1. (A) Subject to the conditions in this section, a business engaged in manufacturing or processing operations or technology intensive activities at a manufacturing, processing, or technology intensive facility as defined in Section 12-6-3360(M) and that meets the requirements of Section 12-10-50(B) may negotiate with the council to claim as a credit against withholding five hundred dollars a year for the retraining of a production or technology employee if retraining is necessary for the qualifying business to remain competitive or to introduce new technologies. In addition to the yearly limits, the retraining credit claimed against withholding may not exceed two thousand dollars over five consecutive years for each retrained production or technology employee.

2. (B) A qualifying business is eligible to claim as a retraining credit against withholding the lower amount of the following:

   1. (1) the retraining credit for the applicable withholding period as determined by subsection (A); or
   2. (2) withholding paid to the State for the applicable withholding period.
3. (C) All retraining must be approved by a technical college under the jurisdiction of the State Board for Technical and Comprehensive Education. A qualifying business must submit a retraining program for approval by the appropriate technical college. The approving technical college may provide the retraining itself, subject to the retraining program, or contract with other training entities to provide the required retraining.
4. (D) Travel and lodging expenses and wages for retraining participants are not reimbursable.
5. (E) The qualifying business must match on a dollar-for-dollar basis the amount claimed as a credit against withholding for retraining. When applicable, the total amount of retraining credits and matching funds must be paid to the technical college that provides the training. All training costs, including costs in excess of the retraining credits and matching funds, are the responsibility of the business.
6. (F) A qualifying business claiming retraining credits pursuant to this section is subject to the reporting and audit requirements in Section 12-10-80(A).

7. (G) A qualifying business may not claim retraining credit for training provided to the following production or technology employees:

   1. (1) temporary or contract employees; and
   2. (2) employees who are subject to a revitalization agreement, including a preliminary revitalization agreement.

8. (H) Notwithstanding another provision of this section, the retraining credit allowed by this section is for:

   1. (1) apprenticeship programs; and
   2. (2) retraining for all relevant employees that enable a company to export or increase its ability to export its products, including training for logistics, regulatory, and administrative areas connected to its export process and other export process training that allows a qualified company to maintain or expand its business in this State.
9. (I) The council may establish an annual renewal fee of five hundred dollars to be shared equally with the department for administrative, data collection, reporting, and other obligations of this chapter.

HISTORY: 2001 Act No. 89, Section 4, eff July 1, 2001; 2003 Act No. 69, Section 3.RR, eff June 18, 2003; 2008 Act No. 353, Section 2, Pt 31A.1, eff July 1, 2008.