New program to attract good-paying jobs begins Friday

AUGUSTA — A new program designed to attract large companies that pay strong wages will begin Friday, July 29, when the law that created it takes effect.

“For years, Maine has done an excellent job focusing on support systems for our small and medium-sized businesses,” said the law’s architect, Sen. Stan Gerzofsky, D-Brunswick. “Meanwhile, large employers in the manufacturing sector have dramatically cut operations or left Maine altogether. We need to develop a creative strategy to attract the kind of large companies that create hundreds of jobs and pay middle-class wages. This law is one piece of that strategy.”

Gerzofsky’s law created the Invest in Maine Capital Fund under the auspices of the Finance Authority of Maine.

The fund will support the development of businesses that commit to investing at least $50 million in Maine. Eligible companies will also be required to create or retain at least 250 jobs and pay their employees at least 125 percent of the state average wage. The program is modeled after similar, successful programs that have been implemented in other states.

Pension funds, insurance companies, institutional endowments, and various other investment outlets will be providing the capital for the Invest in Maine Capital Fund, which means that taxpayer dollars will not be a source of funding.

The law was enacted unanimously by the House of Representatives. In the Senate, it was enacted in a 33-1 vote, with Sen. Eric Brakey, R-Auburn, the lone opponent of the job-creating program. As a nonemergency bill, the law was scheduled to take effect 90 days after the Legislature’s adjournment.

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