60% of Full-Time Enrollees Completed College

Family Income Strongly Correlated with College Completion The Finance Authority of Maine (FAME) has released the results of its Maine State Grant College Completion Study, which was undertaken as a result of a grant it received from the New England Board of Higher Education (NEBHE). The report measured a variety of student criteria, including college completion rates, financial need, institutional enrollment, and ages of grantees. The study was authored by Lisa Plimpton of Plimpton Research and is available to view and/or download here. Administered by FAME, the Maine State Grant Program is the state’s need-based undergraduate grant program. It is funded largely through state appropriations with additional financial support from the NextGen College Investing Plan®, Maine’s Section 529 College Savings Plan. The grant is awarded annually to approximately 16,000 Maine students. Students apply using the Free Application for Federal Student Aid (FAFSA). Award levels for academic year 2015-16 are $1,500 for full-time study at Maine institutions (public and private) and $750 for part-time study. The completion report is based on a study of financial aid application data provided by FAME and linked with college enrollment and degree data from the National Student Clearinghouse. The study tracked student outcomes of approximately 31,000 grant recipients who were enrolled in college between January 2005 and September 2014. The study found that Maine State Grant recipients had higher rates of degree completion than did their peers in Maine and in the nation. “This study demonstrates the importance of the Maine State Grant in helping to make higher education affordable and accessible for many Mainers,” stated Bruce Wagner, FAME’s Chief Executive Officer. “The grant is an essential piece of the financial aid package for many students and families, and we are pleased to learn of the strong completion rates for grant recipients. There is an ongoing need for increased state funding for this vital grant.” Key findings from the study included:

• College completion among students who initially enrolled part-time averaged 47%, compared with 60% of full-time enrollees.
• 44% of students who initially enrolled in two-year institutions completed a college degree, compared with 61% of enrollees in four-year colleges and universities.
• Students who receive the Maine State Grant demonstrate strong financial need with low family incomes and few, if any, family resources available to pay for college. Most grantees had Expected Family Contributions (EFCs) of less than $1,000 (62%) and annual family incomes below $20,000 (56%).
• Economic disadvantage is associated with lower rates of college enrollment and college completion. 43% of students with $0 EFCs for college completed a degree, compared with 72% of students with EFCs of $5,000 or higher.
• Nontraditional or adult learners comprised a surprisingly high percentage of grantees, 44%
• 82% of Maine State Grantees initially enrolled at public colleges and universities, and 70% first enrolled at four-year institutions. About three in five students (59%) enrolled at only one higher education institution, and two in five (41%) enrolled in two or more different institutions during the study period.
• Most students in the study (56%) started college between the ages of 18 and 22, while a strong minority of 44% was over the age of 23 for their first enrollment term during the study period.

“FAME is pleased to learn of the higher than expected completion rates for our grantees, especially considering the financial challenges they face,” stated Wagner. “It is clear to us that if we want to promote college completion and reduce student debt, greater state support for the Maine State Grant is essential.” The report makes several recommendations for consideration by Maine policymakers and higher education institutions:

1. Higher grant awards, financial aid counseling, and other support programs could be targeted for students with the lowest college completion rates.
2. A guarantee of continued Maine State Grant support—contingent on staying enrolled rather than on continuing to meet financial aid application deadlines and EFC cutoffs—might help to improve completion rates for Maine college students with the greatest financial need.
3. College completion incentive grants targeted at adults who are already part-way to a college degree might help more students finish college, and also bring Maine closer to its postsecondary education attainment goals.

“We look forward to discussing the report’s findings and recommendations with policymakers and other partners as we explore how best to move forward to help ensure a bright economic future for the state with a well-trained workforce,” added Wagner. FAME is a quasi-independent state agency that provides innovative financial solutions to help Maine citizens pursue businesses and educational opportunities. FAME helps to lead the creation of quality jobs for Maine citizens by working at the nexus between economic and workforce development.

