LD 2173 "Fix Bill" for LD 1829

The Town Council held a workshop on January 21 to discuss proposed changes to a new housing law, LD 1829, which will go into effect in July. Members of the State Legislature (Representatives Drew Gattine, Kelly Noonan Murphy, Sophie Warren and Ryan Fecteau) attended and heard from councilors about their concerns with LD 1829. While the councilors had initially proposed it be repealed, the representatives emphasized the need for housing statewide and assured that they would work with Scarborough to make adjustments to take into account the proactive approach that Scarborough has already taken to meeting regional housing needs.

Since then, the representatives have worked on LD 2173, a new bill that incorporates the feedback and proposed revisions. Multiple Town Councilors are working with the legislative delegation on these changes. In the February 4th council meeting, the council voted to to give authorization to the Town Manager to provide specific revisions for LD 2173 (to amend LD 1829).

Memo Regarding LD 2173

A memo was presented in the February 4th council meeting written by Autumn Speer, Director of Planning and Codes, to Tom Hall, Scarborough Town Manager. It identifies the further recommendations that would address Scarborough's concerns with LD 1829 and LD 2173 (the fix bill for LD 1829), for the Town Manager to present to the state committee at the February 10th public hearing. The recommendations cover:

• Effective Date: Make changes go into effect on July 1, 2027 for municipalities with a municipal officer authority and July 1, 2028 for municipalities requiring voter approval for ordinance changes. This provides more time to make the changes and consider other impacts.
• Rate of Growth: Leave the number of growth permits to 105% over a 10-year average (instead of 130%)
• Density: Remove density allowances for areas that are outside of growth areas but served by water and sewer; require a percentage of affordable or workforce units
• Funding: Provide more funding to Maine Housing to support financing on affordable housing projects; remove requirement for local match to be eligible

View full memo

LD 2173 Scarborough edits (red-lined)

State Legislature Public Hearing

Council action on February 4th authorized the Town Manager to offer testimony to the Housing and Economic Development Committee at their Public Hearing on February 17, 2026 at 10:00am (was formerly scheduled for February 10, but got postponed). Councilors will also be in attendance to provide the testimony.

The general public is invited to provide testimony during the hearing. How to participate:

• Submit written testimony at: https://www.mainelegislature.org/testimony/

• Testify in person or via Zoom at the public hearing (details at link above)

 

• Bill information: https://legislature.maine.gov/billtracker/#Paper/HP1461?legislature=132

Background

The Scarborough Town Council passed a resolution in early January to express concerns with LD 1829, legislation that significantly impacts a municipality's ability to regulate and manage growth. Passed in 2025 and set to go into effect in July 2026, LD 1829 "An Act to Build Housing for Maine Families and Attract Workers to Maine Businesses by Amending the Laws Governing Municipal Land Use Decisions", would significantly increase housing density and limit a community’s ability to control of the rate of growth. It requires municipalities to allow at least 3-4 units per residential lot, reduces minimum lot size requirements, and raises height limits for affordable housing developments. It also prohibits municipalities from enacting ordinances that would limit the rate of growth of residential development in a designated growth area. The resolution requests a repeal or delay until corrective action can be taken on a new piece of state legislation. 

The implications of LD 1829 on Scarborough are concerning to the Town Council and staff. It would allow for significantly more growth at a time when Scarborough is working to keep up with the pace that has already occurred in our community over the past decade. It will lead to higher density growth at a rate that is expected to outpace the Town’s ability to keep up with the supporting services. 

Scarborough residents have consistently expressed the pace of growth as a top concern in community surveys since 2021. Residential growth management has been a goal of the council since 2023 in an effort to respond to the community sentiment. In 2023, the Town established its Rate of Growth ordinance (replacing the former Growth Management Ordinance), a tool to manage the pace of development within our community by allowing only a set number of building permits in an area in a designated time period. It is intended to provide housing needs while ensuring fairness in building permit allocation. The ordinance also helps Scarborough manage growth by planning for continued residential population growth at a pace that allows for the gradual expansion of services (education, public safety, roads, etc.). 

LD 1829 was created to address Maine’s housing shortage by reducing local barriers to development. It builds off of LD 2003, enacted in 2021, which increased housing density and provided additional allowances for accessory dwelling units (ADUs). While housing is an ongoing issue impacting many communities across the state, Scarborough has been a consistent source of new development in the region within its designated growth areas. The Town has taken a proactive role in creating affordable housing, an issue that community survey results have indicated is a significant concern of residents. 209 total units were added from 2020 to 2024. Scarborough also leads the region (and likely the state) on net building permits per capita, issuing 58 per 1,000 residents from 2020-2024.

Scarborough has now emerged as a leader in the effort to understand the potential implications of LD 1829 and coordinate a municipal response. The Town hosted a meeting of municipal officials in August 2025 and has continued to work with municipal and regional partners to formulate a coordinated response. In its January 7, 2026 meeting, the Scarborough Town Council unanimously passed Resolution 26-001 - Recommendations for Maine LD 1829 Implementation and Legislative Refinement. This is a clear message outlining the Council’s concerns on the legislation, requesting a repeal or corrective action. It outlines that “Scarborough has already demonstrated being part of the solution to Maine’s housing shortage with progressive zoning practices” and that the state’s goal to increase housing presents “critical challenges that threaten our ability to manage growth responsibly and maintain the quality of life our residents expect”. It makes that point that despite the Town being a regional leader in housing, LD 1829 treats all municipalities the same.