An Act To Streamline Advocacy for Maine Small Businesses by Relocating the Bureau of the Special Advocate within the Department of the Secretary of State to the Department of Economic and Community Development
Maine Legislature, Session 128, LD 1764
Committee Amendment CA_A-SA_A_S426 (Senate)
Amends: 5 MRSA §13031, 5 MRSA §13033, 5 MRSA §13100

SENATE AMENDMENT" f\" to COMMITTEE AMENDMENT "A" to H.P. 
1218, L.D. 1764, Bill, "An Act To Streamline Advocacy for Maine Small Businesses by 
Relocating the Bureau of the Special Advocate within the Department of the Secretary of 
State to the Department of Economic and Community Development" 
Amend the amendment by striking out everything after the title and inserting the 
following: 
'Amend the bill by striking out the title and substituting the following: 
'An Act To Streamline Advocacy for Maine Small Businesses by Eliminating the 
Bureau of the Special Advocate within the Department of the Secretary of State and 
Transferring Its Duties to the Department of Economic and Community 
Development' 
Amend the bill in section 2 in subsection 2-G in the 3rd line (page 1, line 7 in L.D.) 
by striking out the following: 
1113063-Y" and inserting the following: '13100-D' 
Amend the bill by striking out all of section 3 and inserting tI!-e following: 
'Sec. 3. 5 MRSA §13031, sub-§6 is enacted to read: 
6. Small Business and Entrepreneurship Special Advocate. "Small Business and 
Entrepreneurship Special Advocate" means the Director of the Office of Small Business 
and Entrepreneurship as described in section 13100. 
Sec. 4. 5 MRSA §13033, as amended by PL 2007, c. 585, §1, is further amended 
to read: 
§13033. Membership 
The commission consists of 9 members: the Chief Executive Officer of the Finance 
Authority of Maine or the chief executive officer's designee; the Qommissioner of 
Economic and Community Development or the commissioner's designee Small Business 
and Entrepreneurship Special Advocate; the House and Senate chairs of the joint standing 
committee of the Legislature having jurisdiction over business, research and economic 
development matters, who are ex officio, nonvoting members; the chair of the Small 
Business Development Centers Advisory Council; and a designee from the administrative 
SENA TE AMENDMENT 
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SENATE AMENDMENT" A. "to COMMITTEE AMENDMENT "A" to H.P. 1218, L.D. 1764 
unit and 3 public members with expertise and knowledge in small business and 
entrepreneurship, appointed by the commissioner. 
Sec. 5. 5 MRSA §13100, as enacted by PL 2005, c. 458, §2, is amended to read: 
§13100. Small Business and Entrepreneurship 
The commissioner shall create within existing budgeted resources the Office of Small 
Business and Entrepreneurship and appoint a director to operate the office and serve as 
the Small Business and Entrepreneurship Special Advocate. 
1. Director. The director reports to the commissioner. The director is responsible 
for advocacy, policies and programs that stimulate investment and growth in small 
business and entrepreneurship. The director is the liaison to the public for gubernatorial 
initiatives on small business and entrepreneurship. The director must be hired pursuant to 
the Civil Service Law for classified state employees. 
2. Duties. The director shall: 
A. Advocate for small business and entrepreneurship throughout all levels of State 
Government; 
B. Assist in the oversight and auditing of the State's investments in small business 
and entrepreneurship initiatives, programs and service providers; 
C. Chair the Maine Entrepreneurship Working Group, which shall act as the advisory 
group to the Maine Small Business and Entrepreneurship Commission and 
subsequently the department; 
D. Prepare a biennial state of small business and entrepreneurship report to the 
Legislature; aad 
E. Oversee the Business Answers program, the Maine Products Marketing Program 
and other department programs and initiatives relevant to small business and 
entrepreneurship~; and 
F. Resolve agency enforcement actions affecting small businesses pursuant to this 
chapter. 
3. Definitions. As used in this subchapter, unless the context otherwise indicates, 
the following terms have the following meanings. 
A. "Agency" has the same meaning as in section 8002, subsection 2. 
B. "Agency enforcement action" means an enforcement action initiated by an agency 
against a small business. 