FAME to Host 22 Statewide Free In-Person Events to Help Students Heading to College Complete the FAFSA

Events Give Maine Families Access to Experienced Financial Aid Experts and Support in Completing the Form FAME announced today that help is available to Maine students and families seeking financial aid for higher education. Throughout the state for two weeks in January, FAME plans to hold 22 In-Person FAFSA Help Sessions where experienced financial aid experts will be on hand to help families complete the application on the spot. A complete listing of dates and locations is available at FAMEmaine.com. The FAFSA is the federal application that all schools use to determine student eligibility for federal financial aid. The form for the 2016-2017 school year becomes available on January 1, 2016, and can be found at FAFSA.gov. According to FAME, only about 62% of Maine high school seniors completed the FAFSA by May 1 of last year. “As a result, many students left significant grant money on the table, while others missed out on financial aid completely,” said Martha Johnston, Director of Education at FAME. “We want to get the word out that every family sending a child off to college, trade, or technical school should complete the FAFSA, and we’re here to help them. Significant financial aid does exist and the earlier families apply the more aid they may be able to receive.” Johnston noted that families attending the sessions should bring the following information to the help sessions: • FSA ID – this user name and password is needed to access all Federal Student Aid websites, including the FAFSA. We recommend the student and one parent create it ahead of time at fsaid.ed.gov. • Social Security numbers (SSN) for student and parents • Information to estimate student and parents 2015 income – such as W-2 forms or last year’s Federal Income Tax Returns – and other records of money earned • Current bank statements for student and parents This marks the 12th year FAME has made these In-Person FAFSA Help Sessions available to Mainers. Over the years FAME has assisted more than 7,500 families through these events. Johnston also says that FAME hopes to help reduce Maine residents’ student loan debt. She adds that completing the FAFSA as early as possible, is one of the best ways to minimize student loan borrowing. Many students fail to complete the FAFSA, or submit it after critical deadlines. For example, some colleges have financial aid deadlines in February and March, and the FAFSA is used by FAME to award the Maine State Grant for all applicants who apply by May 1st. These students miss out on potential grants and end up borrowing more than they would have needed to. If families are not able to attend the in-person help sessions, FAME also offers online support. Families can also call FAME at 1-800-228-3734 with questions.

The Finance Authority of Maine (FAME) celebrated another year of successful business and educational partnerships at its annual meeting and awards event, Showcase Maine, which was held on November 19, 2015, at Portland’s Holiday Inn By The Bay. The evening featured a reception, including a showcase of exhibits by Maine businesses and educational organizations that partner with FAME; a dinner and awards presentation; and a keynote speech by ABC News Anchor Dan Harris. Harris is co-anchor of both Nightline and the weekend edition of Good Morning America on ABC News. He got his start as a television news reporter in Bangor and Portland at WLBZ-TV and WCSH-TV. He is also the author of 10% Happier, a #1 New York Times bestselling book about his experience with meditation. “FAME always enjoys celebrating the successes of the past year with our partners in Maine’s business and higher education communities,” said Ray Nowak, FAME’s Board Chair. “We were equally excited, however, to unveil our future plans for growth as we look forward to enhancing our role in helping to expand Maine’s economy.” This year’s award recipients included: Apothecary By Design (Business at Work for Maine Award): FAME partnered with Bangor Savings Bank to support Apothecary By Design from its earliest stages and is proud to have been a part of its remarkable success. The company offers specialized pharmacy services built on advanced clinical experience, cutting-edge pharmacology, and excellent customer service. FAME will recognize the company’s commitment to patient care, innovation, and growth in Maine and the nation’s healthcare industry.

Portland Adult Education (Education at Work for Maine Award): Portland Adult Education has been committed to increasing educational opportunities and financial literacy since 1850. The organization helps to foster self- sufficiency through education for area immigrant and refugee populations, as well as the greater community of southern Maine. Classes are accessible, frequently offered, low-cost, and provide a valuable resource for community members who strive to improve their quality of life and create a brighter future for their families.

