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An Act To Reduce Child Poverty by Leveraging Investments in Families Today
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  22 MRSA §3109  is enacted to read:
§ 3109. Promoting accountable public programs that reduce child poverty and increase sustainable employment for low-income families with children
The department shall implement a system of accountability to measure the performance of certain programs administered by the department under this subtitle by examining the outcomes of participating families with children on an annual basis. The department shall establish benchmarks to measure, over time, the extent to which these programs have helped to alleviate poverty and hardship among families with children through increased employment, earnings, education and training and the provision of individualized services for those with barriers to employment.
 
1.  Definitions.     As used in this section, unless the context otherwise indicates, the following terms have the following meanings.
 
A.  "Federal poverty level" has the same meaning as in section 3762, subsection 1, paragraph C.
 
B.  "TANF" has the same meaning as in section 3762, subsection 1, paragraph E.
 
2.  Identify measures of child and family economic security.     Beginning October 15, 2017 and annually thereafter, the department shall obtain and compile the following data for the State on an annual basis from those sources reasonably available to the department, including data collected and maintained by the department, data available from other state or federal agencies and such other data as can reasonably be obtained from other public or private sources upon request. The data must include:
 
A.  The number and percentage of children living at or below 100% of the federal poverty level;
 
B.  The number and percentage of households headed by single parents with related children living at or below 100% of the federal poverty level;
 
C.  The number and percentage of children living at or below 50% of the federal poverty level;
 
D.  The ratio of families with children receiving TANF cash assistance to the number of families with children and income at or below 100% of the federal poverty level;
 
E.  The ratio of families with children receiving TANF cash assistance to the number of families with children and income at or below 50% of the federal poverty level;
 
F.  The number and percentage of households with children who are homeless;
 
G.  The number and percentage of individuals and children found to be food insecure by the United States Department of Agriculture;
 
H.  The number and percentage of individuals and children found to have very low food security by the United States Department of Agriculture;
 
I.  For all families that exit TANF cash assistance:
 
(1) The number and percentage of families with earnings in the month of TANF exit and the number and percentage of exiting families with earnings that are below 100%, at least 100% but not more than 150%, at least 151% but not more than 200% and in excess of 200% of the federal poverty level;
 
(2) The number and percentage of families with earnings in excess of $5,000 per quarter in the 2nd quarter and in the 4th quarter after the quarter of exit from TANF; and
 
(3) The mean and median amount of earnings for families in the 2nd quarter and in the 4th quarter after the quarter of exit from TANF;
 
J.  Median and mean wages for families with earnings that have children in the household and receive food supplement benefits pursuant to section 3104;
 
K.  The number and percentage of adult parents or caretaker relatives receiving TANF cash assistance that have a high school degree or have successfully completed a general educational development examination or its equivalent, and the number and percentage of those adult parents or caretaker relatives that left TANF in the prior year that have a high school degree or have successfully completed a general educational development examination or its equivalent; and
 
L.  The number and percentage of adult parents or caretaker relatives receiving TANF cash assistance that have a postsecondary degree or a postsecondary credential and the number and percentage of those adult parents or caretaker relatives that left TANF in the prior year that have a postsecondary degree or postsecondary credential.
 
3.  Benchmarks established.     The department shall examine and use the data related to measures of child and family economic security and employment compiled pursuant to subsection 2 to establish proposed benchmarks on an annual basis to serve as a standard against which progress related to improvements in the well-being of families with children in the State may be measured. Beginning January 15, 2018 and annually thereafter, the department shall present proposed benchmarks to the joint standing committee of the Legislature having jurisdiction over human services matters along with data compiled pursuant to subsection 2 for the current year and comparative data for the 3 prior years for the committee's review. The committee's review must include the opportunity for public comment on the department's proposed benchmarks. After the committee's review and by March 15th annually, the department shall finalize benchmarks for the following year.
 
