An Act To Create Employment Opportunities for People with Disabilities
Maine Legislature, Session 122, LD 1910
Committee: Taxation
Sponsors: LERMAN, RICHARDSON, BARTLETT

Legislative Document 
No. 1910 
H.P.1351 
House of Representatives, January 4,2006 
An Act To Create Employment Opportunities for People with 
Disabilities 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
203. 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative LERMAN of Augusta. 
'7J'l~ '1J? 7ll~ 
MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Representative: Speaker RICHARDSON of Brunswick, Senator: BARTLETT 
of Cumberland. 
Printed on recycled raper 
Be it enacted by the People of the State of Maine as follows: 
PART A 
Sec. A-I. 36 MRSA §S219-Z is enacted to read: 
55219-1, 
Disability emp1~nt tax credit 
1. 
Credit, 
A taxpayer constituting an employing unit is 
allowed a credit against the tax imposed by this Part for the 
wages paid to each gualified employee in an amount egual to: 
A. Fifty percent of up to the first $6,000 of the wages paid 
to 
the 
gualified 
employee 
during 
the 
first 
year 
of 
employment: and 
B. Thirty percent of up to the first $6,000 of the wages 
paid to the gualified employee 
during the 
2nd year of 
employment. 
2. 
Definitions. 
As 
used 
in this 
section, 
unless 
the 
context 
otherwise 
indicates, 
the 
following 
terms 
have 
the 
following meanings. 
A. 
"Employing unit" has the same meaning as in Title 26, 
section 1043. 
B. "Qualified employee" means an individual who: 
(1) 
Meets 
the definition of 
an individual with 
a 
disability 
under 
the 
federal 
Americans 
with 
Disabilities Act of 1990: and 
(2) Has a disability that constitutes an impediment to 
obtaining or maintaining employment or to making the 
transition from school to work. 
3. 
Limitation. The amount of the credit that may be used by 
a taxpayer for a taxable year may not exceed the amount of tax 
otherwise due under this Part. 
PARTB 
Sec. B-1. 36 MRSA §S219-Y is enacted to read: 
55219 Y. 
Earned income tax credit for individuals with 
disabilities 
1. 
Credit allowed. 
A taxpayer with a disability is allowed 
a credit against the taxes otherwise due under this Part equal to 
25% of the tax otherwise imposed on that individual by this Par~ 
In no case may this credit reduce the Maine income tax to less 
than 
zero. 
For 
purposes 
of 
this 
section, 
"taxpayer 
with 
a 
disability" means 
a 
taxpayer who 
meets 
the definition of an 
indiyidui;ll witn a disability under the federal Americans with 
Disabilities Act of 1990 and has a disability that constitutes an 
impediment to obtaining or maintaining employment or to making 
the transition from school to work. 
2. 
Refund. 
If the credit allowed by this section exceeds 
the taxpayer I s liability under this Part. the credit allowed by 
this section may result in a refund in the amount by which the 
credit exceeds the liability. 
PARTC 
Sec. C-l. 5 MRS A Pt. 29 is enacted to read: 
PART 29 
EMPLOYMENT OF IIDIVIDUALS WITH DISABILITIES 
CHAPTER 611 
DUTIES OF THE STATE 
§23001. 
Duties of State 
In order to provide equal opportunity in all aspects of 
State Government to qualified individuals with disabilities, each 
department, agency and instrumentality of the State shall: 
1. 
Periodic review. 
Review, 
on 
a 
periodic basis, 
the 
adequacy of hiring, placement and advancement practices within 
that department, 
agency or instrumentality of the State with 
respect to individuals with disabilities; 
2. Plan. 
Develop by Janua;ry 1, 
2007 and update annually 
tJle_reafter a 'plan to increase the opportunities for individuals 
with disabilities to be employed by that department. agency or 
instrumentality 
of 
the 
State. 
This 
plan 
must 
include 
a 
description of the extent to which the special needs of employees 
who are individuals with disabilities are being met; 
3. 
Outsourcip.g; 
leases. 
In 
its 
contracts 
governing 
functions and duties that are outsourced and in its contracts 
governing leased space, 
include 
prov~s~ons that encourage the 
employment of individuals with disabilities: 
4. 
Outreach. 
Expand its outreach efforts, 
using both 
traditional 
and 
nontraditional 
methods, 
to 
make 
qualified 
individuals 
with 
disabilities 
aware 
of 
available 
employment 
opportunities within that department. agency or instrumentality 
of the State: and 
5. 
Acc~~dat.~e~. __ ~I~n~c~r~e~a~s~e~~i~t~s~~e~f~f~o~r~t~s~~t~o~~a~c~c~o~m~mllio~d~a~t~e 
individuals with disabilities. 
PART D 
Sec. D·l. Expand flexibility for individuals with intellectual 
disabilities. 
The Department of Heal th and Human Services shall 
amend its rules to provide greater flexibility for individuals 
with 
intellectual 
disabilities 
to 
receive 
day 
habilitation 
services 
and 
supportive 
employment 
services. 
The 
department 
shall expand to a maximum of 8 hours per day and 5 days per week 
the number of hours of day habilitation services and supportive 
employment services an individual with intellectual disabilities 
may 
receive. 
The 
department shall increase the 
cap 
on 
the 
reimbursement 
for 
day 
habilitation 
services 
and 
supportive 
employment services to an amount that covers a maximum of 40 
service hours per week. 
Rules adopted pursuant to this Part are 
major substantive rules as defined in the Maine Revised Statutes, 
Title 5, chapter 375, subchapter 2-A. 
PARTE 
Sec. E·l. Media campaign. 
The Department of Economic and 
Communi ly Development and the Department of Labor shall jointly 
ini tiate 
a 
media 
campaign 
designed 
to 
increase 
statewide 
awareness 
of 
issues 
affecting individuals 
with disabilities, 
including, but not limited to, the following: 
1. 
The State's duties and responsibilities concerning the 
employment of individuals with disabilities pursuant to the Maine 
Revised Statutes, Title 5, Part 29; 
2. 
The availability of tax credits for employers of persons 
with disabilities pursuant to Title 36, section 5219-Z: 
3. 
The availability of tax credits for individuals with 
disabilities pursuant to Title 36, section 5219-Y: and 
• 
4. 
Other programs and services available to individuals 
with disabilities under state and federal law. 
SUMMARY 
This bill accomplishes the following. 
1. 
Part A., 
which is based on a similar law in Maryland, 
establishes a state tax credit that allows employers a tax credit 
for employees with disabilities. 
2. 
Part B allows a taxpayer with a disability a refundable 
earned income tax credit equal to 
25% 
of the tax otherwise 
imposed. 
3. 
Part 
C 
directs 
each 
agency, 
department 
and 
instrumentality of State Government to take steps to increase 
employment opportunities for individuals with disabilities. 
4. 
Part 
D directs 
the 
Department 
of 
Health 
and 
Human 
Services to amend its rules to provide greater flexibility for 
individuals 
with 
intellectual 
disabilities 
to 
receive 
day 
habilitation services and supportive employment services. 
This 
Part also directs the department to increase the available number 
of hours and to increase the cap on the reimbursement for day 
habilitation services and supportive employment services to an 
amount that covers a maximum of 40 service hours per week. 
5. 
Part E directs the Department of Economic and Community 
Development and the Department of Labor to jointly initiate a 
media campaign designed to educate and inform the people of the 
State regarding issues affecting individuals with disabilities.