Section 21-501 - Paid work-based learning program [Subtitle subject to abrogation].
§ 21-501. Paid work-based learning program [Subtitle subject to abrogation].
(a) Definitions.-
(1) In this section the following words have the meanings indicated.
(2) "Eligible party" means:
(i) An employer;
(ii) A group of employers;
(iii) An industry trade association;
(iv) A labor organization;
(v) An operator of a registered apprenticeship program; or
(vi) Any other entity that the Department approves to establish a paid work-based learning program under this section.
(3) "Student" means an individual who:
(i) 1. Is at least 16 years old but younger than the age of 23 years; or
2. Reaches the age of 23 years while participating in an approved paid work-based learning program under this section; and
(ii) Is enrolled in a public or private secondary or postsecondary school in the State.
(4) "Multicraft construction site" means a construction site where more than one construction trade operation is taking place at the same time.
(b) Established; requirements.-
(1) An eligible party may establish a paid work-based learning program for students that is consistent with current State and federal employment of minors laws and approved by the Department as provided under this section.
(2) A work-based learning program shall provide for approved paid work-based learning arrangements between employers and schools to provide students with structured employer-supervised learning that:
(i) Occurs in the workplace in conformance with established safety standards;
(ii) Integrates with classroom instruction to result in the acquisition of at least one unit of academic credit; and
(iii) Links to each student's career interest.
(3) An approved paid work-based learning program for students shall be set forth in writing and shall include:
(i) A description of the knowledge and skills to be developed;
(ii) A description of the methodology to be used;
(iii) A description of the criteria for monitoring, assessing, and credentialing; and
(iv) Evidence of approval by appropriate school personnel.
(4) The program shall:
(i) Provide approved paid work-based learning experiences for students that are consistent with the strategic economic development goals established for the State; and
(ii) Strive to achieve a geographic representation of students participating in paid work-based learning experiences.
(5) A contractor at a multicraft construction site may not qualify for the tax credit authorized under this section for more than two students.
(c) Tax credit.-
(1) In order for an employer to be eligible to claim a tax credit, each student must be employed by the employer for 200 hours or more.
(2) An employer may claim a tax credit in an amount equal to 15% of the wages paid to each student during the taxable year under a work-based learning program that has been approved by the Department as qualifying for the tax credit under this section.
(3) The cumulative credit allowed under this section to an employer in the current taxable year and all previous taxable years may not exceed $1,500 per student.
(4) If the credit allowed under this subsection in any taxable year exceeds the total tax otherwise payable by the employer for that taxable year, the excess may be carried forward and applied as a credit for succeeding taxable years until the earlier of:
(i) The full amount of excess is used; or
(ii) The expiration of the 5th taxable year in which the contribution was made.
(d) Tax credit - Time period.- The tax credit authorized under this section shall be allowed only for taxable years beginning on or before December 31, 2012.
(e) Regulations.-
(1) The Department shall adopt regulations to implement this section.
(2) (i) The regulations adopted under this subsection shall include a process for approval of paid work-based learning programs as qualifying for the tax credit under this section.
(ii) The number of eligible paid work-based learning program students approved by the Department may not exceed 1,000 for each taxable year.
(3) The regulations adopted under this subsection shall include a process for certifying employers' eligibility for the tax credit under this section.
(4) The Department may delegate the approval authority for programs under this section to one or more private industry councils.
[2008, ch. 571.]