Legislative Documents - Brief Descriptions
121st Maine Legislature 2003-2004
Senate Vote Descriptions
2003 - First Regular Session
1. Labor - Workers' Compensation - Amend the Maine Workers' Compensation Act of 1992 as it Relates to Compensation for Amputation of a Body Part. LD 101 - Roll Call Vote No.118. Both the Senate and the House defeated this bill. The proposed legislation would have amended the Maine Workers' Compensation Act of 1992 to provide a lump-sum benefit in addition to the current weekly benefit when an employee's injury is the amputation of a body part. The amount of the lump-sum benefit would have been equal to incapacity. When there is a presumption of total incapacity, the lump-sum payment would have been equal to 800 times 80% of the employee's after-tax average weekly wage and it would have been mandatory that the payment be made within 120 days of a doctor's certification. The benefits originally applied retroactively to all injuries occurring on or after January 1, 1993. However, an amendment was introduced that would have limited claims to injuries occurring on or after January 1, 2003 rather than to injuries occurring on or after January 1, 1993. Fiscal Note (cost to state government): Fiscal Detail and Notes: The cost of this requirement to the State's self-insured program could not be determined at the time the bill was produced and would have depended on the impact this measure would have had on future premiums. The State did not have any injured employees in the presumption of total incapacity category when this bill was considered. However, the fiscal impact to the State if such a case arises may be significant (as determined in a report by the State). Editor's note: The impact on private companies can be inferred to be as equally significant as the State determined it could be for State government.
The vote was 16 Yea ? 16 Nay with 3 Senators absent from the vote - roll call# 118. A NO vote on this roll call was good for Maine's businesses (To accept the Labor Committee's Majority Ought to Pass as Amended Report).
2. Labor - Unemployment Compensation - An Act to Ensure that Maine's Unemployment System is Responsive to the Needs of Today's Workforce. LD 240 - Roll Call Vote No 148. The Senate & the House passed this bill and it was signed into law by the Governor. This new law changes current law which requires an individual to be available for full-time work to receive unemployment benefits. This legislation would expand the unemployment system to include providing benefits to individuals who are only available for part-time work. The Department of Labor projected that this significant change could cost Maine businesses as much as $60 million over a 9 year period. Proposals similar to this were twice vetoed by then Governor Angus King. The original bill was amended to provide the specific circumstances under which a person who is unavailable for full-time work can continue to be eligible for unemployment benefits. Under the amendment, a person who has a history of part-time work is not disqualified from receiving unemployment benefits as long as that person continues to be available to work for a number of hours comparable to the number worked during part-time weeks in the base period. A person who is unavailable to work full-time is not disqualified from receiving benefits if the person's lack of availability is the result of illness or disability of an immediate family member or the lack of availability is necessary for the safety or protection of the individual or a member of the individual's immediate family. The vote was 19 Yea?15 Nay with 1 Senator Absent from the vote - roll call# 148. A NO vote on this roll call supported Maine businesses (Enactment) - This new legislation was signed into law by the Governor.
3. Business Regulations - Require Full Disclosure of Prescription Drug Marketing Costs. LD 254 Roll Call Vote No.117. The Senate & the House passed this bill and it was signed into law by the Governor. This new law requires prescription drug manufacturers and labelers whose drugs are dispensed to state residents to file annual reports with the Department of Human Services regarding their expenses for
marketing their drugs. The bill requires the department to file an annual report with the Legislature and the Attorney General regarding the information filed and a biennial report that contains analysis of information and recommendations. The bill continues the confidentiality of trade information that is protected under state and federal law. The bill provides for a fine of $10,000 for failure to report as required. The bill provides for rulemaking by the Department and contains an effective date of January 1, 2004.
The original bill was amended to exempt from the reporting requirements advertising purchased for a regional or national market, changes the fine from $10,000 to $1,000 and changes the effective date to July 1, 2004. The amendment adds a requirement that the Department of Human Services report to the joint standing committee of the Legislature having jurisdiction over health and human services matters by January 1, 2005 and July 1, 2005 regarding assessment of fees on prescription drug manufacturers and labelers and the use of those fees to support the work of the department.
Editor's Note: This new law sets a serious precedent for making sensitive company marketing costs and expenditures public. Similar legislation applying to another business sector was introduced during a previous legislature and ultimately defeated.
The vote was 19 Yea - 15 Nay with 1 Senator absent for the vote - roll call# 117. A NO vote on this roll call was good for Maine's business environment (To accept the Banking & Insurance Committee's Majority Ought to Pass as Amended Report). This new legislation was signed into law by the Governor.
4. Economic Development - Citizen Initiatives - Amend the Laws Governing Municipal Citizen Initiatives and Referenda. LD 389 - Roll Call Vote No.162. The Senate defeated this bill, which had originally passed in the House. This bill proposed to prohibit municipal ordinances or bylaws enacted by citizen initiative or referendum from containing retroactivity provisions that have the effect of invalidating, repealing, revoking or modifying any building permit, land use approval or other action having the effect of permitting development if that permit or approval was issued or that action was taken prior to enactment of the ordinance or bylaw (for example previously approved land use or building permits). The vote was 15 Yea - 18 Nay with 1 Senator absent and 1 Senator Excused from the vote - roll call# 162. A NO vote on this roll call supported Maine's business environment (To accept the State and Local Government Committee's Minority Ought Not to Pass Report).
5. Labor - Workers' Compensation - Improve Collection of Information About Work-related Injuries and to Enhance Injury Prevention Efforts. LD 398 - Roll Call Vote No. 132.
The Senate and the House passed this bill and it was signed into law by the Governor. This legislation adds reporting requirements for employers. Under this new law any injury that requires medical care must also be reported to the Workers' Compensation Board. Information required includes wages or earnings of the employee. Previous law only required reporting when work-related injury caused the employee to lose a day's work. The new law also requires insurers, self-insurers, and group self-insurers to file injury reports electronically.
Costs: According to the State's estimates the Workers' Compensation Board will require an increase in the assessment cap to $6,932,356 in fiscal year 2003-04 and $7,055,364 in fiscal year 2004-05 to fund one Programmer Analyst position and for the setup, consulting, and training costs associated with implementing an electronic filing system. Increasing the workers' compensation assessment will increase the cost to all State government agencies for the workers' compensation portion of personal services expense. The amount cannot be determined at this time. This requirement will have a fiscal impact on employers who currently do not have the ability to file information electronically. The total cost to employers cannot be determined at this time. The cost to the Department of Labor to convene a working group can be absorbed by the Department utilizing existing budgeted resources. Projected minimum identified cost in each budget year to cover just part of the State's costs is $200,000.
The vote was a close 18 Yea - 17 Nay vote - roll call# 132. A NO vote on this roll call was good for Maine's business environment (To Accept the Criminal Justice Committee's Majority Ought to Pass as Amended report). This new legislation was signed into law by the Governor.
6. Labor - Workers' Compensation - Reimburse Employees for Attorney's Fees and Costs When Forced to Pursue Petitions for Payment of Medical Services. LD 510 - Roll Call Vote No.151. The Senate and the House defeated this bill. This bill would have required a workers' compensation hearing officer to order an employer to pay attorney's fees and costs incurred by an employee if the hearing officer finds that the employer's refusal to pay medical benefits was not based on reasonable grounds.
The vote was 11 Yea - 19 Nay with 4 Senators absent and 1 Senator Excused from the vote - roll call# 151. A NO vote on this roll call supported Maine businesses (To Accept the Labor Committee's Majority Ought to Pass as Amended report ).
7. Business Regulations - Amend the Laws Governing Privacy of Consumer Financial Information. LD 661 - Roll Call Vote No. 56. The Senate and the House defeated this bill. Currently, state law conforms to the opt-out provisions of the federal Gramm-Leach-Bliley Act regarding the disclosure of nonpublic personal information. This bill proposed to put in place an opt-in requirement so that financial services providers, including banks, credit unions, securities firms and mortgage companies, must have permission from individuals before disclosing nonpublic personal information to nonaffiliated 3rd parties upon approval by voters at a statewide referendum.
The vote was 11 Yea - 19 Nay with 4 Senators absent and 1 Senator Excused from the vote - roll call# 56. A NO vote on this roll call supported Maine's businesses (To accept the Banking & Insurance Committee's Minority Ought to Pass as Amended Report).
8. Labor - Unemployment Compensation - Eliminate the Social Security Offset for Unemployment Benefits. LD 880 - Roll Call Vote No.57. Both the Senate and the House passed this bill, but the Senate ultimately sent it back to committee where it was recommended for carry-over to next session. This bill proposes to eliminate the pension offset against unemployment benefits for persons who receive Social Security or other pensions, provided the person contributed at least 50% of the contributions to that pension. As under current law, if the person contributed some amount to the pension, but not 50%, the offset is made in proportion to the employee's contribution. An amendment was added to the bill to clarify that a Social Security benefit is included among the category of pensions that are not offset against unemployment compensation benefits. It also makes a technical correction by deleting unnecessary language from the bill and revises a provision of the bill for greater clarity.
Fiscal Detail and Notes: The Department of Labor estimates this bill will increase benefits paid from the Unemployment Compensation Trust Fund beginning in fiscal year 2003-04. The amount can not be determined at this time. However, estimates developed by the Department of Labor using 2002 data indicate the increase in benefit costs to be approximately $2,700,000. The cost increase would move the unemployment contributions schedule from B to C for rate year 2005, increasing collections by $12,200,000 in 2005 and an additional $1,500,000 in 2006. The State and all other direct reimbursement employers will be required to repay the Unemployment Compensation Trust Fund for the additional benefit payments.
This vote was 16 Yea -- 14 Nay with 4 Senators absent and 1 Senator Excused from the vote - roll call# 57. A NO vote on this roll call was good for Maine's business environment (To Accept the Judiciary Committee's Majority Ought to Pass as Amended).
9. Business Regulations - Require that Certain Employees Be Paid on a Weekly Basis. LD 1131 - Roll Call Vote No. 128. The Senate defeated this bill which would have repealed Maine law that allows employers to pay their employees weekly, bi-weekly, every 15 days, or monthly. The proposed change would have required many businesses to instead pay workers on a weekly basis.
The vote was 12 Yea - 22 Nay with one Senator absent from the vote - roll call# 128. A NO vote on this roll call was good for Maine's business environment (To Accept the Health and Human Services Committee's Majority Ought to Pass as Amended).
10. Labor - "Just Cause Termination" - Provide That Employee Terminations by Any Company That Receives Monetary Benefits from the State Require Just Cause. LD 1163 - Roll Call Vote No. 104. The Senate passed an amended version of this legislation, however it was subsequently defeated in the House. This bill proposed to require that companies with more than 50 employees who receive state incentive benefits from programs such as the Business Equipment Tax Reimbursement (BETR), Tax Increment Financing (TIF), Jobs and Investment Tax Credit, and Research Expense Tax Credit may not terminate an employee except for "just cause." This bill would eliminate the current "at-will" employment status for companies participating in these state incentive programs. If the employee contends a discharge or is released from employment without just cause and the employer denies the claim and the court concurs that the reason for termination did not meet the "just cause" standard, the employer is liable for the restoration of employment with back pay and fringe benefits. The bill's language suggests that this new standard would apply to these companies even if they cease participating in the incentive programs so that this new standard would continue to apply for this company in perpetuity.
The vote was a tie 17 Yea - 17 Nay with 1 Senator absent from the vote- roll call# 104. A YES vote on this roll call was good for Maine's business environment (Indefinitely Postponed - effectively killing the bill ).
11. Business Regulations - Encourage Responsible Employment Practices. LD 1206 - Roll Call Vote No 181. The Senate passed this bill and it was signed into law by the Governor. This new law requires the State Purchasing Agent to adopt rules to establish a fair basis for bid price comparison among businesses that provide health and retirement benefits and those that do not provide these benefits. It also requires that, before a state agency or department may contract personal services out to a private contractor, it must establish an equivalent basis for cost comparison for businesses that do not provide health insurance or retirement benefits. Personal services contracting is not permitted unless a private contractor provides the best value.