Camden National Bank (Financial Institution of the Year Award): This is the bank’s sixth time as an awardee. Over the past year, Camden National partnered with FAME on 62 loans totaling over $22 million. This in turn helped to create 238 Maine jobs and retain an additional 445 jobs. In addition to being a top partner in bringing business to FAME, Camden National has grown remarkably in recent years and is actively committed to the community in which it operates. Machias Savings Bank (Community Financial Institution of the Year Award): Machias Savings Bank is being recognized in a new category for small to medium-size lenders. This past year, FAME partnered with Machias Savings on 54 loans to Maine companies totaling over $10 million. This helped to create 109 Maine jobs and retain an additional 307 jobs. Hon. Linda Valentino of York County (Dirigo Legislative Champion Award): Valentino, a state senator representing part of York County, is being recognized for her steadfast support of FAME’s mission. Over the years, she has successfully sponsored or cosponsored a number of bills related to FAME, including additional bond funding for its commercial loan insurance and regional economic development loan programs, as well as measures to enhance and extend the Maine Seed Capital Tax Credit and Maine State Grant Programs. Prior to the dinner and awards ceremony, the FAME Board met for its monthly meeting and elected officers for the 2016 year: Raymond Nowak of Brunswick was re-elected to serve as chair; James Violette, Jr. of Waterville was re-elected as vice-chair; and Cheri Walker of Falmouth was re-elected as treasurer.

FAME will celebrate another year of successful business and educational partnerships at its annual meeting and awards event, Showcase Maine, on Thursday, November 19, 2015, beginning at 4:30 p.m. at Portland’s Holiday Inn By The Bay. Showcase Maine is FAME’s annual celebration of its successful partnerships with Maine’s business, lending, and higher education communities. The evening will feature a reception, including a showcase of exhibits by Maine businesses and educational organizations that partner with FAME; a dinner and awards presentation; and a keynote speech by ABC News Anchor and former Maine television reporter Dan Harris. Harris is co-anchor of both Nightline and the weekend edition of Good Morning America on ABC News. He got his start as a television news reporter in Bangor and Portland at WLBZ and WCSH. He is also the author of 10% Happier, a #1 New York Times bestselling book about his experience with meditation. With meditation, also known as “mindfulness,” now being embraced by executives, athletes, educators and entertainers, Harris has become a leading voice for moving the practice into the mainstream. “FAME looks forward to celebrating the successes of the past year with our partners in Maine’s business and higher education communities,” said Bruce Wagner, FAME’s Chief Executive Officer. “We are eager to showcase our current partnerships with Maine businesses and educational organizations, and to honor our partners who help to make bright Maine’s economic and educational future.” This year’s award recipients include:

• Apothecary By Design (Business at Work for Maine Award): FAME partnered with Bangor Savings Bank to support Apothecary By Design from its earliest stages and is proud to have been a part of its remarkable success. The company offers specialized pharmacy services built on advanced clinical experience, cutting-edge pharmacology, and excellent customer service. FAME will recognize the company’s commitment to patient care, innovation, and growth in Maine and the nation’s healthcare industry.
• Portland Adult Education (Education at Work for Maine Award): Portland Adult Education has been committed to increasing educational opportunities and financial literacy since 1850. The organization helps to foster self- sufficiency through education for area immigrant and refugee populations, as well as the greater community of southern Maine. Classes are accessible, frequently offered, low-cost, and provide a valuable resource for community members who strive to improve their quality of life and create a brighter future for their families.
• Camden National Bank (Financial Institution of the Year Award): This is the bank’s sixth time as an awardee. Over the past year, Camden National partnered with FAME on 62 loans totaling over $22 million. This in turn helped to create 238 Maine jobs and retain an additional 445 jobs. In addition to being a top partner in bringing business to FAME, Camden National has grown remarkably in recent years and is actively committed to the community in which it operates.
• Machias Savings Bank (Community Financial Institution of the Year Award): Machias Savings Bank is being recognized in a new category for small to medium-size lenders. This past year, FAME partnered with Machias Savings on 54 loans to Maine companies totaling over $10 million. This helped to create 109 Maine jobs and retain an additional 307 jobs.
• Hon. Linda Valentino of York County (Dirigo Legislative Champion Award): Valentino, a state senator representing part of York County, is being recognized for her steadfast support of FAME’s mission of helping Maine people pursue business and educational opportunities. Over the years, she has successfully sponsored or cosponsored a number of bills related to FAME, including additional bond funding for our commercial loan insurance and regional economic development loan programs, as well as measures to enhance and extend the Maine Seed Capital Tax Credit and Maine State Grant Programs.

