An Act to Invest in the Construction of Industrialized Housing
Maine Legislature, Session 132, LD 2230
Committee: Housing and Economic Development
Amends: 5 MRSA §3241, 5 MRSA §13059-A

Legislative Document
No. 2230
S.P. 912
In Senate, March 10, 2026
An Act to Invest in the Construction of Industrialized Housing
Reported by Senator CURRY of Waldo for the Joint Standing Committee on Housing and 
Economic Development pursuant to Resolve 2025, chapter 105, section 7.
Reference to the Committee on Housing and Economic Development suggested and 
ordered printed pursuant to Joint Rule 218.
DAREK M. GRANT
Secretary of the Senate
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  5 MRSA §3241, sub-§1, as enacted by PL 2025, c. 388, Pt. D, §13, is 
amended to read:
1.  Program established; administration.  The Housing Opportunity Program, 
referred to in this section as "the program," is established within the Maine Office of 
Community Affairs, established in section 3202 and referred to in this section as "the 
office."  The program must encourage and support the development of additional housing 
units in the State, including industrialized housing, housing units that are affordable for 
low-income and, moderate-income and middle-income individuals and housing units 
targeted to community workforce housing needs.  The office shall administer the program 
and provide technical and financial assistance to support communities implementing 
zoning and land use-related policies necessary to support increased housing development.  
The program must support regional approaches and municipal model ordinance 
development and encourage policies that support increased housing density, where 
feasible, to protect working lands and natural lands.  The program must provide housing 
manufacturers, developers and the general public with information about housing needs 
throughout the State and options available to meet those needs.
As used in this subsection, "industrialized housing" means a structure designed to be used 
for residential housing consisting of or constructed using one or more modular buildings, 
modular components or panelized systems that is designed and constructed in compliance 
with standards established by the State and is in whole or substantial part fabricated or 
assembled in manufacturing plants for installation, or assembly and installation, on a 
separate building site and that has been manufactured in such a manner that all parts or 
processes cannot be inspected at the installation site without disassembly of, damage to or 
destruction of the structure.
Sec. 2.  5 MRSA §3241, sub-§4, as enacted by PL 2025, c. 388, Pt. D, §13, is 
amended by enacting at the end a new blocked paragraph to read:
The office shall adopt rules defining "low income," "moderate income" and "middle 
income" for purposes of the program. 
Sec. 3.  5 MRSA §13059-A is enacted to read:
§13059-A.  Industrialized Housing Incentive Program; fund
1.  Definitions.  As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A.  "Fund" means the Industrialized Housing Incentive Program Fund established in 
subsection 3. 
B.  "Industrialized housing" means a structure designed to be used for residential 
housing consisting of or constructed using one or more modular buildings, modular 
components or panelized systems that is designed and constructed in compliance with 
standards established by the State and is in whole or substantial part fabricated or 
assembled in manufacturing plants for installation, or assembly and installation, on a 
separate building site and that has been manufactured in such a manner that all parts or 
processes cannot be inspected at the installation site without disassembly of, damage 
to or destruction of the structure. 
2.  Industrialized Housing Incentive Program established; administration.  The 
Industrialized Housing Incentive Program, referred to in this section as "the program," is 
established within and administered by the department to provide grants or loans to 
manufacturers of industrialized housing that meet the eligibility requirements of subsection 
4. 
3.  Industrialized Housing Incentive Program Fund established; administration; 
administrative expenses.  The Industrialized Housing Incentive Program Fund is 
established within and administered by the department as a revolving, nonlapsing, interest-
bearing fund to provide funds for the program.  The fund may receive funds from 
appropriations and allocations for the fund, bond proceeds and interest from investment of 
bond funds, gifts, donations and other money from public and private sources.  The fund 
may be used by the department for its reasonable expenses administering the program and 
the fund.
4.  Eligibility.  To be eligible for a grant or loan under this section, a person must own 
or operate:
A.  A manufacturing facility in the State that manufactures industrialized housing; or 
B.  A business in the State that manufactures housing in a manner determined by the 
department to be innovative, such as housing that uses insulated concrete forms, kit 
homes installed on a permanent foundation or 3-dimensional printed housing, which is 
a housing unit constructed using a digital file in a process in which construction 
material is deposited, joined or solidified under computer control, with the construction 
material being added together typically layer by layer.
5.  Grants or loans.  The department may award a grant or loan to a person eligible 
under subsection 4 in an amount not less than $1,500 and not more than $6,000 per housing 
unit manufactured by the person and installed in the State, except that the department may 
give a grant or loan in a higher amount for a housing unit that is affordable and energy 
efficient.  The department may award more than one grant or loan to an eligible person 
under this section. 
