Rising property taxes can be a major burden for many older Mainers. In Augusta, I work diligently with my colleagues to pass measures to make sure Mainers most in need get relief. This year, my colleagues and I replaced the unworkable Senior Property Tax Stabilization Program with more targeted property tax relief.

State Sen. Anne Carney

We had to make changes for a number of reasons: The costs to the state and municipalities were going to increase exponentially in the coming years; homestead owners could transfer their stabilized amount of property taxes to a property of much higher value; there were no income considerations for eligibility, so luxury estate property owners could participate; real estate taxes on multi-dwelling income-producing properties were frozen; and the law created a heavy workload for municipalities to process yearly applications and to customize a select number of property tax bills in what is largely an automated process.

The change we passed will provide effective and efficient property tax relief for our older neighbors, families and friends across Senate District 29. It will ensure that homeowners and renters alike can afford to stay in their homes.

We made improvements to two property tax relief programs – the Property Tax Fairness Credit and the State Property Tax Deferral Program.

For the credit, we increased the maximum benefit from $1,500 to $2,000. This puts more money into the pockets of older Mainers right away. We also increased the income eligibility guidelines so that more folks will be eligible and benefit from the credit. A household will receive the same benefit whether it has one or more people over 65.

For example, if the head of household loses their spouse, the surviving spouse will not see a reduction in their benefit. I appreciate the fundamental fairness of this new law — as well all know, property taxes and rent do not go down when the number of people in a household changes.

In addition, the credit supports older Mainers who want to sell their homes and downsize to an apartment. There will be less red tape because no extra application is needed. The income tax filing process helps determine eligibility for the credit.

Finally, it prevents the state from shifting 50 percent of the program costs onto municipal taxpayers, which protects working families and small businesses in our community from major property tax increases.

We also strengthened the State Property Tax Deferral Program. This program ensures that older Mainers can keep up with their property taxes without putting home ownership at risk. The state pays property taxes owed and does not collect this money until the homeowner’s estate has been settled. This update expands the income and asset limits so that more Mainers will be eligible to participate in the program.

The improved law also allows homeowners who have fallen behind on their property taxes to enroll in the program. Homeowners in this situation are often the population who would benefit the most from deferral. Similar to the Property Tax Fairness Credit, this program will not be a burden on municipalities to administer.

If you have questions about the Property Tax Fairness Credit and the State Property Tax Deferral Program, please contact the Property Tax Division at Maine Revenue Services. The phone number is 207-624-5600, and the email address is prop.tax@maine.gov. If you have difficulty contacting them, please let me know.

In addition to these programs, be sure to check with your municipality about local property tax relief programs such as the South Portland Property Tax Assistance Program, Cape Elizabeth Senior Tax Relief Program and the Scarborough Property Tax Assistance Program.

Anne Carney represents Maine Senate District 29, which consists of Cape Elizabeth, South Portland and part of Scarborough. She can be reached at 207-287-1515 or Anne.Carney@legislature.maine.gov.