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WESTBROOK – John Gallagher, executive director of Westbrook Housing for 13 years, has been nominated to serve as director of the Maine State Housing Authority.

“Mr. Gallagher’s many years of experience in housing and real estate, both in the public and private sectors, give him a keen perspective on how best to deliver (state housing) programs to the people of Maine,” Gov. Paul LePage said in a release announcing his decision on Monday. “I believe his ability to bridge the communication gap between the public and private sector will serve the people of Maine well.”

Gallagher, 63, is the governor’s choice to replace Dale McCormick, who resigned in March, two years before her appointment was supposed to expire. McCormick left amid political pressure stemming from inquiries into the department’s spending practices.

If he is approved, Gallagher would begin his new post next month.

This week, Gallagher declined to discuss specific allegations the department faced in the past, but said a review by the state Office of Program Evaluation and Government Accountability found no evidence of anything illegal.

The review did, however, recommend some new business practices, which are more in line with how other state departments and agencies are run. Gallagher said he looks forward to helping to put those new practices into place.

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“It’s something I’m very familiar with,” he said.

In addition, Gallagher said, LePage has changed the position to make it more answerable to the authority’s board of directors, which made him feel better about assuming the position.

“The actual director (now) directly reports to the board, so it’s less like a political appointment, and more like a job,” he said.

Maine State Housing Authority offers a range of programs and services, including financing homes and the development of new affordable rental housing, to funding heating assistance for low-income residents and providing grants to help operate emergency shelters for people who are homeless. It has a budget of $14.1 million and employs 151 people.

Westbrook Housing provides affordable and market-rate apartments to seniors, low-income families, people with disabilities, individuals, and couples. It has developed condominium projects, including Riverfront Lofts and 917 Main St., and rental projects, such as Mill Brook Estates, Larrabee Heights and Prescumpscot Commons. Its budget is just more than $9 million and has 33 full-time and three part-time employees.

Gallagher said he was asked to apply for the job because the LePage administration wanted someone with experience as a developer.

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“I’m hoping that’s one of the things I can bring to it,” he said.

Gallagher said the department’s focus is financing, not building development projects, and a director with little knowledge about development has made it harder for the authority to work with developers.

“I think there’s been somewhat of a disconnect,” he said.

As an example, Gallagher cited the Spring Crossing elderly housing project in Westbrook. That project, he said, used funding from the authority, and almost every step of the way the authority micromanaged the project.

“Everything we did, we had to wait for a third party to come along and review it,” he said.

Oversight is fine, Gallagher said, but too much second-guessing costs the authority too much money in engineering costs and hiring of contractors.

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“It’s just way too many layers,” he said.

Keith Luke, Westbrook’s former director of community and economic development, and a member of the Maine Real Estate & Development Association, said he agreed with the disconnect Gallagher cited. Gallagher, Luke said, has the experience to help fix that problem.

“He’s the perfect guy,” he said.

Luke said Gallagher and Westbrook Housing had a hand in many major developments in Westbrook, including the Spring Crossing project. Luke recalled many conversations when Gallagher asked Luke how a project Westbrook Housing was working on could help build up the community.

“He always has an eye toward economic development,” Luke said.

Mayor Colleen Hilton noted that LePage picking Gallagher says much about the director’s service to the city.

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“That speaks to the fine work being done by Westbrook Housing,” she said.

A native of Brooklyn, N.Y., Gallagher came to Brunswick in 1971 while serving in the U.S. Navy. He holds a bachelor of science degree in management from New Hampshire College, and a master of business administration degree from Southern New Hampshire University. He has served as executive director of Westbrook Housing since 1999, and also worked as manager of the authority’s development division for three years.

The state’s Joint Standing Committee on Labor, Commerce, Research and Economic Development will review Gallagher’s nomination on Sept. 6. If approved, Gallagher would then need confirmation from the Maine Senate.

Gallagher said he would resign his position in Westbrook if confirmed.

Lew Emery, chairman of Westbrook Housing’s Board of Commissioners, said this week that he would be sorry to see Gallagher go.

“He’s a great guy,” he said. “If in this process we lose John, it will be a great loss to Westbrook Housing.”

John ?Gallagher

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