6.  Rules.  The department may adopt rules to implement this section.  Rules adopted 
pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, 
subchapter 2-A.
Sec. 4.  Construction extension partnership program.  The Department of 
Economic and Community Development shall, by January 1, 2027, design and begin 
implementing a public-private construction extension partnership program. 
1.  The purpose of the construction extension partnership program includes, but is not 
limited to: 
A.  Facilitating the adoption and certification of industrialized housing construction, 
such as cover panel building envelopes, volumetric modular construction, crossover 
modern home construction and manufactured housing modalities;
B.  Providing technical support to builders of industrialized housing;
C.  Using industry knowledge to inform curriculum at Maine's community colleges and 
career and technical education schools; 
D.  Collecting data on construction costs and speed of industrialized housing 
construction; and
E.  Supporting apprenticeships and other workforce programs. 
2.  The department shall design the construction extension partnership program in 
consultation with representatives of the following:
A.  Maine's public and private institutions of higher education, including community 
colleges and career and technical education schools; 
B.  The Department of Labor; 
C.  The Department of Education; 
D.  The Maine Office of Community Affairs; 
E.  The Maine State Chamber of Commerce; 
F.  An organization representing general contractors; 
G.  A community development organization; 
H.  An organization representing architects designing residential housing; 
I.  An organization representing home builders and remodelers; and
J.  An organization representing building supply companies. 
By January 15, 2027, the Department of Economic and Community Development shall 
submit a report to the joint standing committee of the Legislature having jurisdiction over 
housing matters with details on the proposed design of the construction extension 
partnership program and any recommended legislation needed to support the construction 
extension partnership program.  The committee may report out legislation related to the 
report to the 133rd Legislature in 2027.
Sec. 5.  Competitive innovative housing construction pilot program.  By 
January 1, 2027, the Department of Economic and Community Development shall establish 
and administer a pilot program to promote the efficient construction of multifamily housing 
units.  The pilot program must include a competitive process that provides financial awards 
upon the completion of an innovative housing project of 2 or more dwelling units in the 
State.  Criteria used to determine awards must include, but are not limited to, the cost to 
construct the housing project, the time needed to complete the project and the level of 
innovation demonstrated by the project.  By January 1, 2028, the department shall submit 
a report on the pilot program to the joint standing committee of the Legislature having 
jurisdiction over housing matters.  The committee may report out legislation related to the 
report to the Second Regular Session of the 133rd Legislature.
Sec. 6.  Maine Office of Community Affairs to adopt rules.  By January 1, 
2027, the Maine Office of Community Affairs shall adopt rules pursuant to the Maine 
Revised Statutes, Title 5, section 3241, subsection 4.
SUMMARY
This bill is reported out by the Joint Standing Committee on Housing and Economic 
Development pursuant to Resolve 2025, chapter 105.  The committee has not taken a 
position on the substance of this bill.  By reporting this bill out the committee is not 
suggesting and does not intend to suggest that it agrees or disagrees with any aspect of this 
bill.  The committee is reporting the bill out for the sole purpose of having a bill printed 
that can be referred to the committee for an appropriate public hearing and subsequent 
processing in the normal course.
The bill does the following. 
1.  It provides that the Housing Opportunity Program established within the Maine 
Office of Community Affairs encourages and supports the development of housing units 
in the State, including industrialized housing and housing that is affordable to middle-
income individuals.  It requires the office to define the terms "low income," "moderate 
income" and "middle income" for purposes of the program. 
2.  It requires the office to provide information about housing needs in the State and 
options available to meet those needs to housing manufacturers, developers and the general 
public. 
3.  It establishes the Industrialized Housing Incentive Program and a fund within the 
Department of Economic and Community Development to provide grants or loans to 
eligible manufacturers of industrialized housing. Grants or loans must be in an amount not 
less than $1,500 and not more than $6,000 per manufactured housing unit. 
4.  It requires the department to design a public-private construction extension 
partnership program by January 1, 2027.  The department is required to submit a report 
detailing the design of the construction extension partnership program along with any 
recommended legislation to the joint standing committee of the Legislature having 
jurisdiction over housing matters.  The committee may report out legislation related to the 
report to the 133rd Legislature in 2027. 
5.  It requires the department to establish and administer, by January 1, 2027, a 
competitive innovative housing construction pilot program to promote the efficient 
construction of multifamily housing units.  The department must submit a report to the joint 
standing committee of the Legislature having jurisdiction over housing matters by January 
1, 2028 on the pilot program.  The committee may report out legislation related to the report 
to the Second Regular Session of the 133rd Legislature.