An Act To Make Certain Housing an Acceptable Use of Tax Increment Financing
Maine Legislature, Session 121, LD 0202
Committee: Taxation
Sponsors: SUSLOVIC, STRIMLING, DUDLEY, EDER, LERMAN, PINGREE, ROGERS, TRAHAN, BROMLEY
Amends: 30-A MRSA §5221, 30-A MRSA §5222, 30-A MRSA §5225

12lst MAINE LEGISLATURE 
Legislative Document 
No. 202 
H.P.161 
House of Representatives, January 21,2003 
An Act To Make Certain Housing an Acceptable Use of Tax 
Increment Financing 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative SUSLOVIC of Portland. 
Cosponsored by Senator STRIMLING of Cumberland and 
7r/~ 
1I7.7Jlac~ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: DUDLEY of Portland, EDER of Portland, LERMAN of Augusta, PINGREE 
of North Haven, ROGERS of Brewer, TRAHAN of Waldoboro, Senator: BROMLEY of 
Cumberland. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 30-A MRSA §5221, sub-§2, ,B, as enacted by PL 200L c. 
669, §l, is amended to read: 
B. 
To increase employment and affordable housing; and 
Sec. 2. 30-A MRSA §5222, sub-§7, as enacted by PL 200L c. 
669, §l, is amended to read: 
7. 
Devel.opment 
program. 
"Development 
program" 
means 
a 
statement 
of 
means 
and 
objectives 
designed 
to 
provide 
new 
employment opportunities or affordable housing, retain existing 
employment, improve or broaden the tax base, construct or improve 
the physical facilities and structures or improve the quality of 
pedestrian and vehicular transportation, as described in section 
5224, subsection 2. 
Sec. 3. 30-A MRSA §5225, sub-§l, "C and D, as enacted by PL 
2001, c. 669, §l, are amended to read: 
C. 
Costs related to economic 
development, 
environmental 
improvements or employment training within the municipality, 
including, but not limited to: 
(1) 
Costs of funding economic development programs or 
events developed by the municipality or funding the 
marketing of the municipality as a business location; 
(2) 
Costs 
of 
funding 
environmental 
improvement 
projects developed by the municipality for commercial 
use or related to commercial activities; 
(3) 
Funding 
to 
establish 
permanent 
economic 
development revolving loan funds or investment funds; 
(4) 
Costs of services to provide skills development 
and training for residents of the municipality. 
These 
costs may not exceed 20% of the total project costs and 
must be designated as training funds in the development 
program; and 
( 5) Qual i ty chi ld care cos ts, including finance cos ts 
and construction, staffing, training, certification and 
accreditation costs related to child care; ana 
D. 
Costs 
of 
constructing 
or 
improving 
facilities 
or 
buildings 
used by State Government that are 
located in 
approved downtown tax increment financing districtsT; and 
Page l-LRl065(l) 
Sec. 4. 30-A MRSA §5225, sub-§1. ~E is enacted to read: 
E. 
Costs of developing affordable housing, independently or 
as part of a business or public project, in municipalities 
where 
the 
lack 
of 
affordable 
housing 
is 
a 
barrier 
to 
economic development, the housing to be developed meets the 
affordability index of the Maine State Housing Authority and 
the director of the Maine State Housing Authority certifies 
that the municipality is in need of affordable housing. 
SUMMARY 
This 
bill 
permits 
affordable 
housing 
development 
costs 
approved by the Maine State Housing Authority to be included in 
municipal development district project costs for purposes of tax 
increment financing.