Teresa's Place certificate of occupancy approved; leasing slowed by funding and screening requirements

Jenna Jones, the city's homeless response manager, told the City Council workshop that Teresa's Place — a 41-unit housing development intended to serve people experiencing homelessness — has received a certificate of occupancy but no units are yet leased.

"For a period of time, we were anticipating that this site was going to open all 41 units at the end of 2024. And here we are. Right? No units are currently accessible," Jones said.

Jones said the building-level approvals are largely complete and that the certificate of occupancy clears a major hurdle, but leasing depends on final inspections and on approvals by MaineHousing (referred to in the meeting as "main housing") for tenant files already forwarded by the Housing Foundation. She said at least 19 applications have been submitted to MaineHousing for final review and that the team has requested expedited inspection and approval.

Funding and program design also constrain tenant selection. Jones said the project received HOME-ARP funds from MaineHousing and had not originally been structured as a traditional permanent supportive housing model. That funding design, she said, requires stricter rental-history screening that disadvantages many people who have experienced chronic homelessness. "The largest barrier that folks have in making it through the interview process ... is that they need to have a very pristine rental history," Jones said.

Jones emphasized the project remains important and that partners are finding workarounds: additional front-loaded assessments as part of the Housing Foundation screening, connections to off-site treatment and supports, help obtaining identity and birth documents, and use of the city's outreach worker to shepherd applicants through the process. Dale Hamilton, executive director of Community Health and Counseling Services (CHCS), was cited as coordinating screening and supports.

Councilors asked whether applicants will primarily be local and whether people newly becoming homeless because of financial shocks will be considered; Jones said the majority of applicants are known to local providers and that the project can and will accept both chronically and more recently homeless households when appropriate.

City staff estimated the building could be ready for move-ins once MaineHousing completes inspection and signs off on pending applications; Jones said some remaining building work "might even be done by next week" and described the project as in the "home stretch."

The city did not adopt new policy at the workshop. Staff said they will continue outreach to MaineHousing, support applicants in documentation and identification acquisition, and coordinate with Home for Good, a separate 30-unit permanent supportive housing project, which remains on track.