WeVote
Log In

Bill

Bill

LD 225

An Act To Reduce Property Taxes And Finance Public School Construction And Education Through A 3 Percent Sales Tax On Hotel And Lodging Place Rentals

132nd Legislature (2025-2026) Introduced by Dan Ankeles and 7 co-sponsors

Proposes 3% lodging sales tax to fund property-tax relief and public school construction/education; the bill died and did not advance in the 132nd Legislature.

Pursuant to Joint Rule 310.3 Placed in Legislative Files (DEAD)
#hotels #lodging&mealstax #miscellaneoustaxes
0
WeVote Research Nonpartisan
Bill Summary · LD 225

Summary of LD 225 (Maine)

Overview

LD 225 is an Act titled “An Act To Reduce Property Taxes And Finance Public School Construction And Education Through A 3 Percent Sales Tax On Hotel And Lodging Place Rentals.” The bill would create a new 3% sales tax on hotel and lodging rentals with the stated goal of reducing property taxes and financing public school construction and education. The bill is classified as a tax-related measure addressing Hotels, Lodging & Meals Tax and Miscellaneous Taxes.

Status: The bill is dead. As of April 8, 2025, it was placed in Legislative Files (DEAD) under Joint Rule 310.3.

Introduced: January 16, 2025

Committee: Referred to the Committee on Taxation upon introduction (Joint Rule 308.2), later processed through standard committee procedures.

Legislative actions timeline (highlights):
- Jan 16, 2025: Referred to the Committee on Taxation and ordered printed.
- Mar 21, 2025: Carried over, in the same posture, to the next special or regular session per Joint Order SP 519.
- Mar 27, 2025: Work session held; voted ONTP (Ought Not To Pass).
- Apr 2, 2025: Reported Out – ONTP.
- Apr 8, 2025: Placed in Legislative Files (DEAD).

Purpose and Intent

  • Primary aim: Create a new revenue stream by imposing a 3% sales tax on hotel and lodging place rentals.
  • Policy goal implied by the title: Use the revenue to reduce property taxes and to finance public school construction and education.

Key Provisions (as implied by title)

  • Imposition of a 3% sales tax specifically on hotel and lodging rentals.
  • Directive for revenues to be dedicated to:
    • Reducing property taxes.
    • Funding public school construction.
    • Supporting education initiatives.
  • The mechanism would likely involve state collection and allocation processes typical of sales tax provisions, though specific administration details are not provided in the summary.

Affected Parties and Impacts

  • Lodging providers (hotels, motels, inns, and other lodging establishments) would be responsible for collecting the new tax.
  • Guests and visitors paying lodging charges would see a tax component added to lodging bills.
  • Property taxpayers could benefit from reduced property tax obligations if funds were dedicated as proposed.
  • Public school construction and education programs would gain a new funding stream, subject to appropriation and administration at the state level.
  • Local governments and school districts could be affected indirectly through changes in state funding and property tax dynamics.

Procedural and Timeline Aspects

  • Referred to the Senate/House Taxation Committee (as appropriate) on arrival.
  • Carried over to the next session per Joint Order SP 519 (March 21).
  • Underwent a work session and was voted ONTP, then reported OUT ONTP.
  • Ultimately placed in Legislative Files (DEAD) on April 8, 2025, ending active consideration for the 132nd Legislature unless revived in future sessions.

Takeaway

LD 225 proposed a significant shift in funding for property tax relief and education via a new 3% lodging tax. Despite legislative action and consideration, the bill did not advance and is currently dead for the 132nd Legislature.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.