Sec. 38. 36 MRSA §5219-G, sub-§1, as enacted by PL 1999, c. 521, Pt. B, §8 and affected by §11, is amended to read:

1. Tax credits for partners and S corporation shareholders. Each partner of a partnership or shareholder of an S corporation is allowed a credit against the tax imposed by chapter 803 this Part in an amount equal to the partner's or shareholder's pro rata share of the tax credits described in this chapter, except that in the case of credits attributable to a financial institution subject to tax under chapter 819, the credits are allowable only against the tax imposed by that chapter. A partner's pro rata share must equal the partner's percentage interest in the taxable income or loss of the partnership for federal income tax purposes for the taxable year. The pro rata share of a shareholder of an S corporation must equal the shareholder's percentage share of stock of the S corporation as of the end of the taxable year.

Sec. 39. 36 MRSA §5219-Q, as enacted by PL 1999, c. 401, Pt. NNN, §6 and affected by §§8 and 9, is amended to read:

§5219-Q. Quality child care investment credit

1. Definition. As used in this section, unless the context otherwise indicates, "quality child care services" means care services provided at a child care site that meets minimum licensing standards and:

A. Is accredited by an independent, nationally recognized program approved by the Department of Human Services, Office of Head Start and Child Care;

B. Utilizes recognized quality indicators for child care services approved by the Department of Human Services, Office of Head Start and Child Care; and

C. Includes provisions for parent and client input, a review of the provider's policies and procedures, a review of the provider's program records and an on-site program review.

For large, multi-function agencies, only those portions of the child care sites that were reviewed by the accrediting body may be considered sites that provide quality child care sites services.