4.  Report.     By January 15, 2019 and annually thereafter, the department shall report on its progress in meeting benchmarks established for the preceding year, along with proposed benchmarks for the subsequent year, to the joint standing committee of the Legislature having jurisdiction over human services matters. If the department does not successfully meet the benchmarks established for the preceding year, it shall identify those obstacles that prevented it from meeting the benchmarks and present a plan for addressing the obstacles so that the department will be more successful in meeting the new benchmarks proposed for the following year. The joint standing committee of the Legislature having jurisdiction over human services matters shall conduct a public hearing on the department's plan and may introduce any legislation that it considers necessary to improve the department's ability to meet benchmarks in future years.
Sec. 2.  22 MRSA §3737, sub-§4  is enacted to read:
 
4.  Child care rates.     Beginning October 1, 2017, the department shall establish rates for child care that are at least equal to the 75th percentile of local market rates for various categories of child care and higher rates for children with special needs.
Sec. 3. 22 MRSA §3762, sub-§3, ¶B, as amended by PL 2015, c. 267, Pt. RRRR, §2, is further amended to read:
 
B. The department may use funds, insofar as resources permit, provided under and in accordance with the United States Social Security Act or state funds appropriated for this purpose or a combination of state and federal funds to provide assistance to families under this chapter. In addition to assistance for families described in this subsection, funds must be expended for the following purposes:
 
(1) To continue the pass-through of the first $50 per month of current child support collections and the exclusion of the $50 pass-through from the budget tests and benefit calculations;
 
(2) To provide financial assistance to noncitizens legally admitted to the United States who are receiving assistance under this subsection as of July 1, 2011. Recipients of assistance under this subparagraph are limited to the categories of noncitizens who would be eligible for the TANF programs but for their status as aliens under PRWORA. Eligibility for the TANF program for these categories of noncitizens must be determined using the criteria applicable to other recipients of assistance from the TANF program. Any household receiving assistance as of July 1, 2011 may continue to receive assistance, as long as that household remains eligible, without regard to interruptions in coverage or gaps in eligibility for service. A noncitizen legally admitted to the United States who is neither receiving assistance on July 1, 2011 nor has an application pending for assistance on July 1, 2011 that is later approved is not eligible for financial assistance through a state-funded program unless that noncitizen is:
 
(a) Elderly or disabled, as described under the laws governing supplemental security income in 42 United States Code, Sections 1381 to 1383f (2010);
 
(b) A victim of domestic violence;
 
(c) Experiencing other hardship, such as time necessary to obtain proper work documentation, as defined by the department by rule. Rules adopted by the department under this division are routine technical rules as defined by Title 5, chapter 375, subchapter 2-A; or
 
(d) Unemployed but has obtained proper work documentation, as defined by the department by rule. Rules adopted by the department under this division are routine technical rules as defined by Title 5, chapter 375, subchapter 2-A;
 
(3) To provide benefits to certain 2-parent families whose deprivation is based on physical or mental incapacity;
 
(4) To provide an assistance program for needy children, 19 to 21 years of age, who are in full-time attendance in secondary school. The program is operated for those individuals who qualify for TANF under the United States Social Security Act, except that they fail to meet the age requirement, and is also operated for the parent or caretaker relative of those individuals. Except for the age requirement, all provisions of TANF, including the standard of need and the amount of assistance, apply to the program established pursuant to this subparagraph;
 
(5) To provide assistance for a pregnant woman who is otherwise eligible for assistance under this chapter, except that she has no dependents under 19 years of age. An individual is eligible for the monthly benefit for one eligible person if the medically substantiated expected date of the birth of her child is not more than 90 days following the date the benefit is received;
 
(6) To provide a special housing allowance for TANF families whose shelter expenses for rent, mortgage or similar payments, homeowners insurance and property taxes equal or exceed 75%50% of their monthly income. The special housing allowance is limited to $200$300 per month for each family. For purposes of this subparagraph, "monthly income" means the total of the TANF monthly benefit and all income countable under the TANF program, plus child support received by the family, excluding the $50 pass-through payment;
 
(6-A) Beginning October 1, 2017, to provide housing assistance in the form of a voucher provided directly to the landlord, lessor or other housing provider for TANF families whose shelter expenses equal or exceed 50% of their monthly income. This housing assistance must be administered through the Maine State Housing Authority and provided with funds from the TANF federal block grant or federal maintenance of effort funds. The department shall provide a reasonable administrative fee to the Maine State Housing Authority for the cost of administering the housing assistance program. The following conditions apply to the provision of housing assistance under this subparagraph:
 
