An Act to Amend Certain State Tax Laws
Maine Legislature, Session 131, LD 2028
Committee Amendment CA_B_S596 (Senate)
Amends: 36 MRSA §194-D

CO:M:MITTEE AMENDMENT "13 " to S.P. 856, L.D. 2028, "An Act to Amend 
Certain State Tax Laws" 
Amend the bill in Part B in section 5 in subsection 9 in the 2nd line (page 2, line 31 in 
L.D.) by inserting after the following: 
11nicotine 11 the following: ', whether natural or 
artificial' 
Amend the bill in Part C by striking out all of section 4. 
Amend the bill by inserting after Part C the following: 
16' 
'PARTD 
Sec. D-1. 36 MRSA §194-D, sub-§2, as amended by PL 2019, c. 607, Pt. D, §4, 
is further amended to read: 
2. Background investigation requirements. The assessor shall perform background 
investigations for affected persons in accordance with this subsection. 
A. As part of the process of evaluating an affected person, except for a current 
employee of the bureau, for employment with the bureau, a background investigation 
must be conducted before an offer of employment is extended. 
B. A background investigation for an affected person assigned to provide services to 
the bureau under an identified contract must be conducted before that affected person 
begins providing services to the bureau, and at least once every ¼ .2.. years, as long as 
the affected person continues providing services to the bureau. 
C. As part of the process of evaluating an affected person for continued employment 
with the bureau, a background investigation must be conducted at least once every ¼ 
.2.. years. If aB a:ffeeted pei;sen has net been sah:jeet tea baekgreund iw.•estigatien within 
Q y:eal's pl'iel' te the effeetive date ef tais seetien, a baekgl'eand inv=estigatien mast be 
eendaeted •Nithin ene )'e&l' efthe effeetFre date efthis seetien. 
D. A background investigation for an employee or contractor of another state agency 
must be conducted before that affected person is provided access, or the substantial 
COMMITTEE AMENDMENT 
ROS 
COMMITTEE AMENDMENT "B" to S.P. 856, L.D. 2028 {5·5?:t~J • 
• I 
possibility of access, to federal tax information obtained from the bureau, and at least 
once every .W. i years, as long as the affected person continues to have such access. 
However, if the assessor determines that the affected person has been subject to a 
background investigation that satisfies the background investigation standards 
established by the United States Internal Revenue Service regarding access to federal 
tax information within the past .W. .2, years, no further investigation is required under 
this subsection for the 10 year 5-year period commencing at the time of the background 
investigation. 
The background investigation must include fingerprinting and obtaining national criminal 
histo1y record information from the Federal Bureau of Investigation and must satisfy the 
background investigation standards established by the United States Internal Revenue 
Service regarding access to federal tax information. 
Sec. D-2. Application of 5-year background investigation period. A person 
who is subject to the Maine Revised Statutes, Title 36, section 194-D, subsection 2, 
paragraph C as an employee of the Department of Administrative and Financial Services, 
Bureau of Revenue Services for whom a background investigation has not been conducted 
within the 5 years prior to the effective date of this Part shall submit to a background 
investigation as required by Title 36, section 194-D, subsection 2 by September 1, 2025.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section 
number to read consecutively. 
SUMMARY 
This amendment amends a provision in the bill relating to the taxation of tobacco 
products by providing that tobacco products include nicotine, whether natural or artificial, 
removes from the bill a provision relating to estimated tax payment requirements for the 
insurance premiums tax and increases the :frequency of the background investigations that 
employees and contractors of the Department of Administrative and Financial Services, 
Bureau of Revenue Services must undergo from at least once every 10 years to at least once 
every 5 years to comply with federal requirements for the protection of confidential federal 
tax information. 
The amendment also requires a current employee of the Bureau of Revenue Services 
who has not undergone a background investigation within the past 5 years to submit to a 
background investigation by September 1, 2025. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Net Cost (Savings) . 
General Fund 
Revenue 
General Fund 
Approved: 03/07/24 ;!;Pae 
LD 2028 
LR 2807(03) 
An Act to Amend Certain State Tax Laws 
Fiscal Note for Bill as Amended by Committee Amendment •e;• [ S-51tJ 
Committee: Taxation 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2023-24 
FY 2024-25 
$0 
($976,000) 
Projections 
FY 2025-26 
($2,555,000) 
Projections 
FY 2026-27 
($2,714,000) 
Other Special Revenue Funds 
$0 
$0 
$976,000 
$1,000 
$2,555,000 
$3,000 
$2,714,000 
$4,000 
Fiscal Detail and Notes 
Amending the products subject to the tobacco products tax to include products containing synthetic nicotine will 
increase tobacco products tax revenue by $951,000 in fiscal year 2024-25 and increase sales tax revenue by $26,000 in 
fiscal year 2024-25. The increase in sales tax revenue results from an estimated increase in retail prices in response to 
the excise tax on products containing synthetic nicotine. Local Government Fund revenue will increase by $1,000 in 
fiscal year 2024-25. 
This bill also requires that transfers from the General Fund to several Other Special Revenue Fund accounts be 
calculated after the reduction of General Fund revenue for transfers of revenue attributable to tax collected on sales 
occurring on tribal lands. This will ensure that not more than 100% ofrevenue attributable to tax collected on sales 
occuring on tribal lands is transfened out of the General Fund and will result in minor decreases in revenue in the 
affected Other Special Revenue Funds accounts. 
LR2807(03) - Fiscal Note - Page I of 1