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Home » News » News » Maine State Housing Authority Launches Eviction Prevention Pilot Program
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Maine State Housing Authority Launches Eviction Prevention Pilot Program

Another recently-approved state law aided a group of mobile home park residents in purchasing their property from its previous owners, avoiding the possibility of displacement due to increased rents under new ownership. At this same time, homeowners statewide have been struggling to cope with the cost of rising property taxes as a result of budget increases and revaluations.
Libby PalanzaBy Libby PalanzaOctober 22, 2024Updated:October 22, 20246 Comments8 Mins Read
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On Monday morning, the Maine State Housing Authority launched an Eviction Prevention Pilot Program designed to “help tenants who may be facing an eviction and the loss of their housing.”

The Eviction Prevention Pilot Program is funded by an $18 million allocation approved by the State earlier this year and will be administered by the Quality Housing Coalition under a contract with the Maine State Housing Authority.

The Quality Housing Coalition was selected for this role through a “competitive process” that included six proposals from organizations both inside and outside of Maine.

HOTB — a California-based online software developer known for working with state and federal governments — was awarded the contract to “create and manage the online portal and application processing” for the program.

“It is hoped that this pilot program, while helping prevent evictions for vulnerable Maine households, will also be an opportunity to gain insight, ideas and information on how rental aid can be effectively and efficiently delivered to those who are struggling with historically high rental prices in an extremely difficult housing market,” the Maine State Housing Authority wrote in a press release Friday.

Eligibility for the program is limited to households earning less than 60 percent of the local median income, paying no more than 125 percent of fair market rent in their area, and not currently receiving other forms of rental assistance.

“We are pleased to launch this pilot program and are excited to see it work to help those who are facing housing instability, so they will be less likely to face eviction again in the future,” said Maine State Housing Director Dan Brennan. “We have the right partners in place to deliver a quality program that will help Mainers in need stay housed this winter, avoid eviction, and improve their economic condition.”

“We are thrilled to partner with MaineHousing and HOTB, and our legal service and community partners in all 16 counties, on this first-in-the-nation initiative to prevent evictions and stabilize the housing of hundreds of children, older adults, and our workforce who are at risk of losing everything,” said Quality Housing Coalition Executive Director Victoria Morales.

Morales reportedly told the Portland Press Herald that the program will provide up to $800 per month or the cost of rent — whichever is less — directly to landlords. Recipients will be eligible for up to $19,200 worth of relief in total.

Prioritized for assistance under this program will be households that are facing eviction in court or have received an eviction notice.

Click Here to Read the Full Maine State Housing Press Release

Earlier this year, Gov. Janet Mills (D) signed a bill into law implementing new regulations on the fees that landlords can impose upon their current and potential tenants.

LD 1490 also adds into statute a mandatory 45-day notification requirement for any increase in recurring fees, mirroring that which is currently in place for rent increases.

In addition to this, the law now requires landlords to provide potential tenants with a total price disclosure before signing a lease that includes the cost of rent and any additional fees for which they would be responsible on a recurring basis.

These changes will go into effect on January 1, 2025.

[RELATED: New Regulations on Fees Charged by Landlords Signed into Law by Gov. Janet Mills]

There are also elements of this law that apply to mobile home park owners, such as an extension of existing restrictions and notification requirements to these facilities.

It also prohibits mobile home park owners from charging potential tenants an application fee beyond the cost of a background check, credit check, or other screening process.

This, however, is not the only recent legislation to change the statutory landscape with respect to mobile home parks.

LD 1931 went into law without Gov. Mills’ signature in July 2023 and required mobile home park owners to notify residents when the properties upon which their homes are located are put up for sale, as well as to “negotiate in good faith” with them.

In addition to this, the legislation gives residents ninety days after the execution date of their purchase and sale agreement to secure appropriate financing.

This new law was put to use for the first time earlier this month when the Blueberry Fields Cooperative — formed by a group of residents at Brunswick’s Linnhaven Mobile Home Complex — purchased the property for $26.3 million, making this the largest resident-owned community in Maine, according to the New York Times.

A vast majority of this funding was sourced through a Maine State Housing Housing financing package, including a $20.6 million loan and a $3.2 million grant from the State’s newly created Mobile Home Community Preservation Fund.

Additional financial support was provided to the Cooperative by the Genesis Fund, M&T Bank, and the Town of Brunswick.

[RELATED: Brunswick Mobile Home Park Residents Purchased Complex for $26.3 Million Under New 2023 Law, Aided by $3.2 Million State Grant]

Also facing significant difficulties affording the cost of staying in their homes are the owners of single-family residences.

