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Sanford officials say mandated General Assistance spending has surged, driven by housing and asylum arrivals
Summary
City Manager Steve Buck told the March 10 budget workshop that 97% of Sanford’s General Assistance (GA) spending goes to housing; he projects FY27 GA at about $950,000, and told council the city has limited discretion under Title 22, Chapter 1161 and receives 70% state reimbursement for qualifying benefits.
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City Manager Steve Buck told the Sanford City Council on March 10 that General Assistance spending has risen dramatically and that most of the expense is housing-related.
"As long as they're qualified, they receive the benefit," Buck said while reading the statutory definition of the program. He said GA expenditures now project near $950,000 for the year and that the administration is budgeting an additional $450,000 to reflect rising demand.
Why it matters: Buck emphasized that GA is a state-mandated municipal program (Title 22, Ch. 1161) that limits local discretion about who qualifies for aid. The city can claim roughly 70% reimbursement from the state for qualifying benefit payments (administration costs are not reimbursed), but reimbursements are paid with delay and the city must cash-flow benefits until reimbursement arrives.
Drivers and categories: Buck reported that 97% of GA outlays are for housing—permanent housing, temporary housing (hotel/shelter), assistance tied to asylum arrivals (referred in the presentation as "new mayors"), and an increase in payments to licensed sober-living houses after an extension in allowable benefit duration. He said housing-cost inflation across southern Maine, the arrival of asylum seekers requiring accommodations, and longer eligible periods for some sober-living placements have all contributed to the surge.
Council questions: Councilors pressed for clarification about why some housing costs are classified as GA (permanent versus temporary housing) and whether program growth can be managed locally. Buck reiterated that state law defines eligibility and the city must pay benefits to qualified applicants, then seek reimbursement from the state; local control over eligibility is limited.
Next steps: The administration included the GA increase in the FY27 draft and flagged the issue as a structural pressure on municipal finances. The council will consider the budget and hear the school department next week; no final votes were taken at the work session.

