Issue link: https://nebusinessmedia.uberflip.com/i/1535337
W W W. M A I N E B I Z . B I Z 19 J U N E 2 , 2 0 2 5 Legislative action has been effective, but more needed Since 2019, Maine has provided $280 million in funding to support con- struction of affordable apartments. LD2003, passed by the legisla- ture in 2022, directed municipalities to increase housing opportunities by easing restrictions on density, includ- ing allowances for more ADUs (acces- sory dwelling units on existing home lots) and simplifying the regulatory process, which has been identified as a key stumbling block to more hous- ing creation. "MaineHousing has been able to significantly ramp up affordable housing production in Maine over the last several years," Dan Bren- nan, the a director, notes, thanks to subsidies and federal pandemic aid. "But we're now in the final stages of exhausting the available state sub- sidy. Without additional new sources of subsidy, the production of new afford- able housing is likely to slow down." e 4% state low-income hous- ing tax credit has been integral to development, but there is a sunset provision in the law, and for that to continue to be available, the legisla- ture needs to extend or reauthorize it, which appears likely. State Rep. Traci Gere, D-Ken- nebunkport, who chairs the Housing and Economic Development Com- mittee, notes, "In addition to the 4% tax credit program, the Rural Afford- able Rental Housing program and the Affordable Home Ownership pro- gram need continued funding. "We're also considering propos- als for a state bond for housing and an increase in the real estate trans- fer tax on sales of homes over $1 mil- lion. First-time homebuyers would be exempted." Hilary Gove, with the Depart- ment of Economic and Community Development, adds that the Hous- ing Opportunity Program recently awarded grant funding to 21 munic- ipalities and 15 service providers to address local land use barriers and community opposition to certain housing developments. Additionally LD1184, moving through committees now, would create the first statewide database to track annual housing creation from every town with a population over 4,000. (MaineHousing and the city of Portland maintain databases for their projects, but there hasn't yet been a vehicle for gathering num- bers statewide.) More work has to be done at the local level Gere stresses the importance of com- munity leadership. "In Maine and across the coun- try, land use decisions about the loca- tion of housing are made at the local level. Our population is aging, and if we want our communities to be sus- tained into the future, we need to build housing that young people and young families can afford, in town centers with access to services. "Zoning and land use policies can create barriers, especially in our coastal areas, to anything but high- end housing, and for seasonal resi- dents. e comprehensive planning process that state law mandates is burdensome. It can take a commu- nity as much as five years to bring people together to decide on what type of housing they want to allow. "ings get dragged out for years and nothing happens. en a small group of people who don't want to see any development come out in opposition, and we don't currently have an appeals process for when these projects get shut down. New Hampshire does. "In the meantime, we have com- munities that are trying to hire doc- tors, who can't move here because they can't find housing. "Having a locally agreed upon vision for housing that is affordable to people who live and work in our communities, with specific under- standing on where it can be built, is essential to continuing to make prog- ress on Maine's housing challenge. "is is hard work, but I know we can do it." T i n a F i s c h e r , M a i n e b i z s t a f f w r i t e r, c a n b e r e a c h e d a t t f i s c h e r @ m a i n e b i z . b i z CONSTRUCTION MATERIALS TESTING AND INSPECTIONS • Soils, asphalt, concrete, and steel: Reduce potential delays, defects, and unexpected costs. ENVIRONMENTAL CONSULTING • Soil and groundwater monitoring, and site assessments GEOTECHNICAL ENGINEERING AND EXPLORATIONS • You see what's on top, we'll show you what's below. RWGILLESPIE.COM / INFO@RWG-A.COM BIDDEFORD, ME 207-286-8008 • NH 603-427-0244 • MA 508-623-0101