1999 Montana Legislature

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HOUSE BILL NO. 281

INTRODUCED BY R. JOHNSON



A BILL FOR AN ACT ENTITLED: "AN ACT INCREASING THE ASSESSMENT RATE ON TAXABLE WAGES PAID BY EXPERIENCE-RATED EMPLOYERS FROM 0.1 PERCENT TO 0.13 PERCENT; SUBMITTING THE RATE INCREASE TO THE ELECTORATE; PROVIDING A CONTINGENT VOIDNESS PROVISION; AND PROVIDING AN EFFECTIVE DATE."



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:



     Section 1.  Section 39-51-404, MCA, is amended to read:

     "39-51-404.  Administrative expenses. (1) Money credited to the account of this state in the unemployment trust fund by the secretary of the treasury of the United States pursuant to sections 903 and 904 of the Social Security Act (42 U.S.C. 1103 and 1104), as amended, may be requisitioned and used for the payment of expenses incurred for the administration of this chapter pursuant to a specific appropriation by the legislature if the expenses are incurred and the money is requisitioned after the enactment of an appropriation law that:

     (a)  specifies the purposes for which the money is appropriated and the amounts appropriated;

     (b)  limits the period within which the money may be expended to a period ending not more than 2 years after the date of the enactment of the appropriation law; and

     (c)  limits the amount that may be used during any 12-month period beginning on July 1 and ending on the next June 30 to an amount not exceeding the amount by which the aggregate of the amounts credited to the account of this state pursuant to sections 903 and 904 of the Social Security Act (42 U.S.C. 1103 and 1104), as amended, during the same 12-month period and the 34 preceding 12-month periods exceeds the aggregate of the amounts used pursuant to this section and charged against the amounts credited to the account of this state during any of the 35 12-month periods.

     (2)  For the purposes of this section, amounts used during any 12-month period must be charged against equivalent amounts that were first credited and that are not already charged, except that an amount used for administration during any 12-month period may not be charged against any amount credited during a 12-month period earlier than the 34th preceding period. Money requisitioned for the payment of expenses of administration pursuant to this section must be deposited in the unemployment insurance administration account but, until expended, must remain a part of the unemployment insurance fund.

     (3)  The department shall maintain a separate record of the deposit, obligation, expenditure, and return of funds deposited. If any money deposited is for any reason not to be expended for the purpose for which it was appropriated or if it remains unexpended at the end of the period specified by the law appropriating the money, it must be withdrawn and returned to the secretary of the treasury of the United States for credit to this state's account in the unemployment trust fund.

     (4)  An assessment equal to 0.1% 0.13% of all taxable wages provided for in 39-51-1108 and 0.05% of total wages paid by employers not covered by an experience rating must be levied against and paid by all employers. All assessments and investment income must be deposited in the employment security account provided for in 39-51-409."



     NEW SECTION.  Section 2.  Submission of rate increase to electorate. This act shall be submitted to the qualified electors of Montana as provided in Title 13, chapter 1, MCA, at the tax election to be held in 1999, by printing on the ballot the full title of this act and the following:

SHALL THE ASSESSMENT RATE ON TAXABLE WAGES PAID BY EXPERIENCE-RATED EMPLOYERS TAX BE INCREASED ANNUALLY BY 0.03% IN THE FOLLOWING MANNER?

     [ ] FOR increasing the assessment rate on experience-rated employers from 0.1% to 0.13% to maintain local delivery of employment services.

     [ ] AGAINST increasing the assessment rate on experience-rated employers from 0.1% to 0.13% to maintain local delivery of employment services.



     NEW SECTION.  Section 3.  Contingent voidness. If Constitutional Initiative No. 75, enacting Article VIII, section 17, of the Montana constitution, is declared invalid, then this act is void.



     NEW SECTION.  Section 4.  Effective date. If approved by the electorate, this act is effective October 1, 1999, or upon approval by the electorate, whichever is later.

- END -




Latest Version of HB 281 (HB0281.01)
Processed for the Web on January 14, 1999 (5:39PM)

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