(a) A TANF family may receive housing assistance under this subparagraph if the family's rental cost meets the fair market rent standards published by the United States Department of Housing and Urban Development pursuant to 24 Code of Federal Regulations, Section 888.115 for the area in which the family's housing is located and meets any housing quality standards adopted by the Maine State Housing Authority;
 
(b) A TANF family receiving housing assistance shall pay the same portion of the family's income toward rent as required by the formula used by the housing choice voucher program administered by the United States Department of Housing and Urban Development, Office of Public and Indian Housing, Office of Housing Choice Vouchers;
 
(c) A TANF family who receives housing assistance under this subparagraph is not eligible to receive the special housing allowance under subparagraph (6);
 
(d) Any otherwise eligible TANF family who receives housing assistance under this subparagraph remains eligible notwithstanding receipt of this assistance; and
 
(e) A TANF family who is ineligible for or who cannot accept a housing choice voucher under this subparagraph and whose shelter expenses for rent, mortgage or similar costs and homeowner's insurance and property taxes equal or exceed 50% of the family's monthly income is eligible to receive a special housing allowance provided under subparagraph (6).
 
The department shall adopt routine technical rules, as defined in Title 5, chapter 375, subchapter 2-A, to implement the provisions of this subparagraph;
 
(7) In determining benefit levels for TANF recipients who have earnings from employment, the department shall disregard from monthly earnings the following:
 
(a) One hundred and eight dollars;
 
(b) Fifty percent of the remaining earnings that are less than the federal poverty level; and
 
(c) All actual child care costs necessary for work, except that the department may limit the child care disregard to $175 per month per child or $200 per month per child under 2 years of age or with special needs;
 
(7-A) In determining eligibility and benefit levels, the department may apply a gross income test only to applicants and not to recipients;
 
(8) In cases when the TANF recipient has no child care cost, the monthly TANF benefit is the maximum payment level or the difference between the countable earnings and the standard of need established by rule adopted by the department, whichever is lower;
 
(9) In cases when the TANF recipient has child care costs, the department shall determine a total benefit package, including TANF cash assistance, determined in accordance with subparagraph (7) and additional child care assistance, as provided by rule, necessary to cover the TANF recipient's actual child care costs up to the maximum amount specified in section 3782-A, subsection 5. The benefit amount must be paid as provided in this subparagraph.
 
(a) Before the first month in which child care assistance is available to an ASPIRE-TANF recipient under this paragraph and periodically thereafter, the department shall notify the recipient of the total benefit package and the following options of the recipient: to receive the total benefit package directly; or to have the department pay the recipient's child care assistance directly to the designated child care provider for the recipient and pay the balance of the total benefit package to the recipient.
 
(b) If an ASPIRE-TANF recipient notifies the department that the recipient chooses to receive the child care assistance directly, the department shall pay the total benefit package to the recipient.
 
(c) If an ASPIRE-TANF recipient does not respond or notifies the department of the choice to have the child care assistance paid directly to the child care provider from the total benefit package, the department shall pay the child care assistance directly to the designated child care provider for the recipient. The department shall pay the balance of the total benefit package to the recipient;
 
(10) Child care assistance under this paragraph must be paid by the department in a prompt manner that permits an ASPIRE-TANF recipient to access child care necessary for work; and
 
(11) The department shall adopt rules pursuant to Title 5, chapter 375 to implement this subsection. Rules adopted pursuant to this subparagraph are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.; and
 
(12) Beginning October 1, 2017, the department shall establish rates for child care that are at least equal to the 75th percentile of local market rates for various categories of child care and higher rates for children with special needs.
Sec. 4.  22 MRSA §3762, sub-§8, ¶G  is enacted to read:
 
G.  The department shall make transitional housing assistance available to:
 
(1) A family who loses eligibility for TANF as a result of increased earnings or an increase in the number of hours worked or a family in which one or both adults are working and who, although the family remains financially eligible for TANF benefits, requests that the family's benefits be terminated and:
 
(a) Whose shelter expenses equal or exceed 50% of the family's monthly income notwithstanding any receipt of housing assistance under this section;
 
(b) Whose income does not exceed 50% of the median income for the county or metropolitan area in which the family lives; and
 
(c) Who is participating in a work activity that may be counted in accordance with 45 Code of Federal Regulations, Section 261.31 except for temporary periods of unemployment that may not exceed 4 months.
 
