The goal of PTDZ is to create quality jobs in targeted business sectors and geographic locations.
The basic job creation requirement is that
at least one new net job is created that:
• Meets the income requirements in the table below. This includes employee earnings, and employer payments toward employee benefits including retirement, health insurances, education and dependent care. (See details lower on the page.)
• Includes access to health benefits (employer contribution encouraged but not required)
• Includes access to retirement benefits (employer contribution encouraged but not required)
In addition:
• The program is not intended to be used for job retention.
• Existing jobs that are moved to Pine Tree Zones are not considered "new" jobs.
Income Guidelines: Calendar Year 2008
| County
| Annual Income
|
| Androscoggin |
$29,542 |
| Aroostook |
$25,923 |
| Cumberland |
$38,122 |
| Franklin |
$25,517 |
| Hancock |
$30,422 |
| Kennebec |
$29,442 |
| Knox |
$31,624 |
| Lincoln |
$30,891 |
| Oxford |
$25,089 |
| Penobscot |
$28,711 |
| Piscataquis |
$26,090 |
| Sagadahoc |
$31,163 |
| Somerset |
$25,369 |
| Waldo |
$26,717 |
| Washington |
$25,094 |
| York |
$31,426 |
Source: U.S. Department of Commerce, Bureau of Economic Analysis
(Per Capita Personal Income for Maine Counties, 2005)
Per Capita Personal Income
The per capita personal income for the county of employment [see attached “Income Guidelines: Calendar Year (CY) 2008”] is the “income derived from employment” standard that must be exceeded in order for net new jobs to be considered filled by full-time qualified employees. Beginning in CY2005, income derived from employment includes employee earnings, and
employer payments toward employee benefits including retirement, health insurances, education and dependent care.
Income Derived from Employment (IDE)
Earnings:
“Earnings” means the base pay paid by the qualified business, plus any overtime, incentives or commissions paid.
Retirement:
“Retirement benefits” means company-paid contributions to a retirement program subject to the Employee Retirement Income Security Act of 1974, 29 United States Code, Sections 1001 to 1461, as amended.
Health:
“Health and welfare benefits” means company-paid contributions to group insurance programs, including health insurance, medical insurance, dental insurance, vision insurance, life insurance, and long-term disability coverage.
Other:
“Other” paid benefits, including “education benefits” and “dependent care benefits” means education expenses and dependent care expenses paid by the qualified business on behalf of a participating qualified employee for education assistance and dependent care assistance provided as part of an employee benefit package.
Annualized:
IDE may be annualized for any qualified employee who held the net new position for less than the full calendar year.
Pine Tree Zone (PTZ) versus Employment Tax Increment Financing (ETIF)
All PTZ tax benefits, except ETIF, are available once one qualified employee is hired into a net new job; ETIF is available once qualified employees are hired into five net new jobs. A qualified business has two calendar years to hire net new employees. Failure to do so results in termination of the development project. A terminated business may re-apply.
Printable version of income table and regulations
Contact
Contact
Judith Bielecki at (207) 624-7457 for general zone information.
