I hope everyone had a terrific Thanksgiving holiday. As I ate with my family, we all commented how thankful we all are to live in a state where we take care of our neighbors and take pride in our community. If you are able, please try to reach out to those who may need a little extra help this year.

Community Update

On November 16th, I had the pleasure of joining current and aspiring women business owners as they graduated from the New Ventures Program, a 60-hour entrepreneurship program designed to assist budding entrepreneurs develop a complete business plan. It was great to see and hear the diversity of business concepts and I was impressed by their skills and presentations. In the picture are women who have businesses like Lalo (boutique specializing in Maine products), Sage Organizer (decreasing clutter), Linda Johnson (bookkeeping), A Helping Hand (learning and educational coach), Create A Life you Love (transformational coaching) and Sally Lehtinen (esthetician and massage).

LD1 and New Business Advocate

On October 6th, Secretary of State Charlie Summers appointed Maine’s first Small Business Advocate, Jay Martin. This position arose as a direct result of the work other legislators and I did on the bi-partisan Regulatory and Fairness Reform Committee during the first session of the legislature. The primary role of the Small Business Advocate is to help businesses with 50 or fewer employees navigate the regulatory process.The Advocate informs and serves the Regulatory Fairness Board, chaired by the Secretary of State, with members from the private sector appointed by the Governor, Senate President, and House Speaker. This board reports to the legislature and Governor annually on regulatory and statutory changes to enhance Maine’s business climate. The Advocate also comments on rules and testifies on legislation affecting the interests of Maine’s small businesses.

Click here for an interview with Jay Martin from Mainebiz.

DHHS Budget Shortfall

Earlier this month, the Department of Health and Human Services (DHHS) announced that they had discovered a $71 million shortfall in their budget. The primary drivers behind this shortfall were increased Medicaid utilization and increased General Assistance to municipalities for programs like rental assistance, food stamps, and other emergency needs. It was announced last week, after further review, that the shortfall is actually $121 million. This shortfall accounts for about 2% of the total State budget. Other legislators and I will begin the work to fill this shortfall when the legislature resumes in January. Some legislators, myself included, are eager to dig in to the numbers to ensure we have an accurate picture of the shortfall.

In more positive news, it was recently announced that Maine will be one of thirteen states receiving a federal grant to establish the health insurance exchanges established under the Affordable Care Act, the health insurance law passed last year. DHHS will receive $6 million for this initiative.

Click here to read more from WLBZ.

Maine State Housing Authority in the News

For the past few weeks, there has been a focus on affordable housing projects and their costs in Maine. Just this week, there was a positive front-page story on a new affordable housing project in Portland called Oak Street Lofts. However, two other affordable housing projects have been contentious: Elm Terrace on High Street in Portland which is seeking to renovate a historical building, and a completed historical affordable housing project in Waterville called Gillman Place.
State Treasurer Bruce Poliquin believes taxpayer money is being spent unwisely. He has been vocal about the costs per unit of both projects. Over the last two weeks, I have spent a lot of time talking to the two developers of these projects, Community House of Maine and Developers Collaborative, who both locate their businesses in Senate District 8. They both agreed that the Treasurer has valid points regarding driving down the costs of affordable housing. They both want to have constructive conversations on ways to reduce unnecessary state regulations.
However, I am concerned by the Treasurer’s approach. Instead of being constructive, he appears to have an ulterior motive. Worse, he does not even care about the true facts of these projects. The reality is that affordable housing projects and historical tax credit housing projects are complicated. You can not just look at the unit price to draw final conclusions. I urge any of you to read the eight-page response from Kevin Bunker of Developers Collaborative here to understand the full picture. What do you think?

Closing

I hope everyone gets out and enjoys First Friday. As always, be in touch!  -Justin