Hallowell Wrap-Up
Week of February 9 – 16, 2026
This briefing provides a summary of municipal actions, regional news, and state policy developments affecting the Hallowell business community and local residents.
1. The Week in Review
Municipal focus this week centered on property safety and downtown logistics, with the City Council advancing measures on dangerous buildings and upcoming event permitting. Regionally, the release of the MaineDOT 2026–2028 Work Plan provides a definitive timeline for infrastructure projects along the Route 201 corridor. At the state level, the supplemental budget proposal has introduced significant discussions regarding the sunsetting of key business equipment tax programs.
2. Civic Recap
Hallowell City Council (Feb 9): The Council authorized parade permits for seasonal festivities and moved forward with the "dangerous building" process for 8 Park Street.
The Hallowell City Council's February 9, 2026, meeting focused on immediate municipal logistics and liability management. Key actions included the unanimous approval of a short-notice parade permit despite police staffing concerns, and a decisive vote to secure the property at 8 Park Street with a padlock to mitigate city liability while the "dangerous building" is under contract for sale. Public comments also raised operational safety and cost concerns regarding the North Bay Recycling Center dumpsters, and the Council began a preliminary discussion on reforming the permit fee schedule to align with administrative costs.
A more detailed summary of these proceedings can be found here.
3. Regional Business Briefs
MaineDOT Three-Year Work Plan: The newly published $4.5 billion work plan confirms that Route 201 improvements spanning Hallowell and Augusta are scheduled to begin construction in 2026. The scope includes highway preservation and multimodal enhancements along a 1.11-mile stretch starting at Maple Street.
The Maine Department of Transportation's Work Plan for Hallowell (2026-2028) includes significant projects such as Route 201 rehabilitation in 2027, estimated at $5.35 million, and safety improvements on Second and Winthrop Streets in 2026, totaling $2.34 million. Local Road Assistance for 2026 is $29,016, with maintenance accomplishments in 2025 highlighting bridge washing, paving, and drainage repairs.
R&D Bond Distribution: Following the voter-approved bond, the state has begun distributing $25 million in Research and Development funding to 23 companies across nine counties. While focused on advanced industries, the resulting $718 million in private sector matching funds is projected to impact regional labor markets.
Official Release: Governor Mills Announces $25 Million in Awards by Maine Technology Institute to Support Research & Development
Kennebec County Context (Analysis by Google Gemini)
While no specific business in Kennebec County was explicitly named as one of the 23 recipients of the February 5th bond funding in the initial announcement highlights, the county has seen significant and consistent support from the Maine Technology Institute (MTI) recently:
Central Maine Growth Council (Waterville): In October 2025, this organization received an award of $500,000, leveraged by over $723,000 in private matching funds, to bolster regional innovation.
Infrastructure Impact: The broader Kennebec Valley corridor is slated for major investment through the MaineDOT 2026–2028 Work Plan, which includes high-priority highway and multimodal improvements starting this year.
Past Recipients: Local businesses like Hussey Medical LLC in Kennebec County received MTI biotechnology grants as recently as August 2025.
Tax Policy Updates: The Maine Legislature’s Taxation Committee recently moved LD 2044 forward, which would allow for the transferability of biofuel production tax credits. Conversely, the proposed supplemental budget includes a provision to sunset the Business Equipment Tax Reimbursement (BETR) program starting in 2026, which would increase the tax burden on businesses currently utilizing the program for equipment upgrades.
LD 2044: Biofuel Production Tax Credit Transferability: This bill, "An Act to Allow for the Transferability of the Biofuel Production and Renewable Chemicals Tax Credits," aims to make existing tax incentives more accessible for capital-heavy projects in the forest products and energy sectors.
Official Bill Status & Text (Maine Legislature): Tracks the progression of the bill through the Taxation Committee.
Full Bill Text (PDF): The specific legislative language regarding the transfer of certifications.
Maine Forest Products Council Action Alert: Provides industry context on why the transferability of these credits is considered a priority for regional economic diversity.
Business Equipment Tax Reimbursement (BETR) Sunset: The proposal to sunset the BETR program is contained within "Part O" of the Governor's supplemental budget (LD 2212).
Overview of Tax Provisions in the Supplemental Budget (DAFS): A detailed summary from the Department of Administrative and Financial Services (DAFS) explaining the rationale for sunsetting the program and the projected fiscal impact.
Mainebiz Op-Ed: Repeal Concerns: A business-perspective piece discussing how removing the BETR program creates uncertainty for capital-intensive businesses.
MFPC Action Alert: Opposition to Part O: Details on the specific impact the sunset would have on Maine's forest products industry and instructions for submitting testimony.
Appropriations and Financial Affairs Calendar: Use this to find upcoming public hearing dates and live stream links for the supplemental budget deliberations.
4. Looking Ahead: Municipal Calendar
Monday, February 23, 2026 at 6:30 PM: Conservation Commission - (HSF) City Hall
Wednesday, February 25, 2026 at 6:00 PM: Arts & Cultural Committee - 172 Water Street Click here for agenda and related documents
The Hallowell Arts & Cultural Committee (HACC) will meet on Wednesday, February 25, 2026, at 6:00 PM at the Blanchard Gallery to discuss several ongoing community art initiatives. Key agenda items include updates on the permanent support fabrication for Charlie Hewitt’s "Hopeful" sign and the 2026 Hallowell Petroglyphs Project featuring artist Kevin Sudeith. The committee will also review the unresolved legal ownership of the Hallowell History Mural, discuss exhibition space at City Hall, and evaluate the current arts presence on the municipal website. Additionally, the session will cover the status of Arts & Cultural funds, which currently total approximately $4,905.64 across combined accounts, and finalize the committee's 2026 meeting and hosting schedule.