Full Text of HB0924 98th General Assembly
HB0924sam002 98TH GENERAL ASSEMBLY | Sen. Heather A. Steans Filed: 5/21/2014
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| 1 | | AMENDMENT TO HOUSE BILL 924
| 2 | | AMENDMENT NO. ______. Amend House Bill 924, AS AMENDED, | 3 | | with reference to page and line numbers of Senate Amendment No. | 4 | | 1, on page 20, by inserting immediately below line 8 the | 5 | | following:
| 6 | | "Section 15-5. The Unemployment Insurance Act is amended by | 7 | | changing
Sections 611, 1500, and 1506.1 as follows:
| 8 | | (820 ILCS 405/611) (from Ch. 48, par. 441)
| 9 | | Sec. 611. Retirement pay. A. For the purposes of this | 10 | | Section
"disqualifying income" means:
| 11 | | 1. The entire amount which an individual has received or | 12 | | will
receive with respect to a week in the form of a retirement | 13 | | payment (a)
from an individual or organization (i) for which he
| 14 | | performed services during his base period or which is liable | 15 | | for benefit
charges or payments in lieu of contributions as a | 16 | | result of the payment of
benefits to such individual and (ii) |
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| 1 | | which pays
all of the cost of such retirement payment, or (b) | 2 | | from a trust, annuity
or insurance fund or under an annuity or | 3 | | insurance contract, to or under
which an individual or | 4 | | organization for which he
performed services during his base | 5 | | period or which is liable for benefit
charges or payments in | 6 | | lieu of contributions as a result of the payment of
benefits to | 7 | | such individual pays or has paid
all of the premiums or | 8 | | contributions; and
| 9 | | 2. One-half the amount which an individual has received or | 10 | | will
receive with respect to a week in the form of a retirement | 11 | | payment (a)
from an individual or organization (i) for which he
| 12 | | performed services during his base period or which is liable | 13 | | for benefit
charges or payments in lieu of contributions as a | 14 | | result of the payment of
benefits to such individual and (ii) | 15 | | which pays
some, but not all, of the cost of such retirement | 16 | | payment, or (b) from a
trust, annuity or insurance fund | 17 | | (including primary social security old
age and disability | 18 | | retirement benefits, including those based on
self-employment) | 19 | | or under an annuity or insurance
contract, to or under which an | 20 | | individual or organization for which he
performed
services | 21 | | during his base period or which is liable for benefit charges | 22 | | or
payments in lieu of contributions as a result of the payment | 23 | | of benefits to
such individual pays or has paid some, but not | 24 | | all, of the premiums or
contributions.
| 25 | | 2.1. Notwithstanding paragraphs 1 and 2 above, none of the | 26 | | amount that an individual
has received or will receive with |
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| 1 | | respect to a week in the form of social security old age, | 2 | | survivors, and disability benefits under 42 U.S.C. Section 401 | 3 | | et seq., including those
based on self-employment, shall | 4 | | constitute disqualifying income.
| 5 | | 3. Notwithstanding paragraphs
paragraph 1 , and 2 , and 2.1
| 6 | | above, the
entire amount which an individual has received or | 7 | | will
receive, with respect to any week which begins after March | 8 | | 31, 1980, of
any governmental or other pension, retirement, or | 9 | | retired pay, annuity
or any other similar periodic payment | 10 | | which is based on any previous work
of such individual during | 11 | | his base period or which is liable for benefit
charges or | 12 | | payments in lieu of contributions as a result of the payment of
| 13 | | benefits to such individual. This paragraph shall be in effect | 14 | | only if it is
required as a condition for full tax credit | 15 | | against the tax imposed by
the Federal Unemployment Tax Act.
| 16 | | B. Whenever an individual has received or will receive a | 17 | | retirement
payment for a month, an amount shall be deemed to | 18 | | have been paid him for
each day equal to one-thirtieth of such | 19 | | retirement payment. If the
retirement payment is for a | 20 | | half-month, an amount shall be deemed to
have been paid the | 21 | | individual for each day equal to one-fifteenth of
such | 22 | | retirement payment. If the retirement payment is for any other
| 23 | | period, an amount shall be deemed to have been paid the | 24 | | individual for
each day in such period equal to the retirement | 25 | | payment divided by the
number of days in the period.