The vote was 15 Yea - 18 Nay with 2 Senators absent from the vote - roll call# 181. A YES vote on this roll call keeps Maine competitive nationally (To Reconsider Ought to Pass to Be Enacted). This new legislation was signed into law by the Governor.
12. Environment - Protect Public Health by Reducing Human Exposure to Arsenic. LD 1309 - Roll Call Vote No. 138. The Senate passed this bill and it was signed into law by the Governor. This new law requires disclosure of the presence of arsenic in the water supply and in outdoor structures made with arsenic-treated wood when residential real property is sold. The law bans the sale or distribution of arsenic-treated wood except for salt water or fresh water uses. It also restricts the disposal of arsenic-treated wood to a lined landfill, prohibiting its burning as a fuel or its chipping, mulching or composting. The Department of Human Services' Bureau of Health is required to report by October 1, 2004 on further actions to reduce human exposure to arsenic and on the need for a comprehensive safe drinking water program for private wells.
The original bill was amended to require the sellers of residential real property to provide to the purchaser information developed by the Department of Human Services on arsenic in private water supplies and treated wood. The amendment prohibits, as of the effective date of the legislation, retail businesses from purchasing arsenic-treated wood or wood products for residential uses that are not included as permitted uses in a notice of cancellation order issued by the United States Environmental Protection Agency. The amendment also prohibits, as of April 1, 2004, the sale of arsenic-treated wood or wood products for residential uses that are not included as permitted uses in a notice of cancellation order issued by the United States Environmental Protection Agency. The amendment also prohibits the admission of the statute pertaining to arsenic-treated wood into evidence in any private-party civil proceeding against any wholesaler, retailer or installer of arsenic-treated wood. The amendment requires the Department of Environmental Protection to develop a disposal plan for the safe management of arsenic-treated wood waste. It requires the Department of Human Services to submit a report on the need for a comprehensive safe drinking water program for private wells to address arsenic. It requires the Real Estate Commission to submit a report on the efforts within the real estate industry to increase awareness among real estate licensees and buyers and sellers of residential real estate of the hazards of arsenic in water supplies and treated wood, the need to test for arsenic in private water supplies and the need to identify and regularly coat with a sealant arsenic-treated wood structures. Finally, the amendment directs the Department of Environmental Protection to submit a report that contains a market evaluation of the sale and uses of arsenic-treated wood that are not prohibited under this legislation.
The vote was a narrow 18 Yea - 17 Nay - roll call# 138. A NO vote on this roll call was good for Maine's economy (Indefinitely Postpone Senate Amendment 247). This new legislation was signed into law by the Governor.
13. Healthcare - An Act To Improve the Maine Rx Program. LD 1634 - Roll Call Vote No. 168. The Senate passed this bill and it was signed into law by the Governor. This bill changes the name of the Maine Rx Program to the Maine Rx Plus Program. It defines "covered drugs" in the Maine Rx Plus Program to mean drugs that are on the MaineCare preferred drug list established by the Department of Human Services. It changes the definition of "qualified resident" for the Maine Rx Plus Program to mean a resident of the State who has a family income equal to or less than 350% of the federal poverty level who is enrolled in the program. "Qualified resident" also means a resident of the State whose family incurs unreimbursed expenses for prescription drugs that equal 5% or more of family income or whose total unreimbursed medical expenses equal 15% or more of family income. It changes the definition of "initial discounted price" and specifies the price at which a participating retail pharmacy shall sell covered drugs to a qualified resident. It directs the Department of Human Services to conduct ongoing quality assurance activities similar to those used in the MaineCare program. It changes dates for certain activities to be undertaken in connection with the Maine Rx Plus Program. It appropriates funds for unfunded positions for which a position count has already been established and for necessary operating costs in connection with the Maine Rx Plus Program. It also appropriates funds for the costs associated with the adoption of rules associated with the Maine Rx Plus Program by the Maine Board of Pharmacy.
The primary concern by Maine businesses was the provision for price controls which could set a precedent for future business regulations. The language of the bill states that if the average cost for one or more prescription drugs under the Maine Rx Plus Program is not reasonably comparable to the average lowest cost for the same drug or drugs, the commissioner shall establish maximum retail prices for any or all prescription drugs sold in the State.
The vote was 19 Yea - 15 Nay with 1 Senator absent from the vote - roll call# 168. A NO vote on this roll call was good for Maine's businesses (Enactment). This new legislation was signed into law by the Governor.
2004 - Second Special Session
1. Business Regulations - Eliminate Department of Professional and Financial Regulations Restrictions for Obtaining Healthcare. LD 428 - Roll Call Vote No. 219. Both the Senate and the House defeated this bill. This was considered a positive bill that could have helped control healthcare costs and made available better care. The proposed legislation would have provided that a health maintenance organization may furnish health care services through providers that exceed the standard geographic accessibility limits imposed by the Department of Professional and Financial Regulation, Bureau of Insurance by rule for specialty care and hospital services with the exception of hospital services for emergencies and maternity care.
The vote was 14 Yea ? 18 Nay with 3 Senators absent from the vote - roll call# 219. A YES vote on this roll call was good for Maine's businesses (To Reconsider Acceptance of the Insurance and Financial Services Committees' Majority ONTP Report).
2. Labor - Increase Maine's MinimumWage. LD 673 - Roll Call Vote No 428. The Senate & the House ultimately passed this bill and it was signed into law by the Governor. The original bill increased the minimum wage from the current $6.25 per hour to $6.65 per hour beginning October 1, 2003 and to $7 per hour beginning October 1, 2004. A Committee amendment changed the starting date for increases in the minimum wage. The amendment provides that the minimum wage will rise from $6.25 to $6.65 on October 1, 2004 and to $7 on October 1, 2005. It also adds an appropriations and allocations section to the bill. A Senate produced amendment increases the minimum wage from the current $6.25 per hour to $6.50 per hour in 2 phases, in the first phase an increase of 10¢ per hour and in the 2nd phase an increase of 15¢ per hour rather than increases to $6.65 per hour and $7 per hour as in the original bill. Both of these amendments were adopted.
Fiscal Detail and Notes: (cost to state government) General Fund 2003-04 2004-05 All Other $0 $13,000 ________ _______ General Fund Total $0 $13,000
The vote was 18 Yea?17 Nay - roll call# 428. A NO vote on this roll call supported Maine's business environment (Enactment) - This new legislation was signed into law by the Governor.
3. Business Regulations - Create Guidelines to Promote Good Science in Rulemaking. LD 942 Roll Call Vote No. 381. The Senate & the House defeated this bill. This legislation would have required state agencies to establish standards of objectivity, utility, and integrity for information used and relied upon in conducting rule-making proceedings under the Maine Administrative Procedure Act. If enacted, this bill would have been good for Maine businesses by assuring facts would dominate decision-making by state regulatory agencies and by providing a higher level of certainty in how state regulations are applied.
The vote was 20 Yea - 15 Nay - roll call# 387. A NO vote on this roll call was good for Maine's business environment (To indefinitely postpone bill & papers - essentially killing the bill).
4. Taxation - Improve the Business Equipment Tax Reimbursement Program. LD 975 - Roll Call Vote No. 247. Both the Senate and the House defeated this bill (no recorded vote in the House.) This bill proposed prohibiting reimbursement of property taxes under the Business Equipment Tax Reimbursement program if the taxes also are reimbursed under a tax increment financing district agreement. Current law allows businesses to use these incentives in combination to achieve their development goals.
The vote was 27 Yea - 6 Nay with 1 Senator absent and 1 Senator Excused from the vote - roll call# 247. A YES vote on this roll call supported Maine's business environment (To accept the Taxation Committee's Minority Ought Not to Pass Report).
5. Healthcare - Require All Health Insurers To Cover the Costs of Hearing Aids. LD 1087 - Roll Call Vote No. 249.
The Senate passed this bill but it was defeated in the House. If passed, this new mandate would have required health insurance policies and contracts to provide coverage for the purchase of a hearing aid from a licensed audiologist or hearing aid dealer for a person whose hearing loss has been documented by a physician or licensed audiologist increasing the already high-cost of healthcare in Maine.
The vote was 20 Yea - 12 Nay vote with 2 Senators absent and 1 Senator Excused from the vote - roll call# 249. A NO vote on this roll call was good for Maine's business environment (To Accept the Insurance and Financial Services Committee's Majority Ought to Pass as Amended report).
6. Labor - Provide Collective Bargaining Rights to Certain Forest Products Workers. LD 1318- Roll Call Vote No. 368. The Senate and the House passed this bill and it was signed into law by the Governor. This new law enacts the Forest Products Harvesters and Haulers Collective Bargaining Act. The legislation was first introduced during the First Regular Session (2003) and passed by the House, but ultimately sent back to Committee by the Senate. In its original form this law would have allowed individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. The bill proposed creating a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices.
The original 2003 bill was amended to rather than allowing harvesters and haulers to collectively bargain with forest landowners to establish rates of compensation, this amendment provided for the State Board of Arbitration and Conciliation to establish rates of compensation (see LD 1318 #14 in First Session House write-up)
The original 2004 version of this bill allows individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. It requires a forest landowner to bargain in good faith with such an association if the association represents 51% or more of the harvesters or haulers that have a prior course of dealing with the forest landowner. The bill creates a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices. The bill is based on existing law allowing agricultural producers to form associations to bargain with handlers of agricultural products.
The original bill was amended (H-440) to rather than allowing harvesters and haulers to collectively bargain with forest landowners to establish rates of compensation, this amendment provides for the State Board of Arbitration and Conciliation to establish rates of compensation, based on factors set forth in the statute.
Harvesters and haulers are authorized to form associations to participate in the rate determination proceedings. Those associations may also negotiate with forest landowners prior to the rate determination proceeding, but any tentative agreement reached in those negotiations must be reviewed and approved by the State Board of Arbitration and Conciliation through a rate determination proceeding.
The amendment would not prohibit individual harvesters and haulers from negotiating directly and individually with a forest landowner, but the activities of those persons would not be protected from antitrust liability because the State would not be reviewing and approving the rates.
Another amendment (H-848) is based on a legislative finding that a forest landowner with economic control of more than 400,000 acres in a labor market area possesses market power sufficient to prevent the market for forest products hauling and harvesting services from functioning normally. The amendment establishes a mechanism to displace existing market forces by authorizing administrative rate-setting for forest products haulers and harvesters providing services to landowners who control such acreage.
The amendment authorizes forest products haulers and harvesters to organize associations and to negotiate collectively with certain landowners, provided their activities are preparatory to and for the purpose of an authorized rate-setting proceeding. To the extent that their collective activities are directed toward implementing authorized rate-setting, forest products haulers and harvesters have immunity from federal antitrust liability.
Fiscal Detail and Notes (new costs incurred by state government): LABOR, DEPARTMENT OF
Regulation and Enforcement
Initiative: Provides funds for one Planning and Research Associate II position and related All Other costs associated with the rate determination process for forest products hauling and harvesting services.
General Fund 2003-04 2004-05 Positions - Legislative Count (1.000) (1.000) Personal Services $41,900 $53,400 All Other 3,800 1,250 __________ __________ General Fund Total $45,700 $54,650 Labor Relations Board
Provides funds for the per diem and related costs of the State Board of Arbitration and Conciliation associated with the rate determination process for forest products hauling and harvesting services.
General Fund 2003-04 2004-05 Personal Services $1,350 $1,350 All Other 7,380 7,380 __________ __________ General Fund Total $8,730 $8,730
Other Spec. Rev. Funds 2003-04 2004-05 Personal Services $ 5,400 $ 5,400 All Other 27,600 27,600 __________ __________ Other Spec. Rev.FundsTot. $33,000 $33,000
LABOR, DEPARTMENT OF DEPARTMENT TOTALS 2003-04 2004-05
GENERAL FUND $54,430 $63,380 OTHER SPEC. REV. FUNDS $33,000 $33,000
DEPARTMENT TOTAL - $87,430 $96,380
This close vote was 18 Yea - 17 Nay - roll call# 368. A NO vote on this roll call supported Maine's business environment (Enactment.)
