tax revenue to municipalities, functioning as a local sales tax without local input.
⚠️ The problem:
- This could jeopardize critical tourism marketing funds, weakening Maine’s ability to attract visitors.
- Tourism dropped 9% in Summer 2024—now is not the time to cut promotion funding.
- In 2023, tourists spent $9 billion, driving a $16 billion economic impact—strong marketing supports the entire economy.
- It bypasses direct community input, setting a precedent for future tax increases.
LD 414 – Costly “Deceptive Pricing” Regulations
What it does: Imposes fines up to $10,000 per violation for businesses not displaying all mandatory fees (e.g., service charges, delivery fees) in upfront pricing.
⚠️ The problem:
- Unworkable for restaurants and lodging—this could require multiple menus for different service types (dine-in, delivery, large parties).
- $5,000 compliance cost per restaurant (National Restaurant Association), adding up to $17.5 million across Maine businesses.
- Redundant—the Federal Trade Commission (FTC) already finalized similar rules in 2024, exempting restaurants and clarifying lodging requirements.
How You Can Help – Act Now!
- Submit Written Testimony – Use the attached testimony template to craft your message, then submit it online here: https://www.mainelegislature.org/testimony/
- Testify Live (In-Person or Zoom – HERE
- For LD 283, select “Public Hearing”, choose “Taxation” from the dropdown, then select Feb. 27, 2025, at 1:00 PM, choose the bill, attach your document, and complete the form.
- For LD 414, follow the same steps, but select “Housing & Economic Development” instead of “Taxation.”
Your testimony doesn’t have to be long—just a few key points and personal stories make a difference.
Thank you for taking the time to advocate for our industry. Please let us know if you have any questions or need assistance with your submission.
Best,
VRPOME