Housing assistance under this paragraph must be administered by the Maine State Housing Authority in the same manner as provided for in subsection 3, paragraph B, subparagraph (6-A). The family's percentage of rent must increase relative to the family's earnings in the same manner as the housing choice voucher program administered by the United States Department of Housing and Urban Development, Office of Public and Indian Housing, Office of Housing Choice Vouchers.
 
A transitional TANF family that is ineligible for or cannot accept a housing choice voucher under this paragraph and whose shelter expenses for rent, mortgage or similar costs and homeowner's insurance and property taxes equal or exceed 50% of the family's monthly income is eligible to receive a special housing allowance provided under subparagraph (6) as long as the family is otherwise eligible in accordance with this paragraph.
Sec. 5. 22 MRSA §3763, sub-§8, as amended by PL 2005, c. 522, §1, is further amended to read:
 
8. Alternative aid.   The department shall provide alternative aid within 2 business days of the submission of a completed application to applicants who seek short-term assistance in order to obtain or retain employment. The applicants must meet the eligibility requirements established by rule adopted pursuant to section 3762, subsection 3, paragraph A. Two-parent families are eligible for alternative aid using the same eligibility standards and requirements as families headed by a single custodial parent or caretaker relative. Following a determination that an individual is eligible to receive alternative aid, the department shall assist the individual in identifying a qualified vendor and provide assurance of payment to that vendor within 5 working days of approval of the application. The alternative aid may not exceed 34 times the value of the monthly TANF grant for which the applicant's family is eligible for a full month. An eligible applicant may receive alternative aid no more than once during any 12-month period. If the family reapplies for TANF within 3 months of receiving alternative aid, the family shall repay any alternative aid received in excess of the amount that the family would have received on TANF. The method of repayment must be the same as that used for the repayment of unintentional overpayments in the TANF program.
 
The department shall provide applicants with the names and contact information for vendors approved in its vendor payment system, and advise applicants of how a vendor may gain department approval to receive vendor payments to facilitate prompt provision of aid under this subsection.
Sec. 6. 22 MRSA §3769-C, sub-§1, as amended by PL 2001, c. 439, Pt. CC, §1 and PL 2003, c. 689, Pt. B, §6, is further amended to read:
 
1. Amount of assistance.   It is the goal of this section to provide low-income families with children sufficient income to meet their most basic needs. If the commissioner determines that unexpended funds are available within the Department of Health and Human Services state or federal ASPIRE or TANF accounts, the commissioner may, by rule, use those funds to increase the maximum levels of assistance in the TANF Program.
 
A. Beginning October 1, 2001, the department shall use unexpended funds in the TANF program to increase the maximum amount of TANF assistance by an amount equal to 5% of the maximum payments that were in effect on January 1, 2001, and shall increase the standard of need to maintain the same differential between the maximum payment and the standard of need that was in effect on January 1, 2001. Initial applicants for assistance may not become eligible for assistance as a result of any increase in the standard of need required by this paragraph.
 
B. Beginning with the 2004-2005 fiscal biennium, the commissioner must continue the 5% benefit increase provided for in paragraph A in the department's current services budget request for the TANF block grant.
 
C.  Beginning October 1, 2017, the department shall increase the maximum amount of monthly TANF assistance by an amount equal to the percentage increase required to raise the maximum amount of monthly assistance for a family of 3 with an adult included to the average maximum amount of monthly assistance for a family of 3 in the other New England states rounded to the nearest dollar.
 
D.  Beginning January 1, 2018, the department shall increase the maximum amount of monthly TANF assistance by an amount equal to the increase, if any, in the cost of living. The increase in the cost of living must be measured by the percentage increase, if any, as of August of the previous year over the level as of August of the year preceding that year in the Consumer Price Index for Urban Wage Earners and Clerical Workers, CPI-W, for the Northeast Region, or its successor index, as published by the United States Department of Labor, Bureau of Labor Statistics or its successor agency, with the amount of the increase rounded to the nearest dollar.
Sec. 7.  22 MRSA §§3769-E to 3769-H  are enacted to read:
§ 3769-E. TANF reserve
 
1.  Reserve established.     A TANF reserve is established for the purposes specified in this section. The reserve must be funded with an amount equal to 25% of the State's TANF block grant that must be designated from the accrued amount of unobligated and unliquidated funds available from the TANF block grant in years prior to federal fiscal year 2017.
 
