PLEASE NOTE: Legislative Information cannot perform research, provide legal advice, or interpret Maine law. For legal assistance, please contact a qualified attorney.
Amend the bill by striking out all of section 2 and inserting the following:
‘Sec. 2.  10 MRSA §1100-Z, sub-§3, ¶I  is enacted to read:
 
I.  A qualified community development entity may not collect more than half of its fees for services under this program prior to the last credit allowance date.
Sec. 3. 10 MRSA §1100-Z, sub-§4, as amended by PL 2011, c. 548, §5, is repealed and the following enacted in its place:
 
4.  Limit on amount of tax credits authorized.     The maximum aggregate amount of qualified equity investments for which the authority may issue tax credit authority under this section is:
 
A.  Until December 31, 2015, $250,000,000;
 
B.  From January 1, 2016 to December 31, 2016, $300,000,000;
 
C.  From January 1, 2017 to December 31, 2017, $350,000,000;
 
D.  From January 1, 2018 to December 31, 2018, $400,000,000;
 
E.  From January 1, 2019 to December 31, 2019, $450,000,000; and
 
F.  On and after January 1, 2020, $500,000,000.
 
A tax credit claim may not exceed $40,000,000 in any one state fiscal year over the 7 years of the tax credit allowance dates as described in Title 36, section 5219-HH, subsection 1, paragraph A.
Sec. 4. 36 MRSA §5219-HH, sub-§1, ¶J, as amended by PL 2013, c. 75, §1, is further amended to read:
 
J. "Qualified low-income community investment" means any capital or equity investment in, or loan to, any qualified active low-income community business made after September 28, 2011, as long as no more than 5% of such investment is used to refinance costs, expenses or investments incurred or paid by the qualified active low-income community business, or a related party, prior to the date of the qualified low-income community investment; make equity distributions from the qualified active low-income community business to its owners; or acquire an existing Maine business or enterprise. Except as otherwise provided in this paragraph, with respect to any one qualified active low-income community business, the maximum amount of qualified low-income community investments that may be made with the proceeds of qualified equity investments that have been certified under Title 10, section 1100-Z, subsection 3, paragraph G is $10,000,000 per project constructed, maintained or operated by the qualified active low-income community business whether made by one or several qualified community development entities. With respect to investments in a qualified active low-income community business that is a manufacturing or value-added production enterprise, the limit on the qualified low-income community investment is $40,000,000 per project constructed, maintained or operated by the qualified active low-income community business. For the purposes of this paragraph, with respect to projects to which the $10,000,000 limitation applies, "project" includes all land, buildings, structures, machinery and equipment located at the same location and constructed, maintained or operated by the qualified active low-income community business. For the purposes of this paragraph, with respect to projects to which the $40,000,000 limitation applies, "project" means, and refers separately to, each manufacturing or value-added production facility that projects to create or retain more than 200 jobs, including the land, buildings, structures, machinery and equipment functionally related to, and integrated with, the manufacturing or production process conducted on the site of that facility. "Project" does not mean or include the component pieces of an integrated manufacturing or production process conducted on the site of a particular facility.
Sec. 5. Application. That section of this Act that amends the Maine Revised Statutes, Title 36, section 5219-HH, subsection 1, paragraph J applies only to applications received after the effective date of this Act by the Finance Authority of Maine for the Maine New Markets Capital Investment Program, pursuant to Title 10, section 1100-Z, for certification of a qualified equity investment pursuant to Title 10, section 1100-Z, subsection 3, paragraph G.’
 
SUMMARY
This amendment is the minority report of the committee. The amendment does the following.
1. It prohibits a qualified community development entity from collecting more than half of its fees for services under the Maine New Markets Capital Investment Program under the Maine Revised Statutes, Title 10, section 1100-Z prior to the last credit allowance date.
2. It increases the aggregate amount of qualified equity investments for which tax credit authority may be issued from $250,000,000 to $500,000,000, phased in at an additional $50,000,000 per year over 5 years.
3. It increases the maximum amount for an annual tax credit claim from $20,000,000 to $40,000,000.
4. It eliminates the eligibility of certain refinancing and ownership transfer transactions as qualified low-income community investments for the new markets capital investment credit if those transactions exceed 5% of the investment.
5. It provides that the changes made to the definition of "qualified low-income community investment" apply to applications made to the Finance Authority of Maine after the effective date of this legislation.