Legislators agree General Assistance needs reform, but split on how

Yahoo

08-04-2025

Volunteers with Preble Street in Portland serve food. (Courtesy of Preble Street)
Both lawmakers who want to limit and expand General Assistance agree that the program is vital but isn't working as is.
'For some, life's burdens may feel overwhelming, leaving them vulnerable and isolated. It's in these moments that the true strength of a municipality is revealed, not just in the policies they enact but in the genuine care that they offer,' said Rep. Rachel Henderson of the state's assistance program, which helps municipalities pay for basic necessities for those who can't afford them.
However, the Rumford Republican added, 'Moderating these assistance programs is also imperative. It ensures that the resources are allocated effectively and equitably, reaching those who need them the most.'
Henderson was among the legislators who presented a total of ten bills proposing changes to General Assistance — expansion, restriction, altering municipalities' responsibilities — to the Legislature's Health and Human Services committee on Monday.
Gov. Janet Mills' administration opposed essentially all, however Mills has been pushing her own version of the limits she'd like to see placed on the program.
General Assistance has already been the focus of much debate this session
Mills, a Democrat, proposed limits to the program in her initial plan for the supplemental budget. The Democratic majority incorporated some limits, though not as sweeping as the governor requested, but the supplemental budget ultimately failed to pass due to Senate Republican opposition.
Limits to General Assistance weren't included in a two-year budget the majority passed last month, which largely continued funding government services, though General Assistance restrictions are expected to be considered in another budget bill that will be focused on policy.
Maine is one of 25 states that operate a GA program. These programs vary in structure and administration, and Maine is an outlier in using a municipality-based matching formula. In Maine, municipalities and tribes determine eligibility based on state law and municipal ordinances, and pay 30% of eligible expenditures, while the state reimburses the remaining 70%.
Ian Yaffe, director of the Office for Family Independence, told the committee that absent additional reforms, the GA program is expected to grow beyond $20 million, double the current baseline of $10.4 million, in the next fiscal year.
While community housing and homelessness organizations testified in support of proposals to expand the program, Yaffe argued none are tenable given the current reality of the project state budget deficit.
But the administration is also opposed to legislation that seeks to limit the program, citing court precedent that struck down similar restrictions in other states and the challenges with mandating work as a condition of eligibility for welfare.
Three of the proposals heard Monday would place further limits on General Assistance, including a plan from Sen. Sue Bernard (R-Aroostook) that includes the exact changes Mills initially proposed.
LD 1066 would cap housing assistance, except for temporary housing and emergency shelters, to a maximum of three months per household over one year. It would also limit municipalities from exceeding the maximum levels for all assistance categories for no more than 30 days per household over one year.
While those aspects of LD 1066 mirror the governor's proposal, Yaffe said the department is opposed because of the bill's mandate on workfare — requiring recipients capable of working to do so for the municipality or a nonprofit as a condition to receive assistance — something that is currently optional and used by fewer than 10% of municipalities.
Portland officials defend General Assistance amid push to cut spending
'Workfare participants must not replace the employment of regular municipal or nonprofit employees and participants still require supervision, which may take municipal staff away from their regularly scheduled tasks,' Yaffe said. 'Additionally, many municipalities are avoiding this type of workfare due to liability concerns.'
House Minority Leader Billy Bob Faulkingham (R-Winter Harbor) proposed an alternative type of limit in LD 1274, capping the state reimbursement to any single municipality to 50% of the total state funding allocated for General Assistance in any given year.
Citing Portland's high spending compared to other municipalities, Faulkingham said the municipalities outside of Maine's largest city are left with insufficient resources.
'The fact that one city can consume such a disproportionate share of state resources is not only inefficient, but unfair,' Faulkingham said. 'This cap will encourage municipalities like the City of Portland to explore other methods of assisting residents in need, such as private donations, local initiatives and increased collaboration with nonprofits.'
The Mills administration is opposed because the bill is an unfunded mandate, Yaffe explained.
'A decrease in reimbursement will not negate the actual need of individuals but rather shift the burden to that municipality's local taxpayers or neighboring communities,' Yaffe said.
LD 1046, sponsored by Tracy Quint (R-Hodgdon), would establish a 180-day state residency requirement for the program.
'Our state should not be a destination point for those seeking to abuse our kindness and goodwill,' Quint said. 'No part of the state should be able, through their local unsustainable misappropriation, be allowed to plunder state resources in flagrant disregard to the harm caused to the financial stability of our state.'
Testifying in opposition, Yaffe pointed to several court cases that have defended citizens' rights to travel and to relocate without forfeiting their rights to public assistance.
Two bills seek to increase the state reimbursement from 70% to 90%: LD 453, sponsored by Sen. Joseph Baldacci (D-Penobscot), and LD 1029, sponsored by Sen. Rachel Talbot Ross (D-Cumberland).
The senators represent two municipalities, Portland and Bangor, that have the largest General Assistance costs. City leaders and district attorneys have previously told the Legislature that this disproportionate spending is by design, given that most mental health and substance use treatment centers, as well as homeless shelters, are located in or near larger cities.
Baldacci and Talbot Ross also think it's due to inadequate reimbursement rates overall.
'The financial burden caused by the current reimbursement rate is too large a barrier for most municipalities to overcome,' Talbot Ross said. 'As such, far too often we see people leaving their natural support systems and their own communities of origin to access resources and larger service center communities.'
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Baldacci said property tax payers currently bear the burden of the 30%.
