Recent News Posts

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

The Finance Authority of Maine (FAME) recently announced the allocatees for the newly created Maine New Markets Capital Investment Program.

“FAME is pleased by the level of interest in this new program,” stated FAME Board Chair Susan Snowden.  “The expected investments should help spur economic development and job creation in Maine.”

The list of entities whose allocation applications were approved is as follows:

• Advantage Capital of New Orleans, LA (total tax credit allocation of $41,666,666.64 split among 5 different related entities)
• CCG Community Partners, LLC of Princeton, NJ (tax credit allocation of $41,666,666.66)
• CEI Capital Management, LLC of Portland, ME (tax credit allocation of $41,666,666.66)
• Enhanced Community Development, LLC of New Orleans, LA (tax credit allocation of $41,666,666.66)
• Stonehenge Community Development, LLC of Baton Rouge, LA (tax credit allocation of $41,666,666.66)
• USBCDE, LLC of St. Louis, MO (tax credit allocation of $41,666,666.66)

The Maine New Markets Capital Investment Program was established during the First Session of the 125th Maine Legislature.  It is modeled after the federal New Markets Tax Credit program.  Designed to attract investment in economically distressed areas, the program allows eligible investors to claim tax credits against state taxes in amounts up to 39 percent of a project’s total cost.  The maximum aggregate amount of tax credit authority is set forth at $250 million and the total amount of tax credits allowed per fiscal year is $20 million.  FAME administers the program in cooperation with Maine Revenue Services.

Allocatees have two years from the date of FAME’s notification to utilize their tax credit allocations.  Use of the allocations must be approved by FAME.  In the event the full amount of any allocation is not used to finance approved projects within two years, the allocation will automatically lapse and be subject to reallocation.  Recipients must file annual reports with FAME which, in turn, will be shared with the Legislature as it assesses the value and effectiveness of the program.

Click here for more information on the program.

Items of interested for February 2012:

Changes for FAME's Education Group

State of Maine Grant EFC Cut-off Increased

GEAR UP Scholarship Guidelines

The Finance Authority of Maine (FAME) is calling attention to “America Saves Week” and encouraging Maine students and families to explore ways to save for college and reduce student loan debt. 

Observed this year from February 19 – February 26, America Saves Week (www.americasaves.org) is a national event designed to raise awareness about the importance of saving, investing and preparing for future needs.  The national campaign is sponsored by the American Savings Education Council.

To highlight America Saves Week, FAME is reminding Mainers of the availability of its financial education and college access resources, including Maine’s college savings program, the NextGen College Investing Plan® (NextGen®).  For more information about all of FAME’s programs, please visit: www.famemaine.com.

“FAME offers extensive financial education resources to assist individuals in gaining a better understanding of borrowing, saving, and investing.  We encourage Maine students and families to begin saving for college early and to explore all financial aid options as ways to limit student loan debt,” commented FAME Chief Executive Officer Beth Bordowitz.

FAME also is a proud sponsor of the upcoming Fostering Financial Literacy in Maine Schools Conference on April 26, 2012 at the Augusta Civic Center.  This third annual training conference brings together educators, administrators and counselors who are dedicated to improving the financial capability of Maine students.  For more information about the conference, visit http://www.jumpstart.org/states-maine.html

Items of Interest for January 2012:

State of Maine Grant EFC Cut-off Increased

Mary Dyer named President of Maine Jump$tart

Legislative Update

The Board of Directors of the Finance Authority of Maine (FAME) has approved loan insurance for Twin Rivers Paper Company in Madawaska.  FAME’s actions will help accelerate the company’s strategic initiatives  and help maintain approximately 630 jobs in Maine.

“FAME is pleased to support Twin Rivers Paper and the Madawaska mill, which is a vital asset to the community and to the state as a whole.  Our expectation is that the mill will remain competitive on a global basis and continue to employ hardworking Mainers,” stated FAME Board Chair Susan Snowden. 

FAME’s loan insurance of 90 percent on a $5.27 million direct loan by Canadian Imperial Bank of Commerce will provide additional working capital for Twin Rivers Paper Company.  Part of a larger financing package, the deal will enable the company to maintain 630 jobs in Maine and 400 jobs in New Brunswick.  Twin Rivers Paper is an integrated specialty paper company that manufactures publishing, packaging and label products for targeted markets and applications.  It has operations in New Brunswick, Québec, and Maine.

Twin Rivers Paper President and CEO Jeffrey Dutton stated:  “Thanks to FAME’s assistance, Twin Rivers Paper will accelerate its strategic initiatives maintain good-paying jobs in the state and successfully compete in the global marketplace.”