H 4123 Session 112 (1997-1998)
H 4123 Joint Resolution, By House Ways and Means
A JOINT RESOLUTION TO PROVIDE FOR THE CONTRIBUTION RATES WITH RESPECT TO THE
COMPUTATION OF THE STATEWIDE SERVICE RATIO FOR EMPLOYER CONTRIBUTIONS TO THE
STATE UNEMPLOYMENT COMPENSATION FUND FOR THE PERIOD JANUARY 1, 1998 THROUGH
DECEMBER 31, 1998; TO PROVIDE FOR THE APPLICABILITY OF CERTAIN PROVISIONS OF
LAW FOR THE SAME PERIOD; AND TO CREATE THE UNEMPLOYMENT INSURANCE STUDY
COMMITTEE, PROVIDE FOR ITS MEMBERSHIP, DUTIES, AND RELATED MATTERS, AND
PROVIDE FOR ITS DISSOLUTION.
05/08/97 House Introduced, read first time, placed on calendar
without reference HJ-5
05/14/97 House Read second time HJ-28
05/15/97 House Read third time and sent to Senate HJ-18
05/20/97 Senate Introduced and read first time SJ-13
05/20/97 Senate Referred to Committee on Finance SJ-13
INTRODUCED
May 8, 1997
H. 4123
Introduced by Ways and Means Committee
S. Printed 5/8/97--H.
Read the first time May 8, 1997.
A JOINT RESOLUTION
TO PROVIDE FOR THE CONTRIBUTION RATES WITH
RESPECT TO THE COMPUTATION OF THE STATEWIDE
RESERVE RATIO FOR EMPLOYER CONTRIBUTIONS TO THE
STATE UNEMPLOYMENT COMPENSATION FUND FOR THE
PERIOD JANUARY 1, 1998 THROUGH DECEMBER 31, 1998;
TO PROVIDE FOR THE APPLICABILITY OF CERTAIN
PROVISIONS OF LAW FOR THE SAME PERIOD; AND TO
CREATE THE UNEMPLOYMENT INSURANCE STUDY
COMMITTEE, PROVIDE FOR ITS MEMBERSHIP, DUTIES,
AND RELATED MATTERS, AND PROVIDE FOR ITS
DISSOLUTION.
Be it enacted by the General Assembly of the State of South
Carolina:
SECTION 1. Notwithstanding any provision contained in Section
41-31-80 of the 1976 Code, with respect to the computation of the
statewide reserve ratio for employer contributions to the state
unemployment compensation fund, for the period January 1, 1998
through December 31, 1998 the following contribution rates apply:
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals or exceeds 9%, then the
contribution rate is .54%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals 8% but is less than 9%, then the
contribution rate is .89%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals 7% but is less than 8%, then the
contribution rate is 1.24%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals 6% but is less than 7%, then the
contribution rate is 1.59%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals 5% but is less than 6%, then the
contribution rate is 1.94%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll equals 4% but is less than 5%, then the
contribution rate is 2.29%;
If the resultant percentage of the employer's reserve balance
divided by the annual payroll is less than 4%, then the contribution
rate is 2.64%.
SECTION 2. All other provisions of Chapters 27 through 42, Title
41 of the 1976 Code are applicable for the period January 1, 1998
through December 31, 1998.
SECTION 3. (A) There is created the Unemployment Insurance
Study Committee to examine the present unemployment tax rate
structure and provide recommendations for modifying the current
taxable wages, contribution rates, and fund balances so that the Trust
Fund has adequate funds to meet future unemployment benefits needs
in the event of an economic slowdown.
(B) The study committee shall be comprised of eleven members as
follows:
(1) three private sector representatives to be appointed by the
Governor;
(2) the Speaker Pro Tempore of the House of Representatives
or his designee from the membership of the House of
Representatives, and two members of the House Ways and Means
Committee to be appointed by the chairman of that committee;
(3) the President Pro Tempore of the Senate or his designee
from the membership of the Senate, and two members of the Senate
Finance Committee to be appointed by the chairman of that
committee;
(4) the chairman of the South Carolina Employment Security
Commission or his designee from the membership of that
commission; and
(5) the President of the South Carolina Chamber of Commerce
or his designee.
(C) The members of the study committee shall elect a chairman
and shall meet at such times and places as the chairman shall
determine to be necessary. The members of the study committee
shall serve without compensation and shall not receive any mileage,
subsistence, or per diem in the performance of their duties. The study
shall submit written findings and recommendations, in accordance
with its stated purpose under this section, to the Governor, the Ways
and Means Committee of the House of Representatives, and the
Finance Committee of the Senate not later than November 3, 1997,
at which time the committee shall be dissolved.
SECTION 4. This joint resolution takes effect upon approval by
the Governor and, except as otherwise specifically provided in this
joint resolution, expires December 31, 1998.
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