2.  Allocations from the TANF reserve; purpose.     The TANF reserve must be used to prevent any loss of services or assistance under this chapter or chapter 1054, 1054-A or 1054-B that would otherwise occur as a result of insufficient State maintenance of effort or federal block grant funds.
 
3.  Report by State Controller.     The State Controller shall report at least annually on the TANF reserve on or before January 15th to the joint standing committee of the Legislature having jurisdiction over appropriations and financial affairs and the joint standing committee of the Legislature having jurisdiction over health and human services matters. The report must summarize the status of and activity in the TANF reserve.
§ 3769-F. Working Cars for Working Families Program
There is established the Working Cars for Working Families Program, referred to in this section as "the program," to help families with children obtain or retain sustainable employment by providing them with access to reliable, affordable transportation. The program provides eligible families, as determined under subsection 4, with loans to purchase vehicles or with donated vehicles as described in subsection 7.
 
1.  Definitions.     As used in this section, unless the context otherwise indicates, the following terms have the following meanings.
 
A.  "Enrollment period" means the 3-year period following the date an individual has been approved for program participation. If an individual's participation in the program is terminated by the department before the end of the 3-year period, the enrollment period ends on the date the department terminates the individual's participation in the program.
 
B.  "Pilot period" means fiscal years 2017-18, 2018-19, 2019-20 and 2020-21.
 
2.  Funding established.     For fiscal years 2017-18 to 2020-21, the department shall use $10,000,000 in funds provided under the TANF federal block grant and accrued prior to fiscal year 2017-18 to fund the program.
 
3.  Administration.     The department may contract with a private nonprofit agency or agencies to administer the program established by this section in fiscal years 2017-18 to 2020-21. The agency or agencies must provide services to eligible families statewide and have demonstrated capacity to work with low-income families and provide case management assistance. Nothing in this section may be construed to mean that the department, or any agency delivering program services under contract with the department, is required to obligate or expend any funds beyond existing funds available to them under this section.
 
4.  Eligibility requirements.     Within the limits of available program resources, an individual is eligible for services under this program as determined by the department if the individual's family:
 
A.  Includes a minor child or children living in the household;
 
B.  Has income that is less than 200% of the federal poverty guidelines;
 
C.  Is engaged in employment, or is participating in a training or education program directly leading to employment, including but not limited to the Parents as Scholars Program established pursuant to section 3790, the Competitive Skills Scholarship Program established pursuant to Title 26, section 2033 or any program approved by a career center administered by the Department of Labor;
 
D.  Would have improved access to sustainable employment or preparation for employment as a result of program participation;
 
E.  Has the financial ability or necessary resources available to insure and maintain a vehicle, including resources that may be available through the ASPIRE-TANF Program under section 3782-A or alternative aid under section 3763; and
 
F.  Agrees to participate in a case management program under subsection 8 designed to improve understanding of the responsibilities of car ownership as a condition of program eligibility.
 
5.  Application; decision; appeal.     The department shall give an individual the opportunity to make a written application for the program and the individual must be given a prompt written decision in response to that application. Any decision related to eligibility for the program under this section must include notice that the decision may be appealed by the individual through a request for a hearing within 30 days of receipt of the decision in accordance with rules adopted by the department. The 30-day appeal period may be extended if the claimant can show good cause for failing to appeal within the 30-day period.
 
6.  Vehicles provided.     Under the program, the agency or agencies administering the program shall obtain reliable vehicles and provide them to eligible individuals. The amount of any payment by an individual must be established using a sliding scale, which may include down payment assistance, designed to ensure affordability and the greatest likelihood of successful program participation. The sliding scale must provide that no monthly payment for a program vehicle is due, nor does one accrue, from any individual whose family income is at or below 100% of the federal poverty guidelines.
 