7. Labor - Clarify Prevailing Wage Law. LD 1722 - Roll Call Vote No. 262. Both the Senate and the House defeated this bill. This bill proposed to 'clarify' that in publicly funded construction projects under the jurisdiction of the Davis-Bacon or other federal act, minimum wages and benefits would be the higher of the federal and state rates.
Fiscal Detail and Notes:
Requiring that certain minimum wages be the higher of either state or federal minimum requirements will require either increasing annual Highway Fund costs in the Department of Transportation by an estimated $10,500,000 beginning in fiscal year 2005-06 or deferring or delaying a number of highway construction projects to compensate for the higher minimum wage requirements. Additional costs to the Regulation and Enforcement program within the Department of Labor associated with monitoring all Davis-Bacon wage determinations issued for state agencies and issuing a specialized determination in some cases can be absorbed utilizing existing budgeted resources.
This vote was 9 Yea -- 25 Nay with 1 Senator Excused from the vote - roll call# 262. A NO vote on this roll call was good for Maine's economy and business environment (To Accept the Labor Committee's Report 'A' Ought to Pass as Amended).
8. Taxation - Provide Property Tax Relief to Maine Homeowners. LD 1824 - Roll Call Vote No. 449. The Senate and the House defeated this bill in its original form would have created the Maine Homestead Property Tax Relief Program by incorporating the current Maine Residents Property Tax Program, commonly referred to as the "circuit breaker" program, and the homestead property tax exemption program. The new program applies to tax years beginning April 1, 2004. Taxpayers will receive property tax relief payments beginning September 30, 2004.
This bill raises certain taxes and redistributes other tax burdens without providing the real fixes needed in Maine's tax system.
Under this program:
1. Payments are provided directly to Maine resident property taxpayers;
2. All Maine resident property owners, regardless of income level, receive a homestead property tax relief payment equivalent to a $14,000 property tax exemption based on local valuation and the local mil rate as long as the owner does not owe any back taxes on the claimed property;
3. The maximum benefit payment for low-income nonelderly households is increased to $1,250 from the current $1,000;
4. The percentage of rent considered payment for property taxes is increased to 20% from the current 18% for nonelderly households; for elderly households, rent constituting payment for property taxes is set at 25%;
5. Low-income or elderly households may obtain both the homeowners benefit and the low-income or elderly benefit if those households qualify for both benefits; however, the total maximum benefit can not exceed the total amount of property taxes owed. The property tax exemption of $5,000 for veterans pursuant to the Maine Revised Statutes, Title 36, section 653 remains intact, and is in addition to the benefits under the Maine Homestead Property Tax Relief Program;
6. The application deadlines and tax relief payment deadlines are the same for all benefits under the new program: all applications must be submitted by April 15th and all payments must be made by the State Treasurer no later than September 30th of each year; and
7. The initial application for benefits under the program is on a form to be determined by the State Tax Assessor; subsequent claims for the same property by the same claimant may be done through the claimant's Maine income tax return. If the claimant does not file an income tax return or requests an extension, then the claim must be done through a separate application. The application and instructions for a property tax relief payment must be capable of being easily completed by a person with a 6th-grade education.
The bill also authorizes a municipality to develop a local program in which the property taxes are frozen or increased only by the rate of inflation. Eligibility for the program would be limited to taxpayers who have occupied their homes for at least 20 years and who are in danger of losing the property due to inability to pay the property taxes. The municipality would recoup the lost revenue when the homes are sold or transferred. The program requires approval at a local option referendum..
An amendment was introduced by the primary sponsor which would have had the following measures.
Part A expands the Maine Residents Property Tax Program by expanding the income eligibility, increasing the maximum benefit to $1,500 beginning in 2005 and increasing the percentage of income constituting property taxes for nonelderly households from 18% to 20%. Part A also adds an appropriations and allocations section.
Part B provides an appropriation to general purpose aid for local schools of $25,000,000 in fiscal year 2004-05 and makes adjustments to school funding factors to account for the increase.
Part C increases the cigarette tax by 50¢ per pack of 20 cigarettes.
Part D increases the sales tax on liquor sold in licensed establishments from 7% to 10% and directs the State Controller to transfer 3.5% of that 10% to the Tourism Marketing Promotion Fund.
Part E increases the tax on smokeless tobacco from 62% to 75% of the wholesale price, the tax on cigars from 16% to 20% and the tax on other smoking tobacco from 16% to 100%.
Part F increases taxes on beer, still wine, sparkling wine and hard cider.
Part G establishes limitations on county and municipal spending.
Part H increases the homestead property tax exemption to $10,000 for homeowners 65 years of age and older and $7,000 for all other homeowners in 2004 and $15,000 for homeowners 65 years of age or older and $10,000 for all other homeowners in 2005. The exemption is limited to claimants with Maine adjusted gross income of $125,000 or less. Part H also adds an appropriations and allocations section.
Fiscal Detail and Notes:
Projections: Net Cost (Savings) 2003-04 2004-05 2005-06 2006-07 General Fund $0 ($2,991,797) $ 2,570,124 $ 5,240,374 Alloc.Gen. Fund $0 $31,964,165 $30,770,185 $31,727,669 Rev. Gen. Fund $0 $34,955,962 $28,200,061 $26,487,295 Other Rev. Funds $0 ($ 383,625) ($ 939,421) ($ 1,022,668)
Fiscal Detail and Notes Projections: 2003-04 2004-05 2005-06 2006-07 Gen. Fund Approp. Part A - Admin.costs Rev.Services $ 143,567 $ 160,852 $ 155,277 Part B - Gen. Purpose Aid Schools $25,000,000 $ 0 $ 0 Part H - Homestead Exemp.Costs $ 6,174,798 $29,963,533 $30,926,592 Part H - Homestead State Mandate $ 645,800 $ 645,800 $ 645,800
Total General Fund Appropriations $0 $31,964,165 $30,770,185 $31,727,669
2003-04 2004-05 2005-06 2006-07 General Fund Rev. Part A - Residents Prop. Tax Prog. ($11,750,532) ($22,880,436) ($24,596,469) Part C - Cigarette Tax Increase $32,578,000 $35,400,000 $35,200,000 Part C - Cig.Tax Incr.-Sales Tax $ 649,990 $ 707,113 $ 716,126 Part D - Liq.Sold Lic.Estab-Sales Tax $ 3,662,001 $ 4,323,259 $ 4,496,190 Part E - Tobacco Products Tax Inc. $ 1,073,048 $ 1,195,516 $ 1,225,404 Part E - Tob. Prods.Tax Inc-Sales Tax $ 46,843 $ 56,667 $ 58,084 Part F - Excise Tax - Beer & Wine $ 8,443,331 $ 9,210,906 $ 9,210,906 Part F - Excise-Beer&Wine-Sales Tax $ 368,585 $ 436,597 $ 436,597 Part H - Homestead impact-individ. Income ($ 115,304) ($ 249,561) ($ 259,543)
Total General Fund Revenue $0 $34,955,962 $28,200,061 $26,487,295
2003-04 2004-05 2005-06 2006-07 Revenue - Local Government Fund/Disproportionate Tax Burden Fund Part A - Maine Res.Prop. Tax Prog. ($631,483) ($1,255,045) ($1,349,173) Part C - Cigarette Tax Increase-Sales Tax $ 34,931 $ 38,787 $ 39,281 Part D - Liquor Sold in Lic. Establ.-Sales Tax $196,799 $ 263,470 $ 274,327 Part E - Tobacco Prod. Tax Inc. - Sales Tax $ 2,517 $ 3,108 $ 3,186 Part F - Excise Tax - Beer and Wine-Sales Tax $ 19,808 $ 23,948 $ 23,948 Part H - Homestead impact on individual inc. ($ 6,197) ($ 13,689) ($ 14,237)
Net Increase (Decrease) $0 ($383,625) ($ 939,421) ($1,022,668)
Conflicts with LD 1919 - 2004-2005 Supplemental Budget Bill The estimates included in this fiscal note reflect the impact of the bill as amended by this amendment and attempt to anticipate the interaction effects of this bill as amended and LD 1919, the 2004-2005 Supplemental Budget Bill, as amended by Committee Amendment "A". This bill does not reflect the deappropriation in fiscal year 2004-05 as a result of the change of the treatment of the Maine Residents Property Tax Program (or "circuit breaker" program) as reductions of individual income tax revenue rather than a General Fund appropriation because that deappropriation is included in LD 1919. If LD 1919 is not enacted, a deappropriation from the Maine Residents Property Tax Program will be required and the amount of the net change to General Fund revenue and the transfers to the Local Government Fund/Disproportionate Tax Burden Fund will be increased. The General Purpose Aid for Local Schools statutory changes and language establishing the fiscal year 2004-05 distribution to municipalities assume that the additional $15 million provided in LD 1919 Part N is also appropropriated. If the amounts in LD 1919 are changed, the amounts included in this bill and the statutory and other language establishing the distribution will need to be revised accordingly.
The vote was 31 Yea - 3 Nay with one Senator absent from the vote - roll call# 449. A YES vote on this roll call was good for Maine's economic environment (To Indefinitely Postpone Bill & Papers-essentially killing the bill).
9. Environment - Protect Public Health and the Environment by Providing for a System of Shared Responsibility for the Safe Collection and Recycling of Electronic Waste. LD 1892 - Roll Call Vote No. 379. The Senate and the House passed the bill and it was signed into law by the Governor. This new law establishes a system to provide for the collection and recycling of electronic devices in the State as recommended by the Department of Environmental Protection pursuant to Public Law 2003, chapter 150.
Under the original bill, municipalities must ensure that computer monitors and televisions generated as waste from households within their jurisdiction are delivered to a consolidation facility.
Beginning in 2006, consolidation facilities are required to identify the manufacturer of computer monitors delivered to the facility and to transport those items to recycling and dismantling facilities. Beginning in 2012, consolidation facilities are required to identify the manufacturer of televisions delivered to the facility and to transport those items to recycling and dismantling facilities.
Beginning in 2006, computer manufacturers are responsible for the handling and recycling of computer monitors that are received at consolidation facilities and must pay for the operational costs of the consolidation facility attributable to the handling of computer monitors. Beginning in 2012, television manufacturers are responsible for the handling and recycling of all televisions that are received at consolidation facilities and must pay for the operational costs of the consolidation facility attributable to the handling of televisions.
Beginning in 2006 and ending on December 31, 2011, the State is responsible for the cost of handling and recycling orphan waste computer monitors that are received at consolidation
facilities and the State must pay for the operational costs of the consolidation facility attributable to the handling of orphan waste computer monitors, costs for transportation from the consolidation facility to a licensed recycling and dismantling facility and the cost of recycling.
The bill requires manufacturers of computer monitors and televisions to submit plans for the collection and recycling of computer monitors and televisions. It also establishes reporting requirements for manufacturers.
