An Act To Eliminate Taxpayer Subsidies for Discriminatory Employers
Maine Legislature, Session 130, LD 1598
Committee: Taxation
Sponsors: TERRY
Amends: 5 MRSA §784, 5 MRSA §787, 36 MRSA §691, 36 MRSA §5219-Y, 36 MRSA §6652

Legislative Document
No. 1598
H.P. 1187
House of Representatives, April 27, 2021
An Act To Eliminate Taxpayer Subsidies for Discriminatory 
Employers
Reference to the Committee on Taxation suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative TERRY of Gorham.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  5 MRSA §784, sub-§1, as amended by PL 1985, c. 388, §2, is further 
amended to read:
1.  State action.  No An agency or individual employee of the State or state related 
agencies will may not discriminate because of race, color, religious creed, sex, national 
origin, ancestry, age, physical handicap disability or mental handicap disability while 
providing any function or service to the public, in enforcing any regulation, or in any 
education, counseling, vocational guidance, apprenticeship and on-the-job training 
programs. Similarly, no a state or state related agency contractor, subcontractor, or labor 
union or representative of the workers with which the contractor has an agreement, will 
may not discriminate unless based on a bona fide occupational qualification.  State agencies 
or related agencies may shall withhold financial assistance to any recipient found to be in 
violation of the Maine Human Rights Act or the Federal Civil Rights Act.  Any state agency 
or related agency shall decline any job order carrying a specification or limitation as to 
race, color, religious creed, sex, national origin, ancestry, age, physical handicap disability 
or mental handicap disability, unless it is related to a bona fide job requirement.
Sec. 2.  5 MRSA §787, as amended by PL 1985, c. 388, §2, is repealed and the 
following enacted in its place:
§787.  State financial assistance
1.  Certain grants may not be approved.  A state agency or state related agency may 
not approve a grant of state financial assistance to any recipient that has been found to have 
engaged in discriminatory practices, including:
A.  A person that has been found by the Maine Human Rights Commission to have 
violated the Maine Human Rights Act in the 60 months prior to the grant of state 
financial assistance;
B. A person that has been found by the Department of Labor to have violated any of 
the employment practices requirements within Title 26, chapter 7 in the 60 months 
prior to the grant of state financial assistance;
C. A person that has been found by the United States Equal Employment Opportunity 
Commission to have violated federal civil rights law in the 60 months prior to the grant 
of state financial assistance; and
D. A person that has been found by the United States Department of Labor to have 
violated the United States Fair Labor Standards Act of 1938 in the 60 months prior to 
the grant of state financial assistance.
2.  Submission of information to Maine Human Rights Commission.  A recipient 
of state financial assistance shall submit to the Maine Human Rights Commission, at its 
request, information relating to the recipient's operations with regard to race, color, 
religious creed, sex, sexual orientation, national origin, ancestry, age, physical disability or 
mental disability.  The information must be furnished on a form to be prescribed by the 
Maine Human Rights Commission.
Sec. 3.  36 MRSA §691, sub-§1, ¶B, as enacted by PL 2005, c. 623, §1, is amended 
to read:
B.  "Excluded person" means:
(1)  A public utility as defined in Title 35‑A, section 102, subsection 13;
(2)  A person that provides radio paging service as defined in Title 35‑A, section 
102, subsection 15;
(3)  A person that provides mobile telecommunications services as defined in Title 
35‑A, section 102, subsection 9‑A;
(4)  A cable television company as defined in Title 30‑A, section 2001, subsection 
2;
(5)  A person that provides satellite-based direct television broadcast services; or
(6)  A person that provides multichannel, multipoint television distribution 
services.;
(7)  A person that has been found by the Maine Human Rights Commission to have 
violated the Maine Human Rights Act in the 60 months prior to approval of the 
exemption;
(8)  A person that has been found by the Department of Labor to have violated any 
of the employment practices requirements within Title 26, chapter 7 in the 60 
months prior to approval of the exemption;
(9)  A person that has been found by the United States Equal Employment 
Opportunity Commission to have violated federal civil rights law in the 60 months 
prior to approval of the exemption; or
(10)  A person that has been found by the United States Department of Labor to 
have violated the federal Fair Labor Standards Act of 1938 in the 60 months prior 
to approval of the exemption.
Sec. 4.  36 MRSA §5219-YY is enacted to read:
§5219-YY.  Exclusion of discriminatory employers
1. Ineligibility for tax credits. Notwithstanding any provision of law to the contrary, 
the following persons are not eligible for the credits in this chapter:
A.  A person that has been found by the Maine Human Rights Commission to have 
violated the Maine Human Rights Act in the 60 months prior to claiming a credit;
B.  A person that has been found by the Department of Labor to have violated any of 
the employment practices requirements within Title 26, chapter 7 in the 60 months 
prior to claiming a credit;
C.  A person that has been found by the United States Equal Employment Opportunity 
Commission to have violated federal civil rights law in the 60 months prior to claiming 
a credit; and
D.  A person that has been found by the United States Department of Labor to have 
violated the federal Fair Labor Standards Act of 1938 in the 60 months prior to claiming 
a credit.
Sec. 5.  36 MRSA §6652, sub-§1-A, as enacted by PL 1997, c. 24, Pt. C, §14, is 
amended to read:
1-A.  Certain persons excluded.  Notwithstanding any other provision of law to the 
contrary, the following persons are not eligible for reimbursement pursuant to this chapter:
A.  A public utility as defined by Title 35‑A, section 102;
B.  A person that provides radio paging services as defined by Title 35‑A, section 102;
C.  A person that provides mobile telecommunications services as defined by Title 
35‑A, section 102;
D.  A cable television company as defined by Title 30‑A, section 2001;
E.  A person that provides satellite-based direct television broadcast services; and
F.  A person that provides multichannel, multipoint television distribution services.;
G.  A person that has been found by the Maine Human Rights Commission to have 
violated the Maine Human Rights Act in the 60 months prior to filing for 
reimbursement;
H.  A person that has been found by the Department of Labor to have violated any of 
the employment practices requirements within Title 26, chapter 7 in the 60 months 
prior to filing for reimbursement;
I.  A person that has been found by the United States Equal Employment Opportunity 
Commission to have violated federal civil rights law in the 60 months prior to filing 
for reimbursement; and
J.  A person that has been found by the United States Department of Labor to have 
violated the federal Fair Labor Standards Act of 1938 in the 60 months prior to filing 
for reimbursement.
This Except for paragraphs G to J, this subsection applies retroactively to property tax years 
beginning after April 1, 1995.
SUMMARY
This bill provides that persons that violate laws against discrimination or certain labor 
laws are not eligible for state financial assistance.