Three Maine Schools to Demonstrate Interactive Claim Your Future^® Game  FAME announced recently that it is making available to every Maine middle school a free interactive resource called Claim Your Future^®, which takes the form of a game and is designed to encourage students to explore career options with an eye toward future earning potential and increased financial literacy. The interactive game provides students with real-world spending and budgeting challenges and the opportunity to explore different levels of education to see how it translates into income potential. The game is part of a strategic initiative by FAME designed to increase awareness of career and college options, raise aspirational goals, and improve financial capability. To introduce the game to the Maine school community, last week FAME partnered with three public schools – Lincoln Middle School (Portland), Lewiston Middle School (Lewiston), and Glenburn School (near Bangor) – to demonstrate the Claim Your Future Game. FAME also has created an online component of the game so kids can play it outside of school. Schools interested in ordering Claim Your Future should visit ClaimYourFuture.com. “Now that kids are back in school, and classroom routines are more established, we wanted to let the entire Maine school community know we have an incredible free resource available to them,” said Mary Dyer, Financial Education Officer at FAME. “Claim Your Future supports existing curriculum while allowing students to understand the strong connection between the choices they make today and the opportunities available to them in the future. They will also learn that higher education leads to more career options and higher paying jobs.” Each year Lewiston Middle School 8th grade teacher Billie Jo Brito plans a transition event for her students heading off to high school. The event includes a visit to a college campus, speakers, a financial literacy workshop, and, more recently, game sessions with FAME. Brito said, “I want to help plant the seed and open their eyes to future possibilities while also exposing them to real world costs and what will be required to meet some of life’s essential expenses. Claim Your Future is truly an incredible resource, and now that we can have it in our classroom and lead our own sessions, we can keep the conversation going all year long. Over the years, I’ve found that it’s so important to keep bringing back the concept and make the conversation relevant for students because it clicks for everyone at different times.” According to Dyer, “Individuals who obtain a college degree are more likely to earn more money throughout their career and experience higher job satisfaction than those who only have a high school education.” The United States Census Bureau reported that individuals who achieved the following degree levels earned the following median annual salaries: PhD’s, $100,000 or more; master’s, $63,000; bachelor’s, $55,700; associate’s, $42,000; high school diploma, $32,500. In Maine, 37.8% of Maine residents 25 years or older have attained a degree higher than high school according to the U.S. Census Bureau 2013 American Community Survey.

How the Game is Played

In a classroom setting, teachers can assign each student one of 50 unique Claim Your Future game wheels, representing a specific career, college degree, and monthly salary. Educators are then encouraged to discuss various career and college options and lead students through a monthly budgeting activity. In an effort to encourage more Maine children to play the game and prepare for their future, FAME is now offering the game online at ClaimYourFuture.com. Students can select a career and navigate through different spending choices. They will also find descriptions of careers, key vocabulary, and various spending options. Students can also see a visual representation of how much money they’ve spent as they progress through the game.

