Good morning from Augusta,
The Legislature was in session for three days this week and is very slowly chipping away at all the bills needed to be acted upon by the middle of April.
On Thursday, the Small Business Savings Account bill that Senator Trey Stewart (R-Aroostook) attempted to introduce as an after-deadline bill request on behalf of the PLC was scheduled for reconsideration in Legislative Council. Legislative Council must approve all after deadline requests.
PLC staff met with Speaker Talbot-Ross’ Chief of Staff last week and she agreed to reconsider her actions on the bill. Unfortunately, the bill was never brought up for reconsideration due to Senator Jackson not willing to let it through. This was yet another sign from Senator Jackson that he is not supportive of our industry, unless it is his idea. For the second time, we worked to gain majority support for the bill from key Democrats, only to have the proposal fall short.
Also this past week, PLC staff spent Thursday afternoon in the Labor and Housing committee following LD 372, An Act to Increase Enforcement and Accountability for Wage and Hour Violations. This bill has been brought up for work session a couple of times and has had multiple amendments brought forward by the sponsor, Senator Ryan Tipping (D-Penobscot) and the Department of Labor. After some debate and strong push back from the Republican members of the committee and members of the business community, including the PLC, it was passed in committee by a party line vote.
Without sugar-coating it, LD 372 is a terrible bill and when implemented by the new Director of the Bureau of Labor Standards, could be detrimental to any business that has a wage and hour violation. The bill will allow the Director to become judge and jury on wage and hour violations, will more than double the penalties, and allows the Director to collect penalties from the business owners, completely circumventing the judicial system. The Director plans to increase enforcement on businesses within industries that have a history of wage and hour violations, whether there has been a complaint or not. A bill like LD 372 is just another example of how government is making it hard for small businesses to operate.
Next week, we will be testifying in support of a bill sponsored by the Speaker of the House in front of the Agriculture, Conservation, and Forestry Committee. You can find more information on these bills below or from our bill tracking spreadsheet here.
Last Week’s Legislative Activity February 19 – February 23, 2024
Thursday, February 15, 2024
LD 372, An Act to Increase Enforcement and Accountability for Wage and Hour Violations, Work Session, Labor and Housing Committee
The PLC testified in opposition to this bill.
This bill aims to increase enforcement by expanding the scope of wage and hour violations, doubles the penalty for liquidated damages, and allows the director of the Bureau of Labor Standards to assess forfeiture up to $1000 against an employer who violates any provision of Title 26 Chapter 7 and Chapter 15 of the employment practices statute. Current law only pertains to Chapter 7, sections 1 – 4, and this bill would expand the enhanced penalties to ALL of Chapter 7 and ALL of Chapter 15. The bill goes above and beyond what is in federal law and would make Maine an outlier.
An amended version of the language above was passed by a vote of 5-2 in the committee on Thursday. The amended language narrows the scope of the bill to violations of Chapter 7, sections 1 – 4, but keeps the extreme penalties for liquidated damages, and authorizes the Director of the Bureau of Labor Standards to receive payment of the unpaid wages on behalf of the employee. This is all in line with the new Director’s initiative to increase enforcement on businesses.
Friday, February 23, 2024
LD 2191, An Act to Provide Relief to Small Businesses Affected by Severe Weather-related Events, Work Session - Innovation, Development, Economic Advancement and Business Committee
This bill would establish the Small Business Weather Emergency Relief Program to provide relief payments to small businesses affected by severe weather-related events and directs the Department of Economic and Community Development to adopt rules for the administration of the program, including eligibility requirements, application processes and methods for determining award amounts, no later than March 30, 2024. The bill includes a one-time General Fund appropriation of $50,000,000 in fiscal year 2023-24 to the program. The PLC testified in support of this bill. The work session scheduled for Friday was postponed.
LD 1487, An Act to Ensure That Residents of the State Have the Right to Repair Their Own Electronic Devices, Work Session - Innovation, Development and Economic Advancement Committee.
The PLC testified Neither for Nor Against this bill in 2023 and is monitoring it. The membership feels strongly that information must be provided by the OEM’s, but it should not be provided for free.
The committee is planning on concentrating more on personal devices such as cell phones, tablets, computers, etc. We will continue to monitor this bill until it no longer includes off-road equipment.
The work session scheduled for Friday was postponed.
Next Week’s Legislative Activity February 26 – March 1, 2024
Tuesday, February 27, 2024
LD 1487, An Act to Ensure That Residents of the State Have the Right to Repair Their Own Electronic Devices, Work Session 2:30pm - Innovation, Development and Economic Advancement Committee.
More information on this bill can be found above.
Wednesday, February 28, 2024
LD 2212, An Act to Strengthen Maine's Agriculture, Food System and Forest Products Infrastructure Investment, Public Hearing, 1:15pm – Agriculture, Conservation, and Forestry Committee
This bill amends the laws governing the Maine Agriculture, Food System and Forest Products Infrastructure Investment Advisory Board to require the President of the Senate and the Speaker of the House to appoint members to the board and prohibit a member of the board who holds a position in a producer or business that causes a conflict of interest with regard to a vote the board is holding from participating in that vote. It also requires producers of agricultural, food and forest products receiving disbursements from the Maine Agriculture, Food and Forest Products Investment Fund to obtain their primary agricultural, food or forest products from within the State. Finally, this bill provides a one-time appropriation of $10,000,000 in fiscal year 2024-25 to the fund.
The PLC will be testifying in support.
Friday, March 1, 2024
LD 2191, An Act to Provide Relief to Small Businesses Affected by Severe Weather-related Events, Work Session, 10:30am - Innovation, Development, Economic Advancement and Business Committee
The PLC testified in support of this bill. More information on this bill can be found above.
Rulemaking and Regulatory Issues
Maine Department of Labor: Paid Family and Medical Leave Listening Session - February 28, 2024, 5:30pm – 7:00pm via Zoom
The Maine Department of Labor (MDOL) will host a listening session regarding the new Paid Family and Medical Leave (PFML) Program. The listening session is an opportunity for members of the public to raise questions and identify areas that need clarification in the legislation. These questions and areas needing clarification will be used to inform the official rulemaking process, which will begin in the spring. This informal listening session does not replace and is in addition to the formal regulatory process governed by the Maine Administrative Procedures Act (MAPA).
This listening session will allow informal public comment on any provisions related to the PFML law. Staff will open the meeting to hear from the public to participants who wish to comment but will be allowed up to two minutes to speak. If all questions and comments provided during the public comment period have been exhausted prior to 7:00 p.m. the event will conclude.
The session will be held via Zoom on February 28, 2024, from 5:30-7:00 p.m. If you are not able to access this meeting online, there will be access to watch at the Maine Department of Labor Frances Perkins Room, 45 Commerce Drive, Augusta. Please use the Career Center entrance when arriving. Attendance will be limited to 500 people. If the webinar is full, a recording of this event will be posted to the Department's PFML webpage after the event has concluded.
Information regarding the PFML Program, including the implementation timeline and the PFML legislative language, can be found here. To ensure we maximize public comment, please review the PFML law at your earliest convenience.
Click here to register for the listening session on February 28. Registration is free.
Have a great weekend, and please do not hesitate to contact me if you have any questions or concerns.
Best,
Dana