Maine
Maine is stifling this homemade solution to the housing crisis
SOUTH PARIS, Maine — Home builders around Maine routinely turn clients away or add them to yearslong wait lists. This one is begging for more business.
KBS Builders, a manufactured home company, can churn out up to four homes a week in their hulking western Maine headquarters. Their customizable modular homes are built to the same standard as a stick-built home and leave the factory within months to be shipped — 90 percent finished with utilities already installed — to sites all across New England.
But KBS is only operating at 60 percent of that building’s capacity. Five years ago, the company bought a second factory out of bankruptcy that sits empty. While their business is growing, a web of arcane regulatory barriers unique to Maine is holding it back from doing more here.
The state treats manufactured homes as singular products, so they are taxed once on materials and again on installation. They also cannot be sold directly to consumers, so KBS requires middlemen to put them up. Neither the installers nor contractors working on stick-built homes need licenses, but Maine requires licenses to do modular work.
“I’ve taken all the complexity out of assembling this building, and you’re still requiring someone to have licensure to install this on site. But somebody can go get all the raw parts and build it themselves on site with zero license?” KBS President Thatcher Butcher said. “You tell me where that makes sense.”
New Hampshire and Vermont regulate the industry the same way, although New Hampshire has no sales tax. Licenses are administered by the Maine Manufactured Housing Board, which was established in 1986 to control the quality of mobile homes, which were synonymous with poorly built trailers. Today, a modular home is often more energy efficient than a stick-built home.
Butcher has repeatedly lobbied legislators to provide parity between modular and traditional site-based construction. Lawmakers have been more interested in licensing all contractors like 35 other states do, although a bill on the subject failed last year. Rep. Tiffany Roberts, D-South Berwick, plans to submit a similar measure again this session, she said.
There are only a dozen licensed modular home installers in Maine, Sarah Sturtevant, a research consultant at the Maine Affordable Housing Coalition, found by calling through a list on the Manufactured Housing Board’s website. Those installers are able to charge a premium, edging consumers away from modular construction, Butcher said.
“Our growth in Maine has very much been more limited than in other states, which is unfortunate, because out of all the areas that we service, I think Maine has the most need for housing,” Thatcher said.
KBS’ expansion would also bring more dependable construction jobs to western Maine, a region that was once home to several manufactured housing builders before the 2008 recession. KBS currently employs 120 people, many of whom said they preferred working for a modular builder to doing site-based work.
“The big advantage for these guys is the inside environment. Working inside, they’re not shivering to death when they’re doing their job, and it makes a big difference,” Gary Cossar, a receiver at KBS’ warehouse, said.
Being able to build homes year round is another perk of building modular in Maine. Sam Hight, who runs the Hight family of car dealerships in Skowhegan and is a developer who has built three rural affordable rental projects with KBS, broke ground on an 18-unit project in Madison in November and had it finished by April.

Unlike with stick-built projects he’s done in the past, Hight didn’t have to wait for laborers or subcontractors to become available and travel to his remote site. KBS has a full team including electricians, plumbers and finishers working together in South Paris.
Lawmakers will soon consider promoting modular construction to meet lofty housing goals this upcoming year. Sen. Rick Bennett, R-Oxford, said he is submitting one bill that would remove the double tax and another that will focus on rebuilding the industry in Oxford County with startup capital and incentives. Other lawmakers are interested in focusing on it as well.
“[This] industry presents an opportunity for future growth and innovation in how we get housing built and how we address the underproduction issues that we face, not only here in Maine, but certainly across the country,” House Speaker Ryan Fecteau, D-Biddeford, said.
Maine
Maine could face $50M in penalties from federal food assistance policy changes
Maine could face up to $50 million in penalties next year due to errors in its payments for federal food benefits under the Supplemental Nutrition Assistance Program.
Newly released data from the U.S. Department of Agriculture find that Maine’s error rate last year was nearly 11%, the bulk of which were overpayments. That’s in line with the U.S. average. But starting in October of next year, states with error rates above 6% must cover a portion of the SNAP benefits.
Anna Korsen, executive director of Full Plates, Full Potential, said the overpayments aren’t fraud — they’re human error. She said this new cost-shifting policy enacted last year under the Trump administration further complicates the SNAP application process.