Reaction from teachers

After receiving numerous requests from Maine educators, FAME responded swiftly to develop Claim Your Future, both the physical game and the online resource, in order to make it available to teachers across the state. Maine teachers and students have enthusiastically embraced the tool. “I’m so excited this resource is being made available to Maine school children,” said 4th/5th grade multiage class teacher Janet Ecker at Glenburn School near Bangor. “It will help students discover what kind of jobs are out there and give them a fun way to evaluate what they might want to do in life. It also shows them that if they go beyond high school, they have a better chance of earning more money. It puts them on a path to thinking, ‘I can do this, and I can start now.’” In Portland, 8^th grade Lincoln Middle School teacher Rhonda Mayer said, “We always scramble to get relevant resources and make learning real-life for kids. Students will respond well to this type of game because it’s interactive and fun. It also provides a valuable lesson and gets kids thinking about different career options and what’s needed for education, and the connection between that education and potential future income.”    Dyer noted, “It’s so exciting that Maine educators see value in this type of interactive learning tool. We’ve been amazed by the response and have even received interest from educators from outside of Maine – receiving more than 1,700 visitors from more than 35 countries to the website since it went live earlier this summer.” For the prior seven years, FAME offered a similar game called “Get a Life,” which representatives would bring into schools to work with students. With this new program and free game offer, teachers will now be able to lead the game and use it whenever they want. FAME has also made the following resources available to Maine educators:

• A training video
• An Educator’s Guide, which includes budget worksheets, a detailed lesson plan, homework activities, and additional resources
• Additional web resources to promote savings
• 125 unique careers, along with descriptions and key vocabulary
• A printable budget worksheet
• A printable certificate of completion

The Board of Directors of the Finance Authority of Maine (FAME) visited businesses and higher education institutions in Lincoln, Orono, and Bangor on October 14 and 15 to learn about their successes, needs and future plans. The Board also toured and held its monthly meeting at the United Technologies Center in Bangor. Members of the FAME Board and staff visited Lincoln Paper and Tissue, LLC and Gardner & Sons, Inc. in Lincoln to learn more about their operations and the regional forest products economy. FAME later toured and met with students at the University of Maine’s Foster Center for Student Innovation and the Advanced Manufacturing Center in Orono. Additionally, the Board toured and held its monthly meeting at the United Technologies Center (UTC) in Bangor, where one of its members, Greg Miller, serves as director. The center is one of Maine’s premier regional technical high schools, serving thirty-one communities. In addition to learning valuable skills, students attending UTC can obtain college credits through articulation and dual enrollment agreements such as the Bridge Year Program. Students thus may earn transferable college credits at a fraction of their regular cost while also completing their high school education. FAME was treated to a delicious lunch prepared by students participating in the center’s culinary arts/hospitality program. At FAME’s monthly meeting, the Board benefitted from a presentation on the state of Maine’s wood products industry by Peter Triandafillou, Vice President of Woodlands for Huber Resources Corp. The Board also adopted a permanent rule for the Maine New Markets Capital Investment Tax Credit Program banning the use of one-day loans. The Board also renewed commercial loan insurance on a Bangor Savings Bank facility for North Atlantic, Inc., a national wholesale importer and distributor of frozen seafood located in Portland. Area legislators, business leaders, and higher education officials joined FAME members for various stops along the two-day trip. Among these individuals were Rep. Sheldon Hanington of Lincoln; Rep. Victoria Kornfield of Bangor; University of Maine System Chancellor James Page; University of Maine System Board of Trustees Chair Samuel Collins; University of Maine President Susan Hunter; and Husson University Vice President of Enrollment and Management Jonathan Henry. FAME Board Chair Ray Nowak stated: “FAME really benefits from these opportunities to visit with local businesses, schools and students to learn firsthand about their work and success. We enjoy witnessing firsthand their success stories and learning about the needs and future plans of our business and higher education partners.”

