April 2012 Archive

Items of Interest  for April 2012:

Education Programs Applications

Payment/Refund Processing and Program Reconciliation

Legislative Update

Elizabeth “Beth” Bordowitz, Chief Executive Officer of the Finance Authority of Maine (FAME), has been elected to the board of directors of the National Council of Higher Education Loan Programs, Inc. (NCHELP) for 2012-2013.

“I look forward to serving in this capacity,” stated Bordowitz.  “NCHELP is a highly regarded entity that promotes college access.  Maine has been a leader nationally with its innovative college savings, college access, and financial literacy efforts, and it is important for Maine to have a seat at the table.”

Bordowitz, who has served as FAME CEO since May of 2009, is an attorney and resident of Portland.  She previously served for fourteen years as FAME’s general counsel.  She first joined FAME in March 1989.  Prior to joining FAME's legal division, Bordowitz was associated with a Portland law firm.  She holds a B.A. and M.A. in Political Science from Rutgers College and Rutgers University, respectively, and earned her J.D. at Rutgers School of Law - Camden. 

During her tenure at FAME, Bordowitz has been instrumental in the development and implementation of the NextGen College Investing Plan®, Maine’s Section 529 college savings plan; and, more recently, the Harold Alfond College Challenge, which provides a $500 grant for all babies born in Maine to start a college savings fund.

NCHELP represents a nationwide network of organizations, including state and not-for-profit guaranty agencies like FAME, secondary markets, lenders, and schools that promote student access and choice for postsecondary education and training.  Other member organizations include student loan servicers, collection agencies, and others who provide services to students and borrowers.  NCHELP represents its members on public policy initiatives and brings together the higher education community to improve legislation and regulations regarding student loan programs.

“NCHELP is privileged to have talented leaders like Beth serve as directors for the organization in the coming year,” said Shelly Repp, NCHELP President.  “With Beth’s assistance, NCHELP looks forward to continuing to help our members provide quality student loan servicing, debt management, college access and other services to benefit students, families, and schools.”

The Board of Directors of the Finance Authority of Maine (FAME) has approved loan insurance for TrakTec, LLC of Windham.  FAME’s actions will help the company to purchase and install a high-tech printing press, improve existing presses, and create and maintain seventeen Maine jobs.

“FAME is pleased to support TrakTec with its plans to increase production, reduce costs, and expand into the ‘green’ label market,” stated FAME Chief Executive Officer Beth Bordowitz. 

FAME approved loan insurance of 90 percent on a $1.75 million term loan by TD Bank.  It also approved 90 percent loan insurance on a $300,000 line of credit from TD Bank to fund the company’s working capital needs. 

TrakTec produces customized pressure-sensitive labels that are utilized by businesses for tracking and tagging products.  It is the only commercial pressure-sensitive label manufacturer in Maine.  TrakTec is an Anania & Associates Investment Company, LLC portfolio company.

TrakTec President Peter Anania stated:  “Thanks to FAME’s assistance, TrakTec will be able to increase production, maintain and create good-paying jobs in the state, and successfully compete in the global marketplace.” 

Separate from the monthly board meeting, in the last two weeks FAME approved financing for twenty-four Maine small businesses.  In one of these approvals, FAME approved 90 percent pro-rata insurance on a $575,000 loan made by Bangor Savings Bank to Moose Island Holdings, LLC, of Perry.  The company, which ships Maine lobster, plans to build a 6,000 square foot indoor holding pen for lobster in order to maintain product freshness.  The project will accommodate safe storage of local lobster and increase the company’s lobster production.  The financing will help to retain two jobs. 

Another deal recently approved by FAME provides financing for Malone Paddle Gear, LLC d/b/a Malone Auto Racks of Westbrook.  Malone Auto Racks manufactures innovative transport accessories such as trailers, canoe and kayak carriers, cargo racks and roof racks.  FAME has agreed to provide 40 percent pro-rata loan insurance on an $876,000 term loan provided by Katahdin Trust Company to the company, as well as 90 percent pro-rata loan insurance on a $500,000 line of credit provided by Katahdin Trust Company.  Two jobs will be created and an additional eight jobs will be retained.

“These innovative, small Maine businesses are making names for themselves locally and around the globe, and FAME is pleased to play a role in their success,” stated Bordowitz.

The Finance Authority of Maine (FAME) is recognizing April as Financial Literacy Month by offering a variety of statewide initiatives and educational workshops intended to promote the importance of financial education to Maine citizens. 

FAME’s College Access and Financial Education (CAFÉ) Team will be visiting schools throughout Maine to present a variety of topics intended to improve the financial capability of Maine students.  From kindergarten to college and beyond, FAME offers a diverse selection of financial education initiatives to Maine students. 

Since July 2011, FAME’s CAFÉ Team has presented sixty financial education sessions, reaching over 1,900 Maine students.  These sessions were offered directly in the school or college setting through presentations, games and a variety of hands on learning activities.     

“As Maine students incur more student loan debt, FAME’s financial education efforts become more important.  That is why we have expanded our outreach to schools throughout the state, from Aroostook to York Counties, in order to help prepare Maine students for financially prudent futures,” stated FAME Chief Executive Officer Beth Bordowitz.  “FAME is also looking forward to actively participating in the upcoming financial literacy conference for teachers.” 

“Fostering Financial Literacy in Maine Schools Conference,” the third annual financial literacy conference for Maine teachers, administrators, counselors and others, will be held at the Augusta Civic Center on Thursday, April 26, 2012 from 8:00 a.m. to 4:00 p.m.  FAME again is sponsoring the conference, along with the Maine Office of Securities, the Maine JumpStart Coalition, the Maine Credit Union League, and others.  FAME staff also will be presenting at the event, which is designed to help Maine teachers develop strategies for educating students about the basics of earning, saving, spending and investing money.

For more information on the financial literacy conference, please visit: http://www.jumpstart.org/states-maine.html

Gov. Paul LePage recently issued a proclamation recognizing April 2012 as “Fostering Financial Education Month.”  The proclamation notes the conference and how it has enabled more than 250 Maine teachers and community educators during the past two years to offer financial literacy instruction and materials to students in every part of the state.

Items of Interest for March 2012:

Advisory Committee Changes

HACC Casting Calls

Financial Literacy Conference