PRINTER'S NO. 2463
No. 1898 Session of 2001
INTRODUCED BY METCALFE, HERSHEY, STERN, DALLY, CREIGHTON, LEH,
TRICH, WASHINGTON AND WILT, SEPTEMBER 18, 2001
REFERRED TO COMMITTEE ON LABOR RELATIONS, SEPTEMBER 18, 2001
AN ACT
1 Amending the act of December 5, 1936 (2nd Sp.Sess., 1937
2 P.L.2897, No.1), entitled "An act establishing a system of
3 unemployment compensation to be administered by the
4 Department of Labor and Industry and its existing and newly
5 created agencies with personnel (with certain exceptions)
6 selected on a civil service basis; requiring employers to
7 keep records and make reports, and certain employers to pay
8 contributions based on payrolls to provide moneys for the
9 payment of compensation to certain unemployed persons;
10 providing procedure and administrative details for the
11 determination, payment and collection of such contributions
12 and the payment of such compensation; providing for
13 cooperation with the Federal Government and its agencies;
14 creating certain special funds in the custody of the State
15 Treasurer; and prescribing penalties," further providing for
16 contributions and for election of reimbursement.
17 The General Assembly of the Commonwealth of Pennsylvania
18 hereby enacts as follows:
19 Section 1. Section 1003 of the act of December 5, 1936 (2nd
20 Sp.Sess., 1937 P.L.2897, No.1), known as the Unemployment
21 Compensation Law, amended July 21, 1983 (P.L.68, No.30), is
22 amended to read:
23 Section 1003. Contributions.--(a) In lieu of contributions
24 required to be paid by employers under this act, the
25 Commonwealth of Pennsylvania shall pay into the Unemployment
1 Compensation Fund an amount equal to the amount of regular
2 benefits and of one-half of the extended benefits paid, (after
3 December 31, 1978 the full amount of extended benefits paid)
4 that is attributable to service in the employ of the
5 Commonwealth and all its departments, bureaus, boards, agencies,
6 commissions and authorities[.]: Provided, that, if an individual
7 is receiving benefits pursuant to an eligibility determination
8 based on a separation from another employer, the Commonwealth
9 shall not be liable to the Unemployment Compensation Fund for
10 any benefits paid to the individual if the individual's most
11 recent separation from the Commonwealth was due to being
12 discharged for willful misconduct connected with the service, or
13 due to the individual's leaving the service without good cause
14 attributable to employment, if the Commonwealth has filed notice
15 with the department in accordance with its rules and regulations
16 and within the time limits prescribed.
17 (b) The amount which the Commonwealth shall pay into the
18 Unemployment Compensation Fund, as hereinabove set forth, shall
19 be computed by the department and reported quarterly to the
20 State Treasurer who shall thereupon pay such amount from the
21 General Fund of the Commonwealth, upon approval thereof in
22 accordance with the law then in effect, except that to the
23 extent that compensation is paid on the basis of wages paid by
24 an authority of the Commonwealth from its funds such authority
25 shall pay such amount into the Unemployment Compensation Fund
26 from its own funds.
27 (c) Past due payments of amounts in lieu of contributions,
28 or reports with respect thereto, shall be subject to the same
29 interest and penalties that, pursuant to section 308 apply to
30 past due contributions and section 206 apply to past due
20010H1898B2463 - 2 -
1 reports.
2 Section 2. Sections 1104 and 1202.2 of the act, amended or
3 added July 6, 1977 (P.L.41, No.22), are amended to read:
4 Section 1104. Election of Reimbursement.--(a) Any nonprofit
5 organization which, on or after January 1, 1972, is or becomes
6 liable to the contribution provisions of this act may, in lieu
7 of payment of such contributions, elect to pay to the department
8 for the Unemployment Compensation Fund an amount equal to the
9 amount of regular benefits and of one-half of the extended
10 benefits paid, that is attributable to service in the employ of
11 such nonprofit organization[.]: Provided, that if an individual
12 is receiving benefits pursuant to an eligibility determination
13 based on a separation from another employer, the nonprofit
14 organization shall not be liable to the Unemployment
15 Compensation Fund for any benefits paid to the individual if the
16 individual's most recent separation from the nonprofit
17 organization was due to being discharged for willful misconduct
18 connected with the service, or due to the individual's leaving
19 the service without good cause attributable to employment, if
20 the nonprofit organization has filed notice with the department
21 in accordance with its rules and regulations and within the time
22 limits prescribed. Such employer shall continue to be liable for
23 reimbursement of benefit payments based on wages paid prior to
24 the termination date of such election.
25 (b) Such election shall be for a period of not less than two
26 taxable years unless sooner terminated by the department as
27 hereinafter provided.
28 Section 1202.2. Election of Reimbursement.--(a) Any
29 political subdivision of the Commonwealth or any instrumentality
30 of one or more thereof, which on or after January 1, 1978 and
20010H1898B2463 - 3 -
1 prior to January 1, 1979 is or becomes liable to the
2 contribution provisions of the act may, in lieu of payment of
3 such contributions, elect to pay to the department for the
4 Unemployment Compensation Fund, an amount equal to the amount of
5 regular benefits and of one-half of the extended benefits paid,
6 (after December 31, 1978 the full amount of extended benefits
7 paid) that is attributable to service in the employ of such
8 political subdivision of the Commonwealth or any instrumentality
9 of one or more thereof[.]: Provided, that, if an individual is
10 receiving benefits pursuant to an eligibility determination
11 based on a separation from another employer, the political
12 subdivision or instrumentality shall not be liable to the
13 Unemployment Compensation Fund for any benefits paid to the
14 individual if the individual's most recent separation from the
15 political subdivision or instrumentality was due to being
16 discharged for willful misconduct connected with the service, or
17 due to the individual's leaving the service without good cause
18 attributable to employment, if the political subdivision or
19 instrumentality has filed notice with the department in
20 accordance with its rules and regulations and within the time
21 limits prescribed. Such employer shall continue to be liable for
22 reimbursement of benefit payments based on wages paid prior to
23 the termination date of such election.
24 (b) Such election shall be for a period of not less than two
25 taxable years unless sooner terminated by the department as
26 hereinafter provided.
27 Section 3. This act shall take effect in 60 days.
F1L43MRD/20010H1898B2463 - 4 -