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The winter warming shelter will be located on Riverside Street, far from service providers downtown.
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Social service providers say rapid rehousing programs have been an effective tool to help people leave homelessness. But in Maine's tight rental market, it's taking clients longer to find permanent housing.
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The shelter is expected to open at the start of next year, and serve about 40 people.
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The executive order calls on states to move some unhoused people into treatment, including through involuntary commitment if necessary. It also encourages states and municipalities to eliminate homeless encampments.
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The shelter will be located on Horton Street in the building formerly occupied by Fortin Funeral Home, just a few blocks away from Kennedy Park.
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The survey, conducted back in January, is meant to provide a snapshot of homelessness on a single night in Maine. The survey counts people living outside and in some form of shelter.
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Local families and visitors also sought relief at a public splash pad in Deering Oaks Park.
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The event was part of a National Day of Action aimed to draw attention to the lack of affordable housing and the recent deaths in the homeless community on the one-year anniversary of the Grants Pass v. Johnson decision. The Supreme Court ruling determined government ordinances with penalties for camping on public land are not cruel or unusual punishment.
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The funds allocated through MaineHousing can be used to hire homeless prevention specialists or provide direct financial assistance to help families.
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Portland's planning board approved the development, which also includes 20 income-restricted apartments and 48 other units that will be rented at market rates. It will be built in phases at the site of Portland's former Oxford Street shelter in the Bayside neighborhood.