| 26 | | C. An individual shall be ineligible for benefits for any |
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| 1 | | week with
respect to which his disqualifying income equals or | 2 | | exceeds his weekly
benefit amount. If such disqualifying income | 3 | | with respect to a week
totals less than the benefits for which | 4 | | he would otherwise be eligible
under this Act, he shall be | 5 | | paid, with respect to such week, benefits
reduced by the amount | 6 | | of such disqualifying income.
| 7 | | D. To assure full tax credit to the employers of this State | 8 | | against
the tax imposed by the Federal Unemployment Tax Act, | 9 | | the Director shall
take any action as may be necessary in the | 10 | | administration of paragraph 3
of subsection A of this Section | 11 | | to insure that
the application of its provisions
conform to the | 12 | | requirements of such Federal Act as interpreted by the United
| 13 | | States Secretary of Labor or other appropriate Federal agency.
| 14 | | (Source: P.A. 86-3.)
| 15 | | (820 ILCS 405/1500) (from Ch. 48, par. 570)
| 16 | | Sec. 1500. Rate of contribution.
| 17 | | A. For the six months' period beginning July 1, 1937, and | 18 | | for each of the
calendar years 1938 to 1959, inclusive, each | 19 | | employer shall pay contributions
on wages at the percentages | 20 | | specified in or determined in accordance with
the provisions of | 21 | | this Act as amended and in effect on July 11, 1957.
| 22 | | B. For the calendar years 1960 through 1983,
each employer | 23 | | shall pay contributions equal to 2.7 percent with respect
to | 24 | | wages for insured work paid during each such calendar year, | 25 | | except that
the contribution rate of each employer who has |
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| 1 | | incurred liability for the
payment of contributions within each | 2 | | of the three calendar years immediately
preceding the calendar | 3 | | year for which a rate is being determined, shall
be determined | 4 | | as provided in Sections 1501 to 1507, inclusive.
| 5 | | For the calendar year 1984 and each calendar year | 6 | | thereafter, each
employer shall pay contributions at a | 7 | | percentage rate equal
to the greatest of 2.7%, or 2.7% | 8 | | multiplied by the current adjusted State
experience factor, as | 9 | | determined for each calendar year by the Director
in accordance | 10 | | with the provisions of Sections 1504 and 1505, or the average
| 11 | | contribution rate for his major classification in the Standard | 12 | | Industrial
Code,
or another classification sanctioned by the | 13 | | United States Department of Labor
and prescribed by the | 14 | | Director by rule,
with respect to wages for insured work paid | 15 | | during such year. The
Director of Employment Security shall
| 16 | | determine for calendar year 1984 and each calendar year
| 17 | | thereafter by a method pursuant to adopted rules each
| 18 | | individual employer's industrial code and the average | 19 | | contribution rate for
each major classification in the Standard | 20 | | Industrial Code, or each other
classification sanctioned by the | 21 | | United States Department of Labor and
prescribed by the | 22 | | Director by rule. Notwithstanding
the preceding provisions of | 23 | | this paragraph, the contribution rate for
calendar years 1984, | 24 | | 1985 and 1986 of each
employer who has incurred liability for | 25 | | the payment of contributions within
each of the two calendar | 26 | | years immediately preceding the calendar year for
which a rate |
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| 1 | | is being determined,
and the contribution rate for calendar | 2 | | year 1987 and each calendar year
thereafter of each employer | 3 | | who has incurred liability for the payment of
contributions | 4 | | within each of the three calendar years immediately preceding
| 5 | | the calendar year for which a rate is being determined
shall be | 6 | | determined as provided in Sections 1501 to 1507.1, inclusive.
