Sec. 1. 36 MRSA §5219-Y is enacted to read:

§5219-Y.__Storm water mitigation

1.__Tax credit allowed.__A taxpayer who owns, leases or uses property located within a growth area as defined by Title 30-A, section 4301, subsection 6-C or a service center community as defined by Title 30-A, section 4301, subsection 14-A that includes an urban, impaired stream that fails to meet water quality standards because of the effect of storm water from undeveloped lands is entitled to a tax credit if:

A.__The taxpayer is required by a municipality or sanitary district to pay a user fee for the management of the storm water under state or federal rules; or

B.__The taxpayer is required by the Department of Environmental Protection to mitigate project impacts by treating, reducing or eliminating an off-site or on-site predevelopment impervious storm water source.

The amount of credit allowed under this subsection is equal to the amount of the user fee paid for the tax year under paragraph A or the amount of mitigation costs for the tax year under paragraph B.

2.__Limitation.__The credit allowed under this section may not reduce the tax otherwise due under this Part to less than zero.

SUMMARY

This bill provides a tax credit to owners or users of property within a service center community or growth area that includes an urban, impaired stream in an amount equal to the user fee paid to a municipality or sanitary district for the management of storm water or for the cost of mitigation required by the Department of Environmental Protection.