Maryland Internship Opportunities Program - Creation and Income Tax Credit
Impact
The primary impact of HB255 is the introduction of a tax credit for employers who hire eligible interns, which is capped at $4,200 per intern per year. This financial incentive is intended to encourage businesses to create more internship opportunities, thereby fostering retention of young talent within the state. Additionally, the program mandates that at least 50% of internships supported are with businesses that have fewer than 150 employees, promoting smaller enterprises, which often struggle to afford internship programs.
Summary
House Bill 255 establishes the Maryland Internship Opportunities Program, designed to provide students with internship experiences in humanities-based businesses. The bill aims to connect college and university students, recent graduates, and veterans with small businesses in the humanities field, further promoting local employment opportunities. The program is administered by the University of Maryland Baltimore County (UMBC) and seeks to facilitate not only student learning but also community involvement and workforce development in the state of Maryland.
Reporting
The legislation requires UMBC to prepare an annual report outlining the outcomes of the program, including participant numbers, business sizes, and the employment rate of interns post-graduation. This accountability measure is intended to track the effectiveness of the initiative and ensure the alignment of internship opportunities with the labor market needs in Maryland.
Contention
While many see the bill as a beneficial step towards enhancing workforce readiness and economic development, there are concerns about its focus on humanities-based businesses, which may not have the same demand for interns as more technical fields. Critics argue that the emphasis on humanities could limit diverse opportunities for students interested in other areas. Additionally, there could be contention regarding the budget implications of state appropriations needed to fund the tax credits and the administrative costs associated with the program.