The bill sets a fee on the retail sale of televisions of $6 for each unit sold. Collection of the fee starts January 1, 2005 and ends January 1, 2012. The fee is deposited into the Maine Solid Waste Management Fund to reimburse:
1. Consolidation facilities for expenses incurred prior to January 1, 2012 for operational costs, costs of transportation from the facilities to recycling and dismantling facilities and the costs of recycling;
2. Municipalities for expenses incurred prior to January 1, 2012 related to transportation from a municipal collection site to a consolidation facility, if the cost exceeds the current cost of transportation and disposal of an equivalent tonnage of that municipality's municipal solid waste; and
3. The Department of Environmental Protection for expenses it incurs for enforcement.
Fiscal Detail and Notes:
Fiscal Note for Original Bill Current Cost - State Mandate Projections Net Cost Projections 2003-04 2004-05 2005-06 2006-07 (Savings) General Fund $0 $ 45,000 $ 0 $ 0 Approp.Gen. Fund $0 $ 45,000 $ 0 $ 0 Other Special Rev. Funds $0 $175,000 $350,000 $350,000 Other Special Rev. Funds $0 $175,000 $350,000 $350,000
State Mandate New or Expanded Activity Unit Affected Costs Municipalities must ensure that computer monitors and televisions are delivered to a consolidation facility for recycling through 2012. The municipal costs would be reimbursed by the State Planning Office from the Solid Waste Management Fund after January 1, 2005. Municipality Significant, but reimbursed after January 1, 2005 Fiscal Detail and Notes Establishing a system to provide for the collection and recycling of computer monitors, TVs and other covered electronic waste will require additional allocations from the Maine Solid Waste Management Fund. The State Planning Office will need a part-time Planner II position to provide outreach and assist in the reimbursement of consolidation facilties and municipalities for certain specified recycling costs. The Department of Environmental Protection will require $5,000 annually to support various outreach and compliance activities. The bill sets a fee on the retail sale of televisions of $6 for each unit sold. This fee could result in additional revenue to the Maine Solid Waste Mangement Fund of approximately $350,000 annually. It is uncertain whether $350,000 will be enough to cover all costs of the State Planning Office and the Department of Environmental Protection and reimburse the municipalities and consolidation facilities. With the fee beginning January 1, 2005, the amount of revenue expected in fiscal year 2004-05 is $175,000, or half the annual amount. Maine Revenue Services will require a General Fund appropriation of $45,000 in fiscal year 2004-05 for administrative costs associated with collecting this new fee. These costs include computer programming and printing and mailing of notices to retailers.
The original bill was amended as follows (H-861):
This amendment is the majority report. The amendment establishes a system to provide for the collection and recycling of computer monitors and televisions in the State.
Under the amendment, municipalities that choose to participate must ensure that computer monitors and televisions generated as waste from households within their jurisdictions are delivered to a consolidation facility.
Beginning in 2006, consolidation facilities are required to identify the manufacturer of computer monitors and televisions delivered to the facility and to transport those items to recycling and dismantling facilities.
Beginning in 2006, computer manufacturers and television manufacturers are responsible for the handling and recycling of computer monitors and televisions that are received at consolidation facilities and must pay for the operational costs of the consolidation facilities attributable to the handling of computer monitors and televisions.
The amendment requires manufacturers of computer monitors and televisions to submit plans for the collection and recycling of computer monitors and televisions. It also establishes reporting requirements for manufacturers.
The bill was also amended by the Senate (S-516):
This amendment makes a correction to the date by which manufacturers must implement a plan for the collection and recycling of computer monitors and televisions. The amendment also directs the Department of Environmental Protection to adopt rules that identify the criteria that consolidation facilities must use when determining the reasonable operational costs that are attributable to the handling of computer monitors and televisions. The amendment also directs the Department of Environmental Protection to report to the joint standing committee of the Legislature having jurisdiction over natural resources matters on whether the handling and recycling costs that are attributable to abandoned waste should be included in the reasonable operational costs of a consolidation facility.
The vote was a close 18 Yea - 17 Nay - roll call# 379. A NO vote on this roll call was good for Maine's business environment (Indefinitely Postpone Amendment SBS-537 - This amendment (537) would have changed the date by which manufacturers must implement a plan for the collection and recycling of computer monitors and televisions. The amendment also would have directed the Department of Environmental Protection to adopt rules that identify the criteria that consolidation facilities must use when determining the reasonable operational costs that are attributable to the handling of computer monitors and televisions. In addition, the amendment would have directed the department to report to the joint standing committee of the Legislature having jurisdiction over natural resources matters on whether the handling and recycling costs that are attributable to abandoned waste should be included in the reasonable operational costs of consolidation facilities. The amendment authorized the committee to report out legislation to implement the recommendations made in the department's report. )
10. Environment - Amend the Dissolved Oxygen Standard and the Bacteria standard for Class C Waters. LD 1899 - Roll Call Vote No. 322. The Senate and the House passed this bill and it was signed into law by the Governor. This new law amends the dissolved oxygen standard and the bacteria standard for Class C waters. LD 1899 is considered a good bill for Maine's environment and reasonable approach for businesses on or near Class C waters. This amendment to the current law is the Natural Resource Committee's majority report. Dischargers to Class C waters that were issued final discharge licenses or water quality certificates prior to March 16, 2004 that are based on a 6.5 parts per million dissolved oxygen criterion must continue to be licensed using a temperature of 24 degrees centigrade or the ambient temperature of the water body, whichever is lower. Final discharge licenses and water quality certificates that were not previously based on a 6.5 parts per million dissolved oxygen criterion must, after March 15, 2004, be based on a 6.5 parts per million dissolved oxygen criterion at a temperature of 22 degrees centigrade or the ambient temperature of the water body, whichever is lower.
The vote was 24 Yea - 11 Nay - roll call# 322. A YES vote on this roll call was good for Maine's environment and businesses located on or near Class C Waters. (To Accept the Natural Resource Committee's Majority Ought to Pass as Amended Report). This new legislation was signed into law by the Governor.
11. Environment - Standards for Timber Harvesting To Eliminate Liquidation Harvesting. LD 1962 - Roll Call Vote No. 427. The Senate and the House passed this bill and it was signed into law by the Governor. This new law provides for legislative review of Chapter 23: Standards for Timber Harvesting to substantially eliminate Liquidation Harvesting, a major substantive rule of the Department of Conservation. It authorizes final adoption of the provisionally adopted rule provided revisions proposed by the Maine Forest Service and dated April 27, 2004 are made as well as additional changes specified in the resolve. It requires the Commissioner of Conservation to make available to the public a document that allows comparison of the rule provisionally adopted on April 14, 2004 and the rule authorized and finally adopted. It removes the emergency preamble and emergency clause from the resolve.
As written, this new law is considered over restrictive by many landowners and businesses involved in timber harvesting.
The vote was 19 Yea - 16 Nay - roll call# 427. A NO vote on this roll call was good for Maine's economy (Accept Majority OTP-AM Report). This new legislation was signed into law by the Governor.
House Vote Descriptions
2003 - First Regular Session
1. Labor - Workers' Compensation - Amend the Maine Workers' Compensation Act of 1992 as it Relates to Compensation for Amputation of a Body Part. LD 101 - Roll Call Vote No.174. Both the House and the Senate defeated this bill. This bill proposed to amend the Maine Workers' Compensation Act of 1992 to provide a lump-sum benefit in addition to the current weekly benefit when an employee's injury is the amputation of a body part. The amount of the lump-sum benefit is equal to incapacity. When there is a presumption of total incapacity, the lump-sum payment is equal to 800 times 80% of the employee's after-tax average weekly wage and the payment must be made within 120 days of a doctor's certification. The benefits originally applied retroactively to all injuries occurring on or after January 1, 1993. However, an amendment was introduced that would have limited claims to injuries occurring on or after January 1, 2003 rather than to injuries occurring on or after January 1, 1993.
Fiscal Note (cost to state government):
Fiscal Detail and Notes. The cost of this requirement to the State's self-insured program cannot be determined at this time and will depend on the impact this measure will have on future premiums. Currently, the State does not have any injured employees in the presumption of total incapacity category. However, the fiscal impact to the State if such a case arises may be significant (as determined in a report by the State). Editor's note: The impact on private companies can be inferred to be as equally significant as the State determined it could be for state government. The vote was 61 Yea ? 82 Nay with 8 Representatives absent for the vote - roll call# 138. A NO vote on this roll call was good for Maine's businesses (To accept the Labor Committee's Majority Ought to Pass as Amended Report).
2. Labor - Unemployment Compensation - An Act to Ensure that Maine's Unemployment System is Responsive to the Needs of Today's Workforce. LD 240 - Roll Call Vote No 204. The House & Senate passed this bill and it was signed into law by the Governor. This new law will change current law which requires an individual to be available for full-time work to receive unemployment benefits. This legislation would expand the unemployment system to include providing benefits to individuals who are only available for part-time work. The Department of Labor projected that this significant change could cost Maine businesses as much as $60 million over a 9 year period. Proposals similar to this were twice vetoed by then Governor Angus King. The original bill was amended to provide the specific circumstances under which a person who is unavailable for full-time work can continue to be eligible for unemployment benefits.
Under the amendment, a person who has a history of part-time work is not disqualified from receiving unemployment benefits as long as that person continues to be available to work for a number of hours comparable to the number worked during part-time weeks in the base period. A person who is unavailable to work full-time is not disqualified from receiving benefits if the person's lack of availability is the result of illness or disability of an immediate family member or the lack of availability is necessary for the safety or protection of the individual or a member of the individual's immediate family. The vote was 79 Yea ? 66 Nay with 6 Representatives absent from the vote - roll call# 204. A NO vote on this roll call supported Maine businesses (Enactment) - This new legislation was signed into law by the Governor.
3. Business Regulations - Require Full Disclosure of Prescription Drug Marketing Costs. LD 254 - Roll Call Vote No. 135. The House passed this bill and it was signed into law by the Governor. This new law requires prescription drug manufacturers and labelers whose drugs are dispensed to state residents to file annual reports with the Department of Human Services regarding their expenses for marketing their drugs. The bill requires the department to file an annual report with the Legislature and the Attorney General regarding the information filed and a biennial report that contains analysis of information and recommendations. The bill continues the confidentiality of trade information that is protected under state and federal law. The bill provides for a fine of $10,000 for failure to report as required. The bill provides for rulemaking by the Department and contains an effective date of January 1, 2004.
The original bill was amended to exempt from the reporting requirements advertising purchased for a regional or national market, changes the fine from $10,000 to $1,000 and changes the effective date to July 1, 2004. The amendment adds a requirement that the Department of Human Services report to the joint standing committee of the Legislature having jurisdiction over health and human services matters by January 1, 2005 and July 1, 2005 regarding assessment of fees on prescription drug manufacturers and labelers and the use of those fees to support the work of the department.
Editor's Note: This new law sets a serious precedent for making sensitive company marketing costs and expenditures public.
The vote was 79 Yea - 64 Nay with 8 Representatives absent from the vote - roll call# 135. A NO vote on this roll call was good for Maine's business environment (To accept the Banking & Insurance Committee's Majority Ought to Pass as Amended Report). This new legislation was signed into law by the Governor.
4. Economic Development - Citizen Initiatives - Amend the Laws Governing Municipal Citizen Initiatives and Referenda. LD 389 - Roll Call Vote No. 116. The Senate defeated this bill, which had originally passed in the House. This bill proposed to prohibit municipal ordinances or bylaws enacted by citizen initiative or referendum from containing retroactivity provisions that have the effect of invalidating, repealing, revoking or modifying any building permit, land use approval or other action having the effect of permitting development if that permit or approval was issued or that action was taken prior to enactment of the ordinance or bylaw (for example previously approved land use or building permits).
The vote was 81 Yea - 48 Nay 22 Representatives were absent from the vote - roll call# 116. A YES vote on this roll call supported Maine businesses (To accept the State and Local Government Committee's Adopt Committee Amendment 'A' Report).
5. Labor - Workers' Compensation - Improve Collection of Information About Work-related Injuries and to Enhance Injury Prevention Efforts. LD 398 - Roll Call Vote No. 216.
The Senate and the House passed this bill and it was signed into law by the Governor. This legislation adds reporting requirements for employers. Under this new law any injury that requires medical care must also be reported to the Workers' Compensation Board. Information required includes wages or earnings of the employee. Previous law only required reporting when work-related injury caused the employee to lose a day's work. The new law also requires insurers, self-insurers, and group self-insurers to file injury reports electronically.
Costs: According to the State's estimates the Workers' Compensation Board will require an increase in the assessment cap to $6,932,356 in fiscal year 2003-04 and $7,055,364 in fiscal year 2004-05 to fund one Programmer Analyst position and for the setup, consulting, and training costs associated with implementing an electronic filing system. Increasing the workers' compensation assessment will increase the cost to all State government agencies for the workers' compensation portion of personal services expense. The amount cannot be determined at this time. This requirement will have a fiscal impact on employers who currently do not have the ability to file information electronically. The total cost to employers cannot be determined at this time. The cost to the Department of Labor to convene a working group can be absorbed by the Department utilizing existing budgeted resources. Projected minimum identified cost in each budget year to cover just part of the State's costs is $200,000.