“Instead, we could make this program more accessible and more efficient,” Korsen said. “And that would reduce the number of errors and also ensure that Mainers who are eligible for SNAP have access to it.”
She’s urging Congress to delay or reverse the policy under the farm bill that’s currently under consideration.
Maine’s Department of Health and Human Services said it’s taking steps to reduce the error rate, including modernizing its systems and hiring an additional 40 eligibility specialists.
This story appears through a media partnership with Maine Public.
Maine
Maine driver to honor friend Kyle Busch during Celebration of America 300
PORTLAND (WGME) — The third annual Celebration of America 300 is set for Thursday night at Oxford Plains Speedway.
This race was a favorite of NASCAR star Kyle Busch, who tragically passed away back in May. He was just 41.
Now, a Maine-born driver who worked on Busch’s team is ready to take the 8 car into victory lane.
For the past five years, Windham native Derek Kneeland was Busch’s eye in the sky, working as a spotter for the cup star. Kneeland says his relationship with Busch was like a brotherhood.
“I was fortunate enough where I got to have a personal relationship with him,” Kneeland said. “He came up, and he ran several races with me in late models and stuff at Oxford and Lee Speedway, and we got to do a lot of cool things together.”
Kneeland says dealing with the sudden loss has been both painful and difficult.
“It’s still hard,” Kneeland said. “I’m having a hard time with it. The weekdays are the hardest. At the track is where I’m most comfortable.”
Kneeland will be at the track and behind the wheel Thursday night, competing in the Celebration of America 300, driving the number 8 car.
“You know, a few days after everything went down, his dad called me, and his dad is a man of very few words, and I said, ‘You know, I’m thinking about running the 8 or 51 as long as I have your guys’ blessing, I would like to do that.’ And he said, ‘Short track world knows him as 51, but the world knows him as 8,’” Kneeland said.
Kneeland says it will be an emotional race, but he’s confident he’ll have a special co-pilot leading the way.
“Hoping he’s going to be on my shoulder and give me the guiding way and but to win it for Kyle, I think that would put the stamp on it,” Kneeland said.
Maine
ICE arrests operator of midcoast Maine market
FRIENDSHIP, Maine — A federal judge has ordered U.S. Immigration and Customs Enforcement not to relocate a Friendship man who ICE agents arrested Saturday.
Dhavalkumar Kalidas Patel was seized by four ICE agents at Wallace’s Market, which Patel and his wife operate on Harbor Road in Friendship.
His wife said the agents did not say why he was being taken away in handcuffs.
Attorney Audrey Richardson of Greater Boston Legal Services filed a motion for habeas corpus, meaning he is to be brought to a court in person.
U.S. District Court Judge Indira Talwani of Massachusetts issued an emergency order hours after Patel was seized that prohibits him from being moved elsewhere.
“To provide a fair opportunity for the judge who will be randomly assigned to this case to review the merits of the petition and to rule on any contested issues of jurisdiction, unless otherwise ordered by the assigned judge, respondents will not remove the petitioner from the jurisdiction of the United States or transfer petitioner to a judicial district outside that of Massachusetts for a period of at least 72 hours from the time this Order is docketed,” Talwani wrote.
Patel is being held at the Plymouth County Correctional Facility in Plymouth, Massachusetts.
The petition filed by the attorney representing Patel argues that he is being held unlawfully.
No further hearing dates have been scheduled, but the federal government has until July 6 to file a response.
Richardson issued a statement on the arrest.
“This is another example of ICE illegally and illegitimately taking someone who is working hard to support their family,” she said, including a child born in the United States. “The family is a critical part of the fabric of a small community.”
The Patels have operated the store since 2024. The attorney said ICE agents initially did not even identify themselves. They did not say where he was being taken but he was allowed to make a call when they stopped in Scarborough.
Rob Sample, a customer of the store, said he could not understand why such an action was taken.
“We appreciate them,” he said of the Patel family, adding that they work hard to provide a community service by operating the store.
Knox County Sheriff Patrick Polky said ICE notified his department after its action. He noted the agency is not required to notify the department.
Patel is a native of India.
This story appears through a media partnership with Midcoast Villager.
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