C. "Complaint" means a request to the director for assistance under section 13100-A. 
D. 
"Director" means the Director of the Office of Small Business and 
Entrepreneurship. 
E. "Regulatory impact notice" means a written notice from the commissioner to the 
Governor as provided in section 13100-C. 
SENATE AMENDMENT 
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SENATE AMENDMENT "A" to COMMITTEE AMENDMENT "A" to H.P. 1218, L.D. 1764 
F. "Significant economic hardship" means a hardship created for a small business by 
a monetary penalty or license suspension or revocation imposed by an agency 
enforcement action that appears likely to result in the: 
(1) Temporary or permanent closure of the small business: or 
(2) Termination of employees of the small business. 
G. "Small business" means a business having 50 or fewer employees in the State. 
Sec. 6. 5 MRSA §§13100-A to 13100-D are enacted to read: 
§13100-A. Small business requests for assistance 
A small business may file a complaint requesting the assistance of the director in any 
agency enforcement action initiated against that small business. The director may provide 
assistance to the small business in accordance with section 13100-B. The director shall 
encourage small businesses to request the assistance of the director as early in the 
regulatory proceeding as possible. Before providing any assistance, the director shall 
provide a written disclaimer to the small business stating that the director is not acting as 
an attorney representing the small business. that no attorney-client relationship is 
established and that no attorney-client privilege can be asserted by the small business as a 
result of the assistance provided by the director under this subchapter. 
§13100-B. General advocacy 
1. Director may advocate. The director may advocate generally on behalf of small 
business interests by commenting on rules proposed under chapter 375. testifying on 
legislation affecting the interests of small businesses. consulting with agencies having 
enforcement authority over business matters and promoting the services provided by the 
director. 
2. Powers of director upon receipt of complaint. Upon receipt of a complaint 
requesting assistance under section 13100-A. the director may: 
A. Consult with the small business that filed the complaint and with the staff in the 
agency that initiated the agency enforcement action to determine the facts of the case: 
B. 
After reviewing the complaint and discussing the· complaint with the small 
business and the agency that initiated the agency enforcement action. determine 
whether. in the opinion of the director. the complaint arises from an agency 
enforcement action that is likely to result in a significant economic hardship to the 
small business: 
C. If the director determines that an agency enforcement action is likely to result in a 
significant economic hardship to the small business. seek to resolve the complaint 
through consultation with the agency that initiated the agency enforcement action and 
the small business and through ·participation in related regulatory proceedings in a 
manner allowed by applicable laws: and 
D. If the director determines that an agency enforcement action applies statutes or 
rules in a manner that is likely to result in a significant economic hardship to the 
small business . when an alternative means of effective enforcement is possible, 
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SENATE AMENDMENT "A "to COMMITTEE AMENDMENT "A" to H.P. 1218, L.D. 1764 
recommend to the commissioner that the commissioner issue a regulatory impact 
notice to the Governor. If an alternative means of effective enforcement is not 
possible, the director may consult with department staff and other agency business 
liaisons to determine whether the agency enforcement action can be conducted in 
such a manner as to minimize potential damage to the State's economic 
competitiveness. 
§13100-C. Regulatory impact notice 
At the recommendation of the director. the commissioner may issue a regulatory 
impact notice to the Governor informing the Governor that an agency has initiated an 
agency enforcement action that is likely to result in significant economic hardship to a 
small business when an alternative means of enforcement was possible. and asking that 
the Governor take action, as appropriate and in a manner consistent with all applicable 
laws. to address the small business issues raised by that agency enforcement action. The 
regulatory impact notice may include, but is not limited to. a description of the role of the 
director in attempting to resolve the issue with the agency. a description of how the 
agency enforcement action will affect the interests of the small business and a description 
of how an alternative enforcement action, when permitted by law. would relieve the small 
business of the significant economic hardship expected to result from the agency 
enforcement action. The commissioner shall provide a copy of the regulatory impact 
notice to the agency that initiated the agency enforcement action. the small business that 
made the complaint and the joint standing committee of the Legislature having 
jurisdiction over business matters. 
