An Act to Establish the Community Housing and Rural Development Authority
Maine Legislature, Session 131, LD 1867
Committee Amendment CA_A_H751 (House)

COMMITTEE AMENDMENT " <\ »to H,P, 1197, L,D. 1867, "An Act to Establish
the Community Housing and Rural Development Authority"
Amend the bill by striking out the title and substituting the following:
'An Act to Establish the Community Housing Production Program'
Amend the bill by striking out everything after the enacting clause and insertmg the
following:
'See. 1. 30-A MRSA c. 201, sub-c. 3-D is enacted to read:
SUBCHAPTER3-D
COMMUNITY HOUSING PRODUCTION
S4768. Definitions
As used in this subchapteL unless^^A context otherwise indicates. the following terms
have the followingjneanings^
1. Fund. "Fund" means the Community Housing Production Fund established in
section 4769.
2. Program. "Proeram" nieans the Community Housine Production Program
established in section 4770. i
3. State authority. "State authority" means the M:aine State Housing Authority,
§4769. Community Housine Production Fund
1. Establishment. The Community Housing Production Fund is established under the
jurisdiction of the Maine State Housing Authority,
2. Sources of fund. The followinR must be paid into the fund:
A. All money appropriated for inclusion in the fund;
COMM/TTEE AMENDMENT
COMMITTEE AMENDMENT " /\ " to H.P. 1197, L,D, 1867
B. Subject to any pledge, contract or other obligation. all interest, dividends or other
income from investment of the fund;and
C, Any other money, including federal money, deposited in the fund to implement the
provisions of this subchapter.
3. Application of fund. The state authQi'ity_may use money in the fund for Durposes
authorized by this subchapter. Money in the fund may be deposited with the state authont^
to the credit of the fund or may be invested as provided by law. The following may be used
to pay the administrative costs of the program:
A. No more than 10% of the money in the fund;and
B, Any earnings on money in the fund.
4.Accounts^w fund. The state authority may divide money in the fund into
separate accounts determined necessary or convenient for carryine out this subchapter.
5. Nonlapsine fund. The fund is a nonlapsing fund, All money in the fund musfbe
continuously applied by the state authority to carry out this subchapter.
§4770. Community Housinfi Production Program
The Community Housing Production Program is established for _the purpose _of
providing grants for the production of mixed-income rental housing,.
1. Operation. The state authority shall administer the program, The program may be
QBerated in conjunction with other programs of the state authority to achieve the purpose
ofthissubchapter,
2. Uses of fund. Money in the fund may be used to meet the purposes of the oroeram
in the form of grants to developers incorporated as nonprofit organizations, housing
cooBeratives. municipalities or other public entities for the production of mixed-income
rental housing for individuals with incomes up to 120% of the area median income as
determined by the United States Department of Housing and Urban Development, The
state authority may establish limits from time to time on the amount of grants to applicants
to maintain a minimum balance in the fund,
3. Provisions eovernine grants. The program must be administered pursuant to this
section and give priority to projects that commit to maintain housing affordable to
individualswith low income as described in this subsection,
A. The state authority, by routine technical rules adopted in accordance with the Maine
Administrative Procedure Act, shall establish criteria for the awarding of grants to
qualified applicants.
B, Grants may be provided only when;
(1') The percentage of units to be developed as part of a project that are affordable
6 to individuals with an income of 60% or less of the area median income as
determined bv the United States Department of Housing and Urban Development
is 20% or more;_and
{2) The percentage of units to be developed as part of a project that are affordable
to individuals with .an income of_3Q% or less of the area median income as
determined by the United States Department of Housing and Urban Development
[s_Wo or more,
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " ^" to H.P, 1197, L,D, 1867
Sec. 2. Appropriations and allocations. The following appropriations and
allocations are made.
HOUSING AUTHORITY, MAINE STATE
Community Housing Production Fund N480
Initiative: Provides one-time funds for grants to nonprofit developers, cooperatives and
public entities for the production of mixed-income rental housing,
GENERAL FUND 2023-24 2024-25
AHOther $0 $75,000,000
GENERAL FUND TOTAL $0 $75,000,000
Housing Authority - State 0442
Initiative; Provides one-time funds for existing homeownership assistance programs,
GENERAL FUND . 2023-24 2024-25
AllOther $0 $25,000,000
GENERAL FUND TOTAL $0 $25,000,000
HOUSING AUTHORITY, MAINE STATE
DEPARTMENT TOTALS 2023-24 2024-25
2021 GENERAL FUND $0 $100,000,000
DEPARTMENT TOTAL-ALL FUNDS $0 $100,000,000
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
number to read consecutively.
SUMMARY
This amendment replaces the bill and changes the title, The amendment establishes the
Community Housing Production Program. The program is administered by the Maine State
0 Housing Authority for the purpose of providing grants for the production of mixed-income
rental housing by nonprofit developers, cooperatives and public entities. The amendment
includes an appropriation for the program and an appropriation for homeownership
assistance programs administered by the Maine State Housing Authority,
FISCAL NOTE REQUIRED
(See attached)
COMMITTEE AMENDMENT
Approved: 02/09/24 .^ss?^
LD 1867 LR 1054(02)
An Act to Establish the Community Housing and Rural Development Authority
Fiscal Note for Bill as Amended by Committee Amendment "/^' ( [\ '~['^'\
Committee: Housing
Fiscal Note Required: Yes
Fiscal Note
Projections Projections
FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27
Net Cost (Savings)
General Fund $0 $100,000,000 • $0 $0
Appropriations/AHocations
General Fund $0 $100,000,000 $0 $0
Fiscal Detail and Notes
This bill includes one-time General Fund appropriations totaling $100,000,000 in fiscal year 2024-25 to the Maine
State Housing Authority (MSHA) to support the production of mixed income housing and existing home ownership
assistance programs. Of that amount, $75,000,000 is appropriated on a one-time basis to a newly established
Community Housing Production Fund program for grants to non-profit developers, cooperatives and public entities for
the production of mixed income housing and $25,000,000 is appropriated on a one-time basis to the Housing
Authority - State program to support existing home ownership assistance programs. According to MSHA, it will be
able to implement the requirements of this legislation within existing budgeted resources and will not need to utilize a
percentage of the monies in the Community Housing Production Fund program to support its administrative costs,
LR1054(02) - Fiscal Note - Page 1 of I