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LD1044 • 2025

An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District

An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District

Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Representative Amy Kuhn
Last action
2025-06-18
Official status
Signed by the Governor
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District

An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District Sponsor: Representative Amy Kuhn Reference committee: Taxation Governor action: Signed by the Governor

What This Bill Does

  • An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District Sponsor: Representative Amy Kuhn Reference committee: Taxation Governor action: Signed by the Governor

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2025-06-18 Governor

    Signed by the Governor

  2. 2025-06-13 House

    PASSED TO BE ENACTED . Sent for concurrence. ORDERED SENT FORTHWITH.

  3. 2025-06-13 Senate

    PASSED TO BE ENACTED , in concurrence.

  4. 2025-06-11 Committee

    Reported Out; OTP/ONTP

  5. 2025-04-17 Committee

    Work Session Held

  6. 2025-04-17 Committee

    Voted; Divided Report

  7. 2025-03-12 Committee

    Referred to Committee on Taxation.

Official Summary Text

An Act to Clarify the Qualifying Use of Tax Increment Financing for Extension of a Development District
Sponsor:
Representative Amy Kuhn
Reference committee:
Taxation
Governor action:
Signed by the Governor

Current Bill Text

Read the full stored bill text 
Page 1 - 132LR1139(03)
STATE OF MAINE
_____
IN THE YEAR OF OUR LORD
TWO THOUSAND TWENTY-FIVE
_____
H.P. 673 - L.D. 1044
An Act to Clarify the Qualifying Use of Tax Increment Financing for
Extension of a Development District
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 30-A MRSA §5224, sub-§2, ¶H, as amended by PL 2023, c. 472, §1, is
further amended by amending subparagraph (1) to read:
(1) A development district that is a tax increment financing district may not exceed
a total of 30 tax years beginning with the tax year in which the designation of the
development district is effective pursuant to section 5226, subsection 3 or, if
specified in the development program, the subsequent tax year, except that, during
the 10 calendar years after the general effective date of laws enacted during the
First Special Session of the 131st Legislature October 25, 2023, a district may be
extended an additional 20 years if the district uses in total at least 75% of tax
increment financing revenue for affordable housing projects or transit-oriented
development, or both. A district that is extended under this subparagraph may
continue to use the original assessed value of the district.
For purposes of this subparagraph, "affordable housing" means a decent, safe and
sanitary dwelling, apartment or other living accommodation for a household whose
income does not exceed 120% of the median income for the area as defined by the
United States Department of Housing and Urban Development under the United
States Housing Act of 1937, Public Law 75-412, 50 Stat. 888, Section 8; "transit-
oriented development" means a type of development that links land use with transit
facilities by combining housing with complementary public uses, including jobs,
and retail or services establishments, that are located in transit-served nodes or
corridors rely on transit as one of the means of meeting the transportation needs of
residents, customers and occupants, regardless of whether the development is
located in a transit-oriented development district, area or corridor or a transit-
served node; and "original assessed value" means the taxable assessed value of a
district as of March 31st of the tax year preceding the year in which it was
designated by a municipality and approved by the commissioner under section
5226, subsection 2; and
APPROVED
JUNE 18, 2025
BY GOVERNOR
CHAPTER
356
PUBLIC LAW