HB 2025 Summary

• Repeals the existing section 23-730.01 and establishes a new special assessment on employers to fund unemployment insurance benefits during 2011 and 2012.

• Requires employers to pay a special assessment of 0.4% of taxable wages in 2011 (billed in Q3, due by end of Q4) and 0.6% in 2012 (billed in Q2, due by end of Q3).

• Creates the Unemployment Special Assessment Fund to collect and segregate the assessment revenues, administered by the department and continuously appropriated for specified purposes.

• Directs fund monies to first pay interest charges on any outstanding state loan for unemployment benefits, with proportional assessment reductions if interest waivers are granted.

• Requires remaining fund monies to retire the loan principal by October 31, 2012, with authority to reduce assessments if overage exists or increase the 2012 assessment by up to 0.2% if monies prove insufficient.