"LD1" Levy Limit Repealed
Date Posted: Monday, July 22, 2024
Posted In: Legal Notes
One bright spot in the recently concluded legislative session was PL 2023, chapter 603, which repealed 30-A M.R.S. § 5721-A, or “LD 1,” as it is commonly known.
The “LD 1” statute was enacted in 2005 as a measure to limit local property tax increases. Since then, it has required each municipality to annually calculate its “property tax levy limit” based on several factors, including a “growth limitation factor” and new state funding. The levy limit has restricted the amount of property taxes that a municipality could raise for the municipal budget unless the municipal legislative body expressly authorized “increasing” or “exceeding” that year’s limit.
Although the Legislature has repealed the annual levy limit process in its entirety, the repeal does not take effect until August 9, 2024. (By S.F.P.)
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| Month Published | July |
| Year Published | 2024 |