Recent revaluations combined with rising local budgets have caused many homeowners to face significantly higher property tax bills for the upcoming fiscal year.

The Maine Wire has received numerous messages from Maine taxpayers in towns throughout the state reporting dramatic property tax hikes reflected in their FY25 bills.

[RELATED: Sticker Shock — Maine Homeowners Burdened by Property Tax Hikes Following Recent Revaluations]

Residents of South Portland have expressed grave concern over sudden property tax increases, with some worried that these hikes will make it more difficult to stay in their homes.

“My taxes went up almost 60 percent,” resident Millie Pelletier said during last week’s meeting. “I went in and asked for a reassessment. I’m a hundred percent disabled. I do not have a kitchen. My house has connecting bedrooms so it’s not technically a three-bedroom house, and the third bedroom has no closet.”

“The house has been in my family for a hundred years next month,” said Pelletier. “I took the house over. It needed a lot of work, hoping to save it. But now I’m afraid I’m the one who’s going to lose it.”

[RELATED: South Portland Residents Passionately Address Property Tax Concerns at City Council Meeting]

In April of this year, Mills signed a bill into law repealing limitations on municipal property tax collection that have been in place for nearly twenty years.

Brought forward by Sen. Teresa Pierce (D-Cumberland), LD 2102 sought to roll back statutes that have been in place since 2005 and were designed to curb government spending and reduce Mainers’ tax burden.

[RELATED: Janet Mills Signs Bill Repealing 2005 Limit on Municipal Property Tax Hikes]

The now-repealed law — referred to as LD 1 — was originally implemented in January 2005 after “countless hours” of consideration by the Legislature’s Joint Select Committee on Property Tax Reform” and was ultimately passed “by wide margins in both houses,” according to a 2006 report on the law.

Sen. Pierce suggested in her testimony introducing LD 2102 that the municipal property tax levy cap established by LD 1 “has served its purpose.”

[RELATED: Cape Elizabeth Considers Expanding Local Property Tax Relief Program]

Some municipalities — such as Cape Elizabeth — have made local options for property tax relief programs, but for many homeowners the only governmental relief available to help pay these bills is that which is made available by the state.

Mainers statewide, regardless of age, may apply for the Property Tax Fairness Credit when filing their annual tax returns, subject to qualification based on a number of criteria including income and filing status.

The relevant tax form for 2023 indicates that eligible individuals may receive up to $1,000 in a refundable tax credit, with seniors able to get up to $1,500.

“Permanently and totally disabled” veterans may receive a $2,000 credit, increasing to as much as $3,000 for those over the age of 65.

Click Here for More Information on the Property Tax Fairness Credit

The State also has a “lifeline loan program” that allows seniors over the age of 65 or those who are permanently disabled to defer payment of property taxes until “they pass away, move, or sell their property.”

During this period, the state reimburses municipalities for any deferred taxes. Once “they pass away, move, sell the property, or move the property (if mobile or floating home) out of Maine,” the deferred tax, plus interest, must be repaid to the State.

Click Here for More Information on the Property Tax Deferral Program

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Libby Palanza

Libby Palanza is a reporter for the Maine Wire and a lifelong Mainer. She graduated from Harvard University with a degree in Government and History. She can be reached at [email protected].

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Knot nice
Knot nice
1 year ago

Nothing more than a sleight of hand trick to fund immigrant housing. Open your eyes, could people really be this stupid?

7
axylos
axylos
1 year ago

Keep voting these Communists in to office. Cumberland great job voting in Pierce!! I bet you reelect her this cycle so she can take more of your money!!! Mainers are truly blind and have zero common sense. Pretty soon the state will be a twin of California.

3
Sacagaweah
Sacagaweah
1 year ago

It’s also a foot in the door to continue a ‘pilot’ (re-worked social program) down the road. They’re testing how far 18million will go.

3
Billy B.
Billy B.
1 year ago

Let’s hurry up and get as many mobile homes , apartment buildings , and everywhere we can put a bunch of illegals who can’t be evicted once they have moved in . Who in their right mind would want to be a landlord ?
Another flagrant waste of my tax dollars .
Thanks Augusta democrats ….see you at the poles !

2
Sam Brady
Sam Brady
1 year ago

The State should not be in competition with Private Citizens for the purchase of ANY real Estate . Obviously the State has an unfair advantage with its “Unlimited Funds ” AKA Tax Dollars .

2
beachmom
beachmom
1 year ago

Who do they think they’re kidding?
This is for the illegals so the leftists can keep them here.

0
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