On Monday, June 12 the Maine Senate voted to enact a bill from Sen. Cameron Reny, D-Bristol, that would increase affordable housing options in rural Maine communities. LD 724, “An Act to Increase Opportunities for the Development or Preservation of Low-income Housing,” received unanimous support in both the Senate and House, as well as in committee.

“Oftentimes, efforts for affordable housing focus on the most populated areas of our state. But the affordable housing crisis is just as real in our rural communities. This bill will help open up opportunities for affordable, low-income housing and fill in some of the gaps in state programs,” said Sen. Reny. “I’m grateful for the strong, enthusiastic support this effort has received through the committee process and in both chambers of the Legislature. It’s clear that we’re all committed to working together, so that all Mainers can have a safe place to call home.”

As amended, the bill makes changes to low-income housing and programs administered by the Maine State Housing Authority (MSHA). Under the bill, MSHA would be allowed to make money available to developers of low-income housing units in more rural areas of the state. The bill also addresses what happens when a mortgage on a rental property that received special financing from MSHA because it was developed as affordable rental housing is impacted by a change that could make it no longer affordable housing. The bill provides that a local housing authority could have the option to buy the property to ensure that it remains affordable housing. Current law limits that option to MSHA. The bill also amends the law that governs state growth-related capital investments by permitting investment in a low-income housing project with up to 18 units for individuals with a household income of no more than 80% of the area median income.

LD 724 now goes to the desk of Gov. Janet Mills, who has 10 days to either sign the bill, veto it or allow it to become law without her signature.