January 6, 2012 - On January 6, 2012, I had the opportunity to chat with Maine State Treasurer about the important fiscal issues which we face.
We talked about the Maine State Housing Authority, MaineCare, the hole in the budget, and the deadline which looms on April 1.
About Maine State Housing Authority:
"They are responsible for taking federal, state, and local taxpayer dollars to build low-income apartments for those that are homeless and greatly disadvantaged in our state…If you look at the last 4 or 5 years, they've built a series of projects where an 1,100 square foot apartment has cost up to $292,000 per apartment."
Regarding the executive director's role:
"…The executive director has a four-year term…And during that period of time…the executive director does not report to the Board, does not serve at the pleasure of the Board. So effectively, this individual is accountable to nobody."
On the subject of MaineCare:
"We have now 361,000 of our fellow citizens in this one program -- out of a population of 1.3 million. That is 27% of our entire population. It is the third highest enrollment rate in the country, based on population…more than we can afford."
About who is served by MaineCare:
"It also pays for housing, and food, and some transportation for some folks. It also enrolls 19- and 20-year olds -- healthy 19- and 20-year olds. It also enrolls healthy, capable, not-disabled adults with no kids."
On the budget hole:
"We have a two-year budget cycle here…we're six months into it. So we have another 18 months. During that 18-month period of time, we have a $221,000,000 budget hole because of this one program."
And the looming April Deadline:
"Right now, we are in the January through March quarter, but we are spending money from the April, May, and June quarter…So we are now spending next quarter's money…unless we fix this problem, the numbers indicate that on April 1, unless we fix this problem, the Department of Health and Human Services will run out of money."
Because of the length of our interview, I am offering it in two parts, each about 10 minutes long, as well as the whole thing in one file. You may take your pick.
Listen to the full interview here:
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Listen to part 1 of the interview here:
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Listen to part 2 of the interview here:
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Bruce's official web presence, "Office of the State Treasurer," is at Maine.gov.