| 7 | | Provided, however, that the contribution rate for calendar | 8 | | years 1989 and
1990 of each employer who has had experience | 9 | | with the risk of unemployment
for at least 13 consecutive | 10 | | months ending June 30 of the preceding calendar
year shall be a | 11 | | rate determined in accordance with this Section or a rate
| 12 | | determined as if it had been calculated in accordance with | 13 | | Sections 1501
through 1507, inclusive, whichever is greater, | 14 | | except that for purposes of
calculating the benefit wage ratio | 15 | | as provided in Section 1503, such
benefit wage ratio shall be a | 16 | | percentage equal to the total of benefit
wages for the 12 | 17 | | consecutive calendar month period ending on the above
preceding | 18 | | June 30, divided by the total wages for insured work subject to
| 19 | | the payment of contributions under Sections 234, 235 and 245 | 20 | | for the same
period and provided, further, however, that the | 21 | | contribution rate for
calendar year 1991 and for each calendar | 22 | | year thereafter of each employer
who has had experience with | 23 | | the risk of unemployment for at least 13
consecutive months | 24 | | ending June 30 of the preceding calendar year shall be a
rate | 25 | | determined in accordance with this Section or a rate determined | 26 | | as if
it had been calculated in accordance with Sections 1501 |
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| 1 | | through 1507.1,
inclusive,
whichever is greater, except that | 2 | | for purposes of calculating the benefit
ratio as provided in | 3 | | Section 1503.1, such benefit ratio shall be a
percentage equal | 4 | | to the total of benefit charges for the 12 consecutive
calendar | 5 | | month period ending on the above preceding June 30, multiplied | 6 | | by
the benefit conversion factor applicable to such year, | 7 | | divided by the total
wages for insured work subject to the | 8 | | payment of contributions under
Sections 234, 235 and 245 for | 9 | | the same period.
| 10 | | B-5. Notwithstanding any other provision of this Section,
| 11 | | beginning in calendar year 2015, an employer's contribution | 12 | | rate as determined pursuant to subsection B shall be reduced by | 13 | | 0.04% absolute. This amendatory Act of the 98th General | 14 | | Assembly has no effect on the fund building rate determined | 15 | | pursuant to Section 1506.3 or fund building receipts | 16 | | attributable to the fund building rate. | 17 | | C. Except as expressly provided in this Act, the provisions | 18 | | of
Sections 1500 to 1510, inclusive, do not apply to any | 19 | | nonprofit
organization for any period with respect to which it | 20 | | does not incur
liability for the payment of contributions by | 21 | | reason of having elected
to make payments in lieu of | 22 | | contributions, or to any political
subdivision or municipal | 23 | | corporation for any period with respect to
which it is not | 24 | | subject to payments in lieu of contributions under the
| 25 | | provisions of paragraph 1 of Section 302C by reason of having | 26 | | elected to
make payments in lieu of contributions under |
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| 1 | | paragraph 2 of that
Section or to any governmental entity | 2 | | referred to in clause (B) of Section
211.1. Wages paid to an | 3 | | individual which are subject to contributions under
Section | 4 | | 1405 A, or on the basis of which benefits are paid to him which | 5 | | are
subject to payment in lieu of contributions under Sections | 6 | | 1403, 1404, or
1405 B, or under paragraph 2 of Section 302C, | 7 | | shall not become benefit
wages or benefit charges under the | 8 | | provisions of Sections 1501 or
1501.1, respectively, except for | 9 | | purposes of determining a rate of
contribution for 1984 and | 10 | | each calendar year thereafter for any
governmental entity | 11 | | referred to in clause (B) of Section 211.1 which does
not elect | 12 | | to make payments in lieu of contributions.
| 13 | | D. If an employer's business is closed solely because of | 14 | | the
entrance of one or more of the owners, partners, officers, | 15 | | or the
majority stockholder into the armed forces of the United | 16 | | States, or of
any of its allies, or of the United Nations, and, | 17 | | if the business is
resumed within two years after the discharge | 18 | | or release of such person
or persons from active duty in the | 19 | | armed forces, the employer will be
deemed to have incurred | 20 | | liability for the payment of contributions
continuously | 21 | | throughout such period. Such an employer, for the purposes
of | 22 | | Section 1506.1, will be deemed to have paid
contributions upon | 23 | | wages for insured work during the applicable period
specified | 24 | | in Section 1503 on or before the date designated therein,
| 25 | | provided that no wages became benefit wages during the | 26 | | applicable period
specified in Section 1503.
