An Act To Enact a 5-point Welfare Reform Program
Maine Legislature, Session 124, LD 0254
Committee: Health and Human Services
Sponsors: CEBRA, PLOWMAN, AUSTIN, FITTS, HAMPER, JOY, ROBINSON, SARTY, SYKES, THOMAS
Amends: 22 MRSA §3788, 22 MRSA §4301, 22 MRSA §4307, 36 MRSA §5219-D

FIRST REGULAR SESSIOl"~-2009 
Legislative Document 
No. 254 
H.P.200 
House of Representatives, January 27, 2009 
An Act To Enact a 5-point Welfare Reform Program 
Reference to the Committee on Health and Human Services suggested and ordered printed. 
Presented by Representative CEBRA of Naples. 
Cosponsored by Senator PLOWMAN of Penobscot and 
'77/j}~ 1/1. 7J?t1C~{ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: AUSTIN of Gray, FITTS of Pittsfield, HAMPER of Oxford, JOY of Crystal, 
ROBINSON of Raymond, SARTY of Denmark, SYKES of Harrison, THOMAS of Ripley. 
Pril1l~d lHl rccyckLl popel" 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 22 MRSA §3788, sub-§lO, errC, as amended by PL 2005, c. 480, § 1, is 
further amended to read: 
C. Except for participants who are accepted into the Parents as Scholars Program 
established under section 3790, education, training and treatment is limited to a 
maximum of 24 months, starting with the first day of participation in any allowable 
and approved job skills or occupational slGlls training activity. The 24-month period 
may be extended by the commissioner or the designee of the commissioner for good 
cause shown. 
+he Prior to January 1, 2010, the department may approve ajob slGlls or occupational 
training activity longer than 24 months provided as long as the participant agrees to 
perform a minimum of 20 hours a week of work site experience by no later than the 
end of the 24-month period. Qualifying work site experience may include, but is not 
limited to, paid employment, workforce-Maine Serve, ASPIRE-Plus, work study, 
training-related practicums or any other such work site approved by the department. 
The 24-month period does not include periods of nonactivity in which good cause has 
been determined. 
Beginning January 1, 2010, the department may approve a job skills or occupational 
training activity longer than 24 months as long as the participant agrees to perform by 
no later than the end of the 24-month period a minimum of 40 hours per week of 
work site experience or, if 40 hours of experience is not available, then as many hours 
over 20 and under 40 as are available to the participant. The number of hours or 
gross wages of participation, up to one and a half times the normal dollar amount of 
the benefits received, may not affect the benefits available to the participant. The 
hourly rate of pay may be used in determining the benefit amount for the participant. 
For individuals who are satisfactorily participating in an education or training 
program prior to the work evaluation, the department must determine the 
acceptability of the activity for purposes of meeting the participation requirements of 
this chapter using the same criteria as is used for any individual in the ASPIRE-
TANF program. 
Sec. 2. 22 MRSA §3788, slllb-§15 is enacted to read: 
15. Limitation. Benefits under the ASPIRE-TANF program for an adult are subject 
to a lifetime limitation of 60 months. 
Sec. 3. 22 MRSA §4301, sub-§3, as enacted by PL 1983, c. 577, §1, is amended 
to read: 
3. Eligible person. "Eligible person" means a person who shows evidence of having 
lived in a municipality for 90 days continuously prior to the date of application and who 
is qualified to receive general assistance from a municipality according to standards of 
eligibility determined by the municipal officers 'Nhether or not that Berson has cmBlied for 
general assistance. 
Page I - 124LR0731(Ol)-1 
,.) 
) 
) 
('~ 
__ .... J' 
.. 5 
( 
Sec. 4. 22 MRSA §4307, sub-§2, '1lA, as enacted by PL 1987, c. 349, Pt. H, §15, 
is amended to read: 
A. 
A resident of the municipality. For the purposes of this section, a "resident" 
means a person who is physically present in a municipality with the intention of 
remaining in that municipality to maintain or establish for at least 90 days prior to the 
date of application and who maintains or establishes a home and who has no other 
residence-;--arul.! 
Sec. 5. 22 MRSA §4307, sub-§2,,s, as enacted by PL 1987, c. 349, Pt. H, §15, 
is repealed. 
Sec. 6. 22 IVIRSA §4307, sub-§3, as repealed and replaced by PL 1987, c. 349, 
Pt. H, § 15, is repealed. 
Sec. 7. 36 MRSA §5219-DD is enacted to read: 
§5219-DD. New Hire credit 
1. 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, subsection 
.lih 
B. "Qualifying person" means a person who, immediately prior to employment with 
an employing unit, was a recipient of benefits under the ASPIRE-TANF program 
under Title 22, chapter 1053-B. 
2. Credit allowed. For tax years beginning on or after January 1, 2010, a taxpayer 
who is an employing unit is allowed a credit for participation in the. New Hire program 
described in subsection 3. 
3. New Hire program. An employing unit participates in the New Hire program if 
that employing unit hires as an employee a qualifying person for at least 20 hours per 
week. 
4. Amount of credit. An employing unit is allowed a tax credit under the New Hire 
program under subsection 3 against the tax otherwise due under this Part in the amount of 
50% of the gross wages paid to a qualifying person during the eligible period under 
subsection 5, paragraph B. 
5. Limitation. The credit allowed under this section is subject to the following 
limitations. 
A. The total combined credit for a taxpayer under this section may not exceed 
$10,000 annually and may not reduce the tax otherwise due under this Part to less 
than zero. A taxpayer entitled to a credit under this section for any taxable year may 
carry over and apply to the tax liability for anyone or more of the succeeding 2 years 
the portion, as reduced from year to year, of any unused credits. 
B. The eligible period for a qualifying person under the New Hire program under 
subsection 3 is 12 continuous months. 
Sec. 8. Rulemaking. By January 1,2010 the Department of Health and Human 
Services shall adopt rules establishing an hourly rate for the total value of benefits 
received by a recipient of ASPIRE-TANF benefits based on a 40-hour workweek and an 
annual calculation from the department and the federal Department of Health and Human 
Services of the value of benefits under state and federal programs. The rules must provide 
an adjustment in the benefits payable to an employed recipient of benefits from the 
department to reflect a decrease in the total benefits paid by deducting from the benefits 
the hourly amount of net earned income. Rules adopted pursuant to this section are 
routine technical rules as defined by the Maine Revised Statutes, Title 5, chapter 375, 
subchapter 2-A. 
Sec. 9. Application. That section of this Act that enacts the Maine Revised 
Statutes, Title 36, section 5219-DD applies to income tax years beginning on or after 
January 1, 2010. 
SUMMARY 
This bill enacts a 5 -point welfare reform package. 
The bill imposes a 90-day 
residency requirement for general assistance, provides the New Hire tax credit for 
employers hiring recipients of welfare benefits, changes the 20-hour work participation 
requirement in the ASPIRE-T ANF program, adjusts benefits to reflect earned income and 
imposes a 6O-month lifetime limitation on ASPIRE-T ANF benefits for adults. This bill 
specifies that the New Hire tax credit applies to tax years beginning on or after January 1, 
2010. 
) 
) 
)