Scarano attended the hearing to testify in favor of the State's Business Equipment Tax Reimbursement Program (BETR). BETR is a program that reimburses, for up to 12 years, all local property taxes paid on eligible business property, including business equipment. Maine is one of a few States that allows a tax on business equipment. "Many States see a tax on business equipment as a deterrent to businesses improving themselves." Scarano stated. "If Maine is to encourage its businesses to be at their most competitive, it should fully reimburse businesses for local taxes paid on productivity-enhancing investments." Scarano was responding to an effort by some legislators to eliminate or reduce the BETR program.

Scarano was joined by Stephen Lumbra, partner and representative of Lumbra Hardwoods in Milo. Lumbra stressed the importance of BETR to his business and how the program helps Maine businesses maintain their competitiveness. "Other States in New England do not tax business equipment to begin with," Lumbra stated. "The BETR program serves to level the playing field so that Maine's manufacturers will not have an undue tax burden." Lumbra stated that Lumbra Hardwoods have spent significant money upgrading and modernizing their operations and that that has kept them competitive in a tight market.

Scott Hersey, General Manager of the Greenville Steam Company and Vice President of the PCEDC, is also supportive of the BETR program. Although not present at the Appropriations Committee, Hersey notes that many Piscataquis County employers, including JSI Store Fixtures in Milo and Hardwood Products in Guilford, have made substantial improvements to their manufacturing capacity by investing in new equipment. "They realized that utilizing older, less productive machinery would doom them as businesses," said Hersey. "These businesses are around today because they reinvested in newer equipment. The State should continue to support their improvements by either eliminating taxes on business equipment or reimbursing businesses for those taxes paid."