7.  Program vehicles; reliability.     All vehicles donated or subject to loans under this program must be assessed prior to acceptance into the program to determine that they are sufficiently reliable to ensure, to the greatest extent feasible, a family's successful participation in the program. A program administrator shall have the option of repairing or selling any vehicle that does not meet the standard of reliability established for acceptance into the program. Any proceeds from such sale must be reinvested in the program.
 
8.  Case management services.     Agencies administering the program must provide case management services to participating individuals to ensure that they will have information about the basic responsibilities of car ownership and the support necessary to participate successfully in the program.
 
9.  Registration, insurance and repairs.     Agencies administering the program shall use 10% of funds provided by the department to establish a reserve fund for emergencies related to repairs or other necessary costs essential for maintaining a vehicle for eligible participants.
 
10.  Participant savings account.     A participant in the program must designate 15% of the participant's monthly loan payment for deposit in a separate identifiable account that may be used during the period of enrollment only for program vehicle repairs, insurance or registration costs for a program vehicle or other transportation-related purposes. The participant's payment must be matched by the program administrator with funds available to the program. Any balance available in such an account at the end of the participant's enrollment period must be provided to the program participant.
 
11.  Obligated funds carried over beyond pilot period.     Any funds provided under this section may be carried forward beyond the pilot period to continue to provide program services to an eligible participant for the duration of that participant's enrollment period as long as those funds were obligated prior to the expiration of the pilot period.
 
12.  Program evaluation.     The department shall submit a report by January 15, 2022 to the joint standing committee of the Legislature having jurisdiction over human services matters evaluating the program. The report must include:
 
A.  The number of families and individuals participating in the program for each year of the pilot period, indicating the number receiving a donated vehicle and those who participated through a loan agreement;
 
B.  The number of participants engaged in employment or participating in an education or training program at the time the participants entered the program;
 
C.  The number and percentage of participants that successfully completed an education or training program while participating in the program;
 
D.  The number and percentage of participants that were continuously employed throughout the participants' period of participation;
 
E.  The number and percentage of participants who experienced an increase in wages or hours of employment throughout their period of enrollment;
 
F.  The number and percentage of participants that defaulted on a loan and were terminated from the program as a result; and
 
G.  The number and percentage of participants that left the program prior to the end of the participants' enrollment period.
 
After reviewing the evaluation, the committee may introduce legislation, including emergency legislation, to continue or modify the program established under this section.
§ 3769-G. Addiction prevention and family stabilization
 
1.  Establishment; purpose.     The Addiction Prevention and Family Stabilization Program, referred to in this section as "the program," is established to provide:
 
A.  To homeless youth under 25 years of age at high risk of addiction to opioids or addicted to opioids, case management, education, employment and housing services, including the provision of housing to prevent homelessness; and
 
B.  To parents suffering from addiction seeking to support or reunite with the parents' minor children, housing stabilization support and services, including the provision of housing as necessary to prevent homelessness.
 
2.  Requirements.     The department shall award grants under the program to contractors in accordance with the following requirements and under the following conditions.
 
A.  The program must provide grants in those areas of the State where the need is greatest. The department must determine the areas with greatest need by examining a matrix of factors, including general assistance expenditures; the existence of waiting lists, if any; the existence of experienced homeless services providers and clinicians; and other reliable data relevant to a determination.
 
B.  Participation in the program by an individual must be voluntary and may not be required as a condition of eligibility for any public assistance program that assists an individual in meeting the individual's basic needs, but may satisfy any such requirements if applicable to a particular program and met on a voluntary basis.
 
C.  The program must coordinate with emergency shelters, street outreach providers and clinical and other health services necessary to assist persons with substance use disorder in recovery.
 
D.  The program may serve individuals with incomes at or below 200% of the federal poverty level as defined in section 3762, subsection 1, paragraph C.
 
3.  Administration; operation by outside entity; grants; costs.     The department shall administer the program. The department may contract with entities not in State Government to provide housing and other services authorized under the program and award grants to such entities under a competitive bid process. The department may use a portion of the funding provided for the program for the administrative costs of the department.
 
