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July 10, 2013

Senate OKs budget fix, returning it to House

After failing in the House, the Maine Senate on Tuesday passed a bill that would close an unforeseen $6 million gap in the $6.3 billion budget passed in late June.

The Associated Press reported the bill would specify an increase in the state’s service provider tax, which applies to certain services, including those from health-care providers and cable television companies.

Due to an oversight in the budget process, the approved state spending plan, which raises sales and meals and lodging taxes, did not specify raises to that service provider tax as lawmakers intended.

The bill to add those tax increases failed to win two-thirds support in the House but cleared the Senate by a 24-9 margin Tuesday. It now returns to the House for a second vote.

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