§13100-D. Regulatory Fairness Board 
The Regulatory Fairness Board, as established in section 12004-I. subsection 2-G and 
referred to in this section as "the board, 
is established within the department to hear 
testimony and to report to the Legislature and the Governor at least annually on 
regulatory and statutory changes necessary to enhance the State's business climate. 
1. Membership. The board consists of the commissioner or the commissioner's 
designee, who shall serve as the chair of the board. and 4 public members who are 
owners. operators or officers of businesses operating in different regions of the State, 
appointed as follows: 
A. One public member appointed by the President of the Senate; 
B. One public member appointed by the Speaker of the House; and 
C. 
Two public members appointed by the Governor, one of whom represents a 
business with fewer than 50 employees and one of whom represents a business with 
fewer than 20 employees. 
The commissioner shall inform the joint standing committee of the Legislature having 
jurisdiction over business matters in writing upon the appointment of each member. 
Except for the commissioner, an officer or employee of State Government may not be a 
member of the board. 
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SENATE AMENDMENT "A" to COMMITTEE AMENDMENT "A" to H.P. 1218, L.D. 1764 
2. Terms of appointment. Each member appointed to the board must be appointed 
to serve a 3-year teim. A member may not be appointed for more than 3 consecutive 
terms. 
3. Quorum. A quorum for the purpose of conducting the board's business consists 
of 3 appointed members of the board. 
4. Duties of board. The board shall: 
A. Meet at least 2 times a year to review complaints submitted to the director: 
B. Review the status of complaints filed with the director and regulatory impact 
notices issued pursuant to section 13100-C by the commissioner; and 
C. Report annually by February lst to the Governor and the joint standing committee 
of the Legislature having jurisdiction over business matters on actions taken by the 
director and the commissioner to resolve complaints concerning agency enforcement 
actions against small businesses. The report may also include recommendations for 
statutory changes that will bring more clarity, consistency and transparency in rules 
affecting the small business community. 
5. Compensation. Board members are entitled to compensation only for expenses 
pursuant to section 12004-I, subsection 2-G. 
6. Staff. The director shall staff the board.' 
Amend the bill by inserting after section 4 the following: 
'Sec. 5. Appropriations and allocations. The following appropriations and 
allocations are made. 
ECONOMIC AND COMMUNITY DEVELOPMENT, DEPARTMENT OF 
Maine Small Business and Entrepreneurship Commission 0675 
Initiative: Provides funds for one Public Service Manager I position to serve as the 
Director of the Office of Small Business and Entrepreneurship and the Small Business 
and Entrepreneurship Special Advocate effective February 1, 2019. 
GENERAL FUND 
POSITIONS - LEGISLATNE COUNT 
.Personal Services 
All Other 
GENERAL FUND TOTAL 
ECONOMIC AND COMMUNITY 
DEVELOPMENT, DEPARTMENT OF 
DEPARTMENT TOTALS 
2017-18 
0.000 
$0 
$0 
$0 
2017-18 
SENA TE AMENDMENT 
2018-19 
1.000 
$41,993 
($14,975) 
$27,018 
2018-19 
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SENATE AMENDMENT ''A " 
to COMMITTEE AMENDMENT "A" to H.P. 1218, L.D. 1764 
GENERAL FUND 
DEPARTMENT TOTAL-ALL FUNDS 
SECRETARY OF STATE, DEPARTMENT OF 
Administration - Motor Vehicles 0077 
$0 
$0 
$27,018 
$27,018 
Initiative: Reduces funding due to transferring the Special Advocate position to the 
Department of Economic and Community Development. 
HIGHWAY FUND 
Personal Services 
All Other 
HIGHWAY FUND TOTAL 
Bureau of Administrative Services and Corporations 0692 
2017-18 
$0 
$0 
$0 
2018-19 
($27,020) 
($1,450) 
($28,470) 
Initiative: Reduces funding due to transferring the Special Advocate position to the 
Department of Economic and Community Development. 
