Bill Text: IL HB1430 | 2015-2016 | 99th General Assembly | Introduced

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Bill Title: Amends the Unemployment Insurance Act. Provides that, at the discretion of the Director of the Department of Employment Security, employer contributions may be paid in quarterly installments.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2015-02-06 - Referred to Rules Committee [HB1430 Detail]

Download: Illinois-2015-HB1430-Introduced.html

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99TH GENERAL ASSEMBLY State of Illinois 2015 and 2016 HB1430 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED:
820 ILCS 405/1400 from Ch. 48, par. 550
Amends the Unemployment Insurance Act. Provides that in the discretion of the Director, employer contributions may be paid in quarterly installments.
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A BILL FOR
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AN ACT concerning employment.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Unemployment Insurance Act is amended by
changing Section 1400 as follows:
(820 ILCS 405/1400) (from Ch. 48, par. 550)
Sec. 1400. Payment of contributions. On and after July 1,
1937, contributions shall accrue and become payable by each
employer for each calendar year in which he is subject to this
Act, with respect to wages payable for employment occurring
during the six months' period beginning July 1, 1937, and the
calendar years 1938, 1939, and 1940. For the year 1941 and for
each calendar year thereafter, contributions shall accrue and
become payable by each employer upon the wages paid with
respect to employment after December 31, 1940. Except as
otherwise provided in Section 1400.2, such contributions shall
become due and shall be paid quarterly on or before the last
day of the month next following the calendar quarter for which
such contributions have accrued; except that any employer who
is delinquent in filing a contribution report or in paying his
contributions for any calendar quarter may, at the discretion
of the Director, be required to report and to pay contributions
on a calendar month basis. Such contributions shall not be

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deducted, in whole or in part, from the wages of individuals in
such employer's employ. If the Director shall find that the
collection of any contributions will be jeopardized by delay,
he may declare the same to be immediately due and payable.
In the payment of any contributions, interest, or
penalties, a fractional part of a cent shall be disregarded
unless it amounts to one-half cent or more, in which case it
shall be increased to one cent.
The Director may by regulation provide that if, at any
time, a total amount of less than $2 is payable with respect to
a quarter, including any contributions, payments in lieu of
contributions, interest or penalties, such amount may be
disregarded. Any amounts disregarded under this paragraph are
deemed to have been paid for all other purposes of this Act.
Nothing in this paragraph is intended to relieve any employer
from filing any reports required by this Act or by any rules or
regulations adopted by the Director pursuant to this Act.
Except with respect to the provisions concerning amounts
that may be disregarded pursuant to regulation, this Section
does not apply to any nonprofit organization or any
governmental entity referred to in subsection B of Section 1405
for any period with respect to which it does not incur
liability for the payment of contributions by reason of having
elected to make payments in lieu of contributions, or to any
political subdivision or municipal corporation for any period
with respect to which it is not subject to payments in lieu of

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contributions under the provisions of paragraph 1 of Section
302C by reason of having elected to make payments in lieu of
contributions under paragraph 2 of that Section, or to the
State of Illinois or any of its instrumentalities.
At the discretion of the Director, payment of contributions
with respect to wages, as defined in Section 235, may be made
in quarterly installments. If so, the payment due for the first
quarter of the year shall be 25% of the liability incurred
during that quarter. The payment due for the second quarter
shall be determined by adding 25% of the liability incurred
during the first quarter plus 33.33% of the liability incurred
during the second quarter. The payment due for the third
quarter shall be determined by adding 25% of the liability
incurred during the first quarter plus 33.33% of the liability
incurred during the second quarter plus 50% of the liability
incurred during the third quarter. The payment due for the
fourth quarter shall be the balance of the liability incurred
during the calendar year. The changes made by this amendatory
Act of the 99th General Assembly shall not reduce an employer's
liability for contributions under this Act.
The Director may, by regulation, provide that amounts due
from an employing unit for contributions, payments in lieu of
contributions, penalties, or interest be paid by an electronic
funds transfer, including amounts paid on behalf of an
employing unit by an entity representing the employing unit.
The regulation shall not apply to an employing unit until the

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Director notifies the employing unit of the regulation. Except
as otherwise provided in this Section, where the employing
unit, within 30 days of the date of service of the notice sent
pursuant to this amendatory Act of the 98th General Assembly,
notifies the Director that it declines to pay by electronic
funds transfer, the regulation shall not apply to the employing
unit. Except as otherwise provided in this Section, where the
employing unit, within 30 days of the date of service of a
notice sent pursuant to Section 1509 of this Act, notifies the
Director that it declines to pay by electronic funds transfer,
the regulation shall not apply to the employing unit with
respect to any payment due after the date the employing unit so
notifies the Director. The Director is authorized to provide by
regulation reasonable penalties for employing units that are
subject to and fail to comply with such a regulation. Any
employing unit that is not subject to the regulation may elect
to become subject to the regulation by paying amounts due for
contributions, payments in lieu of contributions, penalties,
or interest by an electronic funds transfer. Notwithstanding
any other provision to the contrary, in the case of an entity
representing 5 or more employing units, neither the entity nor
the employing units (for as long as they are represented by
that entity) shall have the option to decline to pay by
electronic funds transfer.
(Source: P.A. 98-107, eff. 7-23-13.)