The vote was 78 Yea - 63 Nay with 10 Representatives absent from the vote - roll call# 216. A NO vote on this roll call was good for Maine's business environment (Enactment). This new legislation was signed into law by the Governor.
6. Labor - Workers' Compensation - Reimburse Employees for Attorney's Fees and Costs When Forced to Pursue Petitions for Payment of Medical Services. LD 510 - Roll Call Vote No. 218. The House and the Senate defeated this bill. This bill proposed to require a workers' compensation hearing officer to order an employer to pay attorney's fees and costs incurred by an employee if the hearing officer finds that the employer's refusal to pay medical benefits was not based on reasonable grounds.
The vote was 62 Yea - 75 Nay with 14 Representatives absent from the vote - roll call# 218. A NO vote on this roll call supported Maine businesses (Accept the Committee's Majority Ought to Pass as Amended report).
7. Labor - Workers' Compensation - Encourage Workers' Compensation Dispute Resolutions. LD 575 - Roll Call Vote No. 217. The House initially defeated this bill, however subsequently they voted to send it back to Committee which requested and received permission to carry-over the bill until next session. This bill proposes to authorize the Workers' Compensation Board to levy surcharges on employers. The levy would be $500 if, at the conclusion of mediation, the employee obtains or retains more benefits than the employer had offered prior to mediation and $1,500 if the employee obtains or retains more benefits than the employer had offered prior to hearing. Under the bill, these surcharges are deposited in a dedicated fund to be used to defray the costs of a workers' compensation advocate program.
The vote was 62 Yea - 79 Nay with 10 Representatives absent from the vote - roll call# 217. A NO vote on this roll call was good for Maine's business environment (Accept the Committee's Majority Ought to Pass as Amended report).
8. Business Regulations - Amend the Laws Governing Privacy of Consumer Financial Information. LD 661 - Roll Call Vote No. 83. The House and the Senate defeated this bill. Currently, state law conforms to the opt-out provisions of the federal Gramm-Leach-Bliley Act regarding the disclosure of nonpublic personal information. This bill proposed to put in place an opt-in requirement so that financial services providers, including banks, credit unions, securities firms and mortgage companies, must have permission from individuals before disclosing nonpublic personal information to nonaffiliated 3rd parties upon approval by voters at a statewide referendum.
The vote was 64 Yea - 72 Nay with 15 Representatives absent from the vote - roll call# 83. A NO vote on this roll call supported Maine's businesses (Recommit to the Insurance and Financial Services Committee).
9. Labor - Unemployment Compensation - Eliminate the Social Security Offset for Unemployment Benefits. LD 880 - Roll Call Vote No. 128. Both the House and Senate passed this bill, but the Senate ultimately sent it back to committee where it was recommended for carry-over to next session. This bill proposes to eliminate the pension offset against unemployment benefits for persons who receive Social Security or other pensions, provided the person contributed at least 50% of the contributions to that pension. As under current law, if the person contributed some amount to the pension, but not 50%, the offset is made in proportion to the employee's contribution. An amendment was added to the bill to clarify that a Social Security benefit is included among the category of pensions that are not offset against unemployment compensation benefits. It also makes a technical correction by deleting unnecessary language from the bill and revises a provision of the bill for greater clarity.
Fiscal Detail and Notes: The Department of Labor estimates this bill will increase benefits paid from the Unemployment Compensation Trust Fund beginning in fiscal year 2003-04. The amount can not be determined at this time. However, estimates developed by the Department of Labor using 2002 data indicate the increase in benefit costs to be approximately $2,700,000. The cost increase would move the unemployment contributions schedule from B to C for rate year 2005, increasing collections by $12,200,000 in 2005 and an additional $1,500,000 in 2006. The State and all other direct reimbursement employers will be required to repay the Unemployment Compensation Trust Fund for the additional benefit payments.
This vote was 86 Yea -- 51 Nay with 14 Representatives absent from the vote - roll call# 128. A NO vote on this roll call was good for Maine's business environment (Enactment).
10. Business Regulations - Require that Certain Employees Be Paid on a Weekly Basis. LD 1131 - Roll Call Vote No. 190. The House defeated this bill which would have repealed Maine law that allows employers to pay their employees weekly, bi-weekly, every 15 days, or monthly. The proposed change would have required many businesses to instead pay workers on a weekly basis.
The vote was 66 Yea - 72 Nay with 13 Representatives absent from the vote - roll call# 190. A NO vote on this roll call was good for Maine's business environment (Passage to be Engrossed).
11. Labor - "Just Cause Termination" - Provide That Employee Terminations by Any Company That Receives Monetary Benefits from the State Require Just Cause. LD 1163 - Roll Call Vote No. 194. The House defeated this proposed legislation. This bill proposed to require that companies with more than 50 employees who receive state incentive benefits from programs such as the Business Equipment Tax Reimbursement (BETR), Tax Increment Financing (TIF), Jobs and Investment Tax Credit, and Research Expense Tax Credit may not terminate an employee except for "just cause." This bill would eliminate the current "at-will" employment status for companies participating in these state incentive programs. If the employee contends a discharge or is released from employment without just cause and the employer denies the claim and the court concurs that the reason for termination did not meet the "just cause" standard, the employer is liable for the restoration of employment with back pay and fringe benefits. The bill's language suggests that this new standard would apply to these companies even if they cease participating in the incentive programs so that this new standard would continue to apply for this company in perpetuity.
The vote was 65 Yea - 81 Nay with 5 Representatives absent from the vote - roll call# 194. A NO vote on this roll call was good for Maine's business environment (Enactment).
12. Business Regulations - Encourage Responsible Employment Practices. LD 1206 - Roll Call Vote No 107. The House passed this bill and it was signed into law by the Governor. This new law requires the State Purchasing Agent to adopt rules to establish a fair basis for bid price comparison among businesses that provide health and retirement benefits and those that do not provide these benefits. It also requires that, before a state agency or department may contract personal services out to a private contractor, it must establish an equivalent basis for cost comparison for businesses that do not provide health insurance or retirement benefits. Personal services contracting is not permitted unless a private contractor provides the best value.
The vote was 70 Yea - 68 Nay with 13 Representatives absent from the vote. - roll call# 194. A NO vote on this roll call keeps Maine competitive nationally (To accept the Labor Committee's Majority Ought to Pass as Amended Report). This new legislation was signed into law by the Governor.
13. Environment - Protect Public Health by Reducing Human Exposure to Arsenic. LD 1309 - Roll Call Vote No. 202. The House and the Senate passed this bill and it was signed into law by the Governor. This new law requires disclosure of the presence of arsenic in the water supply and in outdoor structures made with arsenic-treated wood when residential real property is sold. The law bans the sale or distribution of arsenic-treated wood except for salt water or fresh water uses. It also restricts the disposal of arsenic-treated wood to a lined landfill, prohibiting its burning as a fuel or its chipping, mulching or composting. The Department of Human Services' Bureau of Health is required to report by October 1, 2004 on further actions to reduce human exposure to arsenic and on the need for a comprehensive safe drinking water program for private wells.
The original bill was amended to require the sellers of residential real property, to provide to the purchaser, information developed by the Department of Human Services on arsenic in private water supplies and treated wood. The amendment prohibits, as of the effective date of the legislation, retail businesses from purchasing arsenic-treated wood or wood products for residential uses that are not included as permitted uses in a notice of cancellation order issued by the United States Environmental Protection Agency. The amendment also prohibits, as of April 1, 2004, the sale of arsenic-treated wood or wood products for residential uses that are not included as permitted uses in a notice of cancellation order issued by the United States Environmental Protection Agency. The amendment also prohibits the admission of the statute pertaining to arsenic-treated wood into evidence in any private-party civil proceeding against any wholesaler, retailer or installer of arsenic-treated wood. The amendment requires the Department of Environmental Protection to develop a disposal plan for the safe management of arsenic-treated wood waste. It requires the Department of Human Services to submit a report on the need for a comprehensive safe drinking water program for private wells to address arsenic. It requires the Real Estate Commission to submit a report on the efforts within the real estate industry to increase awareness among real estate licensees and buyers and sellers of residential real estate of the hazards of arsenic in water supplies and treated wood, the need to test for arsenic in private water supplies and the need to identify and regularly coat with a sealant arsenic-treated wood structures. Finally, the amendment directs the Department of Environmental Protection to submit a report that contains a market evaluation of the sale and uses of arsenic-treated wood that are not prohibited under this legislation.
One key issue for business was that many of these changes were already in progress on a national level and that this new Maine law would simply put Maine businesses at a competitive disadvantage until national changes were executed. In the view of many businesses it was also another signal from Maine that this is a less friendly place to business than the rest of the country.
The vote was a narrow 73 Yea - 71 Nay with 7 Representatives absent from the vote - roll call# 202. A NO vote on this roll call was good for Maine's economy (Indefinitely Postpone House Amendment 'B' to Committee Amendment 'A'). This new legislation was signed into law by the Governor.
14. Labor - Collective Bargaining - Provide Collective Bargaining Rights to Certain Forest Products Workers. LD 1318 - Roll Call Vote No. 161. The House initially passed this bill, however the Senate failed to concur and the bill subsequently was sent back to Committee which asked and received permission to carry the bill over to next session.
This bill proposes to enact new law called the Forest Products Harvesters and Haulers Collective Bargaining Act. It would allow individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. The bill would create a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices.
The original bill was amended to rather than allowing harvesters and haulers to collectively bargain with forest landowners to establish rates of compensation, this amendment provides for the State Board of Arbitration and Conciliation to establish rates of compensation, based on factors set forth in the statute. Harvesters and haulers are authorized to form associations to participate in the rate determination proceedings. Those associations may also negotiate with forest landowners prior to the rate determination proceeding, but any tentative agreement reached in those negotiations must be reviewed and approved by the State Board of Arbitration and Conciliation through a rate determination proceeding. The bill provides that three loggers could file a petition to set rates. The rates set would apply to a region to be determined in the petitioning process. The rates could be statewide. The rates would apply to contractors using subcontractors. There are conflicting provisions on whether the rates would apply to existing contracts.
The amendment would not prohibit individual harvesters and haulers from negotiating directly and individually with a forest landowner, but the activities of those persons would not be protected from antitrust liability because the State would not be reviewing and approving the rates.
The final version of this bill prior to the end of Session was voted on by the House but referred back to Committee by the Senate to be considered as a carry-over bill for next Session. The final version authorized a state agency to set logging rates for a landowner who owns more than 1000,000 acres. There are conflicting provisions on whether this would apply to stumpage agreements. According to this version of the bill, any three loggers could file a petition to set rates.
The rates set, would apply to a region to be determined in the petitioning process and could apply statewide. The set rates would also apply to contractors using subcontractors. There are conflicting provisions on whether the rates would apply to existing contracts.
Fiscal Note: (Cost to the State Government)
This bill may increase the number of civil suits filed in the court system. Fiscal Detail and Notes This bill provides General Fund appropriations of $45,700 and $54,650 in fiscal years 2003-04 and 2004-05, respectively, for the Regulation and Enforcement program within the Department of Labor for one Planning and Research Associate II position and related All Other costs associated with the data collection required to determine the rates for harvesting or hauling services. This bill also includes General Fund appropriations of $8,730 in fiscal year 2003-04 and $8,730 in fiscal year 2004-05 for the per diem and all other costs associated with the activities of the State Board of Arbitration and Conciliation related to the rate determination process that may not be directly billable to the individual parties. This bill includes Other Special Revenue Fund allocations of $33,000 in fiscal year 2003-04 and $33,000 in fiscal year 2004-04 for the Labor Relations Board within the Department of Labor for the costs to the State Board of Arbitration and Conciliation associated with the process of rate determination that will be offset by fees collected from the interested parties.
The vote was 80 Yea - 60 Nay with 10 Representatives absent and 1 Representative Excused from the vote - roll call# 161. A NO vote on this roll call supported Maine businesses (Passage to be Engrossed).