GENERAL FUND 
Personal Services 
GENERAL FUND TOTAL 
SECRETARY OF STATE, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
IDGHWAYFUND 
DEPARTMENT TOTAL-ALL FUNDS 
SECTION TOTALS 
GENERAL FUND 
HIGHWAY FUND 
SECTION TOTAL - ALL FUNDS 
2017-18 
$0 
$0 
2017-18 
$0 
$0 
$0 
2017-18 
$0 
$0 
$0 
2018-19 
($27,018) 
($27,018) 
2018-19 
($27,018) 
($28,470) 
($55,488) 
2018-19 
$0 
($28,470) 
($28,470) 
Sec. 6. Effective date. This Act takes effect February 1, 2019.'' 
SENATE AMENDMENT 
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SENATE AMENDMENT "A "to COMMITTEE AMENDMENT "A"to H.P. 1218, L.D. 1764 
Amend the amendment by relettering or renumbering any nonconsecutive Part letter 
or section number to read consecutively. 
SUMMARY 
This amendment replaces Committee Amendment "A." The amendment removes the 
provisions of the bill that relocate the Bureau of the Special Advocate from the 
Department of the Secretary of State to the Department of Economic and Community 
Development. Instead, the changes in the amendment provide for the elimination of the 
bureau. The amendment designates the Director of the Office of Small Business and 
Entrepreneurship in the Department of Economic and Community Development as the 
Small Business and Entrepreneurship Special Advocate and assigns to the director the 
duties assigned in the bill to the Bureau of the Special Advocate. The amendment names 
the Small Business and Entrepreneurship Special Advocate as a member of the Small 
Business and Entrepreneurship Commission in place of the Commissioner of Economic 
and Community Development or the commissioner's designee. The amendment retains 
the provisions of the bill that relocate the Regulatory Fairness Board from the Department 
of the Secretary of State to the Department of Economic and Community Development. 
The amendment provides an effective date for the legislation of February 1, 2019. It adds 
an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
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(See attached)./'/ 
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SPONSORED BY: 
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(Senator CUSHINGIII) 
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COUNTY: Penobscot 
SENA TE AMENDMENT 
Approved: 03/27/18 feac.. 
128th MAINE LEGISLATURE· 
LD 1764 
LR 2735(03) 
An Act To Streamline Advocacy for Maine Small Businesses by Relocating the Bureau of the Special 
Advocate within the Department of the Secretary of State to the Department of Economic and 
Community Development 
Fiscal Note for Senate Amendment ''Pr' to Committee Amendment "A" 
Sponsor: Sen. Cushing of Penobscot 
Net Cost (Savings) 
General Fund 
Highway Fund 
Appropriations/ Allocations 
General Fund 
Highway Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2017-18 
$0 
$0 
$0 
$0 
FY 2018-19 
($39,535) 
$39,852 
($39,535) 
$39,852 
Projections 
FY 2019-20 
($26,975) 
$0 
($26,975) 
$0 
Projections 
FY 2020-21 
($26,975) 
$0 
($26,975) 
$0 
This amendment designates the Director of the Office of Small Business and Entrepreneurship as the Small Business 
and Entrepreneurship Special Advocate within the Department of Economic and Community Development (DECD) 
and establishes an effective date of February 1, 2019. The incremental impact of delaying the effective date is a 
General Fund savings of$39,535 and a Highway Fund cost of$39,852 in fiscal year 2018-19. 
As amended, the bill includes a General Fund appropriation of $27,018 to the Maine Small Business and 
Entrepreneurship Commission program within DECD for one Public Service Manager 1 position to serve as the 
Director of the Office of Small Business and Entrepreneurship and the Small Business and Entrepreneurship Special 
Advocate. The full-year cost of the position is estimated to be $104,406 in fiscal year 2019-20 and $107,074 in fiscal 
year 2020-21. 
As amended, the bill also includes a General Fund deappropriation of $27,018 and a Highway Fund deallocation of 
$28,470 in fiscal year 2018-19 to the Department of Secretary of State due to the Special Advocate position being 
transferred to D BCD. 
LR2735(03) - Fiscal Note - Page I of I