AUGUSTA, Maine — As Maine lawmakers reconvene for the second year of the 132nd Legislature, unfinished bills and budget negotiations are being eclipsed by a widening federal investigation into Gateway Community Services, and mounting political fallout for two sitting Democratic lawmakers.
Congress is actively investigating Gateway and the roles of state Reps. Deqa Dhalac and Yusuf Yusuf, both of whom have ties to the embattled nonprofit. As scrutiny intensifies, Republican legislative leaders are now calling for concrete action inside the State House.
House Minority Leader Billy Bob Faulkingham has formally called for Dhalac to be removed from the powerful Appropriations and Financial Affairs Committee, arguing that a lawmaker connected to an organization under congressional investigation should not be overseeing taxpayer spending.
Despite the growing controversy, Gov. Janet Mills has remained silent, declining to comment on Gateway, the congressional probe, or whether Dhalac and Yusuf should retain influential committee assignments.
Federal Scrutiny, State Silence
The second regular session begins Jan. 7 and runs through at least April 15. Legislative leaders have framed the “short session” as largely procedural, focused on carryover bills and a supplemental budget. But the Gateway scandal has injected an unmistakable political tension into the opening weeks.
Gateway’s operations and funding have drawn national attention, triggering a congressional investigation that now squarely implicates elected officials. Yet neither Dhalac nor Yusuf has publicly addressed the inquiry in detail, and Mills has offered no public explanation for her administration’s posture.
For critics, the silence is becoming as controversial as the allegations themselves.
Hundreds of Bills, Dozens on the Governor’s Desk
Lawmakers return with nearly 400 bills carried over from 2025 and 61 measures already passed by both chambers but awaiting action from the governor. Those include proposals involving Wabanaki Nations internet gaming rights and PFAS-contaminated firefighting foam cleanup following the Brunswick spill.
Mills may veto those bills within the first three days of the session or allow them to become law without her signature. She has already said she will permit at least two to take effect, one limiting cooperation with federal immigration enforcement and another imposing serial number requirements on so-called ghost guns.
What she has not addressed is whether lawmakers under federal scrutiny should continue to wield influence over spending and policy.
Budget Talks Amid Political Fallout
The Legislature must also pass a supplemental budget this year. Revenue forecasts project Maine will collect nearly $250 million more than previously expected over the next two years, though state economists caution that economic uncertainty remains high.
Mills is required to propose a balanced budget, which will move through the Appropriations and Financial Affairs Committee, the very panel Republicans argue Dhalac should no longer sit on.
Last year, Democrats advanced both the biennial budget and a subsequent budget add-on with little Republican support. This year, however, the budget debate is unfolding alongside a federal investigation that could reshape the political dynamics inside the State House.
As the session begins, the Gateway controversy shows no signs of fading. With Congress involved, Republican leaders escalating their calls for accountability, and the governor staying publicly silent, the question facing Augusta is no longer just what bills will pass, but whether political consequences will finally follow one of Maine’s most serious nonprofit scandals in years.