Business equipment tax should be eliminated

Sunday, March 19, 2006

I disagree with Skowhegan Town Manager Phil Tarr's recent Maine Compass column (Feb. 24) criticizing Maine government leaders for proposing to eliminate the personal property tax on business equipment on future investment at Maine business places. His column is shortsighted and lacks real concern for Maine's economic future and the potential impact on good-paying jobs in this state.

I work at the Domtar Pulp and Paper Mill in Baileyville. I know first-hand how important it is to have continued investment in our facility and the results if there are none.

Just look at the devastating impacts the shutdowns of Lincoln Pulp and Paper and Great Northern Paper Company had on their communities.

Unlike Tarr, I am not on the public payroll and do not have the luxury of knowing that my job will be there tomorrow. We must ensure that companies like Domtar remain competitive and are able to make the lowest cost, best quality products. Otherwise, we are out of business.

If I were Tarr, I would do everything possible to ensure that industrial facilities in my community have all the support possible to continue to invest in new machinery and equipment.

I would not be complaining about lost revenues, but rather I would be seeking means to leverage investment in my community to actually grow overall tax revenues.

In my opinion, failing to exempt new machinery and equipment from personal property tax is a threat to some of the best jobs in this state and will affect real people like you and me.

Larry Russell

President Local 1057 -- IBEW

Calais