The Maine Educational Loan Authority (MELA) has been merged with FAME effective October 15, 2015. This will provide a convenient “one-stop” shopping experience for Maine students and their families for their higher education financing needs. Like MELA, which provided private or alternative student loans, FAME’s mission is to assist Maine students and their families in achieving their higher education goals. FAME provides a variety of higher education resources, including financial education and outreach, as well as grant, scholarship, loan, loan guarantee, loan forgiveness and college savings programs. The Maine Loan and the Maine Medical Loan, formerly offered by MELA, will continue to be offered by FAME.

The Finance Authority of Maine (FAME) continues to maintain impressively low cohort default rates for Maine student loan borrowers, despite increased borrowing and rising college costs. According to data recently released by the U.S. Department of Education, FAME’s federal Fiscal Year 2012 three-year cohort default rate was 5.6 percent. This represents a significant decrease compared to last year’s rate of 7.1 percent. By comparison, the national three-year average was 11.8 percent. The cumulative rate for other guaranty agencies like FAME was 8.3 percent. FAME reported the sixth-lowest rate in the nation, and the second-lowest in New England. FAME’s three-year cohort default rate is calculated based on the percentage of borrowers who enter repayment on certain Federal Family Education Loans (FFEL) loans during a particular federal fiscal year, October 1 to September 30, and default or meet other specified conditions prior to the end of the second following fiscal year. “FAME’s ability to maintain a low default rate benefits lenders, schools, and, most importantly, Maine students,” stated FAME Board Chair Ray Nowak. “FAME’s default rate is the result of expanded college access, financial education and debt management services that support financial aid offices and educate borrowers.” “These results show the value of the personalized financial education and default prevention efforts of FAME and our school and lender partners. FAME’s emphasis on default prevention is the right one for Maine students and families,” stated FAME Chief Executive Officer Bruce Wagner. FAME believes that financial education is the cornerstone of debt management and default prevention. Three years ago, FAME launched a collaborative effort with American Student Assistance that delivers SALT® financial education and debt management services free-of-charge to Maine students and alumni. The vast majority of Maine college students now have access to SALT’s proactive debt management services. In addition, Maine high school students also have access to SALT, allowing them to get an early start on managing their finances In 2016, FAME will continue its commitment to increasing financial education in K-12 schools by co-sponsoring “Fostering Financial Education in Maine Schools,” a financial education conference for Maine teachers, administrators, counselors and others. FAME also recently expanded its financial education efforts in Maine middle schools by offering free Claim Your Future® game kits to educators. Claim Your Future is a game that encourages students to explore education after high school, future careers, and money management. For more information, or to request a game kit, visit ClaimYourFuture.com.

