An Act To Encourage Manufacturing by Expanding Pine Tree Development Zones
Maine Legislature, Session 123, LD 0719
Committee Amendment CA_A_H330 (House)

COMMITTEE AMENDMENT "A" to H.P. 540, L.D. 719, Bill, "An Act To 
Encourage Manufacturing by Expanding Pine Tree Development Zones" 
Amend the bill by striking out the title and substituting the following: 
'An Act To Encourage Manufacturing by Expanding Pine Tree Development 
Zone Benefits' 
Amend the bill by striking out everything after the enacting clause and inserting the 
following: 
'Sec. 1. 30-A MRSA c. 206, sub-c. 6 is enacted to read: 
SUBCHAPTER 6 
PINE TREE DEVELOPMENT ZONE EXCEPTIONS 
§5250-R. Definitions 
As used in this subchapter, unless the context otherwise indicates, the following 
terms have the following meanings. 
1. Commissioner. "Commissioner" means the Commissioner of Economic and 
Community Development. 
2. Department. "Department" means the Department of Economic and Community 
Development. 
3. Manufacturing. "Manufacturing" has the same meaning as in section 5250-1, 
subsection 11. 
4. Pine Tree Development Zone. "Pine Tree Development Zone" has the same 
meaning as in section 5250-1, subsection 13. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT·n • to H.P. 540, L.D. 719 
5. Pine Tree Development Zone benefits. "Pine Tree Development Zone benefits" 
has the same meaning as in section 5250-1, subsection 14. 
§5250-S. Exceptions for manufacturing businesses 
( 
1. 
Expansion by manufacturing business. 
The commissioner may certifv a 
business that does not otherwise qualifY as a qualified Pine Tree Development Zone 
business pursuant to section 5250-I, subsection 17 or that does not locate in a Pine Tree 
Development Zone as qualified to receive Pine Tree Development Zone benefits if the 
business: 
A. Is a for-profit business that has been engaged in the business of manufacturing in 
the State for at least 3 years; 
B. Makes a written commitment to expand its business at one of its current locations 
in the State by adding at the location of expansion a minimum of 20 net new, 
full-time employees for whom a retirement program subject to the federal Employee 
Retirement Income Security Act of 1974, 29 United States Code, Sections 1001 to 
1461, as amended, and group health coverage are provided and whose income 
derived from employment at the business's location of expansion, calculated on a 
calendar-year basis, is greater than the most recent annual per capita personal income 
in the county in which the employee is employed; and 
C. Makes a written commitment to invest a minimum of $2,000,000 in its expansion 
at one of its current locations. 
2. Application for tax benefits. A manufacturing business may apply to the 
commissioner for certification to receive Pine Tree Development Zone benefits pursuant 
to subsection 1. An application must include, but is not limited to, a detailed narrative 
description of the manufacturing business's plans for expansion and goals for achieving 
the requirements listed under subsection 1 and a description of resources to be committed 
at the location of expansion, including a related timeline for achieving these goals. Upon 
review and determination by the commissioner that the business satisfies the criteria 
under subsection 1, the commissioner shall issue a certificate to the manufacturing 
business for qualification for Pine Tree Development Zone benefits. 
3. 
Sunset. 
Applications for Pine Tree Development Zone benefits under this 
subchapter must be received by the commissioner by December 1, 2009. 
§5250-T. Rules 
The department shall adopt rules to implement this subchapter. 
Rules adopted 
pursuant to this section are routine technical rules as defined by Title 5, chapter 375, 
subchapter 2-A.' 
SUMMARY 
This amendment is the majority report of the committee. It replaces the bill, which 
was a concept draft, and authorizes the State to provide Pine Tree Development Zone 
benefits to Maine manufacturing companies that would not otherwise qualify for these 
benefits. A business is required to satisfy specific criteria, including that it is a for-profit 
business that has been engaged in manufacturing in the State for at least 3 years; it makes 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT·A • to H.P. 540, LD. 719 
a written commitment to expand its business at one of its current locations in the State by 
adding at the location of expansion a minimum of 20 net new, full-time employees for 
whom a retirement program and group health coverage are provided and whose income 
satisfies certain criteria; and it makes a written commitment to invest(a minimum of 
$2,000,000 in its expansion at one of its current locations. The amendment specifies the 
criteria for the application that an applicant must submit to the Commissioner of 
Economic and Community Development, and it also adds a sunset provision that requires 
applications for benefits to be received by the commissioner by December 1,2009. This 
amendment also authorizes the Department of Economic and Community Development 
to adopt rules to implement this legislation. 
FISCAL :"IOTE REQUl1ED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/23/07 ;!!Vae 
( 
LD719 
LR 1172(02) 
An Act To Encourage Manufacturing by Expanding Pine Tree Development Zones 
Fiscal Note for Bill as Amended by Committee Amendment ,A " 
Committee: Business, Research and Economic Development 
Fiscal Note Required: Yes 
Fiscal Note 
2007-08 
2008-09 
Projections 
2009-10 
Projections 
2010-11 
Net Cost (Savings) 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
$14,123 
($14,123) 
($775) 
$49,412 
($49,412) 
($2,710) 
$84,562 
($84,562) 
($4,637) 
$111,885 
($111,885) 
($6,137) 
The General Fund revenue loss associated with the expansion of Pine Tree Development Zone benefits is estimated to 
be $14,123 in fiscal year 2007-08 and $49,412 in fiscal year 2008-09. The additional costs to the Department of 
Economic and Community Development associated with rulemaking can be absorbed within existing budgeted 
resources. 
LRll72(02) - Fiscal Note - Page 1 of 1