Governor Janet Mills today released a change package that is an amendment to LD 258, legislation that includes the remaining budget initiatives for Fiscal Years 2024-2025 that were not included in the current services budget passed by the Legislature and signed by the Governor last month.

• Building More Housing: Adds $50 million to the Governor’s original $30 million housing proposal for a new total of $80 million to build more affordable housing in Maine for workers and their families through:
  • $35 million for the Rural Affordable Rental Housing Program, an initiative of the Governor’s Maine Jobs & Recovery Plan that supports development of new and refurbished rental housing in rural communities. To date, the program is anticipated to create up to 130 new rental units, including properties in Bath, Belfast, Houlton, Madison, Fort Fairfield, Norway, Presque Isle, Rockland, and Waterville, which by law, must remain affordable for 45 years.
  • $35 million for the Low-Income Housing Tax Credit program, the central financing program for affordable housing development. These State funds are matched with Federal and private funds to accelerate affordable housing development and are estimated to support up to 350 new housing units in the coming two years, which by law, must remain affordable for 45 years.
  • $10 million to establish an Innovation Fund for Attainable Housing to accelerate housing production by supporting housing solutions un able to be addressed by existing programs. The fund will support rental options for households with incomes up to 80 percent of area median and homeownership options for households earning up to 120 percent of area median income. Other initiatives may include housing solutions for tourism and hospitality workers; financial incentives for mixed-income housing; or support for accessory dwelling units, which Maine homeowners will soon have the right to build on their property if they choose.

• Establishing the Housing First Program: This provision creates a Housing First Program within the Maine Department of Health and Human Services, consistent with Governor Mills’ promise to sign “housing first” legislation in her State of the Budget Address. This program would facilitate services to residents of “housing first” properties, which are separately funded and developed to provide permanent housing to persons who have been chronically homeless. In addition, this provision would fund technical assistance for development of housing first properties, to be administered by MaineHousing.
• Supporting Emergency Shelters to Address Homelessness: Adds $12 million in one-time funding to the Emergency Housing Relief Fund created by Governor Mills and the Legislature in 2022 to support emergency housing needs in communities across Maine. Specifically, these funds will be used to extend housing supports to individuals and families now in transitional housing and expand support for shelters and other efforts to help individuals and families experiencing homelessness. This funding builds on the $43 million provided by the Governor and the Legislature over the past year to address homelessness.