Volume 13  No. 1

 February 2009        

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Working in Solidarity for Peace, Bread and Justice!

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A Joint Project of Maine Equal Justice and the Maine Association of Interdependent Neighborhoods

What does the American Recovery and
Reinvestment ActMean for Maine?


Highlights of the New Federal Stimulus Law

The American Recovery and Reinvestment Act (ARRA) was passed by Congress and signed into law by President Obama in February. Maine is expected to receive more than $1 billion for state and local programs and millions more through tax credits for low and middle-income families.

These new dollars will create approximately 15,000 new jobs in Maine. They will bring much needed relief to thousands of Maine people who are unemployed, who receive food stamps or SSI, or who work for low wages and struggle to make ends meet. These funds will also prevent millions of dollars in state budget cuts, largely in health care and education.

We thank Maine’s Senators Snowe and Collins who were key to passage of this bill. We also recognize Representatives Michaud and Pingree for their strong support of this legislation.

Below are highlights of some of the ways the Act will help people in Maine.

  • Temporary increase in federal funding for MaineCare so that all eligible people will continue to be served;
  • Increase in Food Supplement benefits (formerly Food Stamps);
  • Temporary increase and extension of unemployment benefits for some unemployed workers;
  • One-time bonus payment for some Social Security and SSI recipients and certain others;
  • Tax relief for low and moderate-income workers through a:
  • “Make Work Pay” refundable credit in workers’ paychecks;
  • Child Tax Credit expansion; and
  • Earned Income Credit (EIC) increase.
  • Additional funds for Child Care and Head Start;
  • New employment and training opportunities for youth, adults and dislocated workers;
  • Increases in Pell Grants and work-study funds for students;
  • Additional support for schools to help low-income students and those needing special education services;
  • Funds for weatherization to help low-income families weatherize their homes.

The Recovery Act also provides additional funds to the Emergency Food and Shelter Program, Emergency Food Assistance Program, Foster Care and Adoption Assistance Programs, Meals on Wheels, homelessness prevention programs, and domestic violence prevention programs.

Read more details here - and get up-to-date information about the impact of the Recovery Act in Maine on the Governor’s website

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