4.  Funds.     For fiscal years 2017-18 to 2020-21, the department shall use $1,100,000 in funds provided under the TANF federal block grant and accrued prior to fiscal year 2017-18 to fund the program.
§ 3769-H. Increased affordability; reduced energy use for low-income homeowners with children
 
1.  Program established.     The department may contract with a private nonprofit agency or agencies to administer a program to reduce energy use and improve heating affordability for low-income families with children in fiscal years 2017-18 to 2020-21. The agency or agencies must have experience providing services to low-income families statewide and have demonstrated capacity to work with low-income homeowners to improve heating affordability and reduce energy use. For fiscal years 2017-18 to 2020-21, the department shall use $5,000,000 in unobligated funds provided under the TANF federal block grant and accrued in fiscal years prior to fiscal year 2016-17 to assist qualifying low-income families with children with incomes under 200% of the federal poverty level, as defined in section 3762, subsection 1, paragraph C, in obtaining heat pumps to reduce their heating costs and increase their economic stability.
 
2.  Report.     The department shall submit a report by January 15, 2020 to the joint standing committee of the Legislature having jurisdiction over human services matters evaluating the program established by this section along with data demonstrating the effectiveness of the program in reducing heating costs and increasing economic stability for low-income families with children. After reviewing the evaluation, the committee is authorized to introduce legislation to the Second Regular Session of the 129th Legislature, including emergency legislation, to continue or modify the program established under this section.
Sec. 8.  22 MRSA §3790, sub-§3-A  is enacted to read:
 
3-A.  Coordination with state educational institutions and programs.     The department shall accept a referral from an educational institution or program that is part of the University of Maine System; the Maine Community College System; Jobs for Maine's Graduates, established in Title 20-A, section 6901; an adult education program established in Title 20-A, chapter 315; or the career centers established by the Department of Labor made on behalf of an eligible applicant for the program as long as the referral includes a written statement signed by the prospective student expressing a desire to enroll in the program. Such a statement, along with a referral, must be considered an application for enrollment in the program and must be processed in accordance with department rule. The department shall notify these institutions or programs of the opportunity to refer prospective students in accordance with this subsection and provide them with a referral form and statement to be signed by the student to be used for application purposes under this subsection.
Sec. 9. 36 MRSA §5219-S, as amended by PL 2015, c. 328, §8, is further amended to read:
§ 5219-S.Earned income credit
 
1. Resident taxpayer.   A resident individual is allowed a credit against the tax otherwise due under this Part in the amount of 15% of the federal earned income tax credit if taxable income is equal to or less than 100% of the federal poverty level, as defined in Title 22, section 3762, subsection 1, paragraph C; 10% of the federal earned income tax credit if taxable income is between 101% and 150% of the federal poverty level; and 5% of the federal earned income credit for all other resident individuals for the same taxable year, except that for tax years beginning in 2009 and 2010, the applicable percentage is 4%.
 
2. Nonresident taxpayer.   A nonresident individual is allowed a credit against the tax otherwise due under this Part in the amount of 15% of the federal earned income tax credit if taxable income is equal to or less than 100% of the federal poverty level, as defined in Title 22, section 3762, subsection 1, paragraph C; 10% of the federal earned income tax credit if taxable income is between 101% and 150% of the federal poverty level; and 5% of the federal earned income credit for all other resident individuals for the same taxable year, except that for tax years beginning in 2009 and 2010, the applicable percentage is 4%, multiplied by the ratio of the individual's Maine adjusted gross income, as defined in section 5102, subsection 1-C, paragraph B, to the individual's entire federal adjusted gross income, as modified by section 5122.
 
3. Part-year resident taxpayer.   An individual who files a return as a part-year resident in accordance with section 5224-A is allowed a credit against the tax otherwise due under this Part in the amount of 15% of the federal earned income tax credit if taxable income is equal to or less than 100% of the federal poverty level, as defined in Title 22, section 3762, subsection 1, paragraph C; 10% of the federal earned income tax credit if taxable income is between 101% and 150% of the federal poverty level; and 5% of the federal earned income credit for all other individuals who file returns as part-year residents for the same taxable year, except that for tax years beginning in 2009 and 2010, the applicable percentage is 4%, multiplied by a ratio, the numerator of which is the individual's Maine adjusted gross income as defined in section 5102, subsection 1-C, paragraph A for that portion of the taxable year during which the individual was a resident plus the individual's Maine adjusted gross income as defined in section 5102, subsection 1-C, paragraph B for that portion of the taxable year during which the individual was a nonresident and the denominator of which is the individual's entire federal adjusted gross income, as modified by section 5122.
 