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| 1 | | (Source: P.A. 94-301, eff. 1-1-06.)
| 2 | | (820 ILCS 405/1506.1) (from Ch. 48, par. 576.1)
| 3 | | Sec. 1506.1. Determination of Employer's Contribution | 4 | | Rate.
| 5 | | A. The contribution rate for any calendar year prior to | 6 | | 1991 of each
employer whose contribution rate is determined as | 7 | | provided in Sections 1501 through 1507, inclusive, shall be | 8 | | determined in accordance with
the provisions of this Act as | 9 | | amended and in effect on November 18, 2011.
| 10 | | B. (Blank).
| 11 | | C. (Blank).
| 12 | | D. (Blank).
| 13 | | E.
The
contribution rate for calendar year 1991 and
each | 14 | | calendar year thereafter of each employer who has
incurred | 15 | | liability for the payment of contributions
within each of the | 16 | | three calendar years immediately
preceding the calendar year | 17 | | for which a rate is being
determined shall be the product | 18 | | obtained by multiplying
the employer's benefit ratio defined by | 19 | | Section 1503.1
for that calendar year by the adjusted state | 20 | | experience
factor for the same year, provided that:
| 21 | | 1. Except as otherwise provided in this paragraph, an | 22 | | employer's
minimum contribution rate shall be the greater | 23 | | of 0.2% or the
product obtained by multiplying 0.2% by the | 24 | | adjusted state
experience factor for the applicable
| 25 | | calendar year. An employer's minimum contribution rate |
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| 1 | | shall be 0.1% for
calendar year 1996. An employer's minimum | 2 | | contribution rate shall be 0.0% for calendar years 2012 | 3 | | through 2019.
| 4 | | 2.
An
employer's maximum contribution rate shall be the | 5 | | greater of 6.4% or
the product of 6.4%
and the adjusted | 6 | | state experience factor for the applicable calendar year.
| 7 | | 3. If any product obtained in this subsection is not
an | 8 | | exact multiple of one-tenth of one percent, it shall
be | 9 | | increased or reduced, as the case may be to the nearer
| 10 | | multiple of one-tenth of one percent. If such product
is | 11 | | equally near to two multiples of one-tenth of one percent,
| 12 | | it shall be increased to the higher multiple of one-tenth
| 13 | | of one percent.
| 14 | | 4. For purposes of this subsection, intermediate | 15 | | Intermediate rates between such minimum and maximum
rates | 16 | | shall be at one-tenth of one percent intervals.
| 17 | | The contribution rate of each employer for whom wages
| 18 | | became benefit wages during the applicable period specified
in | 19 | | Section 1503 or for whom benefit payments became
benefit | 20 | | charges during the applicable period specified
in Section | 21 | | 1503.1, but who did not report wages for
insured work during | 22 | | such period, shall be the maximum
contribution rate as | 23 | | determined by paragraph 2 of this
subsection.
The
contribution | 24 | | rate for each employer
for whom no wages became benefit wages | 25 | | during the applicable
period specified in Section 1503 or for | 26 | | whom no benefit
payments became benefit charges during the |
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| 1 | | applicable
period specified in Section 1503.1, and who did not
| 2 | | report wages for insured work during such period, shall
be the | 3 | | greater of 2.7% or 2.7% times the then current
adjusted state | 4 | | experience factor as determined by the
Director in accordance | 5 | | with the provisions of Sections
1504 and 1505.
| 6 | | F. (Blank).
| 7 | | G. Notwithstanding the other provisions of this Section, no | 8 | | employer's
contribution rate with respect to calendar year 1989 | 9 | | and each calendar year
thereafter shall exceed 5.4% of the | 10 | | wages for insured work paid by him
during any calendar quarter, | 11 | | if such wages paid during such calendar
quarter total less than | 12 | | $50,000, plus any applicable penalty contribution rate | 13 | | calculated pursuant to subsection C of Section 1507.1.
| 14 | | H. Notwithstanding any other provision of this Section, | 15 | | beginning in calendar year 2015, an employer's contribution | 16 | | rate as determined under this Section, without regard to this | 17 | | subsection, shall be reduced by 0.04% absolute but not below | 18 | | 0.0%. This amendatory Act of the 98th General Assembly has no | 19 | | effect on the fund building rate determined pursuant to Section | 20 | | 1506.3 or fund building receipts attributable to the fund | 21 | | building rate. | 22 | | (Source: P.A. 97-621, eff. 11-18-11; 97-791, eff. 1-1-13.)".
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