15. Labor - Workers' Compensation - Assist Seasonal Workers with Workers' Compensation. LD 1350 - Roll Call Vote No 193. The House defeated this bill. This bill proposed to remove the provision in the workers' compensation law that makes agricultural, harvesting or forest products workers seasonal workers. This bill could significantly increase the costs for workers' compensation for a number of Maine businesses that depend on seasonal workers. In particular, agriculture and forestry related businesses will be impacted by this bill.
The vote was 67 Yea - 80 Nay with 4 Representatives absent from the vote - roll call# 193. A NO vote on this roll call was good for Maine's business environment (Accept the Labor Committee's Ought to Pass as Amended Report).
16. Environment - Municipal Collection of Household Hazardous Waste. LD 1549 - Roll Call Vote No. 172. The House & Senate passed this bill and it was signed into law by the Governor. This new law mandates new fees on retail sales of architectural coatings and general use pesticides to fund municipal infrastructure the collection of household hazardous wastes. Under current law, a disposal ban on mercury products from household sources becomes effective in January 2005. This new law expands current efforts of municipalities and regional waste associations to establish household hazardous waste collection programs; this bill generates revenue for the purpose of providing state cost share support for the operational costs incurred by municipalities in the management of household hazardous waste. Revenue is generated by imposing a 20¢ fee on the retail sale of architectural coatings sold in containers of one gallon and on each unit of general use pesticide distributed for retail sale in this State.
The vote was 75 Yea - 69 Nay with 7 Representatives absent from the vote - roll call# 172. A NO vote on this roll call was good for Maine's economy (Passage to be Engrossed). This new legislation was signed into law by the Governor.
17. Healthcare - An Act To Improve the Maine Rx Program. LD 1634 - Roll Call Vote No. 236. The House passed this bill and it was signed into law by the Governor. This bill changes the name of the Maine Rx Program to the Maine Rx Plus Program. It defines "covered drugs" in the Maine Rx Plus Program to mean drugs that are on the MaineCare preferred drug list established by the Department of Human Services. It changes the definition of "qualified resident" for the Maine Rx Plus Program to mean a resident of the State who has a family income equal to or less than 350% of the federal poverty level who is enrolled in the program. "Qualified resident" also means a resident of the State whose family incurs unreimbursed expenses for prescription drugs that equal 5% or more of family income or whose total unreimbursed medical expenses equal 15% or more of family income. It changes the definition of "initial discounted price" and specifies the price at which a participating retail pharmacy shall sell covered drugs to a qualified resident. It directs the Department of Human Services to conduct ongoing quality assurance activities similar to those used in the MaineCare program. It changes dates for certain activities to be undertaken in connection with the Maine Rx Plus Program. It appropriates funds for unfunded positions for which a position count has already been established and for necessary operating costs in connection with the Maine Rx Plus Program. It also appropriates funds for the costs associated with the adoption of rules associated with the Maine Rx Plus Program by the Maine Board of Pharmacy.
The primary concern by Maine businesses was the provision for price controls which could set a precedent for future business regulations. The language of the bill states that if the average cost for one or more prescription drug(s) under the Maine Rx Plus Program is not reasonably comparable to the average lowest cost for the same drug or drugs, the commissioner shall establish maximum retail prices for any or all prescription drugs sold in the State.
The vote was 104 Yea - 36 Nay with 10 Representatives absent and 1 Excused from the vote - roll call# 236. A NO vote on this roll call was good for Maine's businesses (Enactment). This new legislation was signed into law by the Governor.
2004 - Second Special Session
1. Business Regulations - Eliminate Department of Professional and Financial Regulations Restrictions for Obtaining Healthcare. LD 428 - Roll Call Vote No. 262. Both the Senate and the House defeated this bill. This was considered a positive bill that could have helped control healthcare costs and made available better care. The proposed legislation would have provided that a health maintenance organization may furnish health care services through providers that exceed the standard geographic accessibility limits imposed by the Department of Professional and Financial Regulation, Bureau of Insurance by rule for specialty care and hospital services with the exception of hospital services for emergencies and maternity care. The vote was 71 Yea ? 67 Nay with 12 Representatives absent from the vote - roll call# 262. A NAY vote on this roll call was good for Maine's businesses (To Acceptance of the Insurance and Financial Services Committees' Majority ONTP Report).
2. Labor - Encourage Workers' Compensation Dispute Resolutions. LD 575 - Roll Call Vote No 309. The House and the Senate (no roll call vote) defeated this bill. The stated purpose of the proposed bill was to encourage resolution of workers' compensation disputes prior to mediation and hearing. The original bill authorized the Workers' Compensation Board to levy a $500 surcharge on an employer if, at the conclusion of mediation, the employee obtains or retains more benefits than the employer had offered prior to mediation. The bill authorized a $1,500 surcharge on an employer if, at the conclusion of the hearing, the employee obtains or retains more benefits than the employer had offered prior to hearing. Under the bill, these surcharges were to be deposited in a dedicated fund to be used to defray the costs of the workers' compensation advocate program. The bill was amended (H-66.) This amendment was the majority report of the Joint Standing Committee on Labor. It deleted the provision of the bill allowing the Workers' Compensation Board to impose a $500 surcharge on an employer following mediation under certain circumstances. The bill would have continue to provide for a $1,500 surcharge following formal hearing when the employee retains or obtains a greater benefit than the employer offered prior to the hearing.
The vote was 64 Yea ? 69 Nay with 18 Representatives absent from the vote - roll call No. 309. A NO vote on this roll call supported Maine's business environment (Accept the Labor Committee's Majority Ought to Pass as Amended Report.)
3. Labor - Increase Maine's Minimum Wage. LD 673 - Roll Call Vote No 419. The Senate & the House ultimately passed this bill and it was signed into law by the Governor. The original bill increased the minimum wage from the current $6.25 per hour to $6.65 per hour beginning October 1, 2003 and to $7 per hour beginning October 1, 2004. A Committee amendment changed the starting date for increases in the minimum wage. The amendment provides that the minimum wage will rise from $6.25 to $6.65 on October 1, 2004 and to $7 on October 1, 2005. It also adds an appropriations and allocations section to the bill. A Senate produced amendment increases the minimum wage from the current $6.25 per hour to $6.50 per hour in 2 phases, in the first phase an increase of 10¢ per hour and in the 2nd phase an increase of 15¢ per hour rather than increases to $6.65 per hour and $7 per hour as in the bill. Both of these amendments were adopted.
Fiscal Detail and Notes: General Fund 2003-04 2004-05 All Other $0 $13,000 ________ _______ General Fund Total $0 $13,000
The vote was 74 Yea ? 66 Nay with 12 Representatives absent from the vote - roll call# 419. A NO vote on this roll call supported Maine's business environment (Enactment) - This new legislation was signed into law by the Governor.
4. Labor - Unemployment Compensation - Eliminate the Social Security Offset for Unemployment Benefits. LD 880 - Roll Call Vote No. 268. Both the House and Senate passed this bill during the First Regular Session in 2003 (see #9 in the MERI House Vote Descriptions section from the First Session), but the Senate ultimately sent it back to committee where it was recommended for carry-over to the Second Special Session. Both the House and the Senate passed this bill again in the Second Special Session and the bill was signed into law by the Governor. However, the bill was amended to become a 'resolve' and in its current form is a study of the issue. This amendment (H-715) changes the bill to a resolve directing the Department of Labor to collect data on the number of persons who apply for unemployment benefits and whose benefits are reduced as a result of receiving social security benefits or certain other pensions or annuities.
While the amended version is not a concern to Maine employers at this time, the vote tracked in the Second Special Session for rating is based on the original form of the bill and is the same form as the votes rated in the First Regular Session. For consistency of methodology this new vote is also rated. Had the bill as passed by this vote succeeded, the resulting new law would have eliminated the pension offset against unemployment benefits for persons who receive Social Security or other pensions, provided the person contributed at least 50% of the contributions to that pension. As under current law, if the person contributed some amount to the pension, but not 50%, the offset is made in proportion to the employee's contribution. An amendment was added to the bill to clarify that a Social Security benefit is included among the category of pensions that are not offset against unemployment compensation benefits.
Fiscal Detail and Notes(from the first session): The Department of Labor estimated this bill will increase benefits paid from the Unemployment Compensation Trust Fund beginning in fiscal year 2003-04. The amount can not be determined at this time. However, estimates developed by the Department of Labor using 2002 data indicate the increase in benefit costs to be approximately $2,700,000. The cost increase would move the unemployment contributions schedule from B to C for rate year 2005, increasing collections by $12,200,000 in 2005 and an additional $1,500,000 in 2006. The State and all other direct reimbursement employers would not have been required to repay the Unemployment Compensation Trust Fund for the additional benefit payments.
This vote was a close 74 Yea - 73 Nay with 3 Representatives absent from the vote - roll call# 268. A NO vote on this roll call was good for Maine's business environment (Accept the Labor Committee's Ought to Pass as Amended Majority Report).
5. Business Regulations - Create Guidelines to Promote Good Science in Rulemaking. LD 942 Roll Call Vote No. 341. The Senate & the House defeated this bill. This legislation would have required state agencies to establish standards of objectivity, utility, and integrity for information used and relied upon in conducting rule-making proceedings under the Maine Administrative Procedure Act. If enacted, this bill would have been good for Maine businesses by assuring facts would dominate decision-making by state regulatory agencies and by providing a higher level of certainty in how state regulations are applied.
The vote was 91 Yea - 41 Nay with 12 Representatives absent from the vote - roll call# 341. A YES vote on this roll call was good for Maine's business environment (To Accept the State and Local Government Committee's Majority Ought to Pass as Amended Report).
6. Business Regulations - Ensure Uniform Code Compliance and Efficient Oversight of Consturction in the State. LD 1025 - Roll Call Vote No. 348 The House and Senate the passed this bill and it was signed into law by the Governor. This new law establishes the Office of Building Codes within the Department of Professional and Financial Regulation to ensure the uniform code compliance and efficient oversight of construction of new residential and commercial buildings in the State. The office is responsible for providing testing and licensing standards for private building inspectors and establishing a fee schedule for building inspector services. This bill also requires owners and developers of residential and commercial buildings to certify to the Office of Building Codes that a newly constructed building meets all applicable building and energy codes. It also requires the department to submit a plan to the Joint Standing Committee on Business, Research and Economic Development prior to the Second Regular Session of the 121st Legislature to merge into the Office of Building Codes functions within existing agencies that are responsible for plumbing, electrical, fire and energy code inspections. The bill was amended in Committee (S-417.) The amendment creates the Maine Model Building Code, which is composed of the International Residential Code and the International Building Code. Adoption of the Maine Model Building Code is voluntary on the part of towns, cities and municipalities, but a town, city or municipality may not elect to adopt a residential building code or nonresidential building code other than the Maine Model Building Code. The amendment also allows local amendments to the Maine Model Building Code, including adoption of portions of the code, and does not prohibit local adoption of building rehabilitation codes. The amendment specifies that, to the extent that portions of the Maine Model Building Code conflict with existing statewide codes and standards, those portions of the Maine Model Building Code are inapplicable. The amendment also specifies that no other codes or standards are automatically adopted by reference as part of the Maine Model Building Code. Additionally, the amendment clarifies that no new training of code enforcement officers by the Executive Department, State Planning Office is required.
The vote was 32 Yea - 105 Nay vote with 14 Representatives absent from the vote - roll call# 348. A NO vote on this roll call was good for Maine's business environment (To Adopt Amendment H-764).
7. Healthcare - Require All Health Insurers To Cover the Costs of Hearing Aids. LD 1087 - Roll Call Vote No. 355.
The House defeated this bill (passed in the Senate.) If passed, this new mandate would have required health insurance policies and contracts to provide coverage for the purchase of a hearing aid from a licensed audiologist or hearing aid dealer for a person whose hearing loss has been documented by a physician or licensed audiologist increasing the already high-cost of healthcare in Maine.
The vote was 54 Yea - 85 Nay vote with 12 Representatives absent from the vote - roll call# 355. A NO vote on this roll call was good for Maine's business environment (To Recede and Concur with the Senate's Acceptance of the Insurance and Financial Services Committee's Majority Ought to Pass as Amended report).