'I am sure the state has saved tens of billions of dollars from this, but it's only come at the expense of property taxpayers in Bangor and all over the state,' Baldacci said. 'This bill is in part to bring some sanity back to this program. If there are regulations or restrictions that the Legislature wants to impose on General Assistance, those can be debated and discussed.'
Community housing and homelessness organizations favor Talbot Ross's plan because it goes farther, requiring that the maximum General Assistance level sufficiently accounts for housing assistance while also ensuring adequate eligibility for other necessities.
Annika Moore, advocacy team leader for Preble Street, which provides services to people experiencing homelessness, said as rents have increased people reach the maximum assistance level with housing payments alone. Moore provided an example of one of Preble Streets' clients, who uses her entire General Assistance benefit to cover rent for a modest one bedroom apartment and has essentially no other possessions aside from donated food.
Illustrating to lawmakers the inadequate funding that exists to meet needs, Katie Spencer White, president and CEO of the Mid Maine Homeless Shelter and Services in Waterville, said Sunday night her shelter provided emergency housing to 90 people. A bank released $100,000 of the organization's line of credit Monday, she said, but she expects to need to take out another $100,000 next month.
Shelters can't charge people for stays, which is the underlying idea of presumptive eligibility, the assumption that a person in emergency shelter is eligible for government assistance unless proven otherwise.
Currently, state law requires a person's eligibility to be redetermined after 30 days. LD 1029 would increase that to 180 days, which White said is more reasonable.
'Allowing shelter providers more time to work with clients, many of whom are in crisis and experiencing trauma that results in behavior and emotional reactions, including anxiety, fear and difficulty concentrating, will make sure the system serves the people it intends to serve,' White said.
The change would also help agencies like hers hire staff to submit invoices, 'Because, believe it or not, we are a business, and if it costs more to submit the invoice than we receive in revenue, we will not submit the invoice.'
Other proposed expansions focused on the services eligible for reimbursement by General Assistance.
LD 657, sponsored by Rep. Abden Simmons (R-Waldoboro), would designate broadband and internet as basic necessities under the program.
'By adding internet services to the General Assistance program, it would help them to not miss important doctors appointments,' Simmons said, explaining that he introduced the bill on behalf of a constituent who had this challenge. 'In areas of the state with aging communities like mine, this desperately is needed.'
However, Yaffe said the program is meant to meet immediate, short-term needs, whereas he described broadband and internet services as ongoing needs.
LD 1017, also sponsored by Talbot Ross, would add the cost of food provided or served at emergency shelters to the reimbursement, as the system currently reimburses shelters for the cost of issuing food vouchers but not providing meals themselves.
Yaffe argued providing this assistance to shelters wouldn't be consistent with the primary purpose of the program, which is to provide direct assistance to individuals.
The Mills administration testified neither for nor against one bill, LD 1081, which would adjust part of a law passed last year that required a staff member be available to accept and process General Assistance applications during all regular business hours of a municipal office.
LD 1081, sponsored by Rep. Melanie Sachs (D-Freeport), would change statute to require each municipality to designate daily hours for accepting and processing General Assistance applications, which can't be less than 50% of the municipality's regular business hours.
'Freeport has struggled to comply with this requirement,' Sachs said, explaining that Freeport Community Services terminated its contract with the town last summer due to a lack of capacity, increased applications and case complexity.
While Sachs said she doesn't want to make it harder for applicants, she wants to make sure communities can provide the service. The Mills administration seemed to agree.
'The department believes that this bill strikes the right balance between ensuring access to the GA program and alleviating the burdens of program administration, particularly in smaller municipalities,' Yaffe said.
LD 1178, is intended to 'add some teeth' to the statute that deals with municipal responsibilities, said bill sponsor Rep. Suzanne Salisbury (D-Westbrook). It would expedite the process of determining when a municipality illegally moves a person to avoid the responsibility of administering General Assistance and adds penalties for doing so.
While some social services workers viewed this as a more effective alternative to the bill that proposed residency requirements, Yaffe said the data the state has about these conflicts demonstrates it's not a major issue.
Yaffe said the questions submitted to the program's hotline, which is available to GA administrators or members of the public, regarding municipality of responsibility only accounted for 132 requests or about 2% of the total last year, with most requests being for guidance and not actual disputes between towns.
While pointing to those figures, the lack of comprehensive data overall about the program remains an issue.
Henderson proposed LD 637, which would direct the Maine Department of Health and Human Services to evaluate if it's feasible to upgrade the program database to include information about whether a disqualified applicant is seeking assistance in another municipality.
'I don't want to speak negatively of a very valuable General Assistance program that our municipalities provide,' Henderson said, adding that she has personally experienced poverty and homelessness. 'I think one of the hardest things to see is when there's such a negative outlook on people who reach out for help and seek help.'
Henderson said her bill would maximize the impact of the program's funding and foster trust in the community as residents see that support is being directed to those who truly need it.
However, Yaffe said such a report would duplicate requirements already in law — and requirements that the Mills administration has recently found it is going to be unable to execute.
In August, the department solicited requests for proposals to build a technology platform for General Assistance program evaluation but received bids between $752,000 to $5.8 million for the initial two-year period to build the system.
'Given the current fiscal reality and ongoing increases to cost within the GA program, the department is not able to absorb these costs into department resources as it had originally intended,' Yaffe said, adding that the department will be submitting a revision to current statute to clarify what it can accomplish within existing resources, or to delay the system until funding is available.
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