4. Limitation.   The credit allowed by this section may not reduce the Maine income tax to less than zero, except that for tax years beginning on or after January 1, 2016, the credit allowed under subsections 1 and 3 is refundable.
 
5.  Payment.     The bureau shall estimate the portion of the cost to provide a refundable tax credit under this section to households with qualifying children with incomes at or below 150% of the federal poverty level, as defined in Title 22, section 3762, subsection 1, paragraph C. The amount determined necessary for the payment of refunds to these households at or below 150% of the federal poverty level must be allocated from federal Temporary Assistance for Needy Families block grant funds and transferred to the Department of Administrative and Financial Services for deposit in the General Fund for payment of these costs.
 
6.  Protection from loss of benefits.     Notwithstanding any other provision of law, any refund made to an individual under this section may not be taken into account as income and may not be taken into account as resources for a period of 12 months from receipt of the refund for purposes of determining the eligibility of the individual for benefits or assistance or the amount or extent of benefits or assistance under any federal program or any state or local program based on need.
Sec. 10. Funding. Any administrative, technological or other costs associated with the purposes of this Act for families eligible for the Temporary Assistance for Needy Families, TANF, program must be funded by using the federal block grant funding allocated to the Department of Health and Human Services within the state family assistance grant of the TANF program or existing state maintenance of effort funds, which may be replaced with federal block grant funds at no additional cost to the General Fund, except that funds for the purposes related to amendment of the Maine Revised Statutes, Title 22, section 3737, subsection 4 must be funded using the federal block grant funding allocated to the Department of Health and Human Services within the child care development block grant.
Sec. 11.  Rulemaking. By October 1, 2017, the Department of Health and Human Services shall adopt routine technical rules, as defined in the Maine Revised Statutes, Title 5, chapter 375, subchapter 2-A, to implement the provisions of Title 22, sections 3769-F and 3769-H, including a rule defining good cause for purposes of Title 22, section 3769-F, subsection 5.
 
SUMMARY
This bill makes the following changes to the laws governing public assistance. The bill is intended to help alleviate poverty and hardship among families with children through increased employment, earnings, education and training and the provision of support and individualized services for those with particular barriers to employment. The bill:
1. Requires the Department of Health and Human Services to collect data to measure the status of child and family economic security and establish benchmarks on an annual basis to monitor year-to-year improvement in the well-being of families with children in the State;
2. Directs the Department of Health and Human Services to increase access to high-quality child care services by establishing rates that are equal to the 75th percentile of local market rates for various categories of child care and higher rates for children with special needs for services provided through the child care development block grant and the temporary assistance to needy families block grant;
3. Establishes a voucher program to improve housing stability and reduce risk of homelessness through the Maine State Housing Authority. The voucher program provides housing assistance in the form of a voucher to Temporary Assistance for Needy Families, TANF, families and TANF transitional families whose shelter expenses equal or exceed 50% of their monthly income;
4. Amends the alternative aid provisions to help families facing an emergency that threatens their ability to get or keep a job by extending program eligibility to 2-parent families, requiring that assistance be provided more promptly and modifying the amount of aid that may be available to address an emergency;
5. Provides an increase in the monthly TANF maximum benefit. It requires that Maine's TANF benefit equal the average TANF benefit in other New England states;
6. Establishes a pilot program that provides access to reliable transportation for working low-income families with children or those engaged in a training program directly leading to employment;
7. Establishes a program that increases heating affordability and reduces energy use among low-income homeowners with children;
8. Establishes a TANF reserve fund using accrued but unobligated and unliquidated funds from the TANF federal assistance grant to maintain eligibility and services when adequate funding is not otherwise available;
9. Allows the Department of Health and Human Services to accept referrals from educational institutions and similar programs in the State for eligible parents for the Parents as Scholars Program;
10. Increases the value of the state earned income credit for working families whose incomes are below 150% of the federal poverty level;
11. Ensures that funding to provide the eligibility and services established by this bill will come from the state family assistance grant and the child care development block grant; and
12. Establishes the Addiction Prevention and Family Stabilization Program.