8. Labor - Provide Collective Bargaining Rights to Certain Forest Products Workers. LD 1318- Roll Call Vote No. 427. The House and the Senate passed and it was signed into law by the Governor. This new law enacts the Forest Products Harvesters and Haulers Collective Bargaining Act. The legislation was first introduced during the First Regular Session (2003) and passed by the House, but ultimately sent back to Committee by the Senate. In its original form this law would have allowed individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. The bill proposed creating a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices.
The original 2003 bill was amended to rather than allowing harvesters and haulers to collectively bargain with forest landowners to establish rates of compensation, this amendment provided for the State Board of Arbitration and Conciliation to establish rates of compensation, based on factors set forth in the statute. Harvesters and haulers are authorized to form associations to participate in the rate determination proceedings. Those associations may also negotiate with forest landowners prior to the rate determination proceeding, but any tentative agreement reached in those negotiations must be reviewed and approved by the State Board of Arbitration and Conciliation through a rate determination proceeding. The bill provides that three loggers could file a petition to set rates. The rates set would apply to a region to be determined in the petitioning process. The rates could be statewide. The rates would apply to contractors using subcontractors. There are conflicting provisions on whether the rates would apply to existing contracts.
The amendment would not prohibit individual harvesters and haulers from negotiating directly and individually with a forest landowner, but the activities of those persons would not be protected from antitrust liability because the State would not be reviewing and approving the rates.
The final version of this bill prior to the end of the First Regular Session authorized a state agency to set logging rates for a landowner who owns more than 1,000,000 acres. There were conflicting provisions on whether this would apply to stumpage agreements. According to this version of the bill, any three loggers could file a petition to set rates. The rates set, would apply to a region to be determined in the petitioning process and could apply statewide. The set rates would also apply to contractors using subcontractors. There were conflicting provisions on whether the rates would apply to existing contracts. This version would have enacted the Forest Products Harvesters and Haulers Collective Bargaining Act. It allows individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. It required a forest landowner to bargain in good faith with such an association if the association represents 51% or more of the harvesters or haulers that have a prior course of dealing with the forest landowner. This version of the bill created a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices. The bill is based on existing law allowing agricultural producers to form associations to bargain with handlers of agricultural products.
The original 2004 version of this bill allows individual forest products harvesters and haulers to join together to bargain with forest landowners over the prices and other terms of contracts for harvesting and hauling trees in Maine forests. It requires a forest landowner to bargain in good faith with such an association if the association represents 51% or more of the harvesters or haulers that have a prior course of dealing with the forest landowner. The bill creates a Forest Products Bargaining Board to implement the Act, sets forth a procedure for mediation and arbitration if the parties can not come to agreement on their own and lists prohibited unfair practices. The bill is based on existing law allowing agricultural producers to form associations to bargain with handlers of agricultural products.
The original bill was amended (H-440) to rather than allowing harvesters and haulers to collectively bargain with forest landowners to establish rates of compensation, this amendment provides for the State Board of Arbitration and Conciliation to establish rates of compensation, based on factors set forth in the statute.
Harvesters and haulers are authorized to form associations to participate in the rate determination proceedings. Those associations may also negotiate with forest landowners prior to the rate determination proceeding, but any tentative agreement reached in those negotiations must be reviewed and approved by the State Board of Arbitration and Conciliation through a rate determination proceeding.
The amendment would not prohibit individual harvesters and haulers from negotiating directly and individually with a forest landowner, but the activities of those persons would not be protected from antitrust liability because the State would not be reviewing and approving the rates.
Another amendment (H-848) is based on a legislative finding that a forest landowner with economic control of more than 400,000 acres in a labor market area possesses market power sufficient to prevent the market for forest products hauling and harvesting services from functioning normally. The amendment establishes a mechanism to displace existing market forces by authorizing administrative rate-setting for forest products haulers and harvesters providing services to landowners who control such acreage.
The amendment authorizes forest products haulers and harvesters to organize associations and to negotiate collectively with certain landowners, provided their activities are preparatory to and for the purpose of an authorized rate-setting proceeding. To the extent that their collective activities are directed toward implementing authorized rate-setting, forest products haulers and harvesters have immunity from federal antitrust liability.
Fiscal Detail and Notes (new costs incurred by state government): LABOR, DEPARTMENT OF
Regulation and Enforcement
Initiative: Provides funds for one Planning and Research Associate II position and related All Other costs associated with the rate determination process for forest products hauling and harvesting services.
General Fund 2003-04 2004-05 Positions - Legislative Count (1.000) (1.000) Personal Services $41,900 $53,400 All Other 3,800 1,250 __________ __________ General Fund Total $45,700 $54,650 Labor Relations Board
Provides funds for the per diem and related costs of the State Board of Arbitration and Conciliation associated with the rate determination process for forest products hauling and harvesting services.
General Fund 2003-04 2004-05 Personal Services $1,350 $1,350 All Other 7,380 7,380 __________ __________ General Fund Total $8,730 $8,730
Other Spec. Rev. Funds 2003-04 2004-05 Personal Services $ 5,400 $ 5,400 All Other 27,600 27,600 __________ __________ Other Spec. Rev.FundsTot. $33,000 $33,000
LABOR, DEPARTMENT OF DEPARTMENT TOTALS 2003-04 2004-05
GENERAL FUND $54,430 $63,380 OTHER SPEC. REV. FUNDS $33,000 $33,000
DEPARTMENT TOTAL - $87,430 $96,380
The vote was 78 Yea - 57 Nay with 15 Representatives absent and 1 Excused from the vote - roll call# 427. A NO vote on this roll call supported Maine's business environment (Enactment).
9. Labor - Clarify Prevailing Wage Law. LD 1722 - Roll Call Vote No. 334. Both the Senate and the House defeated this bill. This bill proposed to 'clarify' that in publicly funded construction projects under the jurisdiction of the Davis-Bacon or other federal act, minimum wages and benefits would be the higher of the federal and state rates.
Fiscal Detail and Notes:
Requiring that certain minimum wages be the higher of either state or federal minimum requirements will require either increasing annual Highway Fund costs in the Department of Transportation by an estimated $10,500,000 beginning in fiscal year 2005-06 or deferring or delaying a number of highway construction projects to compensate for the higher minimum wage requirements. Additional costs to the Regulation and Enforcement program within the Department of Labor associated with monitoring all Davis-Bacon wage determinations issued for state agencies and issuing a specialized determination in some cases can be absorbed utilizing existing budgeted resources.
This vote was 26 Yea -- 108 Nay with 17 Representatives Absent from the vote - roll call# 334. A NO vote on this roll call was good for Maine's economy and business environment (To Accept the Labor Committee's Report 'A' Ought to Pass as Amended).
10. Business Regulations - Amend the Random Drug Testing Laws. LD 1760 - Roll Call Vote No 313. Both the House and the Senate (no roll call vote) passed this bill and it was signed into law by the Governor. LD 1760 is considered a good bill for employers and employees. This new law amends the laws regarding substance abuse testing of employees in the following ways:
LD 1760 amends the State's workplace substance abuse testing laws to provide employers of 50 or more nonunionized employees another option for establishing a random or arbitrary substance abuse testing program. Under current law, random or arbitrary testing programs may be imposed only on persons in safety-sensitive positions or pursuant to a collective bargaining agreement. This allows certain employers a 3rd option: a random or arbitrary substance abuse testing program that applies to all employees, regardless of position. Unionized employees would be included in such a testing program only if inclusion is part of their collective bargaining agreement.
If the employer wishes to conduct testing under this new 3rd option, the employer must form an employee committee to write the policies regarding the testing program. The committee must be composed of a cross-section of employees subject to the test and must include a medical professional trained in substance abuse testing. Determination of which employees will be tested at any one time must be made by a person or entity independent from employer influence, such as a medical review officer.
The amendment also requires that a person with a confirmed positive test be allowed to participate in an employee assistance program, if the employer has such a program.
The vote was 136 Yea - 0 Nay with 15 Representatives absent from the vote. - roll call# 313. A YES vote on this roll call is good for Maine employers and employees. (Enactment). This new legislation was signed into law by the Governor.
11. Taxation - Provide Property Tax Relief to Maine Homeowners. LD 1824 - Roll Call Vote No. 513. The Senate and the House defeated this bill in its original form would have created the Maine Homestead Property Tax Relief Program by incorporating the current Maine Residents Property Tax Program, commonly referred to as the "circuit breaker" program, and the homestead property tax exemption program. The new program applies to tax years beginning April 1, 2004. Taxpayers will receive property tax relief payments beginning September 30, 2004.
Under the new program:
1. Payments are provided directly to Maine resident property taxpayers;
2. All Maine resident property owners, regardless of income level, receive a homestead property tax relief payment equivalent to a $14,000 property tax exemption based on local valuation and the local mil rate as long as the owner does not owe any back taxes on the claimed property;
3. The maximum benefit payment for low-income nonelderly households is increased to $1,250 from the current $1,000;
4. The percentage of rent considered payment for property taxes is increased to 20% from the current 18% for nonelderly households; for elderly households, rent constituting payment for property taxes is set at 25%;
5. Low-income or elderly households may obtain both the homeowners benefit and the low-income or elderly benefit if those households qualify for both benefits; however, the total maximum benefit can not exceed the total amount of property taxes owed. The property tax exemption of $5,000 for veterans pursuant to the Maine Revised Statutes, Title 36, section 653 remains intact, and is in addition to the benefits under the Maine Homestead Property Tax Relief Program;
6. The application deadlines and tax relief payment deadlines are the same for all benefits under the new program: all applications must be submitted by April 15th and all payments must be made by the State Treasurer no later than September 30th of each year; and
7. The initial application for benefits under the program is on a form to be determined by the State Tax Assessor; subsequent claims for the same property by the same claimant may be done through the claimant's Maine income tax return. If the claimant does not file an income tax return or requests an extension, then the claim must be done through a separate application. The application and instructions for a property tax relief payment must be capable of being easily completed by a person with a 6th-grade education.
The bill also authorizes a municipality to develop a local program in which the property taxes are frozen or increased only by the rate of inflation. Eligibility for the program would be limited to taxpayers who have occupied their homes for at least 20 years and who are in danger of losing the property due to inability to pay the property taxes. The municipality would recoup the lost revenue when the homes are sold or transferred. The program requires approval at a local option referendum..
An amendment was introduced by the primary sponsor which would have had the following measures.
Part A expands the Maine Residents Property Tax Program by expanding the income eligibility, increasing the maximum benefit to $1,500 beginning in 2005 and increasing the percentage of income constituting property taxes for nonelderly households from 18% to 20%. Part A also adds an appropriations and allocations section.
Part B provides an appropriation to general purpose aid for local schools of $25,000,000 in fiscal year 2004-05 and makes adjustments to school funding factors to account for the increase.
Part C increases the cigarette tax by 50¢ per pack of 20 cigarettes.
Part D increases the sales tax on liquor sold in licensed establishments from 7% to 10% and directs the State Controller to transfer 3.5% of that 10% to the Tourism Marketing Promotion Fund.
Part E increases the tax on smokeless tobacco from 62% to 75% of the wholesale price, the tax on cigars from 16% to 20% and the tax on other smoking tobacco from 16% to 100%.
Part F increases taxes on beer, still wine, sparkling wine and hard cider.
Part G establishes limitations on county and municipal spending.
Part H increases the homestead property tax exemption to $10,000 for homeowners 65 years of age and older and $7,000 for all other homeowners in 2004 and $15,000 for homeowners 65 years of age or older and $10,000 for all other homeowners in 2005. The exemption is limited to claimants with Maine adjusted gross income of $125,000 or less. Part H also adds an appropriations and allocations section.