At its August 20, 2015 meeting, the Board of Directors of the Finance Authority of Maine (FAME) approved rulemaking related to the Maine New Markets Capital Investment Program. The Board adopted an emergency rule to prohibit one-day loans effective immediately, and authorized a regular ninety-day rulemaking process to commence with respect to the program, as well. FAME has administered the Maine New Markets Capital Investment Program since the Legislature created it in 2011. It does so in cooperation with Maine Revenue Services and the Maine Department of Economic and Community Development. The program is designed to attract investment in economically distressed areas of the state. It 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, of which approximately $50 million is left. The amount of tax credits capable of being claimed per fiscal year is limited to $20 million. The program allows a total of $100 million in actual tax credits, with approximately $20 million in credits remaining. A one-day loan is a financing mechanism involving a short-term loan made to refinance funds already invested in a project, or existing equity in a business, whereby the proceeds are loaned and repaid on the same day. Such loans are allowed under the federal New Markets Tax Credit Program to be counted as investments eligible for tax credits. Most credits that have been issued under the state program have not utilized one-day loans and have been beneficial to the targeted communities. Some deals authorized under the program have utilized one-day loan structures that did not, however, ultimately result in a commensurate level of investment being made in the designated low-income communities. A December 2014 report prepared by Dr. Charles Colgan, former state economist and Director of the Maine Center for Business & Economic Research at the University of Southern Maine, estimated that the return on investment to the state under the program has been at least $1.56 for every $1 in tax credits issued. The emergency rule is designed to end eligibility of one-day loans and similar transactions based on the agency’s view that they do not offer the level of direct public benefit that was intended by the Legislature when the program was created. Under the new, temporary rule, no investment will be eligible for tax credits if more than 5% of the investment is used to refinance prior investments, to make equity distributions, to acquire an existing business, or to pay transaction fees. In adopting the emergency rule, the Board found that emergency action was needed to avoid immediate threat to public health, safety, or the general welfare. At the same time, the Board voted to commence regular, non-emergency rulemaking over the next ninety days. A public hearing to receive comments on the proposed regular program rule, which mirrors the language of the adopted emergency rule, will take place at the September 17, 2015 board meeting. “We want to ensure that this economic investment program operates effectively and fairly for the taxpayers of Maine,” stated Ray Nowak, FAME Board Chair. During the First Regular Session of the 127th Maine Legislature, a bill to provide more funding for the program, L.D. 297, An Act to Increase Allowed Investments Under the Maine New Markets Capital Investment Program, was considered but not enacted by lawmakers. FAME actively participated in discussions related to the legislation and brought forth an amendment that would have clarified what constitutes actual investment, and thereby limited or eliminated one-day loans. Although the amendment was supported in both the majority and minority reports of the Joint Standing Committee on Labor, Commerce, Research and Economic Development, other language and issues prevented members from agreeing upon a bill that could pass. “The program overall has been successful and important to Maine’s economic development,” stated Bruce Wagner, Chief Executive Officer of FAME. “Although we have concerns about past usage of the program, we want to ensure that it continues in the future since its benefits have far outweighed its drawbacks.” Examples of particularly beneficial investments approved by the FAME Board include: St. Croix Tissue in Baileyville; the Portland Press Hotel and Putney Veterinary in Portland; Athens Energy Biomass Facility in Athens; Quoddy shoe manufacturing in Lewiston and Washington County; and Molnlycke Mfg US, LLC in Brunswick.

FAME’s  Board of Directors has approved an increase in the maximum loan insurance available to lenders through FAME’s successful Commercial Loan Insurance Program. With the recent receipt of an additional $4 million in bond funding approved by Maine voters last November, FAME has increased its Commercial Loan Insurance Program maximum exposure to one borrower from $4.4 million to $5 million effective immediately. The change was approved by FAME’s Board at their December 2014 meeting. FAME’s Commercial Loan Insurance insures a portion of a loan to a business made by a participating financial institution, thereby helping to cover a lender’s credit risk. For a business, it may mean the difference between obtaining a loan, going out of business, or never getting the opportunity to start a business. “FAME is pleased to increase the amount of loan insurance available to our lending partners, while maintaining our risk exposure relative to our capital,” stated Ray Nowak, FAME Board Chair. “We deeply appreciate the additional funds approved by Maine voters and their confidence in FAME’s ability to successfully partner with Maine lenders to help Maine businesses succeed.” During Fiscal Year 2015, FAME’s Commercial Loan Insurance Program helped to create 676 Maine jobs and retain an additional 1,768 jobs. FAME assisted 251 Maine companies through the program during this period. FAME loan insurance of approximately $42 million supported $72 million in commercial loans to Maine businesses. The additional bond funding of $4 million will allow FAME to provide an additional $20 million in commercial loan insurance. Some companies and lenders that recently utilized the program include: Wireless Partners, LLC (insuring $3.4 million loan through Mechanics Savings Bank that will improve cell phone service and broadband data access in Washington and Hancock Counties); Redzone Wireless, LLC (insuring $4 million loan by Camden National to help boost Maine’s broadband internet speed); and Polycor New England, Inc. (insuring $3.5 million loan by Caisse Centrale Desjardins US Branch to help finance the purchase of a quarry and the construction of a curb manufacturing facility in North Jay).