Provides for the rate of employer contributions to the unemployment insurance fund in the 2022 fiscal year; establishes the unemployment insurance solvency reserve fund.
STATE OF NEW YORK
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8627
IN ASSEMBLY
January 10, 2022
___________
Introduced by M. of A. LAWLER -- read once and referred to the Committee
on Labor
AN ACT to amend the labor law and the state finance law, in relation to
employer contributions to the unemployment insurance fund and estab-
lishing the unemployment insurance solvency reserve fund
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 581-a of the labor law is amended by adding a new
2 subdivision 3-a to read as follows:
3 3-a. Notwithstanding the provisions of section five hundred eighty-one
4 of this title to the contrary and notwithstanding the actual size of the
5 fund index, the rate of contribution for a qualified employer in the two
6 thousand twenty-two fiscal year shall be the percentage shown in the
7 column headed by the size of the fund index at five percent or more and
8 on the same line with his or her negative or positive employer's account
9 percentage pursuant to subdivision two of section five hundred eighty-
10 one of this title, unless using the actual size of the fund index would
11 result in a lower rate of contribution for an employer, in which case
12 such employer shall be liable for such lower rate of contribution.
13 § 2. The state finance law is amended by adding a new section 92-kk to
14 read as follows:
15 § 92-kk. Unemployment insurance solvency reserve fund. 1. There is
16 hereby established in the state treasury a fund to be known as the
17 "unemployment insurance solvency reserve fund". Such fund shall consist
18 of moneys deposited there and moneys shall be withdrawn from such fund
19 only for the purposes as provided therein.
20 2. Such fund may consist of but not be limited to, discretionary
21 federal funds designated as recovery funds during a period of economic
22 downturn and non-recurring state funds derived from settlement proceeds
23 and other sources.
24 3. Such fund may also consist of amounts appropriated or transferred
25 pursuant to statute.
26 4. The amounts available in such reserve may be used if the following
27 conditions are met:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13361-01-1
A. 8627 2
1 (a) The unemployment insurance fund has borrowed money from the feder-
2 al government for the purpose of paying benefits to claimants;
3 (b) The federal government has imposed an interest assessment
4 surcharge on the state of New York for loans to the unemployment insur-
5 ance fund; and
6 (c) The federal government is recovering the principal on money loaned
7 to the unemployment insurance fund for the payment of benefit to claim-
8 ants.
9 § 3. This act shall take effect immediately.