Fiscal Detail and Notes:
Projections: Net Cost (Savings) 2003-04 2004-05 2005-06 2006-07 General Fund $0 ($2,991,797) $ 2,570,124 $ 5,240,374 Alloc.Gen. Fund $0 $31,964,165 $30,770,185 $31,727,669 Rev. Gen. Fund $0 $34,955,962 $28,200,061 $26,487,295 Other Rev. Funds $0 ($ 383,625) ($ 939,421) ($ 1,022,668)
Fiscal Detail and Notes Projections: 2003-04 2004-05 2005-06 2006-07 Gen. Fund Approp. Part A - Admin.costs Rev.Services $ 143,567 $ 160,852 $ 155,277 Part B - Gen. Purpose Aid Schools $25,000,000 $ 0 $ 0 Part H - Homestead Exemp.Costs $ 6,174,798 $29,963,533 $30,926,592 Part H - Homestead State Mandate $ 645,800 $ 645,800 $ 645,800 Total General Fund Appropriations $0 $31,964,165 $30,770,185 $31,727,669
2003-04 2004-05 2005-06 2006-07 General Fund Rev. Part A - Residents Prop. Tax Prog. ($11,750,532) ($22,880,436) ($24,596,469) Part C - Cigarette Tax Increase $32,578,000 $35,400,000 $35,200,000 Part C - Cig.Tax Incr.-Sales Tax $ 649,990 $ 707,113 $ 716,126 Part D - Liq.Sold Lic.Estab-Sales Tax $ 3,662,001 $ 4,323,259 $ 4,496,190 Part E - Tobacco Products Tax Inc. $ 1,073,048 $ 1,195,516 $ 1,225,404 Part E - Tob. Prods.Tax Inc-Sales Tax $ 46,843 $ 56,667 $ 58,084 Part F - Excise Tax - Beer & Wine $ 8,443,331 $ 9,210,906 $ 9,210,906 Part F - Excise-Beer&Wine-Sales Tax $ 368,585 $ 436,597 $ 436,597 Part H - Homestead impact-individ. Income ($ 115,304) ($ 249,561) ($ 259,543)
Total General Fund Revenue $0 $34,955,962 $28,200,061 $26,487,295
2003-04 2004-05 2005-06 2006-07 Revenue - Local Government Fund/Disproportionate Tax Burden Fund Part A - Maine Res.Prop. Tax Prog. ($631,483) ($1,255,045) ($1,349,173) Part C - Cigarette Tax Increase-Sales Tax $ 34,931 $ 38,787 $ 39,281 Part D - Liquor Sold in Lic. Establ.-Sales Tax $196,799 $ 263,470 $ 274,327 Part E - Tobacco Prod. Tax Inc. - Sales Tax $ 2,517 $ 3,108 $ 3,186
Part F - Excise Tax - Beer and Wine-Sales Tax $ 19,808 $ 23,948 $ 23,948 Part H - Homestead impact on individual inc. ($ 6,197) ($ 13,689) ($ 14,237)
Net Increase (Decrease) $0 ($383,625) ($ 939,421) ($1,022,668)
Conflicts with LD 1919 - 2004-2005 Supplemental Budget Bill The estimates included in this fiscal note reflect the impact of the bill as amended by this amendment and attempt to anticipate the interaction effects of this bill as amended and LD 1919, the 2004-2005 Supplemental Budget Bill, as amended by Committee Amendment "A". This bill does not reflect the deappropriation in fiscal year 2004-05 as a result of the change of the treatment of the Maine Residents Property Tax Program (or "circuit breaker" program) as reductions of individual income tax revenue rather than a General Fund appropriation because that deappropriation is included in LD 1919. If LD 1919 is not enacted, a deappropriation from the Maine Residents Property Tax Program will be required and the amount of the net change to General Fund revenue and the transfers to the Local Government Fund/Disproportionate Tax Burden Fund will be increased. The General Purpose Aid for Local Schools statutory changes and language establishing the fiscal year 2004-05 distribution to municipalities assume that the additional $15 million provided in LD 1919 Part N is also appropropriated. If the amounts in LD 1919 are changed, the amounts included in this bill and the statutory and other language establishing the distribution will need to be revised accordingly.
The vote was 62 Yea - 76 Nay with 13 Representatives absent from the vote - roll call# 513. A NO vote on this roll call was good for Maine's economic environment (To Adopt House Amendment 'B' H-962 - see text on this amendment).
12. Environment - Protect Public Health and the Environment by Providing for a System of Shared Responsibility for the Safe Collection and Recycling of Electronic Waste. LD 1892 - Roll Call Vote No. 452. The House and the Senate passed the bill and it was signed into law by the Governor. This new law establishes a system to provide
for the collection and recycling of electronic devices in the State as recommended by the Department of Environmental Protection pursuant to Public Law 2003, chapter 150.
Under the bill, municipalities must ensure that computer monitors and televisions generated as waste from households within their jurisdiction are delivered to a consolidation facility.
Beginning in 2006, consolidation facilities are required to identify the manufacturer of computer monitors delivered to the facility and to transport those items to recycling and dismantling facilities. Beginning in 2012, consolidation facilities are required to identify the manufacturer of televisions delivered to the facility and to transport those items to recycling and dismantling facilities.
Beginning in 2006, computer manufacturers are responsible for the handling and recycling of computer monitors that are received at consolidation facilities and must pay for the operational costs of the consolidation facility attributable to the handling of computer monitors. Beginning in 2012, television manufacturers are responsible for the handling and recycling of all televisions that are received at consolidation facilities and must pay for the operational costs of the consolidation facility attributable to the handling of televisions.
Beginning in 2006 and ending on December 31, 2011, the State is responsible for the cost of handling and recycling orphan waste computer monitors that are received at consolidation facilities and the State must pay for the operational costs of the consolidation facility attributable to the handling of orphan waste computer monitors, costs for transportation from the consolidation facility to a licensed recycling and dismantling facility and the cost of recycling.
The bill requires manufacturers of computer monitors and televisions to submit plans for the collection and recycling of computer monitors and televisions. It also establishes reporting requirements for manufacturers.
The bill sets a fee on the retail sale of televisions of $6 for each unit sold. Collection of the fee starts January 1, 2005 and ends January 1, 2012. The fee is deposited into the Maine Solid Waste Management Fund to reimburse:
1. Consolidation facilities for expenses incurred prior to January 1, 2012 for operational costs, costs of transportation from the facilities to recycling and dismantling facilities and the costs of recycling;
2. Municipalities for expenses incurred prior to January 1, 2012 related to transportation from a municipal collection site to a consolidation facility, if the cost exceeds the current cost of transportation and disposal of an equivalent tonnage of that municipality's municipal solid waste; and
3. The Department of Environmental Protection for expenses it incurs for enforcement.
Fiscal Detail and Notes:
Fiscal Note for Original Bill Current Cost - State Mandate Projections Net Cost (Savings) Projections 2003-04 2004-05 2005-06 2006-07 General Fund $0 $ 45,000 $ 0 $ 0 Approp.Fund $0 $ 45,000 $ 0 $ 0 Other Rev. Funds $0 $175,000 $350,000 $350,000 Other Rev. Funds $0 $175,000 $350,000 $350,000
State Mandate New or Expanded Activity Unit Affected Costs Municipalities must ensure that computer monitors and televisions are delivered to a consolidation facility for recycling through 2012. The municipal costs would be reimbursed by the State Planning Office from the Solid Waste Management Fund after January 1, 2005. Municipality Significant, but reimbursed after January 1, 2005 Fiscal Detail and Notes Establishing a system to provide for the collection and recycling of computer monitors, TVs and other covered electronic waste will require additional allocations from the Maine Solid Waste Management Fund. The State Planning Office will need a part-time Planner II position to provide outreach and assist in the reimbursement of consolidation facilties and municipalities for certain specified recycling costs. The Department of Environmental Protection will require $5,000 annually to support various outreach and compliance activities. The bill sets a fee on the retail sale of televisions of $6 for each unit sold. This fee could result in additional revenue to the Maine Solid Waste Mangement Fund of approximately $350,000 annually. It is uncertain whether $350,000 will be enough to cover all costs of the State Planning Office and the Department of Environmental Protection and reimburse the municipalities and consolidation facilities. With the fee beginning January 1, 2005, the amount of revenue expected in fiscal year 2004-05 is $175,000, or half the annual amount. Maine Revenue Services will require a General Fund appropriation of $45,000 in fiscal year 2004-05 for administrative costs associated with collecting this new fee. These costs include computer programming and printing and mailing of notices to retailers.
The original bill was amended as follows (H-861):
This amendment is the majority report. The amendment replaces the bill. The amendment establishes a system to provide for the collection and recycling of computer monitors and televisions in the State.
Under the amendment, municipalities that choose to participate must ensure that computer monitors and televisions generated as waste from households within their jurisdictions are delivered to a consolidation facility.
Beginning in 2006, consolidation facilities are required to identify the manufacturer of computer monitors and televisions delivered to the facility and to transport those items to recycling and dismantling facilities.
Beginning in 2006, computer manufacturers and television manufacturers are responsible for the handling and recycling of computer monitors and televisions that are received at consolidation facilities and must pay for the operational costs of the consolidation facilities attributable to the handling of computer monitors and televisions.
The amendment requires manufacturers of computer monitors and televisions to submit plans for the collection and recycling of computer monitors and televisions. It also establishes reporting requirements for manufacturers.
It was also amended (S-516):
This amendment makes a correction to the date by which manufacturers must implement a plan for the collection and recycling of computer monitors and televisions. The amendment also directs the Department of Environmental Protection to adopt rules that identify the criteria that consolidation facilities must use when determining the reasonable operational costs that are attributable to the handling of computer monitors and televisions. The amendment also directs the Department of Environmental Protection to report to the joint standing committee of the Legislature having jurisdiction over natural resources matters on whether the handling and recycling costs that are attributable to abandoned waste should be included in the reasonable operational costs of a consolidation facility.
The vote was 82 Yea - 59 Nay with 10 Representatives absent for the vote - roll call# 452. A NO vote on this roll call was good for Maine's business environment (Recede and Concur - with the Senate position )
13. Environment - Amend the Dissolved Oxygen Standard and the Bacteria standard for Class C Waters. LD 1899 - Roll Call Vote No. 403. The House and the Senate passed this bill and it was signed into law by the Governor. This new law amends the dissolved oxygen standard and the bacteria standard for Class C waters. This amendment is the majority report. Dischargers to Class C waters that were issued final discharge licenses or water quality certificates prior to March 16, 2004 that are based on a 6.5 parts per million dissolved oxygen criterion must continue to be licensed using a temperature of 24 degrees centigrade or the ambient temperature of the water body, whichever is lower. Final discharge licenses and water quality certificates that were not previously based on a 6.5 parts per million dissolved oxygen criterion must, after March 15, 2004, be based on a 6.5 parts per million dissolved oxygen criterion at a temperature of 22 degrees centigrade or the ambient temperature of the water body, whichever is lower.
The vote was 44 Yea - 98 Nay with 10 Representatives absent for the vote. - roll call# 403. A NO vote on this roll call was good for Maine's environment and businesses located on or near Class C Waters. (To Accept the Natural Resource Committee's Minority Ought to Pass as Amended Report). This new legislation was signed into law by the Governor.
14. Environment - Standards for Timber Harvesting To Eliminate Liquidation Harvesting. LD 1962 - Roll Call Vote No. 507. The Senate and the House passed this bill and it was signed into law by the Governor. This new law provides for legislative review of Chapter 23: Standards for Timber Harvesting to substantially eliminate Liquidation Harvesting, a major substantive rule of the Department of Conservation. It authorizes final adoption of the provisionally adopted rule provided revisions proposed by the Maine Forest Service and dated April 27, 2004 are made as well as additional changes specified in the resolve. It requires the Commissioner of Conservation to make available to the public a document that allows comparison of the rule provisionally adopted on April 14, 2004 and the rule authorized and finally adopted. It removes the emergency preamble and emergency clause from the resolve.
As written, this new law is considered over restrictive by many landowners and businesses involved in timber harvesting.
The vote was a narrow 66 Yea - 65 Nay with 20 Representatives absent for the vote. - roll call# 507. A NO vote on this roll call was good for Maine's economy (Accept Majority OTP-AM Report). This new legislation was signed into law by the Governor.