"IN THE NEWS"

Selectmen urge state to repeal aircraft use tax
Tuesday, March 11, 2008
By MIKE LANGE - GREENVILLE - A little-publicized use tax on recreational aircraft that spends 20 or more days on the ground in Maine could have a devestating effect on local tourism, according to Greenville Town Manager John Simko.

Therefore, it didn't take long for Simko to persuade the Board of Selectmen to sign a letter to the governer last week, urging repeal of the statute.

"Some pilots have already paid a sales tax when they bought their planes," Simko said, "so now they're being taxed again."

The issue came to light in recent weeks after the Portland Press Herald published a story about several out-of-state plane owners who were assessed huge, unexpected tax bills.

The law provides an exemption for non-resident aircraft owners who bring their planes into Maine for "major repairs or preventive maintenance."

But normally, an out-of-state summer resident who keeps his plane at the Greenville Municipal Airport, for example, for more than 20 days in a single year could be liable for a five percent use tax.

Enforcement of the law appears to have been stepped up recently by the Maine Revenue Service (MRS), possibly due to the state's budget shortfall.

MRS officials say that the 20-day period was a "fair balance between equitable enforcement of Maine use tax law and the benefits of reducing transportation costs to Maine business."

In the letter to Gov. John Baldacci, however, the Board of International Seaplane Fly-In in mid-September "is their single most profitable weekend of the year. This use tax diminishes this event by driving off many of the pilots who come to participate, or even just to watch."

The Fly-In can bring as many as 400 to 500 aircraft to Greenville, depending on weather conditions.

The letter also stated that the use-tax "clearly shows them (tourists) that Maine is not business-friendly."

The remainder of the March 5 Board of Selectmen's meeting was fairly routine as the board discussed, but rejected, a call to move its annual town meeting; tabled two abatement requests; passed a modified committee vacancy policy; and discussed the long-vacant health officer's position in the community.

Union 60 Superintendent Heather Perry asked to board if they would consider moving the Greenville town meeting away from its traditional date of the first Monday in June.

For the first time in recent history, Shirley has scheduled its town meeting onthe same night, and Perry said she would like to attend both sessions in case anyone has questions about the school budget.

Simko noted that Jake Morrell of Greenville has also served as moderator of both town meetings, so he'll face the same situation.

But Bonnie DuBien, chair of the Board of Selectmen, said that it would make more sense to have Shirley move its date. "We have traditionally had ours (town meeting) on that date, so I suggest you go back to Shirley and talk to their board," said DuBien.

Perry said she would make arrangements to see them. "We still have plenty of time," she added.

The new policy for filling board vacancies would clarify how the committee describes and advertises the vacancy and forwards the application to the selectment.

A provision that would have extended the time period for applications if there were fewer than two interested parties was eliminated from the policy.

And the Board of Selectmen authorized Simko and Deputy Code Enforcement Officer Jack Hart to attend a one-day training course to be certified as a community health officer. Simko said that the Piscataquis County Commissioners discussed having a single health officer for the county because of its sparse population.
"This content originally appeared as a copyrighted article in the Tuesday, March 11, 2008 edition of the Moosehead Messenger and is used here with permission."

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