Bill No.: SF0066                  Drafter:  JWL

LSO No.:  07LSO-0087              Effective Date:  7/1/2007

Enrolled Act No.:  SEA0061

Chapter No.:

Prime Sponsor:     Senator Johnson

Catch Title:       Unemployment compensation adjustment factor.

Subject:  Provides for apportionment of the positive fund balance adjustment factor.

Summary/Major Elements:

· Current unemployment compensation law requires the Department of Employment to charge a positive fund adjustment factor to all employers if the fund balance on October 31 falls below 3.5% of the total payrolls reported for the year ending June 30.

· This act requires the Department of Employment to adopt rules and regulations apportioning the adjustment factor using a formula that reflects:

o The proportion of contribution revenue received from employers who have had unemployment claims and those who have not had unemployment claims during the previous calendar year; and

o An additional surcharge for new employers and employers whose employees have filed unemployment claims during the previous calendar year.